The ASARCO-EPA settlement agreement: Understanding the value of a corporate-wide EMS for regulators and strategists alike

State and federal regulatory officials are probing whether environment management system actually enhance industry compliance with environmental law. Already convinced of that fact, many corporate strategies have moved on to the work of integrating auditing, training, policies, procedures and other compliance related elements within an overarching environmental business strategy. A settlement agreement entered into between ASARCO Incorporated, a leading copper producer, and the U.S. Environmental Protection Agency illustrates ane firm's approach to that challenge using the ISO 14001 management system. This agreement, which includes the first corporate-wide implementation of ISO 14001-based management systems by EPA, shows that some within the enforcement community have already been persuaded that a properly designed environmental management system can improve an organization's compliance with environment requirements.     

Environmental Performance as a Basis for Competitive Strategy: Opportunities and Threats

Increasingly, companies are considering environmental differentiation as a basis for their competitive strategy. As they formulate and implement their strategy, these companies must decide upon an appropriate device to signal a superior environmental performance to consumers and other stakeholders. This article examines three of these devices: Corporate environmental reports (CER), eco-labeling programs, and the ISO 14001 environmental management systems (EMS) standard. Specific challenges and limits associated with their use are discussed and insight into ways to overcome potential barriers are offered. One of these challenges relates to skepticisms, whereas another resides with the risk of imitation from competitors. Hence, companies must both build trusting relationships, and continuously maintain and develop resources and competencies that will enable them to sustain their competitive advantage over competitors.     

Sustainability in the Construction Business — A Case Study

Skanska is among the world's five largest construction companies, with construction-related activities and project development operations in some 60 countries. A strategic approach to environment was adopted in 1995. In 1998 a decision was made to introduce certified environmental management systems. The drivers behind these steps were pressures from the market, future legislation and public opinion.By the end of 2000, all business units of Skanska had environmental management systems certified according to ISO 14001. Newly acquired companies are required to have certified systems within two years after acquisition. While environmental management systems provide the necessary framework, more technical tools are also needed. Some examples of such tools are presented in this article.ISO 14001 is an important element in focusing the attention of the organization on environmental issues, but for leadership in environment, a number of guiding principles are also presented and discussed.Finally, corporate social responsibility (CSR) can be seen as a framework for all types of issues where a company is regarded as having certain obligations toward society at large, because of direct or indirect effects from its business operations. It is only logical that Skanska, following its work with ISO 14001 and the move toward leadership in environment, now has decided to develop a CSR platform.     

UNDERSTANDING THE IMPORTANT DIFFERENCES BETWEEN THE MALCOLM BALDRIGE NATIONAL QUALITY AWARD AND ISO 9000 REGISTRATION

Market globalization, higher requirements for improved quality, and tough, faster-pace, price-sensitive competition have led to two parallel and visible quality thrust: the Baldrige Award in the U.S. and, internationally, the ISO 9000 standards. The relationship between the Baldrige Award and ISO 9000 registration is widely confused. Two common misper-ceptions stand out: (1) that they both cover the same requirements and (2) that they both address improvement, relying on high quality results, and thus, are both forms of recognition. Many have concluded that the Baldrige Award and ISO 9000 are equivalent and that companies should choose one or the other. These conclusions are incorrect. The Baldrige Award and ISO 9000 registration differ fundamentally in focus, purpose, and content. The focus of the Baldrige Award is on enhanced competitiveness. The Award Criteria reflect two key competitiveness thrusts: (1) delivery of ever-improving value to customers and (2) improvement of overall operational performance. The Award's central purpose is educational-to encourage sharing knowledge and experience of competitiveness and to drive this learning, creating an evolving fund of knowledge. By contrast, the focus of ISO 9000 registration is on conformity to practices specified in the registrant's own quality systems. Its central purpose is to enhance and facilitate trade. The Baldrige Award addresses competitiveness factors either not addressed in ISO 9000 registration or addressed differently. These factors include a customer and market focus, results orientation, continuous improvement, competitive comparisons, a tie to business strategy, cycle time and responsiveness, integration via analysis, public responsibility, human resource development, and information sharing. Overall, ISO 9000 registration covers less than 10% of the scope of the Baldrige Award Criteria and does not fully address any of the 28 Criteria items. As a result, the national drive to improve competitiveness could be diminished. Companies required to or electing to seek ISO 9000 registration are encouraged to integrate their conformity efforts with the Baldrige Award competitiveness improvement framework.     

