Environmental Activities

1
Environmental Activities

• Prevention activities
• Assessment activities
• Control activities
• Failure activities

2
Measuring and Reporting Environmental Costs

• Traditional systems must be augmented by
  interviews
• Schedule costs into hazardous non-hazardous
  categories
• Classify the costs by activities
• Report and analyze routinely

3
Managing Environmental Costs

• Accidents vs. collisions
• Product design
• Process design
• PPE acquisition
• Operational venue
• Encourage value chain participation
• Routinely integrate MMEC into the decision making
  process
• Checklists
• EC Summaries
• Post-mortem reviews

4
MMECTBC Impact

• Technical
• Improved decision relevance
• Insight contrary to common beliefs
• Better process identification
• Environmental cost insight
• Behavioral
• EC visibility what gets measured gets done

5
MMECTBC, continued

• Cultural
• Societal value sharing
• Changing environmental mindsets
• Compliance and control vs. avoidance
• Role of finance as facilitator
• Can bring focus to this important issue

6
MMECStrategic Implications

• Quality consumers drawn to environmentally
  concerned companiesgreen issues
• Cost environment costs are huge
• Time unexpected events are time consuming and
  defocusing
• Think about the movie Erin Brocovich