A self-help watershed management project in the densely populated areas of Central Java, Indonesia, is discussed in terms of its achievements to combine activities to improve the physical, the social and the economic environment. Without simultaneous, weU-planned action on these three essential components the project's improvements cannot be sustained by the farmers. It was found that activities such as tree planting and maintenance, construction of soil erosion control structures and training in agroforestry-type intensification techniques for land cultivation serve as a focus to induce farmers to participate. Participation can be sustained in spite of initial decreasing net income if increases in land productivity based on agroforestry practices together with appropriate training programmes organize and motivate the farmers. In future watershed management programmes more emphasis may be placed on the rural development planning aspects of e.g. agroforestry techniques, and on rural community organization.