TEMPLATE SOFTWARE INC
SC 13G, 1998-03-06
COMPUTER INTEGRATED SYSTEMS DESIGN
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<PAGE>
 
                                 UNITED STATES
                      SECURITIES AND EXCHANGE COMMISSION
                            WASHINGTON, D.C.  20549

                                 SCHEDULE 13G
                                (Rule 13d-102)

                   UNDER THE SECURITIES EXCHANGE ACT OF 1934
                            (Amendment No. _____)*

                            TEMPLATE SOFTWARE, INC.
                               (Name of Issuer)

                    COMMON STOCK, PAR VALUE $.01 PER SHARE
                        (Title of Class of Securities)

                                  879788 10 7
                                (CUSIP Number)


*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter
disclosures provided in a prior cover page.

The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
<PAGE>
 
                                 SCHEDULE 13G
- ---------------------                                          -----------------
CUSIP No. 879788 10 7                                          Page 1 of 4 Pages
- ---------------------                                          -----------------

<TABLE>
<CAPTION>
 
<S><C>
1  NAME OF REPORTING PERSONS (ENTITIES ONLY)
   I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
   
   JOSEPH M. FOX
- ------------------------------------------------------------------------------- 
2  CHECK THE APPROPRIATE BOX IF A MEMBER OF A
   GROUP*                                                       (a) [_]
   
   NOT APPLICABLE
                                                                (b) [_]
- ------------------------------------------------------------------------------- 
3  SEC USE ONLY
   
- ------------------------------------------------------------------------------- 
4  CITIZENSHIP OR PLACE OF ORGANIZATION
   
   UNITED STATES
- ------------------------------------------------------------------------------- 
                             5  SOLE VOTING POWER
 
         NUMBER OF              679,467; SEE ITEM 4
          SHARES             --------------------------------------------------
       BENEFICIALLY          6  SHARED VOTING POWER
         OWNED BY
           EACH                 0
         REPORTING           --------------------------------------------------
          PERSON             7  SOLE DISPOSITIVE POWER
           WITH                 
                                679,467; SEE ITEM 4
                             --------------------------------------------------
                             8  SHARED DISPOSITIVE POWER
                                                 
                                0
- ------------------------------------------------------------------------------- 
9                               AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
                                REPORTING PERSON
 
                                701,667; SEE ITEM 4
- ------------------------------------------------------------------------------- 
10                              CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9)
                                EXCLUDES CERTAIN SHARES*                    [x]
- ------------------------------------------------------------------------------- 
11                              PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW
                                (9)
 
                                14.8%; SEE ITEM 4
- ------------------------------------------------------------------------------- 
12                              TYPE OF REPORTING PERSON*
 
                                IN
- ------------------------------------------------------------------------------- 
</TABLE>
                      *SEE INSTRUCTIONS BEFORE FILLING OUT
<PAGE>
 
                                 SCHEDULE 13G
- ---------------------                                          -----------------
CUSIP No. 879788 10 7                                          Page 2 of 4 Pages
- ---------------------                                          -----------------

ITEM 1(A) NAME OF ISSUER:

          Template Software, Inc.  (Nasdaq: TMPL)

ITEM 1(B) ADDRESS OF ISSUER'S PRINCIPAL EXECUTIVE OFFICES:

          45365 Vintage Park Plaza
          Dulles, Virginia  20166

ITEM 2(A) NAME OF PERSON FILING:

          Joseph M. Fox

ITEM 2(B) ADDRESS OF PRINCIPAL BUSINESS OFFICE OR, IF NONE, RESIDENCE:

          45365 Vintage Park Plaza
          Dulles, Virginia  20166

ITEMS 2(C) CITIZENSHIP:

          United States

ITEM 2(D) TITLE OF CLASS OF SECURITIES:

          Common Stock, $.01 par value per share

ITEM 2(E) CUSIP NUMBER:

          879788 10 7

ITEM 3.  IF THIS STATEMENT IS FILED PURSUANT TO RULES 13D-1(B), OR 13D-2(B),
CHECK WHETHER THE PERSON FILING IS A:

      (a) [ ] Broker or Dealer registered under Section 15 of the Act

      (b) [ ] Bank as defined in Section 3(a)(6) of the Act

      (c) [ ] Insurance Company as defined in Section 3(a)(19) of the Act

      (d) [ ] Investment Company registered under Section 8 of the Investment
              Company Act

      (e) [ ] Investment Adviser registered under Section 203 of the Investment
              Advisers Act of 1940.

