Action Research - What I learned?

Action research is a process where a principal can internally identify a probing question or problem within their school, gather data and information, analyze that data, and then come to a conclusion on how to further proceed.  It is an introspective process that allows the principal to analyze his decisions and utilize the input of those that are most directly involved and affected by them to see if they are working, need tweaking or rethinking.  By involving staff within the school and valuing their input action research becomes very effective by gaining interpersonal trust amongst the staff and working towards a shared vision of student success. 

I believe I could use action research at my school by developing a plan/team for intervention for students failing more than 2 classes.  I work at a very small alternative high school  that services a lot of at-risk children.  We have seen an increased dropout rate over the past few years.  My question is if we can intervene with them before they fail too many classes will it help keep them in school and ultimately graduate.  I see this as a motivation issue and once they fail too many classes they have no hope and see it as an impossible task.   This may seem like an obvious choice for a research project but it the biggest and most important issue our school is facing.