Case study: Sonoco's materials reclamation improves environmental performance through quality-based management

Multinational corporations are facing increasing pressures and finding stronger incentives to integrate environmental management into their overall business strategies. National and local environmental regulations are becoming more stringent in Europe, Japan, East and Southeast Asia, Latin America, and many developing countries, and international voluntary standards of environmental management are being endorsed by a growing number of governments. Multinational firms are embracing these standards not only to assure the public of their concern for environmental protection, but also to enhance their competitiveness in international markets. The British Standard 7750, the European Eco-Management and Audit Scheme (EMAS), and the ISO 14000 series are setting new guidelines for effective corporate environmental management. Beyond complying with local and national laws, corporations now have wider latitude in how they adapt their business practices to these emerging environmental management standards. In order to capitalize on that creative latitude, companies must have corporate cultures and internal management systems that allow them to respond quickly and effectively to changing environmental requirements. Exemplary corporate environmental performance is usually related to strong and progressive leadership, a culture that recognizes the importance of environmental protection, and the willingness to operate by quality-based management principles. This article describes how one international corporation, Sonoco, in responding successfully to changing environmental pressures to reclaim and recycle its products in the wake of the solid waste crisis in the United States and more stringent environmental regulations in Europe, used its management competencies and corporate culture to turn what could have been serious barriers to expansion of its core businesses into new opportunities. By adopting a bold materials reclamation program, Sonoco was able to overcome potential limitations on its operations in the United States and abroad and to develop new business segments that benefited the company and the environment.     

Environmental performance indicators: an empirical study of Canadian manufacturing firms

The aim of this exploratory study is to examine the importance of measurement and use of environmental performance indicators (EPIs) within manufacturing firms. Two research questions are investigated: (i) To what extent are firm characteristics associated with the importance of measurement of various categories of EPIs? (ii) To what extent are firm characteristics associated with global and specific uses of EPIs? More specifically, this paper examines four uses of EPIs (i.e. to monitor compliance, to motivate continuous improvement, to support decision making, and to provide data for external reporting) as well as four characteristics of firms, namely environmental strategy, International Organization for Standardization (ISO) 14001 compliance, size, and ownership. This study contributes to the environmental management accounting literature by collecting and analyzing empirical evidence that provides a better understanding of the associations among firm characteristics and EPIs.     

From Iran: Does Improvement in Corporate Environmental Performance Affect Corporate Risk Taking?

Superior corporate environmental performance (CEP) has become essential to the competitive advantage and financial success of businesses. However, the main reasons managers pay attention to environmental performance are improved reputation in the capital market and profitability, as well as reductions in operating costs and risks. This article describes the findings of a study that examines the relationship between CEP, using a reduction of carbon dioxide (CO₂) emissions as a measure, and corporate risk taking. In addition to indicating a significant negative relationship between CEP and firm risk, the study results also show that a 1% improvement of CEP decreases corporate risk by 3%.     

Freebies,freedom and fundamental change: resistance to neoliberal environmentalism in large “green” corporations

Despite the professed concern of many governments, businesses and individuals – and the recent publication of another alarming report from the IPCC – inaction on climate change remains a significant concern. For many, the problem is rooted in a neoliberal account of social change. Neoliberal environmentalism is the dominant approach to environmental issues but it is often blamed for the continuing failure of climate change policy in general and behaviour change initiatives in particular. This paper explores the dynamics of this dominant discourse through an examination of environmentalism in the large “green” corporation. Specifically, it uses discourse analysis to investigate so-called “climate champion” schemes and considers examples of resistance to the dominant neoliberal discourse. The paper finds that many of the champions did resist the basic components of neoliberal environmentalism. They challenged the principles of self-interest, self-rule and incremental change, and they talked about the possibility of enforced action. However, this resistance was limited in a number of different ways. The paper suggests that the workplace does play a role in restricting resistance but that there are more fundamental issues that need to be addressed if we hope to pursue an alternative approach to environmental problems such as climate change.     

Customer-driven environmental information management systems

The most successful corporate environmental programs regard environmental compliance as an opportunity to improve productivity and profits and seek to integrate environmental information management systems (EIMS) into line information functions. Integrated EIMS should provide timely, accurate data to support all three types of environmental management responsibilities: results and comparison reports for source management; material and waste transaction and emission reports for materials management; and compliance, summary, exception, and trend data for risk managers at every level.     

