Environmental Management Accounting System Research Articles

Analisis penerapan akuntansi manajemen lingkungan pada perusahaan sub sektor kayu dan pengolahannya di Bursa Efek Indonesia (BEI) dan kesesuaiannya dengan Standard Global Reporting Initiative (GRI)

Poor company environmental management requires an Environmental Management Accounting system as environmental control which is used to identify, assess, measure and present waste management costs from operational activities. This research aims to find out whether the application of environmental management accounting in the reporting of manufacturing companies in the wood and processing sub-sector is in accordance with global reporting initiative standards. The method used in this research is a qualitative descriptive approach, so it can be seen whether the environmental management accounting system and sustainability reports of manufacturing companies in the wood and processing sub-sector have been presented properly and correctly. Based on the research results, it can be concluded that 4 companies in the wood sub-sector manufacturing and processing companies listed on the Indonesia Stock Exchange (BEI) are in accordance with the Global Reporting Initiative (GRI) Standard and only one company provides an internal failure environmental cost report.

Unveiling the link between environmental management accounting, energy efficiency, and accountability in state-owned enterprises: An integrated analysis using PLS-SEM and fsQCA

The rising importance of sustainability and accountability in organizations has prompted the exploration of innovative approaches to enhance environmental performance and energy efficiency (ENE). The purpose of this research is to examine the extent to which environmental management accounting (EMA) and ENE practices contribute to accountability within state-owned enterprises (SOEs) in Bangladesh. This study employs both symmetrical (PLS-SEM) and asymmetrical (fsQCA) approaches. The study verifies internal consistency, reliability, validity, common method bias, and collinearity issues through measurement model analysis and conducts path analysis after testing model fitness in structural model analysis. Finally, the study uses fsQCA to conduct in-depth analyses of causal contributions from different conditions to a specific outcome of interest. The PLS-SEM analysis revealed significant positive relationships between EMA and ENE with transparency, responsibility, and answerability. These results indicate that organizations adopting EMA and ENE practices are more likely to exhibit higher levels of transparency, demonstrate greater responsibility towards environmental matters, and be more answerable to stakeholders for their accountability. Further, the study identified ENE as a mediator of EMA and accountability. Finally, the fsQCA analysis supported the importance of both EMA and ENE as necessary conditions for achieving accountability indicating the integration of EMA and ENE to foster transparency, responsibility, and answerability effectively. This study implies that by implementing EMA systems and focusing on energy-efficient operations, organizations can enhance transparency, responsibility, and answerability to stakeholders, fostering a positive image and reputation. Therefore, SOEs may consider integrating these practices into their overall sustainability strategies to maximize their impact on accountability and environmental performance.

The Effect of Environmental Management Accounting and Control System Integration on Sustainability Orientation through Sectoral Green Economy Mediation

The orientation of sustainability within the scope of the company refers to the company's efforts to create long-term value by taking into account the social, environmental and economic impacts of the company's business activities. To achieve the goals of organizational development, companies must carry out effective environmental management. Company activities that are inseparable from natural resources must pay attention to the condition of the surrounding environment so as not to cause damage to the environment. The purpose of this study is to analyze how far the influence of environmental management accounting factors and the integration of control systems on the company's sustainability orientation. Then in this study will also analyze the effect of sectoral green economy as a mediating factor. The use of green economy sectoral factors aims to create an economy that also focuses on environmental protection. The research method used is a quantitative research method. The number of samples used in this study were 512 respondents. Respondents who were sampled were managers and employees of state-owned, mining & plantation companies in Indonesia. The sampling technique used was purposive sampling technique. Then the data were analyzed using SmartPLS software. From the results of the research above, it can be concluded that the environmental management accounting and control system integration variables have a significant effect on sectoral green economy and sustainability orientation. Then the sectoral green economy is also capable of being a good mediating factor in bridging the influence of environmental management accounting and control system integration on sustainability orientation.

Development of environmental management accounting system: a conceptual approach

With the rise of environmental problems caused by human activities, such as misuse of natural resources, rapid deforestation, and discharge of radioactive and other chemical waste into water bodies, soil and the atmosphere, environmental management accounting has emerged as a tool for promoting sustainable development and reducing negative environmental impacts in businesses. This area of accounting provides a means for analyzing, assessing, controlling, and managing the environmental performance of companies. However, there is a dearth of studies in the scientific literature that systematically assess the potential for introducing and developing environmental management accounting in an enterprise. Therefore, this study aims to identify the areas, instruments, outcome, impact measures, and other elements of environmental management accounting, and integrate them in a targeted manner to develop a conceptualized environmental management accounting system. The results of the literature review and systematic analysis are summarized to provide a conceptual framework for an environmental management accounting system consisting of the following elements: 1) objectives; 2) inputs; 3) processes; 4) outputs/outcomes; 5) feedback; and 6) external environmental conditions. The introduction of such a system would improve the development of environmental management accounting for the long-term sustainability and eco-efficiency of companies.

