Environmental Management Accounting (EMA)

ABSTRACT:This study is to investigate how corporate environmental performance is affected by the
combination of environmental uncertainty, and environmental management strategy, with an emphasis on the
function of environmental management accounting (EMA). We gather sample data from 100 replies
respondents. These environmental management strategy and environmental uncertainty have a favorable and
significant impact on environmental performance and results show that EMA is a valuable and significant
informational tool for helping Indonesian businesses achieve better corporate environmental performance. The
findings of this research also explain that EMA can be useful in identifying, classifying, allocating and
measuring the impact of a company's products which is very useful in more structured and precise
measurements.
KEYWORDS -Environmental Management Accounting, Environmental Strategy, Environmental Uncertainty,
Sustainability, Path Analysis

Sustainability is an important non-financial report on environmental accounting practices in Japan as guided by the Ministry of Environment. Automotive and electronics manufacturers are significant industries on the issue of sustainability because of the carbon emission in the production and ultimate use of the products. For over a decade now, Japanese companies publish costs of environmental innovations in products and process improvements alongside with its perceived economic benefits. However, the impact on financial performance over a comparable period for the two manufacturing industries has to be established empirically to support the resource-based view that sustainability innovation translate to measurable benefits of competitiveness. The general findings of this study point to positive impact on sales, income and assets of Japanese automotive and electronics companies. However, the impact on profitability of electronics companies could not be established in the regression models in this study.

Pada dekade belakangan ini, perusahaan dituntut untuk ikut andil dalam  perlindungan lingkungan dan bertanggung jawab terhadap kondisi sosial masyarakat di sekitar perusahaan. Dampak dari aktivitas produksi atau jasa suatu perusahaan dapat menimbulkan berbagai masalah lingkungan yang merugikan berbagai pihak. Hal ini merupakan suatu beban sosial, yang harus diatasi bersama secara serius. Tanggung jawab perlindungan lingkungan oleh perusahaan otomatis akan berdampak pada kinerja keuangan perusahaan akibat dengan bertambahnya biaya operasional. Pencatatan dan perhitungan biaya akibat pengelolaan lingkungan merupakan sebuah konsep yang membantu perusahaan dalam mengatur dan memperkirakan dampak-dampak bisnis dalam bentuk penyederhanaan unit moneter. Konsep ini dikenal dengan Akuntansi Manajemen Lingkungan yang memfokuskan pada bantuan perusahaan dalam permasalahan lingkungan dengan mencatat seluruh aktivitas produksinya untuk dilaporkan dalam laporan biaya lingkungan perusahaan. Makala...

The need for Environmental Management Accounting (EMA) can be associated with the major problems of environmental degradation that lead to other concerns, such as legitimacy and competitive issues. EMA is seen as a management accounting innovation whose consequence is a boost to corporate performance. EMA can benefit the competitive position of a firm by directing the attention of its managers towards potential cost reduction or potential areas for differentiation. EMA can also help firms gain resource productivity and process efficiency, which will result in the reduction of waste and improved the financial profitability of the firm. In other words, EMA practically improves both the environmental and economic performance of a firm. However, despite all these success stories, many firms are still reluctant to take a more proactive approach to EMA, perhaps due to a perceived lack of evidence that the benefits exceed the costs of pursuing these initiatives. The findings so far may als...

This study investigates the primary role of institutional pressure specifically (coercive, mimetic, and normative pressures) to implement environmental management accounting (EMA) among SMEs in Kenya, and how such influences are affected by organisational resources and capabilities, with a focus on the function of EMA, on sustainable competitive advantage (SCA). Using an online survey, random samples of 1,162 Kenyan manufacturing SMEs provided the data. The empirical findings indicate that normative and coercive forces have a substantial and direct relationship with EMA adoption. However, there was no correlation between mimetic pressure and the adoption of EMA. In addition, the results revealed that only environmental innovation capability positively and substantially mitigated the effect of coercive and normative pressure on EMA adoption. Our PLS analysis discovered a significant and direct relationship between EMA and SCA. In conclusion, the current research expands our understanding of how firms create EMA through the interaction of institutional forces (i.e., coercive and normative constraints) and environmental innovation potential. Furthermore, this study highlights the relevance and use of EMA in giving information to Kenyan SMEs to conduct superior SCA.

The paper looks at the modern methods of overheads apportionment which are Material Flow Cost Accounting and Activity Based Costing. It looks at the benefits these methods bring to organisations compared to the use of traditional methods of overheads allocations.