Pragmatic ethics and the new consultant

Ethical, social, and environmental concerns are beginning to take hold in many businesses, often as an extension of total quality management. Many professional firms have eluded the global trend, but social and ecological realities are catching up. What will the new professional firm look like? This article looks at how firms are finding competitive advantage in old-fashioned integrity, combined with management techniques and a new scientific understanding of what it takes to successfully adapt in a world of limited resources. “Ethics is awareness of interdependence…” Aldo Leopold.     

The rise and fall of new knowledge interests in the Dutch environmental movement

Summary Since the late 1960s concern about the pollution of our physical environment has grown into a social and political issue. In this process of increasing awareness, environmental activists have played a catalysing role in most Western countries. Moreover the environmentalists formulated an alternative set of ideas and strategies concerning the production and use of knowledge. These new knowledge interests were organised around three dimensions: cosmology, technology, and the organisation of knowledge production. On the basis of a case-study of Dutch environmentalism this paper tries to demonstrate how the articulation of these new knowledge interests of international scope actually occurred in the particular Dutch national setting. The analysis shows that many of the ideas brought forward in the course of time by Dutch environmentalists have been imported from abroad, especially from the United States, Great Britain and West Germany. However, the specific ways in which Dutch environmentalists have defined the content of their own knowledge interests have depended very much on the particularities of the political culture and socio-economic climate of the Netherlands, as well as the internal dynamics within the various environmental groups themselves.Dr Jacqueline Cramer was until very recently a member of staff in the Department of Science Dynamics at the University of Amsterdam. She has now moved to the TNO Centre for Technology and Policy Studies, P.O. Box 541, 7300 AM, Apeldoorn, The Netherlands. This paper forms part of a comparative study of the development of environmentalism in Sweden, Denmark and the Netherlands carried out in association with Ron Eyerman and Andrew Jamison of the University of Lund, Sweden.)     

The culture of environmental decision-making

Summary This paper describes the rising tide of environmentalism in contemporary culture. It is accepted that this represents a fragile advance in our sensibilities about nature and one another. It has impacted the embodied practices of everyday affairs in decision-making. The sense of environmental risk factors may have contributed to this evolving sensibility towards nature. The rising environmental concern converges with the practices of democracy in the development and expansion of right-to-know laws, both locally and globally. In concert with the right-to-know laws are concepts and practices of sustainable development and the merging of social and environmental justice.Dr Jay Schulkin is a Research Associate at the Wharton Risk Management and Decision Process Center, University of Pennsylvania, and Director of Research at the American College of Obstetricians and Gynecologists in Washington DC. David Sarokin is Director of the Special Projects Office at the US Environmental Protection Agency, 401 M Street SW, Washington DC 20460, USA. The views in this paper are those of the authors, and not the institutions with which they are affiliated.     

Sustainable Development and Corporate Environmental Responsibility: Evidence from Chinese Corporations

China is currently experiencing rapid economic growth. The price of this, however, is environment pollution. Many Chinese corporations are lacking in corporate environmental responsibility (CER). Therefore, this study employs data from Chinese and multinational corporations to identify why Chinese corporations seldom engage in CER by investigating their motivations and stakeholders. The results show that the most important reason why Chinese corporations do not engage in CER is the fact that their competitive strategy of cost cutting makes them limited in resources, such as money, employees, information, or added value. Further study implies that Chinese corporations face more survival pressure, though they are willing to take environmental responsibilities as multinational corporations do. The results also imply that government and social surroundings can play an important role to arouse CER consciousness of Chinese corporations in all stakeholders. Consequently, Chinese government has a heavy duty to promote corporations to respond to their CER in the long run.     

Making pollution prevention part of the coors culture

This article is about Total Quality Management and its relationship to corporate environmental affairs. As the TQM movement expands, the commitment to continuous quality improvement, customer satisfaction, and collaborative, team-oriented workplaces is finding new applications. Just as the success of Federal Express, AT&T, and other winners of the Malcolm Baldrige National Quality Award shows that Total Quality Management can transform a business, we also are learning of successes companies are having applying TQM principles to environmental management. Our experience with TQM and environmental management at Coors Brewing Company is in the area of pollution prevention. In addition to our brewing operations, we also operate the country's largest aluminum can manufacturing plant, where we produce 4 billion cans a year, a separate facility that makes the can tops, a glass bottle manufacturing plant, and various support facilities. In all, we have some 7,000 employees, and building a commitment to pollution prevention in an operation of that size requires much more than just adopting quality principles. In this article we show how it also means understanding how those principles will mesh with the corporate culture. What we found is that before TQM can begin its magic, a company must review its own culture to see how problems have traditionally been solved and how challenges have been met.     

