Table 1 Frameworks for
environmental performance
measurement
Measurement
Approach
Orientation
Drivers
focus
Metrics
Production
Engineering
Efficiency
Mass/energy
Efficiency
balance
Resource use
Regulatory
Legal
Compliance
Management
Emissions/waste
systems
Risk
Noncompliance
Ecological
Scientific
Impact
Impact
Emissions/waste
assessment
Impacts
Life cycle
Resource use
assessment
Accounting
Reporting
Costs
Liabilities
Emissions/waste
Accountability
Monetary
Economic
Welfare
Internalizing
Environmental Monetary
externalities
valuation
Quality
Management
Pollution
prevention
Emissions/
waste
Emissions/waste
generation
Monetary
Adapted from James.
5 Standardization Initiatives
The flourishing of corporate reporting saw the emergence of a range of activities
seeking to standardize performance measurement and reporting. This stress
on standardization seems paradoxical given the multiple objectives of performance
measurement and reporting, and the evidence of divergent practices in reporting.
It is clear that sectors and firms are not alike in their approach to the collection,
use and reporting of environmental and social information. Three main sources
of pressure for standardization can be identified: the formalization of environmental
management; accountancy practice and interests; and ‘right to know’ advocacy.
Environmental Management
There are several explanations for the stress on harmonization and convergence.
The first is the link with environmental management systems. This was prefigured
in the EU the voluntary European Eco-Management and Audit Scheme (EMAS)
which prescribed an information and reporting system for registered sites. The
formalization of environmental management has produced new monitoring and
assessment requirements for firms that can be serviced only through structured
environmental performance information. A common environmental management
system suggests a common environmental information system.
CICA, Reporting on Environmental Performance, Canadian Institute of Chartered Accountants,
Toronto, 1994.
ACCA, Guide to Environment and Energy Reporting and Accounting 1997, The Association of
Chartered Certified Accountants, London, 1997.
Corporate Environmental Performance
167
environmental performance
measurement
Measurement
Approach
Orientation
Drivers
focus
Metrics
Production
Engineering
Efficiency
Mass/energy
Efficiency
balance
Resource use
Regulatory
Legal
Compliance
Management
Emissions/waste
systems
Risk
Noncompliance
Ecological
Scientific
Impact
Impact
Emissions/waste
assessment
Impacts
Life cycle
Resource use
assessment
Accounting
Reporting
Costs
Liabilities
Emissions/waste
Accountability
Monetary
Economic
Welfare
Internalizing
Environmental Monetary
externalities
valuation
Quality
Management
Pollution
prevention
Emissions/
waste
Emissions/waste
generation
Monetary
Adapted from James.
5 Standardization Initiatives
The flourishing of corporate reporting saw the emergence of a range of activities
seeking to standardize performance measurement and reporting. This stress
on standardization seems paradoxical given the multiple objectives of performance
measurement and reporting, and the evidence of divergent practices in reporting.
It is clear that sectors and firms are not alike in their approach to the collection,
use and reporting of environmental and social information. Three main sources
of pressure for standardization can be identified: the formalization of environmental
management; accountancy practice and interests; and ‘right to know’ advocacy.
Environmental Management
There are several explanations for the stress on harmonization and convergence.
The first is the link with environmental management systems. This was prefigured
in the EU the voluntary European Eco-Management and Audit Scheme (EMAS)
which prescribed an information and reporting system for registered sites. The
formalization of environmental management has produced new monitoring and
assessment requirements for firms that can be serviced only through structured
environmental performance information. A common environmental management
system suggests a common environmental information system.
CICA, Reporting on Environmental Performance, Canadian Institute of Chartered Accountants,
Toronto, 1994.
ACCA, Guide to Environment and Energy Reporting and Accounting 1997, The Association of
Chartered Certified Accountants, London, 1997.
Corporate Environmental Performance
167