chapter eleven

ENVIRONMENTAL MANAGEMENT

Chapter Eleven

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Chapter 11

Learning Objectives

Understand climate change and government responses to environmental problems

Articulate the competitive advantages of being eco-friendly

Mange the environmental change process

Create an Environmental Management System plan

Develop measureable environmental goals and objectives

Assess environmental performance

Chapter 11: Collins, Business Ethics

Environmental Trends and Climate Change

Environmental Trends Organizations not only meet the needs of consumers,

but also are one of the largest consumers of the Earth’s resources

Fossil fuels are used to light and heat buildings, operate machinery, and transport products



Insert Exhibit 11.1



Climate Change According to the Union of Concerned Scientists, “the

primary cause of global warming is from human activity, most significantly burning of fossil fuels to drive cars, generate electricity, and operate our hoes and businesses”



Climate Change Impacts Altered weather patterns have increased the

frequency and severity of droughts and flooding in summer, and snowstorms in winter, which damage the economy



Insert Exhibit 11.2


Environmental Organizations

Social change often originates at the grassroots level where concerned citizens mobilize other citizens to take action

Environmentalism has a long history in the United States, dating back to the beginning of the Industrial Revolution


Government and Market Responses

Government Regulation The Environmental Defense Fund and the Natural

Resources Defense Council, created in 1967 and 1970, focused on legal strategies to protect the environment and punish the most egregious environmental polluters



Insert Exhibit 11.3



International Agreements In 1987, President Reagan signed the Montreal

Protocol, an international agreement to phase out chlorofluorocarbons that erode the ozone

The following year, the EPA launched a Toxic Release Inventory program to compile data on toxic chemicals released into the environment



Cap and Trade and Climate Exchanges Cap and Trade combines federal controls that limit

the amount of pollution permitted with the establishment of a market in which businesses can trade licenses to pollute



Other Efforts Some U.S. state and city governments have signed

their own versions of the Kyoto Protocol

More than 850 mayors representing 80 million citizens have signed the U.S. Conference of Mayors Climate Protection Agreement


Competitive Advantages of Being Eco-Friendly

Insert Exhibit 11.4


Going Green Examples

Walmart Walmart is now among the leading corporations to

capitalize on the link between eco-friendliness and profits

Walmart has developed a sustainability website to communicate its eco-friendly plans and accomplishments to a broad audience



Green Business Parks In 2000, the Umea business park’s occupants included

a Ford Motor Company dealership, a gas station, a car wash, a convenience store, and McDonald’s

The heat generated by the McDonald’s cooking grills and the convenience store’s refrigerator system was circulated through underground pipes to other businesses, as was runoff water from the car wash



Insert Exhibit 11.5



Insert Exhibit 11.6 (large chart!)


Managing the Environmental Change Process

Greening the organization is a concept that is well regarded by employees and relatively easy for them to rally behind

Make sure employees are well informed about the organization’s environmental efforts


Green Mission Statement

Similar to a Code of Ethics, use the environmental mission statement as a foundation for determining and assessing organizational actions


Green Suppliers

Insert Exhibit 11.9


Environmental Management System (EMS)

The EMS plan is a document that describes how the organization conducts environmental policy development, planning, implementation, monitoring and corrective actions, and management review


Environmental Management System (EMS)

Insert Exhibit 11.10


Environmental Risk Assessment

Each organization has a unique set of environmental input, throughput, and output risks

Assess the environmental performance of suppliers, because they can significantly disrupt organizational operations


Environmental Risk Assessment

Insert Exhibit 11.11


The Natural Step (TNS) Framework and Cost Reductions

The TNS framework attributes the root causes of environmental problems to four issues

1. Removing too many substances from the Earth’s crust

2. Producing too many synthetic compounds that are difficult for nature to break down

3. Manipulating the ecosystem4. Inefficiently and unfairly meeting human needs

worldwide


Product Packaging and Design

All businesses operating within the European Union are now responsible for directly recovering and recycling product packaging

Packaging refers to both the package immediately surrounding the product and the transportation container


Green Buildings

In the United States, buildings account for 38 percent of all carbon emissions, 72 percent of electricity use, 40 percent of raw materials use, 39 percent of energy use, 30 percent of waste output, and 14 percent of potable water consumption


Environmental Performance Indicators and Sustainability Reporting

Continuous environmental improvement entails creating historical benchmark measurements documenting previous environmental performance


Carbon Offsets and Green Philanthropy

Carbon offsets entail paying another organization to reduce greenhouse gas emissions on the company’s behalf

The most common carbon offsets are investing in tree plantings and forestry projects, clean and renewable energy projects, and energy efficiency projects


chapter eleven

Documents

business ethicschapter

business ethicsgovernment

business news stories

climate exchangescap

climate changeinsert

market responsesinsert

market responsescap

concerned citizens