The Role of Civic Environmentalism in the Pursuit of Sustainable Communities

This paper addresses public participation in sustainability initiatives and in the development of sustainable communities. In particular, it examines two models of public participation in environmental policy, referred to as 'information deficit models', and 'deliberative and inclusionary processes and procedures' (DIPS). The difference between the two models will be examined through the framework of the US discourse of 'civic environmentalism'. Using both examples and an analysis of recent literature, a distinction between 'narrow focus' and 'broad focus' civic environmentalism will be presented. It is argued that 'information deficit models' of public participation usually associated with 'narrow focus' civic environmentalism can successfully contribute to the 'environmental' aspects of sustainable communities. The paper concludes that DIPS and the greater sharing of control by citizens, non-governmental organizations and local governments offered by 'broad focus' civic environmentalism, are far more likely to result in a greater social capital, and a holistic appreciation of the inextricable links between environmental, social and economic characteristics of sustainable communities.     

Radical Hope for Living Well in a Warmer World

Environmental changes can bear upon the environmental virtues, having effects not only on the conditions of their application but also altering the concepts themselves. I argue that impending radical changes in global climate will likely precipitate significant changes in the dominate world culture of consumerism and then consider how these changes could alter the moral landscape, particularly culturally thick conceptions of the environmental virtues. According to Jonathan Lear, as the last principal chief of the Crow Nation, Plenty Coups exhibited the virtue of “radical hope,” a novel form of courage appropriate to a culture in crisis. I explore what radical hope may look like today, arguing how it should broadly affect our environmental character and that a framework for future environmental virtues will involve a diminished place for valuing naturalness as autonomy from human interference.     

Do environmental management programs improve environmental performance trends? a study of standard & poors 500 companies

In this article, environmental management programs of Standard & Poors (S&P) 500 companies were evaluated using a series of industry and size-adjusted environmental trend indicators. The statistical analysis shows that a handful of corporate policy, governance, human resources, auditing, and financial parameters are highly relevant to improving corporate environmental performance. The results have implications for corporate environmental efforts as well as future government policies to foster environmental improvement.     

Systems vs. metasystems: EMIS at the crossroads

As environmental management responsibilities expand beyond regulations to address business issues such as design for the environment, total cost accounting, and strategic planning, it is tempting to plan for expanded information systems (EMIS) to handle new responsibilities. The author argues that we should pursue exactly the opposite course: shrink the EMIS to the minimum size possible. It would be impossible to feed the self-standing EMIS with all the data it needs—replicas of almost any data tracked by the organization. The EMS and EMIS should be “meta-systems” that store the organization's knowledge about how EH&S relates to various business processes, and what should be measured and reported to assure that EH&S objectives are met. The author provides examples of how companies are creating these EMS “metasystems” by leveraging enterprise systems implemented for accounting, business planning, groupware, maintenance, and process control.     

Shareholder activism on environmental issues: A study of proposals at large US corporations (2000–2003)

Socially Responsible Investing (SRI) has carved out a niche in the financial world, and each year a large number of shareholder proposals are filed at public companies in the US related to issues of corporate social responsibility (CSR). While the primary interests of CSR activists remain distinct from those of traditional corporate governance (CG) activists, the two groups do share an interest in minimizing the risk of negative environmental or social impacts from the operations of the corporation. They also share the objective of achieving transparency and accountability in corporate decision‐making. In relation to this latter objective, they both face similar challenges concerning conflicts of interest among key institutional shareholders. This article examines the record of shareholder proposal filing and voting from 2000–2003 for 81 large US public corporations to determine the relative prominence of CSR shareholder activism and the prospects for effective CSR shareholder activism on key environmental issues. The analysis of these data finds that nearly half (45%) of all shareholder resolutions are related to CSR, and that those resolutions which combine issues of CSR with traditional CG activism appeal to slightly more shareholders than issues of CSR alone. The article also examines shareholder activism at the micro level with a case study of the voting record at ExxonMobil. The article finds that CSR‐related shareholder activism represents the majority of shareholder activism within that firm and that resolutions targeted at climate change are particularly well supported. These resolutions draw a connection between environmental risk and risk to shareholder value. While numerous challenges remain for both CG and CSR activists, the article concludes that reforms that strengthen shareholder rights and corporate governance more generally will also benefit CSR activists and the environmental policies they promote in particular. The article ends with some proposed solutions for addressing the perceived conflicts of interest in corporate governance and the shareholder voting process.     

