Steps 2 and 3 form the identification phase of the programme. The figure below indicates the first step in reviewing in greater detail the company operation. This shows the various stages of the company operation based on the production line.

Also known, as waste tracking this is the initial step in assessing why a particular waste arises. The process is used to;

• Highlight in greater depth areas for improvement.
• Identify where measurements might need to be taken for monitoring
• Highlight new technology investment or process development areas.