INTERNATIONAL DIFFUSION OF ISO 14000 CERTIFICATION

The ISO 9000 series of quality management systems standards and the more recent ISO 14000 environmental management systems standards have generated much controversy among practitioners. Although ISO 9000 has become a de facto requirement for many firms, its effects are poorly understood, and similarly the value and domain of applicability of ISO 14000 have been questioned. This paper reports on an exploratory study into the global spread of ISO 14000. We interviewed practitioners worldwide to identify factors that they believe explain differences between national ISO 14000 certification counts. We then collected quantititive data for these factors and, using regression analysis, we found that exports, environmental attitudes (combined with economic development), and ISO 9000 certification count were significant. The fact that ISO 9000 appears as an important factor explaining diffusion of ISO 14000 certifications suggests that the drivers behind the two have significant overlap. This indicates that, although ISO 14000 is an environmental standard, many of the factors driving national certification patterns are not at all environmental in nature, and that ISO 14000 therefore needs to be studied from a broader perspective than from a purely environmental point of view.     

Models of Management System Standards: A Review of the Integration Issues

The subject of Integrated Management Systems in terms of quality, environmental and occupational health and safety management has become of increasing interest to researchers and business alike during the last 3 years or so. This paper focuses on a review of the various models of integration found in the academic literature and also those advocated by the standards bodies, such as the British Standards Institution and the International Organization for Standardization. A number of writers advocate alignment of ISO 9001 and ISO 14001 and present models to facilitate this; however, integration into a single standard is, in general, not favoured. Various models have been developed to overcome these difficulties, but the authors believe that none is completely satisfactory. It is considered that a model of integration based on the EFQM Model for Business Excellence will allow the limitation of the standards to be overcome and the total systems approach to integration to be facilitated.     

The Social Dimensions of Business Excellence

In an era of dynamic markets, globalisation, telecommunication and volatile stock markets, the board of directors of listed companies have grown familiar with the pressure of shareholders. Nowadays CEO's discus corporate responsible behaviour and sustainability more often. They feel the pressure of external stakeholders. They are aware of the increasing vulnerability of their corporate reputation, an increasing number of financial institutions start demanding social and environmental criteria — and it is more and more difficult to attract new talented people and at the same time, keeping existing employees satisfied. These developments make companies aware of the social dimensions of their organisation, their corporate identity, their role within society and their duty towards future generations.The business environment is beginning to accept that prosperity, profitability and shareholder value alone do not represent the value of the company. The companies’ ability to grow and to improve continuously is also determined by its social competences, ethical responsibility and environmental contributions. This shift of focus leads to a reorientation of the concept of business excellence. At first, quality management focused on the quality improvement of products and services, later on the processes providing these products. Quality was renamed into business excellence when corporations oriented themselves on the quality of the organisation and the chain (or network or hub) in which it operates. With the present challenges at hand, companies are beginning to focus on the quality of society while taking care of their core businesses, an objective that transcends and includes the former quality orientations.This article first introduces the European Business Excellence Model (EFQM model), which have facilitated the transformation toward an integral management approach, including openings to corporate social responsibility (CSR). We will than elaborate on the cultural context of companies engaged in CSR and social responsible investing (SRI) activities. We will end this article with an overview of CSR activities, structured according the EFQM model.     

