Leadership for change is a key component for universities striving to find new ways to meet the needs of their future students. This paper discusses an innovative framework for leadership capacity development which has been implemented in a number of Australian universities. The framework, underpinned by a distributive approach to leadership, prepares a new generation of leaders for formal positions of leadership in all aspects of teaching and learning. Through the Faculty Scholars Program a number of teaching and learning innovations were implemented, including a number using innovative technologies, to establish strategic change within their faculties. The Scholars shared their outcomes annually through national forums focussed on improving assessment practice. The paper provides a brief overview of the program, the methodology used and the Leadership Capacity Development Framework which was developed. Critical factors for success are identified including the implementation of strategic faculty-based projects; formal leadership training and activities; reflective practice; opportunities for dialogue about leadership practice and experiences; and activities that expanded current professional networks. The model can be adapted to have a specific focus on leadership for eLearning.