Environmental Management Accounting System Adoption and Sustainability Performance: Triple Bottom Line Approach

Environmental Management Accounting System Adoption and Sustainability Performance: Triple Bottom Line Approach

Accounting going green: The move toward environmental sustainability in Vietnamese manufacturing firms

AbstractThis study investigates how environmental management accounting (EMA) usage mediates the impact of green dynamic capabilities on environmental performance. Furthermore, the moderating effects of green mindfulness on the relationship between green dynamic capabilities and EMA usage are investigated. The proposed model and its hypotheses are evaluated using partial least squares structural equation modeling (PLS‐SEM) with survey data from 394 large Vietnamese manufacturing firms. The study's findings are as follows: (1) green dynamic capabilities positively affect EMA usage, which, in turn, affects environmental performance; (2) when green mindfulness is strong, the effect of green dynamic capabilities on EMA usage is amplified. These findings demonstrate how the interaction between green dynamic capabilities and green mindfulness can contribute to the success of manufacturing firms that use EMA systems in emerging markets. Additionally, the current study elucidates the mechanism by which green dynamic capabilities influence EMA usage, and it aims to contribute to green dynamic capabilities research in accounting by introducing green mindfulness as a boundary condition.

Diagnosis of the Sustainability of a Poultry Value Chain From the Perspective of Environmental Management Accounting

Purpose: This paper aims to present the diagnosis of the sustainability of a poultry value chain from the perspective of Environmental Management Accounting. Theoretical framework: The main theoretical basis for the development of the research was the perspective of the Environmental Management Accounting (EMA) system that contributes to the generation of value. This chain will be studied under EMA and thus overcome the barrier for the implementation of an EMA system. When the organization succeeds in implementing it and making it an integral part of the environmental strategy, the EMA provides an efficient approach to environmental, managerial and financial information. Method/design/approach: The methodology used was the case study, the investigation, of an exploratory and quali-quantitative nature. Descriptive and quantitative information about environmental heritage was analysed, such as forest diagnosis, waste generation, water resources, energy and emissions, environmental management and accounting in the various links of the poultry production chain in the state of Goiás. Results and conclusion: The results demonstrate the vertical business strategy and the adoption of a circular business model by the poultry chain. It was possible to confirm that Environmental Management Accounting (EMA) makes it possible to map processes, identify physical and financial aspects, establish ecological control mechanisms, and highlight actions, policies and sustainability programs at the production chain level. It is concluded that to diagnose information of a descriptive and quantitative nature, from the EMA perspective, the level of planning of the integrating company and integrated farms must be considered, which directly impacts the monitoring and continuous evaluation of processes. When applied, the EMA contributes to the knowledge of the performance of the chain. Research implications: The contribution of this study is based on two pillars: i) the methodology applied with data collection from primary sources; and, ii) access to data, which allowed results, until then, not observed in the literature. Originality/value: The contribution of the study lies in the fact that it is a study applied to the production chain, with access to primary and unpublished data, which advances the development and applicability of science in the area and/or practices of socio-environmental management of organizations.

Environmental Accounting: Analysis of Research Trend By Using Content Mining

The current research leads a substance mining procedure to dissect the articles dependent on bibliographic coupling investigations to decide the remarkable examination subjects. These natural bookkeeping research subjects are confirmed with those intermediaries by the Environmental Management Accounting system with the absolute 71 articles from 2017 to 2020 were dissected. Regarding subjects came about seventeen subjects. The outcome discovered three EMA's point did exclude from CATAR, for example, emission allowances, environmental shareholder value and corporate eco-efficiency. The aftereffects of this study will help researchers investigate their own field strengths, comprehend the creating patterns in environmental accounting research, demonstrate researchers who have had impact in environmental accounting research, and decide future research subjects. Keywords: articles, bibliographic, environmental

Environmental Management Accounting System and Value Creation: An institutional perspective