A dynamic business modelling approach to design and experiment new business venture strategies

Business Modelling has evolved as a key activity to reflect new business venture strategy by framing the way a firm will operate and how it will function in achieving its goals (e.g., profitability, growth, innovation, social impact). However, scholars and practitioners have criticized the adoption of a too static perspective in the design and use of conventional Business Model representations. Such a static perspective prevents nascent entrepreneurs experimenting with their Business Models and, as a result, identifying the most effective strategies, especially in terms of business sustainability and profitability. In this paper, we argue that combining conventional Business Model schemas with System Dynamics modelling results in a strategy design tool that may overcome several limitations related to a static view of Business Model representation. Mapping the different key elements underlying value creation processes into a system of causal interdependencies – through the use of simulation – allows strategy analysts and entrepreneurs to experiment and learn how the business reacts to strategic and organizational changes in terms of performance, innovation and value creation. As such, Dynamic Business Models provide useful insights to strategy formulation and business venturing by capturing how critical Business Model elements interact to produce enduring competitive advantages over time.     

Business process re-engineering the supply chain

Common foundations which underlie thinking in the supply chain management (SCM), Business process re-engineering (BPR) and business process improvement (BPI) philosophies are highlighted. The view that BPR is a new concept is argued against by highlighting die work performed in other fields, namely SCM from the systems perspective. It is argued that those who have already implemented the SCM philosophy will have already travelled the same path as BPR and indeed re-engineered their own processes. Once businesses have integrated their supply chain the greatest benefits will have already been achieved, however system dynamics analysis does show significant on-cost differences dependent on the redesign strategy implemented. A generic structured model for SCM is enhanced through this comparison with BPR with the following characteristics being added; do not be afraid to be radical with respect to internal integration and continually search for step change improvement ideas which can be strategically phased in to positively impact the marketplace.     

Personnel planning and information systems

Today the need for long-range planning is seen by most private and public organizations. Therefore growing attention to it is required of management in companies, in public services, in the armed services and in the school and university area. Some parts of the long-range planning problems have been widely discussed and practised. But there are some parts, which have received less attention in the business world. One of the relatively neglected areas, but one of special importance is long-range planning for personnel from the shop-floor up to top-management. This lack is remarkable, as one finds a lot of research and practical work on the use of other operations research planning systems, which cover for example queueing, inventory, production or investment problems. But in no field, is planning ahead more important than in personnel. Company growth and effectiveness depend on it. For unless a business organization has people with skill, imagination and a capacity for leadership, at the right time, its other plans may well be worthless.     

Breaking the Ties That Bind: From Corporate Sustainability to Socially Sustainable Systems

Although the recent push toward sustainability is certainly generally a positive development in business and society, we can see many problems in the execution of the theory of sustainability. Where the triple bottom line calls on companies to weigh effects on stakeholders and the environment alongside profit, in practice in many cases, sustainability has been perverted to represent sustainable profits. In these cases, environmental impact and effects on people are only important insofar as they positively contribute to a firm‘s future profits. It is not only practitioners who have often espoused this misappropriated view of sustainability but also academics have lent credibility to this view. In this work, we start by criticizing the often espoused current view of sustainability and remind academics of their responsibility to adapt a more critical view of this narrow focus. We provide examples that show how the current system of capitalism has resulted in outcomes for people and the environment that are patently unacceptable. Reasons are given as to why there is much hesitation to change the status quo. We then call on academics to reexamine what the role of businesses should be within society, what obligations business and corporations should have in society, and how we can encourage meaningful change that results in a better world for future generations.     

Does family matter? Ownership,motives and firms’ environmental strategy

Extant research has primarily focused on the economic drivers and outcomes of corporate environmental performance. This trajectory oversimplifies the motives for environmental strategies across all firm types and particularly overlooks how firm ownership presents other motives for environmental strategies. In this study, we leverage institutional theory to examine how family motives, underpinned by family members' desire to gain or preserve family legitimacy and socio-emotional wealth, affect ISO 14001 certification. Using firm-level data, we find that family ownership has a positive effect on ISO 14001 certification. This effect is stronger for firms whose names include the family name and also for firms located closer to large cities. Our study contributes to nonmarket strategy literature by showing that family motives underpin firms’ environmental initiatives. It also contributes to institutional theory by delineating the levels of legitimacy that spur nonmarket strategy in family firms.     

