1996 Annual Conference “Linking Local Solutions to Global Needs : Thailand’s Environment Agenda in the 21st Century” Special Address ISO 14000 - Environmental Standards of the Future by Oswald A. Dodds Chairman of ISO TC 207 Sub-committee on Environmental Management Systems Central Plaza Hotel &ISO 14000 - Environmental Standards of the Future by Oswald A. Dodds Chairman of ISO TC 207 Sub-committee on Environmental Management Systems - “5.25 wnistodwds Referensed oa : oa vt woanuaainse nate ye watt © rary | Thaileod Environment InititineSO_14000_Environmen: ds of the Future Oswal: de, MBE, Chai = ISO TC 207 Sub Committee . = Environmental. Managem stems Introduction ‘The management of an organisation, whether private or public, large or emall, wherever it is located in the world, whatever the culture and state of development of its host countries, whatever its products or services, needs to be efficient and effective if it is to survive and prosper. Organisation need clear parameters (rules) to guide their personnel and customers, Most people would see such concepts as ‘systems* - arrangements of parts which work together as a whole - in this case designed to move the organisation towards its goals (be they profit, quality, service, customer satisfaction or whatever else is relevant). ‘There will clearly be many ‘systems* - for production, sales, marketing, finance, safety and so on. Some will be clear, comprehensive, written and well known by all involved in their use. Others may not; they may be handed down from operator to operator, salesman to salesman, part of the culture or informality which surrounds some organisations and people. This latter approach - is it efficient and effective? Does the organisation and its customers benefit? what about new people - how do they find out what goes on in the organisation and how they are expected to perform their roles? For the record, I start from a position which opposes such informal approaches to Management. I also oppose rigidity and excessive formality too! pa/docs/BSI/1s014000aes Wy preference is for written systems (preferably a series of integrated sub-systems), regularly reviewed and updated, written in as plain a style as possible which are relevant to, known by and used throughout the organisation. Practicality and cost are important consideration but, in simple terms, written systems should cover all significant aspects of the organisation and its mission (or purpose). It is essential that all elements of such systems can be interlocked together (where necessary and appropriate) to achieve maximum effectiveness at minimum cost. I am also concerned to avoid duplication of effort and to use best practice wherever possible. How can this be achieved? One obvious option is by using and refining systems developed by others. Another is by the use (and adaptation) or a ‘model* developed perhaps by a trade association or professional, learned or other body. Such ‘models* exist for many aspects of management and for many other issues. Clearly, the needs and wishes of customers and suppliers, export requirements, legal considerations and the activities of competitors must also be considered in developing the business management system(s). Given the above comments, I believe that the National Regional and International standards writing bodies (eg British Standard Institution (BSi), European Standards Body (CEN), International Organisation for Standardisation (1S0)) have a major role to play in producing the necessary standards through their consensus based procedures. ‘Quality* aspects (the ISO 9000 series of standards) are dealt with by ISO TC 176 and ISO TC 207 was created in 1993 to deal with ‘Environmental Management Tools and Systems*. pa/docs/BSI/1S014000sae Discussions have also commenced and faltered within Iso on the need for integrated business management system standards and when, how and by whom they should be produced. Such matters are outside the scope of this paper but readers may wish to be aware of the wider issue so they can make their views known or become involved. Standards bodies operate through Committees, Sub-Committees and Working Groups, each composed of nationally nominated delegates and experts which meet and agree any standards for formal approval by the Standards Body. The process is traditionally slow and cumbersome - a result of the need to achieve agreement between a wide range and large number of individuals and countries. nmental Mai nt_- what_is why is it important? with the increasing worldwide concern about the environment (sustainable development, ozone depletion, destruction of the tropical rain forests, ete, etc) and the actual or potential effects of business, industry and the private citizen on the future of planet Earth as we know it, there is pressure on organisations of all types to manage their impacts on the environment. Managing (for) the environment is a relatively new concept to many in business, industry, commerce and local and central governments throughout the world. Times and attitudes are changing and environment is also emerging as good (and profitable) business. Many organisations, perhaps prompted by concerned external bodies (e.g. financial institutions, pressure groups), wish to improve and demonstrate their environmental achievements and performance. Many also do so against the background of increasing awareness of pa/docs/BSI/1S014000oa environmental issues and pressure for improvement from customers, shareholders, employees and the public, as well as increasingly demanding requirements of legislation. ‘These pressures were reflected in documents such as the ICC Charter for the Environment, the Keidandran Principles, GEMI, the Baldridge Award and many more, and perhaps as a consequence, by requests to standards writing bodies to produce standards for Environmental Management Systems. Many such bodies and (in Europe) regional bodies established advisory groups and/or technical committees to begin the standards writing process. This is how BSi came to create its Technical Committee and how BS 7750 came into being. 