STEP 3 is deciding on the scope of the programme and prioritising in more detail what aspects the company will work on. In order to prioritise effectively the true cost of waste will need to be considered

i.e. True cost of waste = Disposal cost + Purchase cost of material, + handling/processing costs + management time + lost revenue + any potential liability. It may be easy to begin with those areas where the largest financial savings can be made or there are practical ideas for making changes. Once the major sources of waste have been identified new surveys i.e. data collection will be required. This is also the stage at which generating ideas for waste minimisation through waste teams and/or individual employees can begin. Packaging, lubricants, energy, water & rework are often major sources of waste and good target areas for initial pilot programmes. Looking at the types of waste, e.g. cardboard, wood, plastic etc, in order to identify recycling routes can also provide a useful starting point.