Removing the obstacles to effective strategic planning

The purpose of this article is to explore the reasons for the decline in the importance and practice of strategic planning across American industry. The article identifies numerous bureaucratic obstacles to effective planning, and suggests how these obstacles can most effectively be eliminated by attacking their root causes. The article points out the risks to the planning process that are created by attempts to eliminate these obstacles. But, it concludes that unless these obstacles are removed and the promised financial returns from strategic business planning realized, the decline of long-term strategic business planning will continue.     

Updates and trends on ISO 14000 implementation in Asia

The close link between the ISO 14000 standards and trade has meant that leading Asia-based companies have been as active as their Western counterparts in implementation. ASER has conducted extensive research, in conjunction with the Regional Institute of Environmental Technology (RIET) of Singapore into corporate environmental management systems under development throughout Asia and national systems being set up to create viable EMS standards. Current trends on the future of ISO 14000 implementation in Asia are discussed in this article.     

Deciding on ISO 14001: Economics, Institutions, and Context

ISO 14001 is an international standard for environmental management systems that was introduced in September 1996. It has gained wide recognition among businesses, much like its sister standard on quality management systems, ISO 9000. As a result, managers in almost every organization will evaluate whether the organization should become ISO 14001 certified. However, most analyses of ISO 14001 that are intended to guide managers in their evaluation have focused on the merits of ISO 14001, such as improved competitiveness, management control, and regulatory compliance. Very few articles provide a balanced picture of the costs and benefits of ISO 14001—including the conditions under which adoption will be most effective. This article redresses this gap by providing an analysis of not only why firms may choose to certify based on economic and institutional considerations, but also, when certification might be appropriate based on the firm’s context.In 1998, the Jutras division of Meridian Magnesium Inc., which manufactures magnesium automotive parts, reported that it saved almost $2 million soon after its $45,000 investment on an ISO 14001 certified environmental management system (EMS).¹ The company reduced its use of electricity, natural gas, and lubricants, while producing less solid waste and contaminated water. These were not just one-time savings; they were expected to continue into perpetuity. Not all their ISO 14001 projects were winners, however. Jutras implemented ten projects for their EMS in the first year with an initial goal of saving over $460,000 in costs. Four of the projects did not result in any savings and one had disappointing but positive results. The remaining projects, however, provided larger than expected returns. The cost savings increased the competitiveness of a firm that prides itself on being the low cost leader in an increasingly competitive automotive parts industry. The benefits to the environment were a bonus. And there was yet another bonus from ISO 14001 that had not been anticipated: the preference for ISO certified suppliers by its key customers, Ford and General Motors, and the social legitimacy earned from stakeholders pressuring for greener business practices. The company now posts its ISO 14001 certification on its web site as one of its main achievements.Although this type of vignette presents ISO 14001 in a positive light, not all firms have embraced the standard with enthusiasm. While over 22,000 facilities in 98 countries were ISO 14001 certified by December 31, 2000, many firms had decided to delay certification or reject it altogether.² The significant financial rewards realized by the Jutras Division of Meridian Magnesium have not been perceived by many of its peers, even though most analyses of ISO 14001 attempt to convince the reader that such a system is of significant strategic importance and a panacea of opportunity. Writers typically tout the potential for lower costs, increased competitiveness, market share growth, higher profits, and regulatory compliance, such as those experienced by Meridian Magnesium.³The costs of ISO 14001, however, are not trivial. Managers need to undertake a careful analysis of the relevance of ISO 14001 to their firm before they decide to jump on the ISO 14001 bandwagon. While managers can estimate the direct costs of certification with the help of good internal cost accounting, evaluating the intangible costs and benefits and the indirect impacts on the firm’s performance is more difficult. In this article, we provide background perspectives and evaluation criteria for those aspects of ISO 14001 certification, looking specifically at the marginal benefit of ISO 14001 certification over an in-house EMS. This article, then, identifies why firms may certify and in which contexts, based on economic and institutional considerations. Armed with relevant decision-making criteria, we present managers with an analytical tool to assist them in determining if ISO 14001 is appropriate for their firm.The insights provided here build on three studies:

1.

an investigation of the motivations of environmental responsiveness by interviewing members of 53 firms in the UK and Japan;⁴

2.

an investigation of the factors that influence the adoption of ISO 14001 based on a statistical analysis of 46 matched pairs of certified and non-certified firms and interviews with members of six firms in the US;⁵ and

3.

an investigation of the contexts that explain adoption based on interviews with 16 pulp and paper companies in Canada.⁶

Details of these studies are provided in text boxes later in this paper. While these studies form the foundation of this paper, many of the anecdotes provided here are based on published sources because the interviewees were promised complete confidentiality.     

