This paper reports the outcomes from a teaching and learning research project at an Australian University centred on improving a third year course in industrial relations. The paper addresses the cognitive and affective outcomes of the course. Cognitively, students developed a greater understanding of the processes of industrial relations and their interconnectedness; however, research and academic skills were identified as in need of further improvement. Affectively, students responded to the challenges of the course, increasing their confidence and self-efficacy and being better prepared for the transition from student to practitioner. While the course in question was a final year ‘capstone’ course, the findings are applicable to all who are interested in designing, or redesigning, any business course that attempts to integrate theory and practice.