The University of Wollongong introduced an online compulsory undergraduate Information Literacy Introductory Program (ILIP) in 1999. Extensions and adjustments make ILIP 2003 a requirement for postgraduate coursework students as well as undergraduate students. ILIP is also highly recommended to incoming research students. Such policy initiatives for a compulsory online learning tool raise interesting questions about the interaction of University policy and learning and teaching policy, about the implementation of such policy and about the effectiveness of the tool both alone and as part of a process. This paper suggests that the compulsory ruling has effected the tool’s development and implementation. The paper contends the tool should be considered both as an online learning device and in its use in developing alliances between library and learning support staff and faculty in the development of desirable student learning outcomes. Such alliances are part of the University meeting its Graduate Attribute outcomes and thus part of the current debate regarding generic skill development and employability skills. Where the Program is most effectively used is where it becomes the stepping stone to interaction and integration of information literacy - a key component of success for students in their studies and beyond. Here it can have impact!