SOCIETY CURRENTLY ASSUMES THAT SAFEGUARDS ARE ADEQUATE, ARE IN GOOD HANDS, AND NEED LITTLE ATTENTION. UNDER THE CURRENT STANDARD OF 0.5 PERCENT MATERIALS UNACCOUNTED FOR (MUF), HOWEVER, THE CUMULATIVE TOTAL OF MUF IS LARGE AND GROWING EVERY YEAR. MANY RECENT NUCLEAR PLANTS HAVE BEEN BUILT ACCORDING TO PAST DESIGNS WHICH PROVIDE INADEQUATE SAFEGUARDS AGAINST THEFTS. IN ADDITION, NUCLEAR INVENTORY METHODS ARE INADEQUATE AND USED TOO INFREQUENTLY TO BE EFFECTIVE. STANDARDS PROPOSED BY THE ATOMIC ENERGY COMMISSION, BEGINNING WITH FACILITY DESIGN STANDARDS, ARE OBTRUSIVE AND EXPENSIVE BUT ARE NECESSARY TO PROVIDE THE SAME SECURITY AGAINST MATERIALS THEFT THAT IS NOW PROVIDED AGAINST REACTOR MALFUNCTION. INDUSTRY SHOULD TAKE STEPS SUFFICIENT FOR PROTECTION, RATHER THAN ONLY THE LEGALLY REQUIRED STEPS. IMPROVED PHYSICAL PROTECTION SYSTEMS AND MORE FREQUENT MATERIAL BALANCE CLOSINGS WOULD BE DESIRABLE. EFFORTS TO IMPROVE SAFEGUARDS SHOULD FOCUS ON MEASUREMENTS, INFORMATION PROMPTNESS, DESIGN IMPROVEMENTS, AND PHYSICAL PROTECTION. MEASUREMENTS COULD BE BETTERED BY IMPROVING TECHNOLOGY, STANDARDS, CALIBRATION, SAMPLING, AND HOMOGENEITY. MORE TIMELY MEASUREMENT AND REPORTING WOULD IMPROVE THE SYSTEMS ABILITY TO TAKE REMEDIAL ACTION. IMPROVEMENTS IN STATISTICAL TECHNIQUES WOULD REDUCE RISKS RESULTING FROM MEASUREMENT UNCERTAINTY. BY INCREASING SOCIETAL EXPENDITURES ON IMPROVING SAFEGUARDS, THE RISK OF NUCLEAR MATERIALS THEFT WOULD BE REDUCED. INDUSTRY AND GOVERNMENT MUST BOTH AIM FOR AND IMPOSE RATIONAL, EQUITABLE, AND ECONOMICAL STANDARDS TO PERMIT THE NUCLEAR INDUSTRY TO GROW. FIGURES AND AUDIENCE DISCUSSION ARE INCLUDED. (CFW)