This article develops a model of problem-based learning (PBL) and shows how PBL has been used for a decade in one graduate management program. PBL capitalizes on synergies among cognitive, affective, and behavioral learning. Although management education usually privileges cognitive learning, affective learning is equally important. By focusing on real-world problems, PBL helps students appreciate multiple perspectives, recognize nonrational elements of decision making, and confront ethical quandaries. Together, cognitive and affective learning underpin the essential third element: behavioral learning about how to implement plans, lead teams, resolve conflict, persuade others, and communicate with multiple constituencies. Specific examples of PBL projects illustrate this interrelationship.