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Environmental Management System and
Its Impact on Manufacturing Companies:
A Conceptual Study
MS. SHIKHA GUPTA* MR. PRAVEEN
KUMAR**
*ASSISTANT PROFESSOR PDM UNIVERSITY,
BAHADURGARH, HARYANA, INDIA
**STUDENT MBA, PDM UNIVERSITY,
BAHADURGARH, HARYANA, INDIA
INTRODUCTION
 A set of policies, procedures and overall management
structure that organizations can use to address immediate
and long-term impact of products, services and activities on
the environment and which provides a systematic and
structured approach to managing environmental affairs.
 A systematic approach that can be used by any organization
to identify and manage its impacts on the environment.
 An EMS is a management tool that helps to achieve
continuous improvement through a “plan, do, check, act”
cycle that can include best management practices and codes
of practice
2
OBJECTIVES OF THE STUDY
 To study the drivers, barriers, and benefits of
environment management system in Indian
manufacturing companies.
 To study the difference between
environment management system certified
and non-certified companies.
 To study whether the adoption of
environment management system (EMS)
would improve organization performance in
manufacturing companies.
3
DRIVERS TO ENVIRONMENTAL
MANAGEMENT SYSTEM
 The drivers can either be specific circumstances such as
accident in the premises due to certain consequences or
due to approval of international agreements such as Kyoto
protocol or stakeholders. Generally, two groups of
stakeholder’s influence organizations internal and external
stakeholders.
 Internal stakeholders include shareholders, management
and non-management employees.
 External stakeholder pressures originate from regulators,
government, communities, suppliers, customers and
environmental interest groups
4
BARRIERS TO ENVIRONMENTAL
MANAGEMENT SYSTEM
 Lack of recognition of the need for an environmental
management system.
 High Implementation cost of an environmental
management system.
 Lack of commitment of top management.
 Complexity
 Establishing environmental responsibility
 Excessive implementation time
5
BENEFITS OF ENVIRONMENTAL
MANAGEMENT SYSTEM
 Cost savings and improvement in productivity
 Increased operational efficiency
 Improvement in product/ service quality
 Improved public image
 Improvement in competitive position
 Access to sources of finance
 Compliance with regulations, reduction in fines
and sanctions
6
EMS
CERTIFIED COMPANIES
 A certified environmental management system helps you
to improve your processes and practices:
 for example, to comply with legislation, to recognize
risks and environmental effects as well as to set
environmental goals and objectives from a long-term
perspective.
 ISO 14001 certificate is also useful in terms of brand
building and in facilitating permits and government
cooperation.
7
EMS
NON-CERTIFIED COMPANIES
EMS non-certified companies indicate that
the company has adopted an EMS that may
or may not include all the components of a
comprehensive EMS as suggested by ISO.
Most companies that adopt an EMS but do
not go for ISO 14001 certification
implement only portions of EMS
8
ADOPTION OF EMS
 Improve efficiencies in the use of energy and new
materials
 Reduce waste and costs
 Mitigate environmental risks
 Increase the ability to comply with environmental
regulations
 Develop integrated environmental health and safety
initiatives
 Lead the sustainability efforts
9
ISO 14001 ELEMENTS 10
Checking/
Corrective Actions
• Measurement and Monitoring
• EMS Nonconformance and
Corrective Actions
• Records
• EMS Audits
Continuous
Improvement
Implementation
• Roles and Responsibilities
• Training and Communication
• EMS Document Control
• Emergency Preparedness
and Response
Planning
• Environmental Aspects
• Compliance
• Objectives and Targets
• Environmental Mgmt.
Programs
Environmental
Policy
Management
Review
CONCLUSION
 An EMS is the combination of people, policies,
procedures, review, and plans to help address
environmental issues.
 Important EMS elements include continual
improvement, management commitment,
formalization, and awareness of system
approach.
 It is mostly seen by the certified Environmental
Management system better than the non-certified
Environmental Management system.
11
12
This Photo by Unknown Author is licensed under CC BY-SA-NC