The major challenges faced in the area of accounting for sustainability are the complexity and uncertainty of the subject matter, specially the lack of a clearly understood definition of sustainable development (SD). Further, the aspect of economic or income sustainability is one of the important measures of SD that can be achieved through the implementation of the concept of environmental management accounting (EMA). However, by taking an overview through the literature of accounting for business sustainability, the outcome of this paper indicates that the majority of literature on the financial or economic aspects of business sustainability focuses on the cost side and how to measure it either in monetary units or in non-monetary units while totally neglecting the revenue side either for business, environment, or society.

There is the undisputed need for the coupling of Life Cycle Costing and Life Cycle Assessment-the most common methods for the evaluation of the life cycle-wide economic and ecological effects of products and production systems in the context of sustainable decision making. However, in published studies both methods are often used in parallel or with little integration. This causes double work in data acquisition and a lack of consistency of the underlying analyses' scopes and, therefore, limits the significance of the analyses results. Further on, no mature theoretical approach for the integration of LCA and LCC exists. To overcome this problem, the paper presents a procedure model for the integrated use of the methods. More specifically, Material Flow Cost Accounting is suggested as a tie between both methods and is extended according to the requirements of life cycle-wide analyses.

A large number of manufacturing companies adopt the use of the traditional accounting method in their operations. This technique fails to reflect a detailed report of all material losses incurred in their production processes. Worthy of note, is that losses/waste are considered as inefficiencies in manufacturing operations and viewed as a costly venture to the sustainability of the company. This research, therefore, through a case study analysis, examined the efficient/inefficient flow of resources in the production process of an alcoholic beverage company in the Durban metropolis. The study was carried out in order to determine the impact of packaging waste cost in an alcoholic beverage company using the material flow cost accounting technique. Measurements included the input of packaging materials against its output, while giving consideration to waste incurred as losses. The Material Flow Cost Accounting (MFCA) technique, an environmental management accounting tool developed for ...

Results obtained from this study indicated that pompom weed management approaches were successful in the Free State. These results however, should be interpreted with caution since the localised and fragmented nature of the invasion in Free State made it comparatively easy to manage the species. The result however, gives a good basis upon which modification may be made to accommodate different invasion patterns. Recommendations were made regarding the improvement of field work, the improvement of the accuracy of monetary reporting as well as on the establishment of a functional Environmental Management Accounting (EMA) system.

This article seeks to explore the implementation of Material Flow Cost Accounting (MFCA) across the manufacturing sector. The paper aims to understand the role of perceived ecological environmental uncertainty (PEEU) and supplier integration (SI) on MFCA implementation, and thus subsequently examines the effect of MFCA implementation on firms' environmental and economic performance. The research model was empirically tested based on online-survey. The questionnaires were emailed to 1200 randomly selected industrial firms. The usable responses was 123 firms. The data was analysed using a structural equation modelling (SEM) approach through partial least square (PLS) software. The main results from survey of 123 companies showed low level of MFCA implementation. Further, the analysis of PLS indicated that companies which recognise bigger ecological environmental uncertainty are less motivated to implement MFCA. Tthe study also found that SI has a direct positive impact on MFCA implementation since companies which decided to implement MFCA were more likely able to achieve better environmental and economic performance. Thus, companies perceive the importance of being ecologically responsible and that such practice will increase companys' prosperity in many ways, ecologically and economically.

This paper aims to determine the relationship between environmental performance, corporate image, corporate social performance on economic performance by including competitive advantage as a moderator, as well as to describe why and how it is important to carry out corporate care for the environment by companies. This study also aims to expand the topic of discussion by including more variables related to aspects that affect company performance. The population of this study includes all manufacturing companies listed on the Indonesia Stock Exchange in the 2014-2018 Period. The sampling technique used the purposive sampling technique. Based on predetermined criteria obtained 11 companies. The type of data used is secondary data obtained from the Indonesia Stock Exchange website. The analytical method used is panel data logistic regression analysis. This paper provides an empirical view of how environmental factors greatly affect the company's performance. This shows that the incr...

The effect of environmental uncertainty (EU) on the relationship between external integration and firm performance is examined for small-and medium-sized enterprises (SMEs) in Malaysia. Uncertainty is a changeability state of the environment including uncertain market, failure to forecast the impact of changes in environmental, and unable to expect the outcomes of a response choice. SMEs have scarcity resources in terms of financial, skills, knowledge and technology; therefore, the sustainable business successes of SMEs hinge more on suppliers' capabilities and cooperative relationships as well as customer integration. Since SMEs operate under highly competitive environment, thus SMEs need to monitor their environment to identify potential collaborative opportunities with suppliers and customers. In addition, the close relationships with suppliers and customers allow SMEs to access to the latest process, technologies, materials and other methods of innovation. Particularly, there is a lack of studies that investigate the effect of EU on the external integration-firm performance relationship in Malaysian SMEs of manufacturing industry. As such, the implications of the three sources of uncertainty-demand uncertainty, technological uncertainty and competitive threats are discussed. Ultimately, this study could enrich the existing body of knowledge in supply chain integration, EU and performance of SMEs in the manufacturing industry.

