Environmental Management Systems Primary Activities:
Midterm Reviewer 1. Inbound logistics - It involves raw
04 ASPECTS AND IMPACTS
Aspect or Cause
- Element of the organization’s activities,
products, or services that can interact with
the environment.
Impact or Effect
- Any change to the environment, whether
adverse or beneficial, wholly or partially
resulting from an organization's
activities, products, or services.
IDENTIFYING ASPECTS AND IMPACTS
- First step in conducting an environmental
review.
a. Data - Gather the relevant information
about the organization.
b. Processes - Understand the activities
of the organization.
c. Evaluation - Identify significant impacts
of the firm’s activities on the
environment.
Organizational Analysis
- Assessing the value-chain of a firm and
identifying which activity contributes to
the environmental impacts.
Value-chain
- the internal activities of a firm when
transforming inputs into outputs.
Value-Chain Analysis (VCA)
- a process that involves identifying the
primary and support activities of a
particular organization or industry.
materials handling and warehousing.
2. Operations - It involves machining,
assembling, and testing.
3. Outbound logistics - It involves
warehousing and distribution of finished
products.
4. Marketing and sales - It involves
advertising, promotion, and pricing
channel relations.
5. Service - It involves installation, repair,
and parts.
Secondary Activities:
1. Firm infrastructure - It involves general
management, accounting, finance, and
strategic planning.
2. Human resource management - It
involves recruiting, training, and
development.
3. Technology development - It involves
research and development and product or
process improvement.
4. Procurement - It involves purchasing raw
materials, machines, and supplies.
Life Cycle Assessment (LCA)
- details the milestone of a particular
product/service from when it is launched to
its ultimate downfall or termination.
a. Introduction - launch of a new product
or service.
b. Growth - strong growth in sales and
profits.
c. Maturity - This is the most challenging
stage for businesses since they have to
maintain their business position in
order to remain relevant in the market.
d. Decline - This stage involves the
downfall of the product or service.
Assessing Environmental Impacts
Environmental Issues
- can be both internal and external to the
organization.
- Some issues are under the direct control of
a company.
- some are beyond its control and influence
 1. Assessment of the Potential Environmental
Impacts
a. Problem Size - the intensity of damage
an impact can cause to the environment.
b. Likelihood - the probability of a problem
occurring.
c. Hazard - the potential risks arising from
an environmental impact.
2. Detailed Evaluation
a. Environmental factors –the actual or
potential effects of an ‘environmental
impact’ on the ecosystem and the society.
b. Internal Business Concerns - the firm’s
compliance to regulatory requirements,
health and safety protocols, etc.
c. External Business Concerns - the
perspectives of external stakeholders in
relation to the environmental impact/s of
the business.
05 LEGISLATIVE & REGULATORY ISSUES
Development of a Formal Environmental
Management System (EMS)
- often the result of repetitive problems
related to compliance with the law.
STEPS in observing company compliance to
environmental legislation:
1. Document - creating a detailed list of
activities, processes, substances, products,
and services that either have a significant
environmental aspect.
2. Identify - determining which legislation
applies to the company’s activities,
products, and/or services.
3. Characterize - matching the
organization’s business processes to the
regulatory requirements.
4. Update - understanding that the law is not
a one-off process
BASIC CONSIDERATIONS in identifying relevant
environmental legislation/regulation:
1. Planning and land issues - ensure that the
site boundaries stated on the EMS are the
same as the physical location of the
plant/factory.
2. Hazardous substances - Firms must
identify unsafe or potentially harmful
elements on site.
3. Air - Any processes, operations, or
substances that give rise to emissions to
air.
4. Water - Any processes, operations, or
substances that give rise to discharges to
water.
5. Noise - Any processes, operations, or
substances that give rise to sound and/or
vibration.
6. Waste - identify different waste types
associated with processes, operations, or
substances on site.
STEPS to monitor legal compliance of a firm:
1. Set Goals - assigning realistic targets
derived from the result of aspects and
impacts assessment.
2. Evaluate compliance - gathering data
and keeping a record of performance
against the established targets.
3. Create changes - making deviations to
organizational processes and activities in
cases where targets are not met.
4. Communicate compliance - involves
creating a plan to inform and involve
everyone in a firm, from the board down to
the frontline workers.
CERTIFICATIONS for monitoring EMS
ISO 14001
- The equivalent standard for verifying
environmental management performance of
a firm.
- derived from the ISO 14000 family of
standards
- created by the International Organization
for Standardization (ISO).
- Companies that hold certification in ISO
14000 are far less likely to be shut down for
excessive pollution.
 - Certification in ISO 14001 can also provide
several other compelling benefits, such as
reduction in production waste and operating
costs, higher conformance to regulatory
requirements.
- A factory/site audit is the best way to
determine if a firm meets the requirements
of ISO 14001.
Eco-Management and Audit Scheme (EMAS)
- developed by the European Commission.
- goes above and beyond ISO 14000
- truly attempts to help improve a business’s
