Terms in this set (31)
- standards allowable levels of various pollutants are established by legislation or regulatory action applied by administrative agencies and courts.
enforceable in the courts, compliance mandatory.
Disadvantages: across the board, standards not equally relevant to all businesses.
Requires large regulatory apparatus.
Older, less efficient plants may be forced to close.
FInes may be cheaper then compliance
Can retard innovation
Does not improve compliance once compliance is achieved
Command and Control Regulation
government directly commands business firms to comply with cerain standards and often directly controls their choice of technology.
Market Based Mechanisms
Market is better control then standards that specify what they should do.
Cap and Trade
allow businesses to buy and sell the right to pollute.
Advantages:Gives businesses more flexibility
Achieves goals at lower overall costs
Saves jobs by alowing some less efficient plants to stay open
Permits the goverment and private organizations to buy allowances to take them off the market.
Encourages continued improvement.
Disadvantages: Gives businesses license to pollute
Permit levels are hard to set
May cause regional imbalances in pollution levels
Enforcement is difficult
Emissions Fees and Taxes
each business is charged for the undesirable waste that it emits with the fee varying according to the amount of waste released. The more you pollute, the more you pay.
Advantage: taxes bad behavior rather then good behavior
Disadvantages: Fees are hard to setC
Taxes maybe to slow to curb pollution
Regulation by public embarassement.
Advantages: Government spends little on enforcement
Companies able to reduce pollution in the most cost effective way.
Disadvantages: Does not motivate all companies
Criminal and Civil Enforcement
Companies that violate environmental laws are subject to stiff civil penalties and fines, and their managers can be placed in jail if they knowingly or negligently endager people or the environment.
Advantage: may deter wrongdoing by firms and individuals.
Disadvantage: may not deter wrongdoing if penalties and enforcement efforts are perceived as weak.
Cost and Benefit of Environmental Regulation
stimulated the environmental services and products industry and can compel businesses to become more efficient by conserving energy and less money is spent on treating health problem caused by pollution
Costs: job loss in some particularly polluting industries. Competitiveness of some capital intensive, "dirty" industries impaired.
Benefits: Emissions of nearly all pollutants have dropped since 1970. Air and water quality improved, some toxic waste sites cleaned; improved health; natural beauty preserved or enhanced. Growth of other industries such as environmental products and services, tourism, and fishing.
could create job loss especially if we lose consumption
you don't have your own way of producing.
process of moving toward more proactive environmental management
managers focus on minimizing or eliminating waste
Managers focus on environmental impacts associated with the full life cycle of the product from design to disposal
businesses develop innovative new technologies that support sustainability
Ecologically Sustainable Organization
**concept is what social scientiest call and ideal or absolute standard against which real organizations can be measured. business that operates in a way that is consistent with the principle of sustainable development. an ESO could continue is work indefinitely without altering the carrying capacity of earth's ecosystem.
-business would not use up natural resources any faster then they could be replenished or subtitutes found. make and transport products with minimal use of energy, make recyclable products,.
Top Management Commitment
sets the tone at the top for the environmental excellence (Kimpton Hotels)
**CEOs and other top leaders with a strong espoused commitment to sustainability
direct reporting relationship with the CEO. Often supervise executive staffs of specialists and coordinate the work of managers in many areas, including research and development, marketing and operations, whose work is related to a firm;s sustainable vision
Line manager Involvement
environmental experts specialized departments are most effective when they work closely with the people who carry out the company's daily operations . Green companies involve line managers and workers directly in the process of change.
Codes of Environmental Conduct
environmentally proactive companies put their commitment in writing, often in the form of a code of conduct or charter that spells out the firm's environmental goals. employees are more likely to come up with creative proposals for helping the environment.
Cross Functional Teams
use of ad hoc cross functional teams to solve environmental problems, including individuals from different departments. pull together key players with skills and resources to get the job done, wherever they wherever they're located in the corporate structure.
Rewards and Incentives
Businesspeople are more likely to consider the environmental impacts of their actions when their organizations acknowledge and reward this behavior
audit of sustainability. firms have moved to integrate their social and environmental reporting into a single sustainability report. reported to stakeholders. the report holds social, environmental and financial audits
**companies look @ social and environmental outcomes
Companies that reduce pollution and hazardous waste reuse or recycle materials and operate with greater energy effiency
Companies that develop a reputation for environmental excellence and that produce and deliver products and services with concern for their sustainability can attract environmentally aware consumers.
Creating green products and services and pitching them to environmentally aware customers
mislead consumers regarding the environmental benefits of a product or service
Green companies that have assets that can be shared.
Produce innovations that can win new customers, penetrate new markets, r even be marketed to other firms as new regulations
Companies that cultivate a vision of sustainability must adopt sophisticated strategic planning techniques to all their top managers to assess the full range of the firm's effects on the environment. Wide angle planning helps these companies foresee new markets, materials, technologies and products. environment in firm planing is built into strategic planning.
the effort to prevent inequitable (unfair) exposure to risk such as from hazardous waste.
Reduce pollution at its source.
CERLA Comprehensive Environmental Response , Compensation and Liability Act
to clean up hazardous waste sites. Tax on chemical companies to remove sites and clean them up. Law established a fund, supported by tax on petroleumm and chemical companies that made the waste.