Purpose-This study aims to investigate the impact of environmental management accounting (EMA) on manufacturing companies' environmental and financial performance in Bangladesh. Thus, this research recognizes essential factors such as EMA, environmental performance (EP), financial performance (FP), environmental information systems (EIS), knowledge management (KM), green innovation and energy efficiency (EE). Design/methodology/approach-This research uses a quantitative approach and uses 323 responses from the manufacturing firms. This research tests the study model through the "Partial Least Square-Structural Equation Modeling" (PLS-SEM) technique using Smart PLS v3.3 software. This research uses The authors would like to acknowledge the support of the manufacturing companies' employees and officers, who devoted time to filling and returning questionnaires sent to them. We are also grateful to the data collectors. We are thankful to the colleagues and reviewers who assist us to amplify the quality of the paper. Funding: This research receives no external funding for publication but receives research grants from Comilla University to conduct the study. Availability of data and materials: Data and materials are available upon reasonable request through the corresponding author. Competing interests: This research declares no competing interests. Authors' contributions: BCD conducted, conceptualized and supervised the research. BCD performed statistical analysis, reviewed a portion of literature, developed conceptual framework and wrote research contribution. MMR collected data, performed statistical analysis, reviewed portion of literature, performed referencing and prepared the drafted report. MSR made revisions as per reviewers' comments. As the corresponding author, MMR bears full responsibility for the submission, and confirms that all authors listed on the title page have contributed significantly to work. Finally, all authors read and approved the final manuscript.

The purpose of this paper is to examine the association between the Environmental Strategy (ES) and Environmental Management Accounting (EMA) usage. It also aims to consider the effect of EMA usage on the organizational performance. A research framework was developed based on the contingency theory. Data were collected via questionnaires distributed to companies listed on UAE Stock Markets (ADX and DFM) in 2016. Data were analyzed using a structural equation modelling. The model was statistically validated and evaluated. The results indicated that ES positively affects the level of EMA usage and a positive relationship between EMA and the organizational performance. These findings contribute to the management accounting contingency-based research by providing empirical evidence to support that relationship between ES and EMA as well as between EMA and the organizational performance in the context of developing countries.

This article seeks to explore the implementation of Material Flow Cost Accounting (MFCA) across the manufacturing sector. The paper aims to understand the role of perceived ecological environmental uncertainty (PEEU) and supplier integration (SI) on MFCA implementation, and thus subsequently examines the effect of MFCA implementation on firms' environmental and economic performance. The research model was empirically tested based on online-survey. The questionnaires were emailed to 1200 randomly selected industrial firms. The usable responses was 123 firms. The data was analysed using a structural equation modelling (SEM) approach through partial least square (PLS) software. The main results from survey of 123 companies showed low level of MFCA implementation. Further, the analysis of PLS indicated that companies which recognise bigger ecological environmental uncertainty are less motivated to implement MFCA. Tthe study also found that SI has a direct positive impact on MFCA implementation since companies which decided to implement MFCA were more likely able to achieve better environmental and economic performance. Thus, companies perceive the importance of being ecologically responsible and that such practice will increase companys' prosperity in many ways, ecologically and economically.

The purpose of this paper is to investigate the relationships among innovation, environmental management accounting (EMA), and firm's financial performance. Specifically, this study explores the relationships of both product and process innovations with financial performance. Furthermore, this study examines the moderating role of EMA on the above relationships. Data were collected in a survey of top managers of the SMEs in manufacturing and consumer product industries in Iran, using a questionnaire. Hierarchical regression analysis was used to test all hypotheses. The findings revealed that both product and process innovations have positive relationships with firms' financial performance, while this effect is significant about product innovation and not significant about process innovation. Moreover, contrary to expectations, this study found a negative moderating effect of EMA on the relationship between process innovation and financial performance. However, no moderating effect of EMA was found on product innovation and financial performance relationship.

Natural resources can be considered economic assets, even though they do not deal with market transactions directly. Nowadays, there has been increasing awareness about environmental issues across the globe, and a growing concern about the protection of the environment from depletion and degradation of natural resources. For this purpose, countries are continuously undertaking initiatives that protect the environment and lead to sustainable development. Among various initiatives, efficient accounting of natural resources is one of the important aspects.