      (f) [ ] Employee Benefit Plan, Pension Fund which is subject to the
              provisions of the employee   Retirement Income Security Act of
              1974 or Endowment fund; see   (S) 240.13d-1(b)(1)(ii)F).

      (g) [ ] Parent Holding Company, in accordance with (S) 240.13d-1(b)(ii)(G)
              (Note: See Item 7)

      (h) [ ] Group in accordance with (S) 240.13d-1(b)(1)(ii)(H).
<PAGE>
 
                                 SCHEDULE 13G
- ---------------------                                          -----------------
CUSIP No. 879788 10 7                                          Page 3 of 4 Pages
- ---------------------                                          -----------------

ITEM 4.  OWNERSHIP.

          If the percent of the class owned, as of December 31 of the year
covered by the statement, or as of the last day of any month described in Rule
13d-1(b)(2), if applicable, exceeds five percent, provide the following
information as of that date and identify those shares which there is a right to
acquire.

          (a)  Amount Beneficially Owned:

               701,667 (Includes 22,200 shares held by Mr. Fox's wife.  Mr. Fox
               disclaims beneficial ownership of such shares.)
 
          (b)  Percent of Class:

               Approximately 14.8%

          (c)  Number of shares as to which such person has:
 
<TABLE> 
<S>                     <C>                                                      <C> 
               (i)      sole power to vote or to direct the vote                 679,467
               (ii)     shared power to vote or to direct the vote                     0
               (iii)    sole power to dispose or to direct the disposition of    679,467
               (iv)     shared power to dispose or to direct the disposition of        0
</TABLE>

Instruction:  For computations regarding securities which represent a right to
- -----------                                                                   
acquire an underlying security see Rule 13d-3(d)(1).

ITEM 5.  OWNERSHIP OF FIVE PERCENT OR LESS OF A CLASS.

          If this statement is being filed to report the fact that as of the
date hereof the reporting person has ceased to be the beneficial owner of more
than five percent of the class of securities, check the following  [ ].

Instruction:  Dissolution of a group requires a response to this item.
- -----------                                                           

ITEM 6.  OWNERSHIP OF MORE THAN FIVE PERCENT ON BEHALF OF ANOTHER PERSON.

          Not Applicable.

ITEM 7.  IDENTIFICATION AND CLASSIFICATION OF THE SUBSIDIARY WHICH ACQUIRED THE
SECURITY BEING REPORTED ON BY THE PARENT HOLDING COMPANY.

          Not Applicable.

ITEM 8.  IDENTIFICATION AND CLASSIFICATION OF MEMBERS OF THE GROUP.

          Not Applicable.
<PAGE>
 
                                 SCHEDULE 13G
- ---------------------                                          -----------------
CUSIP No. 879788 10 7                                          Page 4 of 4 Pages
- ---------------------                                          -----------------

ITEM 9.   NOTICE OF DISSOLUTION OF GROUP.

          Not Applicable.

ITEM 10.  CERTIFICATION.

          The following certification shall be included if the statement is
filed pursuant to Rule13d-1(b):

          By signing below I certify that, to the best of my knowledge and
belief, the securities referred to above were acquired in the ordinary course of
business and were not acquired for the purpose of and do not have the effect of
changing or influencing the control of the issuer of such securities and were
not acquired in connection with or as a participant in any transaction having
such purposes or effect.

          Signature.
          --------- 

          After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.

          2/12/98
          ----------------------
          Date

          /s/ Joseph M. Fox
          ----------------------                              
          Signature

          Joseph M. Fox/Chairman
          ----------------------
          Name/Title

          The original statement shall be signed by each person on whose behalf
the statement is filed or his authorized representative.  If the statement is
signed on behalf of a person by his authorized representative.  If the statement
is signed on behalf of a person by his authorized representative other than an
executive officer or general partner of the filing person, evidence of the
representative's authority to sign on behalf of such person shall be filed with
the statement, provided, however, that a power of attorney for this purpose
which is already on file with the Commission may be incorporated by reference.
The name and any title of each person who signs the statement shall be typed or
printed beneath his signature.

NOTE:  Six copies of this statement, including all exhibits, should be filed
- ----                                                                        
with the Commission.

     ATTENTION:  INTENTIONAL MISSTATEMENTS OR OMISSIONS OF FACT CONSTITUTE
     FEDERAL CRIMINAL VIOLATIONS (SEE 18 U.S.C. 1001).


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