In CBCI-aligned good practice, exercise development starts by agreeing what the exercise is trying to achieve. Before designing content, logistics, injects, budget, or safety controls, you must agree the scope and objectives, define the timeline and expected outcomes, and confirm what “success” looks like. This aligns with established exercise-management guidance that frames planning around clear objectives and scope so the rest of the design remains focused and measurable.
Only after scope/objectives are set does it make sense to plan and design the exercise (budget, timings, risk assessment), then conduct it, and finally capture learning and report outcomes.
Therefore, option C is the first step; it anchors the entire exercise lifecycle and prevents “activity for activity’s sake.” A well-defined scope and objectives also ensure you involve the right participants, validate the right capabilities (plans, roles, procedures), and can evaluate performance meaningfully during debriefing and improvement planning.