180 received the same reaction from its members and others and, eventually, TC 207 was created with TC 207 SC1 established to produce internationally agreed Environmental Management System document: TC 207 first met in June 1993 and has a Canadian Secretary (from the Canadian Standards Association) and Chairman. Tt recently had 66 180 Members participating in its discussions, 8 observing and 15 recognised liaison bodes (and the number keeps increasing). It is working through six Sub-Committees and one direct reporting Working Group. ‘These are:- Sub Committee 1 - _—-Bnvironmental Management Systems Secretariat > OK (Bsi) Sub Committee 2. - Environmental Auditing Secretariat - Netherlands (NNT) Sub Committee 3 - ‘Environmental Labelling Secretariat - Australia (SA) Sub Committee 4 - Environmental Performance Evaluation Secretariat = USA (ANSI) Sub Committee 5 = —Life Cycle Analysis Secretariat = Germany (DIN) Sub Committee 6 - ‘Terms and Definitions Secretariat = Norway (NST) pa/docs/BSI/1S014000$5 he Working Group has a German (DIN) convenor and deals with ‘mnvironmental aspects in product standards* - a guide intended for other standards writing groups/committees to remind them to write environmental issues into product or other standards. ement_Syet: sO TC _207 = Sub Cor Environnes ‘The Sub-Committee was given 3 work items to deal with. These ari © Bnvironmental Management Systems - Specification with guidance for its use © Environmental Management Systems - General guidelines on principles and their application * Environmental Management Systems - Guidelines on special coneiderations affecting small and medium sized organisations At its first meeting (in October 1993) in Amsterdam (Netherlands) the Sub-Committee formed two working groups to produce the ‘Specification (WG1) and ‘Guidelines (WG2) documents referred to above. It also decided to deal with its third work item initially by appointing specialists (from Ireland and Denmark) to focus on small and medium enterprise issues and ensure that SMEs were not overlooked by the other groups. The SC members have recently been invited to express their views on the third work item - whether additional work ie required for the needs of SMEs and if such work is approved, a new working Group will be created. rt is, in any event, important that SMEs ensure that their views and ideas are considered during this process. pa/docs/BSI/1S014000oe ‘The Sub-Committee also agreed a very ambitious timetable for completing its work which should mean 180 standards available in 1996. The Working Groups produced Committee Drafts of proposed Standards which were circulated for comments in September 1994. The comments were considered at meetings in February 1995 and the revised Committee Drafts were circulated for ballot. The results of the ballots were 93% support for the documents becoming Draft International Standards (DIS). The DIS are being formally balloted upon, in a 2 stage process, leading, hopefully, to their acceptance as full International Standards in 1996. Both DIS have been overwhelmingly approved at first ballot stage and the second ballot should commence in the near future. The Proposed Specification - Content and Approach ‘The Working Group drafting this document worked long hours seeking to agree a consensus based document. This involved many hours of hard bargaining and negotiations - not only on the need for, or basis of, an ISO EMS but (mainly) on the detailed content of the proposed document. Reconciliation of different regional, legal frameworks and cultural and economic issues proved difficult but significant progress was achieved on all fronts. The group’s intention - the production of a good system ~ has been realised, without compromise as it believes (from my perspective at least) that the approach will achieve benefit and acceptance on an international ba: 8. Several statements have been inserted to emphasise that the intent has been to recognise and reconcile pa/docs/BSI/1S014000ais regional and national differences, not to produce a rigid (uniform) output focused system, not to create barriers to trade and to concentrate on a system leading to enhanced performance rather than a performance based system. ‘These were difficult concepts to understand for many experts involved in the Sub Committee and its working groups and will, no doubt, be difficult to ‘sell* to others in the future but the determination to do so exists throughout those involved. Equally difficult for some unfamiliar with the systems based approach advocated is the lack of prescriptive detail to the subject. The organisation decides what it wants to do, sets up a system to do it (which must contain the elements detailed in the specification - but can contain more), internally checks the system and it’s component parts, and reviews and improves its operations. This inevitably means different approaches with different (absolute) performance levels. ‘They must however share a common feature - they must continually improve. The proposed structure of the Specification based Standard (ISO 14001) iss Introduction * Scope * Normative Reference Definitions Specification Informative Annexes - A. Guidance on the use of the specification - B. - Bibliography - (. Links between ISO 14001 and ISO 9001 pa/docs/BSI/1S014000-e- The Specification clause headings from the present document are:~ General Requirements Environmental Policy Planning Environmental aspects Legal and other requirements Objectives and targets Environmental Management Programme(s Implementation and Operation Structure and responsibility Training, Awareness and Competence Communication Environmental Managenent System Documentation Document control Operational control Emergency preparedness and response Checking and Corrective Action Monitoring and measurement Non conformance and corrective and preventive action Records Environmental Management System Audit Management Review A major concern throughout the discussions was the possible impact, relevance and consequences of the European Union’s Eco Management and Audit Scheme (EMAS) on any ISO standard(s) in the areas of Environmental Management Systems and Environmental Auditing. EMAS, agreed in June 1993, has introduced on a European wide bases, a scheme whereby eligible companies which comply with pa/docs/BST/1S014000-5s it can be assessed and awarded a ‘Buro-logo* signifying their participation in and