I sew the strips together and use for small wallhangings. If you do fairly heavy quilting, you can use it for a lap quilt as well - the heavier quilting makes up for the fact that sewn together batting doesn't actually stay together that great. Sounds strange, but some nursing home residents wouldn't use the quilts they were given because they were 'too nice'. By telling them that EVERYTHING was bits that were left over, they seem to feel better about it and will USE the item. I have a brother who is the same way. He's afraid of wrecking something I've made, so he gets stuff made totally from scraps so that he will use it.
You can also use small smidgens to stuff objects that won't be washed. Batting doesn't drain fast enough so can get a moldy smell if you use it in stuffed animals and such, but some things like ornaments never get washed anyway.