Construction and demolition waste (CDW), as the main consequence of construction and demolition (C&D) activities, has severely affected our sustainability needs. However, construction and demolition waste management (CDWM) lacks the integration of sustainability concepts. Thus, there is a great need to include sustainability dimensions in CDWM to reach sustainable construction and demolition waste management (SCDWM). This study aims at empirically investigating SCDWM by analyzing the impacts of factors that contribute to sustainability aspects of CDWM on waste management hierarchy (WMH), including reduce, reuse, recycle, and disposal strategies. According to the literature, 26 factors were initially identified and grouped under four categories, namely environmental, economic, social, and administrative, that contribute to sustainability aspects of CDWM. Subsequently, a pilot test was performed to assess the significance and applicability of these factors in the Malaysian constructio...

Construction and demolition waste (CDW), as the main consequence of construction and demolition (C&D) activities, has severely affected our sustainability needs. However, construction and demolition waste management (CDWM) lacks the integration of sustainability concepts. Thus, there is a great need to include sustainability dimensions in CDWM to reach sustainable construction and demolition waste management (SCDWM). This study aims at empirically investigating SCDWM by analyzing the impacts of factors that contribute to sustainability aspects of CDWM on waste management hierarchy (WMH), including reduce, reuse, recycle, and disposal strategies. According to the literature, 26 factors were initially identified and grouped under four categories, namely environmental, economic, social, and administrative, that contribute to sustainability aspects of CDWM. Subsequently, a pilot test was performed to assess the significance and applicability of these factors in the Malaysian constructio...

This article seeks to explore the implementation of Material Flow Cost Accounting (MFCA) across the manufacturing sector. The paper aims to understand the role of perceived ecological environmental uncertainty (PEEU) and supplier integration (SI) on MFCA implementation, and thus subsequently examines the effect of MFCA implementation on firms' environmental and economic performance. The research model was empirically tested based on online-survey. The questionnaires were emailed to 1200 randomly selected industrial firms. The usable responses was 123 firms. The data was analysed using a structural equation modelling (SEM) approach through partial least square (PLS) software. The main results from survey of 123 companies showed low level of MFCA implementation. Further, the analysis of PLS indicated that companies which recognise bigger ecological environmental uncertainty are less motivated to implement MFCA. Tthe study also found that SI has a direct positive impact on MFCA implementation since companies which decided to implement MFCA were more likely able to achieve better environmental and economic performance. Thus, companies perceive the importance of being ecologically responsible and that such practice will increase companys' prosperity in many ways, ecologically and economically.

This article seeks to explore the implementation of Material Flow Cost Accounting (MFCA) across the manufacturing sector. The paper aims to understand the role of perceived ecological environmental uncertainty (PEEU) and supplier integration (SI) on MFCA implementation, and thus subsequently examines the effect of MFCA implementation on firms' environmental and economic performance. The research model was empirically tested based on online-survey. The questionnaires were emailed to 1200 randomly selected industrial firms. The usable responses was 123 firms. The data was analysed using a structural equation modelling (SEM) approach through partial least square (PLS) software. The main results from survey of 123 companies showed low level of MFCA implementation. Further, the analysis of PLS indicated that companies which recognise bigger ecological environmental uncertainty are less motivated to implement MFCA. Tthe study also found that SI has a direct positive impact on MFCA implementation since companies which decided to implement MFCA were more likely able to achieve better environmental and economic performance. Thus, companies perceive the importance of being ecologically responsible and that such practice will increase companys' prosperity in many ways, ecologically and economically.

The existence of the facts of environmental pollution problems undertaken by manufacturing companies as a result of the company's production process are mostly found in Indonesia. This causes a business environment must be able to maintain its business processes so that the company must implement appropriate strategies for the achievement of the company's going concern and sustainable development. Thus the demand for environmentally friendly products should be a concern in the continuous development of the industry. This study was conducted with the aim to analyze the application of environmental management accounting in improving the product innovation, in Industry Pabrik Tahu Jembar Manah. The research used an analytical descriptive method. The data source used is the primary data source. The data collection techniques used are interviews and questionnaires. The results show that the company has applied neutral environmental management accounting and good product innovatio...

