Higher Education (HE) learning should necessarily impart learning that is sustainable through developing skills valued in real life. For this to be achieved students need to take active initiative for their own learning that is serious and deep and not superficial. However, this will happen when HE provides for the governance and autonomy that upholds a conducive environment for adopting appropriate learning. In the traditional ‘Command and Control’ HE, state intervention for protection of larger interests of society for a bigger, more expensive, politically more visible and economically more strategic HE, took a stronger grip of its governance at the cost of autonomy. However changing perception of HE has stressed the role of the market in HE governance, drifting from ‘interventionist’ to ‘evaluative’ governance throwing open the challenges of a newly balanced governance versus autonomy equilibrium of HE. Only six Indian Institutes of Technology (IITs) together with the Indian Institute of Science (IISc) ranked in the top 400 universities of QS World University Rankings for 2019 vindicated that higher order engineering skills of Indian graduates was poor and hence a challenge to its ‘make in India’ idea. In looking at the role of World Bank project Technical Education Quality Improvement Programme (TEQIP) to enhance quality-engineering education outside these top institutions, this chapter identifies a critical role for governance of engineering education, systems and processes at engineering colleges as also the prevailing culture within them as critical factors contributing to success of TEQIP implementation. Such boundary conditions help customize design of Management Capacity Enhancement Programme (MCEP) within TEQIP for implementation. By looking at areas of successful and not so successful implementation of TEQIP in two government engineering colleges in the state of Kerala, this chapter goes on to argue that long term strategic direction setting in engineering colleges need to take cognizance of and address the governance, structure, process and culture issues. This is likely to be effective in tackling political processes that might threaten to derail the TEQIP implementation effort. This way TEQIP will help bring trained teachers and willing students so as to graduate quality and employable engineers from more engineering colleges outside the IITs and IISc.