ABSTRACT/ PURPOSE

This paper will attempt to define environmental management and outline its importance,
particularly in periods of reformation. Initially, the paper will conduct a literature review of

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environmental management in Measures and controls which are directed at environmental
conservation, the rational and sustainable allocation and utilization of natural resources, the
optimization of interrelations between society and the environment and the improvement of human
welfare for present and future generations. As well, the review will consider effective strategies for
maintaining environmental management and for assessing the impact of environmental
management and commitment of employees remaining with the organization. A subsequent section
of the paper will provide a brief overview of the current environmental catastrophe of
environmental management. Finally, the paper will recommend strategies to implement in
environmental management to maximize the opportunities for the remaining employees to maintain
environmental sustainability.

INTRODUCTION
One of humankind’s greatest challenges this century will be to ensure sustainable, just and
balanced development. The needs of current and future generations cannot be met unless there is
respect for natural systems and international standards protecting core social and en vironmental
values. In this context, it is increasingly recognized that the role of the business sector is critical.
As a part of society, it is in business’ interest to contribute to addressing common problems.
Strategically speaking, business can only flourish when the communities and ecosystems in which
they operate are healthy. Presently it is imperative that business needs to manage its relationship
with society and sur rounding environment so as to achieve and meet its core business objective.
Means business performance is also be measured on the bases of level and impact of its activity on
the envy ornament and society as a whole. Company’s responsibilities and trustworthiness in the
eyes of customers and the population is now being used as a parameter to position the companies
against its competitors. Thus top level managers are paying proper due attention on all their
activities, actions and respective impacts towards the environment and the society. Being a
strategic issue, a firms social policies require active involvement of the entire company, top
management in particular (Varadarajan & Menon, 1988). CSR subsumed a broad spectrum of
activities, ranging from internal human resource healthand safety and management, to
environmental protection, and includes every aspect of firm’s
impact on society. In fact, when pursued as an abstract to concept, CSR is not easy for the public to
comprehend. Dealing with specific present-day issues is often desirable to effective

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communication; enhance the public receptiveness to a firm’s public relations effort. The Company
might need to explain what they stand for; How CSR is carried out, how society gets benefit from
such actions (Brink et al, 2006).
As per Kotler and Lee (2005), CSR from the marketing context, while adding that decision makers
in corporate reflect an increased desire for “doing well & doing good. Companies utilize the CSR
concept strategically by selecting areas of focus that fit with their value, choosing issues related to
core products & core market, and supporting social issues that pro vide opportunities to meet their
need of being acceptable by its major stakeholders. The qual ity and level of favorable acceptance
and relationship of a company with its stakeholders is critical to its own success. In a given
consumer product manufacturing company such as BGI, the major partaker of stakeholders
measurement are consumers mostly and its employees and the surrounding communities in its area
of activity partly. Assessing to know the degree of af firmative acceptability level amongst its
major stakeholders will let the company recognize its prestige and help take needful steps for the
next level of success.
The ability to change continually and successfully is considered to be essential to any
organization’s and environmental survival. The need for ongoing change requires an organizational
ability to learn on a continual basis in a coordinated and progressive way (Zorn et al., 2000). This
has been widely considered to be a significant factor in the private sector’s ability to achieve and
maintain a competitive advantage and, in the same manner, the public sector’s ability to
demonstrate continued value and relevance for citizens. Continuous learning processes with
enhanced capacities for change are linked to the importance of past experiences and the transfer of
knowledge as factors in organizational learning (Allen et al., 2007). Research by Diane Skinner
(2004) brings these concepts together by noting the importance of “knowledge acquisition
processes and the need for organizations to share knowledge and learning as a way to maintain a
environmental sustainability” (p. 140).