interactions with the environment as
opposed to just meeting a standard.
- covers continuous performance
improvement, employee involvement, and
legal compliance, among other aspects.
BASIC ELEMENTS of EMS:
a. Policy issues
 (ISO 14001 Clause 4.2 /EMAS I-A.2)
 The EMS standards include the
identification of relevant
legislation as a key part of the
system.
 monitor the relevant legal
developments will ensure that the
activities, products, and services of a
firm are managed to fulfill the
policy commitment to abide by
the law.
b. Legal and other requirements
 (ISO 14001 Clause 4.3.2 /EMAS I-
A.3.2, Article 6[4])
 The information/procedure
contained in the firm’s EMS must
be effective.
 failure at this level may ultimately
lead to a failure to comply with the
law, but procedural failure does not
automatically imply legal
disobedience.
c. Objectives, targets, and program/s
 (ISO 14001 Clause 4.3.3 /EMAS I-
A.3.3, II [2], I-A.3.4).
 Objectives and targets of the EMS
should reflect the organization’s
policy.
 set within legal parameters.
d. Competence, training, and awareness
 (ISO 14001 Clause 4.4.2 /EMAS I-
A.4.2).
 The relevant personnel of the
organization must know and
adhere to the law covering
environmental aspects of their work.
e. Operational control
 (ISO 14001 Clause 4.4.6 /EMAS I-
A.4.6).
 The legal requirements should be
incorporated into the design of the
organization’s EMS and its
procedures; unless, a breach of the
regulations will occur.
f. Evaluation of compliance
 (ISO 14001 Clause 4.5.2 /EMAS I-
A.5.2).
 With or without an EMS,
companies must comply with
legislation.
 complying with the law is not a one-
off exercise but a continuous
process.
 periodic evaluation of the level of
organizational compliance is a key
factor in installing and maintaining
an effective EMS.
g. Non-conformity, corrective action, and
preventive action
 (ISO 14001 Clause 4.5.3 /EMAS I-
A.5.2).
 The law has the effect of magnifying
the seriousness of any non-
conformity to the standard.
h. Control of Records
 (ISO 14001 Clause 4.5.4 /EMAS I-
A.5.3).
 Many regulations and legislation in
the environmental area require that
specific records be created and
maintained.
06 POLICY DEVELOPMENT
Environmental Policy
- more than a written statement of intent that
sets out the organization’s position on the
environment.
3 KEY FUNCTIONS of an environmental policy:
a. It identifies the main issues for the business;
b. Establish the courses of action needed to
manage environmental issues; and
c. Details efforts to monitor and improve an
organization’s environmental position.
PESTEL Analysis
- A business planning tool used to identify
the external forces that may affect an
organization positively and negatively.
1. Political - the impact of government
and government policy.
o track political changes considering
trade, fiscal, and taxation policies.
2. Economic - impact of the economy
and its performance on an
organization and its profitability.
o interest rates, employment or
unemployment rates, raw material
costs, and foreign exchange rates.
3. Social - Impact of the social
environment and emerging trends.
o cultural trends, attitude changes,
and changes in lifestyles.
4. Technological - Impact of
technological innovation and
development on a particular market or
industry.
o changes in digital or mobile
technology, research and
development (R&D), and
automation
5. Environmental - Influence of the
surrounding environment and the impact
of ecological aspects.
o Climate, recycling procedures,
carbon footprint, waste disposal,
and sustainability.
6. Legal - importance of understanding
legal laws and procedures in a given
territory where a business operates.
o employment legislation, consumer
law, health and safety, and
international trade regulation and
restrictions.
5 KEY AREAS companies must address when
designing an environmental policy: FIVE As
1. Attitude
- all members of an organization must
possess a positive environmental
outlook.
- involve relevant staff in drafting the policy
and ensure that they understand why the
policy is being crafted.
2. Accuracy
- set out goals in an open, accurate, and
realistic way.
3. Adequately resourced
- Resources will be required to move the
policy from paper intent to active
performance.
- Resources will include both staff time and
money.
4. Awareness
- Properly communicated and cascaded
to all members of an organization.
5. Action
- a journey and not a destination;
 - the policy should reflect this by indicating
how an organization will monitor progress,
audit the EMS, and act proactively.

COMPONENTS in an Environmental policy:

a. Overview - summary of what an
organization does in terms of its activities,
products, and services.
b. Statement of intent - outlines the role of
a business and how it proposes to
maximize the opportunities presented.
c. Statements on specific issues - include
declarations that address particular
circumstances.
d. External parties - customers, suppliers,
vendors, contractors, and other outside
stakeholders of an organization.
e. Continual improvement - commitment to
implement, review, and update the EMS to
achieve improvements in overall
environmental performance.
Policy –
Objectives –

STEPS detail the courses of actions that firms must

take after developing the environmental policy:

1. Communicate - send a copy of the policy

to all employees
2. Publish - attach copies of the policy to
workplace notice boards and in staff
handbooks.
3. Establish - ensure staff awareness of the
policy by including it in all relevant
training activities.
4. Measure - assess the impact of the policy
in the workplace.
5. Update - continual improvement by
setting a review of the policy at determined
intervals.
6. Address - let the staff know how the
company is performing against the
established policy objectives.