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EMS

  • 1. Environmental Management System and Its Impact on Manufacturing Companies: A Conceptual Study MS. SHIKHA GUPTA* MR. PRAVEEN KUMAR** *ASSISTANT PROFESSOR PDM UNIVERSITY, BAHADURGARH, HARYANA, INDIA **STUDENT MBA, PDM UNIVERSITY, BAHADURGARH, HARYANA, INDIA
  • 2. INTRODUCTION  A set of policies, procedures and overall management structure that organizations can use to address immediate and long-term impact of products, services and activities on the environment and which provides a systematic and structured approach to managing environmental affairs.  A systematic approach that can be used by any organization to identify and manage its impacts on the environment.  An EMS is a management tool that helps to achieve continuous improvement through a “plan, do, check, act” cycle that can include best management practices and codes of practice 2
  • 3. OBJECTIVES OF THE STUDY  To study the drivers, barriers, and benefits of environment management system in Indian manufacturing companies.  To study the difference between environment management system certified and non-certified companies.  To study whether the adoption of environment management system (EMS) would improve organization performance in manufacturing companies. 3
  • 4. DRIVERS TO ENVIRONMENTAL MANAGEMENT SYSTEM  The drivers can either be specific circumstances such as accident in the premises due to certain consequences or due to approval of international agreements such as Kyoto protocol or stakeholders. Generally, two groups of stakeholder’s influence organizations internal and external stakeholders.  Internal stakeholders include shareholders, management and non-management employees.  External stakeholder pressures originate from regulators, government, communities, suppliers, customers and environmental interest groups 4
  • 5. BARRIERS TO ENVIRONMENTAL MANAGEMENT SYSTEM  Lack of recognition of the need for an environmental management system.  High Implementation cost of an environmental management system.  Lack of commitment of top management.  Complexity  Establishing environmental responsibility  Excessive implementation time 5
  • 6. BENEFITS OF ENVIRONMENTAL MANAGEMENT SYSTEM  Cost savings and improvement in productivity  Increased operational efficiency  Improvement in product/ service quality  Improved public image  Improvement in competitive position  Access to sources of finance  Compliance with regulations, reduction in fines and sanctions 6
  • 7. EMS CERTIFIED COMPANIES  A certified environmental management system helps you to improve your processes and practices:  for example, to comply with legislation, to recognize risks and environmental effects as well as to set environmental goals and objectives from a long-term perspective.  ISO 14001 certificate is also useful in terms of brand building and in facilitating permits and government cooperation. 7
  • 8. EMS NON-CERTIFIED COMPANIES EMS non-certified companies indicate that the company has adopted an EMS that may or may not include all the components of a comprehensive EMS as suggested by ISO. Most companies that adopt an EMS but do not go for ISO 14001 certification implement only portions of EMS 8
  • 9. ADOPTION OF EMS  Improve efficiencies in the use of energy and new materials  Reduce waste and costs  Mitigate environmental risks  Increase the ability to comply with environmental regulations  Develop integrated environmental health and safety initiatives  Lead the sustainability efforts 9
  • 10. ISO 14001 ELEMENTS 10 Checking/ Corrective Actions • Measurement and Monitoring • EMS Nonconformance and Corrective Actions • Records • EMS Audits Continuous Improvement Implementation • Roles and Responsibilities • Training and Communication • EMS Document Control • Emergency Preparedness and Response Planning • Environmental Aspects • Compliance • Objectives and Targets • Environmental Mgmt. Programs Environmental Policy Management Review
  • 11. CONCLUSION  An EMS is the combination of people, policies, procedures, review, and plans to help address environmental issues.  Important EMS elements include continual improvement, management commitment, formalization, and awareness of system approach.  It is mostly seen by the certified Environmental Management system better than the non-certified Environmental Management system. 11
  • 12. 12 This Photo by Unknown Author is licensed under CC BY-SA-NC

Editor's Notes

  1. Added “appropriate” facilities. Not all facilities have to have them.
  2. It has been my experience that the Environmental Manager is too overworked to have time to be the lead in developing an EMS. The whole point of an EMS is to
  3. I modified the third bullet, because an EMS does address emergency planning and training.