Environmental Accounting as a Tool for Environmental Management System

This paper reviews about the relationship of environmental accounting and environmental management system in order to determine the sustainability of organization. In past, the traditional approach of operations management has been used to evaluate an organization’s performance based on cost, quality and profit without giving due consideration in preserving the environment. It also identified the lack of awareness and interest by organization about environmental preservation distinguish the context for environmental management needs in developing and newly industrialized countries compared to western countries. However, the growing awareness and pressure by community, customer, and stakeholders has forced the organization to accept the introduction of environmental protection measures into their organization. The integration of environmental accounting into EMS will be served as a self-regulatory compliance to legal and regulation requirement, to reduce cost from customer audits, better market impression, increase efficiency of resources and the ability to adopt changing circumstances would contribute to the improvement of quality performance and organization’s performance as a whole. Some of the possible benefit from environmental audit also discussed. In this paper, also discusses number of pollution prevention strategies. It concludes with an emphasis on the use of environmental accounting for continuous improvement in environmental corporate policies and programs by taking into account the regulatory, technical developments, scientific developments, and it must be fully integrated into EMS along with other functional area.

[1]  M. Perry,et al.  An overview of trends related to environmental reporting in Singapore , 1999 .

[2]  Andrew Y. C. Nee,et al.  Environmental life cycle cost analysis of products , 2001 .

[3]  Rick Elam,et al.  Emerging ISO 14000 environmental standards: a step‐by‐step implementation guide , 2000 .

[4]  P. Hutchison.  Environmental Accounting: Issues, Reporting And Disclosure , 2011 .

[5]  R. Gray.  Thirty years of social accounting, reporting and auditing: what (if anything) have we learnt? , 2001 .

[6]  P. Letmathe,et al.  Environmental cost accounting and auditing , 2000 .

[7]  P. Medley.  Environmental accounting ‐ what does it mean to professional accountants? , 1997 .

[8]  Azhdar Karami,et al.  How chief executives’ perception of the environment impacts on company performance , 2002 .

[9]  Alan S. Dunk,et al.  Product quality, environmental accounting and quality performance , 2002 .

[10]  Mamdouh I. Khoder,et al.  An analysis of pesticide impact on air quality, especially surface ozone , 2002 .

[11]  Emergent issues of environmental economics , 1998 .

[12]  Maliah Sulaiman,et al.  Auditing of environmental management systems: alegitimacy theory perspective , 2001 .

[13]  Agis M. Papadopoulos,et al.  Web‐based tools for environmental management , 2001 .

[14]  Pernilla Gluch.  Costs of Environmental Errors (CEE) - a managerial environmental accounting tool or a symptom of managerial frustration? , 2001 .

[15]  S. Banerjee.  Corporate environmental strategies and actions , 2001 .

[16]  Gregory Theyel.  Management practices for environmental innovation and performance , 2000 .

[17]  I. K. Hui,et al.  Development of an EMS planning framework for environmental management practices , 2002 .