The emergence of environmental issues has increased environmental protection awareness among society and pushed organizations to become environmentally responsible. Many companies currently consolidate environmental matters into their corporate strategic plan by adopting a comprehensive Environmental Management Accounting System (EMAS) to create more value. However, a lack of understanding on the institutional pressures persuading EMAS adoption within the organizations has reduced the urgency for the company to adopt the EMAS. This paper aims to explain the management's behavioral issues towards accepting EMAS adoption and how this behavior would lead to value creation. Keywords: Environmental Management Accounting System (EMAS), behavioral barriers, value creation, institutional theory eISSN: 2398-4287© 2021. The Authors. Published for AMER ABRA cE-Bs by e-International Publishing House, Ltd., UK. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/). Peer–review under responsibility of AMER (Association of Malaysian Environment-Behaviour Researchers), ABRA (Association of Behavioural Researchers on Asians/Africans/Arabians) and cE-Bs (Centre for Environment-Behaviour Studies), Faculty of Architecture, Planning & Surveying, Universiti Teknologi MARA, Malaysia. DOI: https://doi.org/10.21834/ebpj.v6i17.2866

Corporate cleaner production strategy development and environmental management accounting: A contingency theory perspective

Despite the popularity of environmental management accounting as an approach to support corporate cleaner production measures, so far, how the environmental management accounting implementation differs according to the stage of cleaner production strategy development is largely unknown. This study thus sought to identify how the uses of environmental management accounting and information characteristics vary among organizations at different stages of cleaner production strategy development. Drawing on the contingency theory view of environmental management accounting system sophistication, cleaner production strategy development stages, and environmental management accounting uses, it developed an analytical framework. Based on eighteen case studies of business in Sri Lanka, the study analyzed the different domain-based and functional uses of environmental management accounting and their characteristics according to their cleaner production strategy development (i.e., reactive, preventive and proactive stages). Overall, the study found that environmental management accounting uses to be limited and fragmented in organizations at the reactive and preventive stages except for using environmental management accounting for cost savings and efficiency improvements. However, the findings suggest that as and when organizations progress into higher levels of cleaner production strategy development, there is a relatively high level of use of environmental management accounting in terms of integrative tools, and for control and stewardship purposes.

Eco-oriented management accounting system as a tool for sustainable functioning of an economic entity

Modern challenges of a global nature, as well as dependence on environmental impacts, dictate the need to determine environmental costs for economic entities, as well as account, analyze and control them. In this regard, the system of environmental management accounting is one of the tools that ensure the sustainable functioning of the enterprise. The article examines the categorical apparatus of an eco-oriented management accounting system in order to study the presented topic. The paper propose a system of information support for environmental management accounting for the purpose of improving environmental safety and leveling existing environmental risks. The main objects of environmental management accounting are identified and the reflection of payments in the environmental sphere on a separate account with the necessary level of detail for the effective functioning of the system is justified. The paper also formulates problems for further research of the environmental management accounting system using advanced achievements and practices in the world scientific arena.

Impact of institutional and contingent factors on adopting environmental management accounting systems: the case of manufacturing companies in Libya

PurposeEnvironmental management accounting (EMA) has received increasing interest since 2000 and is now regarded as an effective tool to deal with environmental issues and the economic performance of companies and countries. This study aims to examine the impacts of institutional pressures on the adoption of EMA by manufacturing companies operating in Libya. The study examines how such adoption is impacted by four contingent factors, namely, company size, company age, environmental management system adoption and business type.Design/methodology/approachData was collected from a sample of medium- and large-sized manufacturing companies operating in Libya by means of a questionnaire survey. Institutional pressure and contingency factors were tested against the level of EMA adoption via multiple regression analysis and moderator multiple regression.FindingsThe results indicate that the relationship between coercive pressures and EMA adoption varies as a function of company size. This result indicates that when companies face pressures, the way they respond depends on specific circumstances and characteristics of the company such as company size.Originality/valueThe key contribution of this study to the body of knowledge comes from being able to combine contingency and the new institutional sociology perspective of the institutional theory to create a complementary perspective. This was achieved by examining the moderating effect of the four contingent variables on the relationship between institutional pillars and EMA adoption in manufacturing companies in Libya.

Mediating Role of Environmental Management Accounting and Control System between Top Management Commitment and Environmental Performance: A Legitimacy Theory

The purpose of current study is to assess the impact of top management commitment on firms’ performance, based on legitimacy theory with mediating role of environmental management accounting and environmental management control system. Survey-based data has been collected through questionnaires from ISO 14001 based manufacturing firms of Pakistan. Path analysis has been conducted by applying structural equation modelling on total 304 respondents' data to answer the study hypotheses by using SPSS and AMOS. Results of the study indicate that there is a positive and direct impact of top management commitment on the firms' environmental performance. Moreover, environmental management accounting and control system significantly mediate the relationship between top management commitment and environmental performance. The theoretical model of this study is first time developed and tested by the researcher in Pakistan. Practically, the findings of this research give a deep insight and understanding of how the managers in Pakistan can improve the environmental performance of their firms, through commitment and environmental management accounting as well as environmental management control system tools.

