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Benefits of Environmental Management - Essay Example

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The author examines environmental management systems which can assist an organization to meet its heavy burden of responsibility for the future condition of the environment. The introduction of an environmental management system can aid cost savings and reduction of environmental liability. …
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Benefits of Environmental Management
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Download file to see previous pages Successful environmental management will evaluate all opportunities for cost savings, the most common benefits derive from a review of resource/ energy utilization and its efficiency, forcing full consideration of alternative energy sources and their cost-effectiveness. The other primary element will be the minimization of waste and result and cost of disposal.
Many companies have addressed the management system for customer requirements related to quality and ISO9000. The range and diversity of customer needs and expectations are constantly growing with many customers increasing preference for use of suppliers and sub-contractors who can demonstrate that they are good environmental citizens. No customer would want to risk a tarnished reputation (or non-compliance to legislation) from the poor environmental performance of their suppliers and sub-contractors. The safest option for the customer is to use suppliers and sub-contractors who can demonstrate their positive environmental performance.
The scope and severity of environmental legislation are ever increasing. A management system that ensures recognition of the requirements and compliance with them will ensure that fines are avoided and the staff is not imprisoned in addition to avoidance of the publicity that inevitably follows an environmental prosecution.
The investors are increasingly moving to green portfolio's, and it is interesting that the financial performance of these portfolios has been good in comparison to more traditional investment. In seeking additional investment for the organization it is sensible to ensure the widest scope and this is only aided by a demonstrably sound environmental performance.
Insurance companies are fully aware of the risk to their policies from the poor environmental performance of the insured. Companies with a sound and effective environmental management system are able to demonstrate that they pose less risk to the insurance company and create a negotiating tool for lower premiums. Some insurance companies now require an environmental audit of the company prior to agreeing on the cover.   ...Download file to see next pagesRead More
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