This paper describes how two related e-learning initiatives have led to school-level virtual learning environment (VLE) adoption and commencement of several new teaching developments at the University of Southampton. These have engaged additional academic staff with online learning and increased the role of blended learning within the curriculum, in turn contributing to new strategies at the university level. The first e-learning project was the Joint Information Systems Committee/National Science Foundation-funded DialogPLUS project, and the second, a collaborative online masters programme. Barriers to embedding have been both technical and human, but among critical success factors, we especially identify the impetus provided by external funding, the size and composition of the project teams and, to a lesser degree, the creation of demonstrator materials. The specific details of VLE choice and learning object design have proved less significant. This work has been undertaken in collaboration with other schools in Southampton and other institutions within the Worldwide Universities Network.