Socio-environmental accounting system in health management: a case study at the Vision Institute

In recent years, the society has increased the pressure on institutions to improve their social and environmental efforts, in addition to economic considerations in decision-making and internal behavior. This study analyzes the applicability of socio-environmental management tools in the health care sector through the partial application of the Environmental Management Accounting System called SICOGEA – Generation 3. This is an investigative and descriptive case study conducted at the Vision Institute (São Paulo Institute of Studies and Research in Ophthalmology, Brazil), where information was collected through semi-structured interviews. The results demonstrated that the studied institution has a level of general sustainability of 22.4%, which is considered “Weak.” This means that although it conducts certain initiatives for environmental management, the institution may be causing damage to the environment.

EFFECTS OF ENVIRONMENTAL STRATEGY, UNCERTAINTY AND TOP MANAGEMENT COMMITMENT ON THE ENVIRONMENTAL PERFORMANCE: ROLE OF ENVIRONMENTAL MANAGEMENT ACCOUNTING AND ENVIRONMENTAL MANAGEMENT CONTROL SYSTEM

The aim of this paper is to check the effect of top management commitment, perceived environmental uncertainty and environmental strategy on the environmental performance of manufacturing firms of China by considering the role of EMA and EMCS. With the increase in economic activities the environmental issues have also increased. Companies are now more conscious for the preservation of environment and thus are working on it. Environmental Accounting is the system through which companies manage environmental issues. Economic development of any country along with the well-being of that country's society can only be attained when there is equilibrium between optimization of wealth and environmental protection. This perspective is raising its importance day by day and hence spreading awareness in public and government as well. Therefore, there is more pressure on companies to focus on environmental protection and to align their operations in such a way that there is no damage to the ecosystem. On the basis of results of this research it is believed that EMA and EMCS play very important role in the achievement of perfect environmental performance. EMA and EMCS are two separate tools and good mediators which improve the performance of the firm regarding environment and align the management regarding environmental costs with sequence. This study will help government and manufacturing firms in making policies regarding environment friendliness through environmental management accounting and environmental management control system as previous studies have also generated same kind of help and benefits.Keywords: China, Environmental strategy, Environmental Management Control System, Environmental Management AccountingJEL Classifications: Q56, Q58DOI: https://doi.org/10.32479/ijeep.8697

Public Sector Social-environmental Diagnosis Model: application in a federal autarky, Rio de Janeiro

Abstract: The Brazilian public administration system has thousands of organizations and departments at federal, state, and municipal levels, distributed throughout the national territory. These conduct activities that can have significant social and environmental impacts. The present research aims to propose a sustainability index through the Public Sector Social-environmental Diagnosis Model (DISASP). This model is based on the Environmental Management Accounting System developed by researchers from the Federal University of Santa Catarina. The proposed model complements this system by including the guidelines of the Environmental Public Administration Agenda, a Ministry of the Environment program that encourages socio-environmental management practices in the government sector. The DISASP method was tested in a federal autarky in the city of Rio de Janeiro. For institutional diagnosis, seven managers were sent a questionnaire containing 124 questions with eight thematic axes: Rational Use of Natural Resources and Public Goods; Adequate Waste Management; Quality of Life in the Work Environment; Awareness and Training; Sustainable Public Procurement; Sustainable Construction; Social and Environmental Responsibility; and Institutional Management. A “weak” sustainability index was obtained, indicating the need for this sector to improve its socio-environmental performance. The study indicated that DISASP adequately fulfilled its role as an instrument for assessing socio-environmental practices in the public sector. Future studies should extend application of the DISASP method to the autarky under study at various points in time, as well as apply it to other public agencies.