compliance with the scheme. One method of achieving compliance (not the only one) is by certification to EU approved national, European (CEN) or International standards. Indeed the European Commission have ‘mandated’ the Buropean Standards Body (CEN) to produce the necessary European standards. Clearly such a mandate places CEN and its members under an obligation which can be achieved (through joint working arrangements known as the Vienna Agreement) at ISO level but the level of detail required by EMAS and the timetable place extra pressures on European members of 180, hence the debate and concerns by European and non European members alike! It must also be remembered that CEN may be (effectively) forced to write its own standards or adapt any ISO standards dealing with the subject if the ISO products cannot be ‘approved* under EMAS. ‘The Proposed Guidelines - Content and Approach Working Group 2 has set itself a similar production target to WGl. ‘The Guidelines decument (ISO 14004) guidance based only and has not been prepared with certification (assessment) in mind. It is intended to introduce the reader to the concepts and principles of Environmental Management. systems, to reference publications and principles from around the world and to offer organisations information to help them embark upon Environmental Management. It has been written to complement the Specification based document, which will allow organisations to transfer to the latter document should they wish to do so with minimum difficulty. pa/docs/BS1/IS014000= 10 - Standards ~ Their Inté ‘Throughout the preparation and production process so far, the needs and wishes of all types and sizes of organisation - the intended users of the Standards - have been paramount. These needs have been considered in the context of developed and developing areas of the world and in a way intended to be useful and acceptable to any organisation regardless of their type, activity or location. as stated earlier, local conditions and economic considerations have been considered and the documents constructed with these issues in mind, throughout their development. National legal systems - on a worldwide basis - have also been considered as have the various approaches to the enforcement of legislation and the use of the courts. It has always been the wish of those involved in the drafting process to create a truly generic document equally valuable wherever it is used. Only time and experience will tell how successful we were in this endeavour. Clearly, the experience of some countries in the development and use of standards for environmental management systems have influenced the development process as have the experiences of practitioners, many of whom are from Europe and the so called developed and/or industrialised areas of the world. It is however, in my view, a mistake and also premature to equate such experience and input as leading to ISO standards just applicable to European style or developed country industrial economies. It is also the case that the standards are being written to be applicable to manufacturing, service, large and small organisations of every type - on the worldwide stage pa/docs/BS1/1S014000abe ‘The writers are representatives of business, industry, learned bodies, consumers and many other groups and they quite properly reflect the views of their ‘sponsors’ in the process, Practitioners also feature prominently as Working Group members but documents are only created where there is an accepted need. Current Trends and Activities I have been very surprised at the level of interest shown in the preparation of the 180 14000 series. This is especially true of ISO 14001 and interest includes an apparently endless list of countries, business and other groups holding conferences and seminars on the subject as well as a host of companies around the world (organisations) preparing for registration to either the Draft International Standard and in at least one case to the (first) Committee Draft document! Whilst Ido not believe that those efforts will be thwarted by the changes which have taken place in the content of the specification, it is a sign of their perceived need and/or worth that they should be used so enthusiastically. Another form of interest has been from Governments and Regulatory agencies. Legislation has traditionally been seen as being required to force consensus and action to improve environmental performance in all but a few committed cases. This has been challenged and standards, particularly ISO 14001 are seen as offering a self regulatory option whereby the legislators and regulatory bodies can channel requirements and resources to those without a third party Registration. Several countries are talking about reducing legal requirements and inspections by state agencies in such circumstances. From a standards user perspective pa/docs/BSI/1S014000 $627-12- this has clear, potentially financial and other benefit: There are several areas of concern which remain to be resolved. They include:- - acceptability of the standards worldwide by all ‘interested parties! - mutual recognition of registration certification documents and procedures - the need for national accreditation and certification schemes on a comparable and recognised basis throughout the world - a view that SMEs and developing countries have special néeds The issues around certification and accreditation are being addressed by bodies such as ISO CASCO (Conformity Assessment Committee), the TAF (International Accreditation Forum) and similar regional bodies. Guidance documents are being drafted which will hopefully be accepted worldwide and reduce many of the related uncertainties. I have previously mentioned the SME issue and participation by the (so called) developing and emerging nations in the work of SO and its Committees as well as conferences such as this event and experienced gained from others will ensure that the standards are relevant in such case. I hope 80. (The views and opinions expressed are not necessarily the views of Northampton Borough Council, BSi or ISO and its members, and are those of the author only). pa/doce/BSI/IS01400024 oo - MUSTO0IWDI (Reference) 09 » ea Moamunanniudunadoulna winhanmventinaue We ‘Thalleng Titeay :