消费者反馈下企业质量改进投入决策Moran演化分析

基于消费者反馈机制，考虑生产同种产品的N个生产企业质量改进投入决策的演化轨迹。每个生产企业在权衡对消费者反馈的价值感知以及额外质量改进成本后有两种策略选择(质量优势策略或低成本策略)。基于Moran过程的固定点概率，计算出在有限的生产企业群体中，质量优势策略与低成本策略成功侵入的概率。通过对比两种策略的适应度，以及个体固定点概率与中性突变的概率大小，分别得到强选择与弱选择下策略占优的条件，并对结果进行仿真验证。研究发现：1)生产企业数量较少时，无论质量改进成本高低与否，只要消费者对质量水平有反馈并对企业收益造成影响，质量优势策略将占领整个群体；2)当生产企业对消费者反馈的感知效用远远高于额外质量改进成本时，质量优势策略为占优策略；3)对消费者反馈的感知效用略高于额外质量改进成本时，强选择下，质量优势策略占优，然而在弱选择下，占优策略取决于种群数量；4)企业对消费者反馈的重视程度取决于对自身产品的市场定位，本文将为目标定位于维持或占据不同市场份额的企业提供质量改进政策建议与指导。     

面向角色的多agent 工作流模型研究

目前的工作流建模工具大多是面向活动、面向产品、面向目标或面向决策的,没有强调工作流 是多个角色主体协作的过程,工作流的绩效最终依赖员工及其角色的作用. 从角色及其合作的角 度,分析了面向角色的工作流模型及其表示方法,为工作流的管理提供新的思路. 在此基础上,研究 了角色、agent 和工作流的关系,给出了一种面向角色的工作流多agent 管理系统模型和原型.     

面向角色的多agent 工作流模型研究

目前的工作流建模工具大多是面向活动、面向产品、面向目标或面向决策的,没有强调工作流是多个角色主体协作的过程,工作流的绩效最终依赖员工及其角色的作用.从角色及其合作的角度,分析了面向角色的工作流模型及其表示方法,为工作流的管理提供新的思路.在此基础上,研究了角色、agent和工作流的关系,给出了一种面向角色的工作流多agent管理系统模型和原型.     

Applying a Health Behavior Theory to Explore the Influence of Information and Experience on Arsenic Risk Representations, Policy Beliefs, and Protective Behavior

The common sense model (CSM) shows how people process information to construct representations, or mental models, that guide responses to health threats. We applied the CSM to understand how people responded to information about arsenic-contaminated well water. Constructs included external information (arsenic level and information use), experience (perceived water quality and arsenic-related health effects), representations, safety judgments, opinions about policies to mitigate environmental arsenic, and protective behavior. Of 649 surveys mailed to private well users with arsenic levels exceeding the maximum contaminant level, 545 (84%) were analyzed. Structural equation modeling quantified CSM relationships. Both external information and experience had substantial effects on behavior. Participants who identified a water problem were more likely to reduce exposure to arsenic. However, about 60% perceived good water quality and 60% safe water. Participants with higher arsenic levels selected higher personal safety thresholds and 20% reported a lower arsenic level than indicated by their well test. These beliefs would support judgments of safe water. A variety of psychological and contextual factors may explain judgments of safe water when information suggested otherwise. Information use had an indirect effect on policy beliefs through understanding environmental causes of arsenic. People need concrete information about environmental risk at both personal and environmental-systems levels to promote a comprehensive understanding and response. The CSM explained responses to arsenic information and may have application to other environmental risks.