ENVIRONMENTAL MANAGEMENT
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 In recent years, Corporate Social Responsibility (CSR) on environmental management has
gradually become a leading issue in business. Heightened corporate attention to CSR has not
been entirely voluntary. Many companies awake to it only after being surprised by public
response to issues they had not previously thought were part of their sibilates. But despite their
intent, the practice and what drives them to engage is not lucid

When an organization undertakes an activity which impacts upon the environment then this affects that
environment in ways, which are not reflected in the traditional accounting of that organization. The
environment can be affected positively, through for example a landscaping project, or negatively, through
for example the creation of heaps of waste from a mining operation. These actions of an organization
impose costs and benefits upon the external environment. These costs and benefits are imposed by the
organization without consultation, and in reality form part of the operational activities of the organization.
These actions are however excluded from traditional accounting of the firm3, and by implication from its
area of responsibility. Thus we can say that such costs and benefits have been externalized. The concept of
externality therefore is concerned with the way in which these costs and benefits are externalized from the
organization and imposed upon others. Such externalized costs and benefits have traditionally been
considered to be not the concern of the organization, and its managers, and hence have been excluded from
its accounting. It must be recognized however that the quantification of the effect of such externalization,
particularly from an accounting viewpoint, is problematical and not easy to measure4, and this is perhaps
one reason for the exclusion of such effects from the organization’s accounting. It is probably fair to state
however that more costs have been externalized by organization than benefits. Hence a typical organization
has gained from such externalization and the reported value creation of such an organization has been
overstated by this failure to account for all costs and benefits. This is achieved by restricting the accounting
evaluation of the organization to the internal effects. Indeed one way in which an organization can report,
through its accounting, the creation of value is by an externalization of costs, which are thereby excluded
from the accounting of the organization’s activities.

Every organization needs to be perceived as operating in an environment. Organizations are neither

self-sufficient not self-contained. Rather they exchange resources with and dependent upon
external environment. External environment can be defined as all the forces and conditions outside
the organization that are relevant to its operation and influence the organization. Organizations take
inputs(raw materials, money, labor and energy) from the external environment, transform them into
products or services, and send back as output to the external environment. The other environment is
internal which can be defined as all the forces and conditions within the organization that

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influences its behavior. Thus, environment can be broadly classified into (1) Internal environment,
and (2) External environment.
(1) Internal Environment
Each business organization has an internal environment, which includes all the elements within the
organization's boundaries. Strictly speaking they are part of the organization itself. The major
components of the internal environment are :
a. Employees
b. Shareholders and Board of Directors
c. Culture
(2) External Environment
According to James Stoner, External environment can be defined as all elements outside an
organization that are relevant to its operation. This environmental context becomes more clear if
the external environment is further divided into two distinct segments:(1) general environment and
(2) task environment.
(a) General Environment
The general environment consists of interrelated forces that can be categorized into four elements:
1. Economic Environment
2. Socio-Culture Environment
3. Political Legal Environment
4. Technological Environment
(b) Task Environment
The task environment puts indirect pressures on business management through the institutional
processes of following elements:
1. Customers
2. Suppliers
3. Competitors
4. Financial Institution
5. Government
6. Media
Environmental Impact Assessment It's the study undasures and controls which are directed at
environmental conservation, the rational and sustainable allocation and utilization of natural

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resources, the optimization of interrelations between society and the environment and the
improvement of human welfare for present and future generations.
 Environmental Impact Assessment
 Environmental Management Planning
 Environmental Auditing
 Socio-Economic Assessment
 Solid Waste Management
 Air Quality Monitoring
 Water Quality Assessment
 Soil Quality Assessment
 Water and Wastewater Management
Environmental Impact Assessment It's the study undertaken in order to assess the effect on a
specified environment of the introduction of any new factor, which may upset the current
ecological balance. An Environmental Impact Assessment (EIA) study is a statutory requirement in
all projects that might produce considerable adverse effects. EIA does not involve any decisions
about the project, nor does it restrict the citizens' subsequent opportunities to influence the project.
The purpose of EIA is to increase the citizens' opportunities of participation and obtaining
information at an early stage of the project, and to reveal the environmental impact so that it can be
considered in the planning stage. The EIA process has to be completed before the commencement
of any project.

Environmental Management Planning

Environment Management Planning includes the identification of mitigation and compensation

measures for all the identified significant impacts. It also involves the physical planning including
work programmed, time schedule and locations for putting mitigation and compensation systems in
place, delineation of financial plan for implementing the mitigation measures in the form of
budgetary estimates and demonstration of its inclusion in the project budget estimates.

Environmental Auditing

An assessment of the nature and extent of any harm or detriment, or any possible harm or
detriment, that may be inflicted on any aspect of the environment by any activity process,
development programmed, or any product, chemical, or waste substance. Audits may be designed

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to: verify or otherwise comply with environmental requirements; evaluate the effectiveness of
existing environmental management systems; or assist in planning for future improvements in
environment protection and pollution control.

