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This report is concerned with the methods used by further education colleges to track the destinations of full-time students when they leave college. It describes the features of existing arrangements for the collection, collation, analysis and presentation of destinations data, highlights good practice and includes examples of how reliable information on students' destinations has been used by colleges to improve the quality of provision and services. Fifty-six colleges participated in the survey. There is some good practice in the collection, analysis and use of destinations data. A variety of systems for the collection of information is evolving. Some colleges know the actual destinations of 90 per cent or more of their students whereas others know only 50 per cent or less. The majority of colleges have no systematic centralised system for recording data on students' destinations. Overall, the sector has insufficient information about the destination of its students. In future years, information derived from the Individualised Student Record will enable the [Further Education Funding] Council to generate national, regional and local data on destinations. To improve the quantity and quality of information on students' destinations, colleges should: raise the awareness of staff and governors to its importance and value; collect full and accurate information on students who leave their courses early, those who progress to other courses and those who complete their courses; and be prepared to use a variety of methods and a number of collections points. To make more effective use of the data on destinations, colleges should: classify the data into categories and subcategories which meet their own needs and are compatible with external requirements; exploit the capability of their computer-based management information systems to record and analyse information; and give higher priority to data on students' destinations as measures of quality of provision and services.