Akuntansi lingkungan didefinisikan sebagai pencegahan, pengurangan dan atau penghindaran dampak terhadap lingkungan, bergerak dari beberapa kesempatan, dimulai dari perbaikan kembali kejadian-kejadian yang menimbulkan bencana atas kegiatan-kegiatan tersebut. Dampak lingkungan merupakan beban terhadap lingkungan dari operasi bisnis atau kegiatan manusia lainnya yang secara potensial dapat merintangi pemeliharaan lingkungan yang baik. (Ikhsan, 2009;26) Akuntansi lingkungan merupakan istilah yang berkaitan dengan dimasukkannya biaya lingkungan ke dalam praktik akuntansi perusahaan atau lembaga pemerintah. Manfaat potensial dari investasi serta biaya ini bagi perusahaan tidak hanya memperbaiki efisiensi dari kegiatan-kegiatannya, melainkan akuntansi lingkungan juga memainkan peran penting dalam pengambilan keputusan rasional. Pengungkapan informasi lingkungan ini merupakan proses kunci dalam mempertanggungjawabkan kinerja.

Akuntansi Manajemen Lingkungan atau Environmental Management Accounting (EMA) merupakan sebuah konsep yang membantu perusahaan dalam memuat dampak-dampak bisnis dalam bentuk unit moneter. Penerapan Akuntansi Manajemen Lingkungan membantu perusahaan dalam permasalahan lingkungan dengan mencatat seluruh aktivitas produksinya untuk dilaporkan dalam laporan biaya lingkungan perusahaan.

Isu mengenai lingkungan bukan lagi merupakan suatu isu yang baru. Persoalan lingkungan menjadi semakin menarik seiring dengan adanya perkembangan teknologi dan ekonomi global. Perusahaan didirikan untuk mencapai tujuan tertentu, dan dalam mencapai tujuan tersebut perusahaan selalu berinteraksi dengan lingkungan hidup sebab lingkungan hidup memberikan andil dan kontribusi bagi perusahaan. Mengelola dan memanfaatkan sumber daya alam tidak hanya dalam proses mengeksplorasi dan mengeksploitasi sumber sampai habis untuk digali. Pelaku bisnis dituntut untuk memberikan kontribusi yang positif terhadap lingkungan sosialnya bukan hanya untuk memperoleh keuntungan dari usahanya. Perubahan ini memunculkan kesadaran baru tentang Corporate Social Responsibility (CSR). Desakan dibentuknya CSR berawal dari organisasi-organisasi masyarakat sipil dan jaringannya di tingkat global. Keprihatinan utama yang disuarakan adalah karena perilaku korporasi yang hanya demi maksimalisasi laba, mereka mempraktekkan cara-cara yang tidak fair dan tidak etis. Hasil dari Konferensi Tingkat Tinggi Bumi (Earth Summit) di Rio pada 1992, telah menyepakati perubahan sebuah paradigma pembangunan dari sebuah paradigma yang bertumpu pada pertumbuhan ekonomi (economic growth) menjadi pembangunan yang berlanjutan (sustainibility development). Konsep sustainibility development

Abstrak
Berbagai kerusakan dan pencemaran banyak disebabkan oleh perusahaan industri. Hal tersebut menimbulkan berbagai jenis limbah dan permasalahan. Akuntansi lingkungan digunakan untuk mengidentifikasi biaya yang menilai kegiatan dan manfaat dari pengelolaan lingkungan dari sudut pandang biaya, meningkatkan kinerja industri dibidang pengelolaan lingkungan hidup, dan sebagai alat informasi untuk pemangku kepentingan mengenai kinerja lingkungan dalam mengoptimalkan tanggung jawab sosial.
Penelitian yang dilakukan di Pabrik Gula Lestari di Ngrombot, Nganjuk. Bertujuan untuk mengidentifikasi dan menjelaskan akuntansi lingkungan dalam rangka mengoptimalkan tanggung jawab sosial di Pabrik Gula Lestari. Penerapan akuntansi lingkungan untuk mengidentifikasi biaya limbah dan biaya lingkungan dalam perusahaan perlu diperhatikan untuk meminimalisir permasalahan lingkungan yang berakibat pula terhadap perusahaan.

Aktivitas ekonomi saat ini secara langsung maupun tidak telah menjadi faktor penyebab terjadinya global warming (Ja'far dan Kartikasari, 2009). Dampak perkembangan industri berupa pencemaran lingkungan telah memunculkan serangkaian tindakan serius dari masyarakat dunia untuk melakukan upaya pencegahan efek global warming secara lebih luas.

Peningkatan produksi gula berarti meningkat juga limbah hasil dari produksi gula. Limbah yang dihasilkan dari proses produksi gula tersebut berupa limbah padat, cair maupun gas. Ada beberapa pabrik gula kurang dapat mengelola limbah meraka dengan baik dan berdampak pada pencemaran lingkungan. Kasus yang terjadi yaitu kebocoran tetes PG. Ngadirejo dan kelalaian PG. Gempol kerep dalam pengelolaan limbahnya, hingga berdampak pada kematian masal ikan.