Age group(s) for which this technique is helpful:
Elementary School

Primarily used to improve behavior:
At Home

Instructions for using this technique:
Cut out pieces of construction paper in 6 different colors into "cards" approx. 2"x3" then create pockets from one whole sheet to hold them. You will need all 6 colors for each child you have. Place them one in front of the other like a deck of cards. Label them:
(colors we used)

Good Card (green)
Warning Card (yellow)
5 Minute Chore Card (orange)
15 Minute Chore Card (red)
1 Hour Grounded Card (blue)
Rest of Day Grounded (black)

We used the colors of traffic lights because we felt that was a concept they already understood. Green means go...red means no...etc.
I drew a happy face on the green card, a frown on the yellow, a 5 on the orange, 15 on the red, a 1 with a cricle around it on blue and left the black card blank. The color speaks louder than words.
We have five children under the age of 8 and I found that I was going hoarse trying to dicipline. We are against spanking and felt the color chart would be more predictable and structured for the children. It also gave them control and a visual on where they were. Now I can say..."You know that was unacceptable...go turn your card". I get very little resistance. They know what's next, and they can see that their behavior has consequences and they can weigh the benefits.

Other information parents should consider before using this technique:
The behavior may get worse in the early stages of incorporating this technique. I found the children liked the chart but had to test it's boundaries and effects. Now things are dramatically better than when we started.
If your child is suffering from a diagnosed disorder it may not be very effective. Check with your child's counselor before staring. It will help some because of the structure and schedule of it, but some disorders cause children to disassociate cause from effect, they may never "get it". Such is the case with one of our children, she has Reactive Attachment Disorder. This technique falls just short of effecting her will. The other children have responded better than we ever could have hoped.

We chose a "doing" form of "time-out" instead of just time-out. Picking up the scattered messes from our day also helps them realize what the parent is required to do in a day, and also lightens your load as a parent. You most certainly can modify this technique to match your childrens' personalities. E~mail me if you like. Good luck and may God bless you and your family....