FACTORS AFFECTING ENVIRONMENTAL MANAGEMENT ACCOUNTING AND ENVIRONMENTAL PERFORMANCE: AN EMPIRICAL ASSESSMENT

In today's world, businesses have no apparent geographical boundaries for functioning, trading and delivering products and services. However, given the threats to environmental sustainability, modern businesses are restricted to adopt several environmental policies to operate in existing the present globalized ecosphere. Thus, the present study aims to examine the relationship between internal and external drivers of environmental management accounting. In doing so, the study seeks out the association of customer influence, regulatory pressure and firm's moral and social responsibility on environmental management systems in the Indonesian manufacturing industry. Moreover, the current study is also motivated to investigate the impact of EMA on a firm's environmental performance. The current study applied a partial least square structural equation modelling. The results of PLS-SEM confirm that all variables have a positive and significant impact on environmental performance. The results conclude that customer influence, regulatory pressure, and moral & social responsibility have a positive and significant contributor in enhancing environmental management accounting system. Moreover, the results further confirm that environmental management accounting system also plays a significant role in boosting the environmental performance in Indonesia. Therefore, the current study recommends SMEs to give more focus on enhancing the moral and social responsibility among its employees and also make a good control over the regulation and customer influence.Keywords: Customer influence, Moral & Social Responsibility, Environmental Performance, Indonesia.JEL Classifications: Q55, Q50DOI: https://doi.org/10.32479/ijeep.8369

THE DYNAMIC ASSOCIATION OF ENERGY, ENVIRONMENTAL MANAGEMENT ACCOUNTING AND GREEN INTELLECTUAL CAPITAL WITH CORPORATE ENVIRONMENTAL PERFORMANCE AND COMPETITIVE

The current study aims to investigate the impact of energy efficiency, green intellectual capital and environmental management accounting system on environmental performance and competitive advance in Indonesia manufacturing industry. In doing so, we utilized the sophisticated methodology of PLS-SEM to identify the potential association among the variables of interest. Even after the growing consciousness for environmental management, there exist some companies that consider the acceptance of environmental trend as an obstacle to their growth and performance. The results confirm that all selected variables have a positive and significant impact on environmental performance and competitive advantage in the manufacturing industry in Indonesia. Moreover, the outcomes of the PLS-SEM confirm that environmental performance and competitive advantage have positively and expressively impacted by green intellectual, energy efficiency and environmental accounting system. In general, the results of partial least square confirm that the three factors, i.e., green intellectual capital, energy efficiency, and environmental accounting management system are the positive and significant contributor to enhance the environmental performance and competitive advantage of the firm in Indonesia manufacturing industry.Keywords: Energy efficiency, green intellectual capital, environmental performance, competitive advantage, Indonesia.JEL Classifications: Q55, Q50, O34DOI: https://doi.org/10.32479/ijeep.8283

NEXUS OF KNOWLEDGE TRANSFER, GREEN INNOVATION AND ENVIRONMENTAL PERFORMANCE: IMPACT OF ENVIRONMENTAL MANAGEMENT ACCOUNTING

The present study is motivated to investigate the importance of ecological innovations and knowledge management in influencing environmental performance. The focus of the present study lies in identifying the contribution of environmental management accounting in driving the firm's knowledge transfer, green innovation, and environmental performance in Indonesian small and medium enterprises sector. The current collected the data from 223 respondents from different SMEs of Indonesia. The results of PLS-SEM confirm that all variables have a positive and significant impact on the environmental performance of Indonesia SMEs. Moreover, the outcomes of the PLS-SEM confirm that knowledge transfer, green innovation, and environmental performance have significantly and positively impacted by environmental management accounting system. The outcomes of partial least square structural equation modelling also indicate that knowledge transfer and green innovation have also positively and significantly impact on the environmental performance. The results further recommended that the firms can improve their environmental performance by implementing good environmental management accounting system. Keywords: Knowledge transfer, green innovation, environmental performance, Indonesia.JEL Classifications: Q55, Q50DOI: https://doi.org/10.32479/ijeep.8285

Improving environmental management accounting: how to use statistics to better determine energy consumption

The accounting literature voices increased concerns about sustainability issues. Environmental performance as one dimension of sustainability includes among others the management and control of energy. Energy is a key production factor to which the stakeholders of a firm pay increased attention. Since energy has a significant influence on the economic costs and the environmental footprint of firms, management accounting is under growing pressure to better monitor and control energy costs. As a consequence, management accounting needs to develop energy management systems which control energy consumption and aim to reduce energy costs which in turn diminish a firm’s environmental impact and thus improve corporate reputation. One of the most important elements for energy management systems is an effective and cost-efficient measure of the energy consumption. However, firms and their management accounting departments, respectively, are still struggling to develop any cost-efficient approach for measuring energy consumption. That is why we suggest a statistical approach to easily and cost-efficiently measure energy utilization which in turn provides information input to improve environmental management accounting (e.g., cost allocations). We demonstrate our approach for a firm from an energy-intensive industry. The approach allows to distinguish more efficient from less efficient production units. We derive implications from this measurement approach for environmental management accounting and environmental management control systems.