Friends of the land and the rise of environmentalism, 1940–1954

The rise of the postwar environmental movement is rooted in the development of ecological consciousness within intellectual circles as well as the general public. Though many commentators cite the 1960s as the focal point of the new environmentalism, the ecological ethic had actually evolved by the 1930s in the writings and speeches of both scientists and public commentators. Agricultural conservationists led the way in broadcasting the message of ecology. Friends of the Land, an agriculturally-oriented conservation organization formed in 1940 and active through the 1950s, is an interesting example of how the agricultural community was an integral component in the rise of environmentalism. While Friends of the Land flourished only for a brief period, its goals and the ideas that the group represented illustrate how the ecological ethic was burgeoning by the early-1950s. Furthermore, the history of Friends of the Land is an important chapter in the ongoing quest for ecological agriculture and societal permanence.     

Beyond pollution prevention: A vision for an integrated environmental business management strategy

In this article the authors assert that successful long-term pollution prevention will require changes in the culture and business practices of an organization such that the term “pollution prevention” eventually becomes obsolete. They envision firms evolving to a point where actions that today are referred to as pollution prevention will simply be part of standard business practices and thoroughly embedded in the firms' culture. Although pollution prevention projects and programs need to be highly visible at the outset to communicate throughout the organization and to demonstrate the benefits that can be gained, companies should adopt a long-term strategy aimed at making fundamental changes in the way they do business, rather than relying solely on piecemeal projects and special plans or programs. Such evolution of the firm will maximize the chances of meeting the dual challenges of business competitiveness and environmental stewardship. This article presents a vision for integrating environmental performance with business objectives and suggests practical steps to begin moving toward that vision.     

Investor attitudes toward the value of corporate environmentalism: New survey findings

During the past several years, an increasing body of evidence and opinion has formed concerning the relationships between advancements in environmental, health, and safety (EH&S) management and the financial performance of the organization. In recent work,¹ we have described a new theoretical model linking improvements in environmental management systems and environmental performance to corporate risk, stock volatility, and market value, as well as an empirical evaluation that validated our model. A number of other studies² have documented changes in the market value of corporate equity as a function of environmental accidents, incidents, and (conversely) accomplishments. These are in addition to the numerous examples presented in the literature and at EH&S conferences and symposia that suggest that concerted efforts to reduce the organization's environmental “footprint” can yield cost savings, increased market share, reduced time to market, and perhaps other financial benefits. Some have gone so far as to proclaim that a new era has begun, in which environment-friendly corporations will increasingly be recognized and rewarded by financial market participants, and organizations that lag behind will be severely penalized.³ This article documents a new survey undertaken to identify important environmental factors, if any, investors employ in evaluating the quality and worth of equity and debt financing instruments.     

Culture and the environment in France

Although the French concern for environmental protection dates back several centuries, a committed movement toward environmental protection did not begin until the second half of the 19th century. The Romantic influence of Rousseau and others led to the formation of various societies aimed at protecting the French landscape.Until the most recent environmental crusades of the 1960s and 1970s, the cause of protecting the natural environment seemed to fall largely on the shoulders of scientists and anglers, who voiced their concern over increasing environmental degradation in pamphlets and recreational journals. Their pressure aided in the passage of legislation on water quality.During the 1960s, environmental organizations proliferated and, in league with student activists, played an important role in raising the environmental consciousness of the French. During the 1970s, these activists began to turn to traditional political mobilization as a way of drawing attention to their platform. Environmental activism reached its peak with the antinuclear rallies of the late 1970s. By the end of the 1970s, many environmental associations had grown up in the French culture, but the future of environmentalism remains questionable owing to a number of economic realities, including the oil crisis, which made nuclear power much more acceptable to the public.     

Barriers to the enterprise culture: new firm formation in the merchant city area of glasgow

The paper reports the study of a group of twenty‐two new firm founders in the retail sector, in the Merchant City, an historic part of inner Glasgow that has recently undergone a miraculous revitalisation in a vein similar to that of the Docklands areas of London and Liverpool. The principal aim is to indicate how far the long term unemployed will be involved in this particular part of the enterprise culture, whether directly, or indirectly as a result of expanded employment opportunities. The results provide an upper limit of what we could expect this type of economic development to achieve in less attractive areas. The study provides a useful comparison to previous work concentrated on the manufacturing sector and suggests that the results from such work apply across sectors.