Essay Environmental Management Higher Biology Essays 2011
As a business, being sustainable can reducing company costs.A sustainable business will opt to using alternate forms of business assets; such as raw material which are better for the environment, eco bulbs to reduce electricity and recycling (Bebbington, Unerman & O' Dwyer, n.d.).If a business decides to purchase electric cars for company use, or establish better eco efficient electricity schemes within the business, they may be eligible to receive tax incentives.
since it is not a compulsory practice there are no regulations set on what information needs to be included in the analysis (Burritt, Hahn & Schaltegger, n.d).An example of significant stakeholders are dangerous stakeholders.Dangerous stakeholders have the ability to destroy a company if they are not given what they want.Relevant costs will show future profitability and what actions can be taken to reduce these environmental costs.Environmental costs should be viewed either as the costs of environmental protection or as the cost of material and energy flows that could be reduced through an increased level of environmental protection.Due to this reason, not all managers choose to include environmental research into the mix as they believe it might cost more.Managers use management accounting to make decisions; to make concise decisions however, they need both relevant and reliable information.A sustainable business will also have an easier access to grants and loans; many other environmental organisations or institutes will provide businesses with loans and grants in order for them to become more sustainable. As you can see, most; if not all, of the above advantages of being sustainable result in an increase in cash for the business.it seems that businesses have started to become more sustainable as a means to save money, the ability to save money by being sustainable is an incentive for managers and the like. However, not all companies have decided to implement sustainability yet.In this case, a non-sustainable company will not survive for very long if they do not meet the needs of stakeholders who themselves are sustainable and have a significant stake in the company.Sustainable businesses will also have the luxury of receiving tax incentives (Bebbington, Unerman & O' Dwyer, n.d.).