Socio-Economic Assessment

Socio-Economic Impact Assessment (SEIA) is carried out to help understand the potential range of
socio-economic impacts of a proposed change, and the likely responses of those impacted if the
change occurs. It is important to determine not only the full range of impacts, such as changes to
levels of income and employment, access to services, Quality of life, but also the understanding of
implications of each particular change. This understanding can help design impact mitigation
strategies to minimize negative and maximize positive impacts of any change on the society.

Solid Waste Management

It may be defined as the systematic administration of activities, which are provided for the
collection, source separation, storage, transportation, transfer, processing, treatment, and disposal
of solid waste. It includes non-liquid, non-soluble materials ranging from municipal garbage to
industrial wastes that contain complex and sometimes hazardous substances. Solid wastes also
include sewage sludge, agricultural refuse, demolition wastes, and mining residues.

Air Quality Monitoring

Air quality is assessed to evaluate the existing ambient conditions and to predict the anticipated
conditions after any development. Air pollution comes from many different sources: stationary
sources such as factories, power plants and smelters and smaller sources such as dry cleaners and
degreasing operations; mobile sources such as cars, buses, planes, trucks and trains; and naturally
occurring sources such as windblown dust and volcanic eruptions, all contribute to air pollution.
Air Quality can be affected in many ways by the pollution emitted from these sources.

Water Quality Assessment

Water environment is assessed to evaluate the existing and anticipated impact of the developmental
activities. Understanding the water quality is essential in identifying critical issues with a view to
evaluate the impacts on habitat conditions, recreational resources, agricultural productivity and
aesthetics in the vicinity and to suggest appropriate mitigation measures for implementation.

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Soil Quality Assessment

The soil resource is a vital component of our environment and the monitoring of soil properties is
essential in achieving sustainable land use. The objective of the assessment is to determine the
potential of soil in an area and identify the impacts of urbanization and industrialization on soil
quality. Water and Wastewater Management

The provision of water is usually a prime requirement of any development. GET provides complete
solutions for all water related problems in both treatment and water handling covering all aspects of
a developer's water service infrastructure requirements. We specialize in the following services.

 Sewage Treatment Plants

 Effluent Treatment Plants
 Mineral Water Plants
 Reverse Osmosis Plants
 Demineralization Plants
 Hydro Pneumatic Systems
 All types of Filtration System
International Organization For Standardization (ISO 14000)
The ISO 14000 family addresses various aspects of environmental management. It provides
practical tools for companies and organizations looking to identify and control their environmental
impact and constantly improve their environmental performance. ISO 14001:2004 and ISO
14004:2004 focus on environmental management systems. The other standards in the family focus
on specific environmental aspects such as life cycle analysis, communication and auditing.

ISO 14001

It serves as a framework to assist organizations in developing their own environmental

management system. ISO 14001 can be integrated with other management functions and assists
companies in meeting their environmental and economic goals.

ISO 14000 is a family of standards related to environmental management that exists to help
organizations:

 Minimize how their operations (processes etc.) negatively affect the environment (i.e. cause
adverse changes to air, water, or land)
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  Comply with applicable laws, regulations, and other environmentally oriented
requirements, and
 Continually improve in the above.

Organizations are responsible for setting their own targets and performance measures, with the
standard serving to assist them in meeting objectives and goals and the subsequent monitoring and
measurement of these. This means that two organizations that have completely different measures
and standards of environmental performance, can both comply with ISO 14001 requirements. Basic
Principles And Methodology

1. Plan – establish objectives and processes required

Prior to implementing ISO 14001, an initial review of the organisation’s processes and products is
recommended, to assist in identifying all elements of the current operation and if possible future
operations, that may interact with the environment, termed environmental aspects. Environmental
aspects can include both direct, such as those used during manufacturing and indirect, such as raw
materials. This review assists the organisation in establishing their environmental objectives, goals
and targets, which should ideally be measurable; helps with the development of control and
management procedures and processes and serves to highlight any relevant legal requirements,
which can then be built into the policy.

2. Do – implement the processes

During this stage the organization identifies the resources required and works out those members of
the organisation responsible for the EMS’ implementation and control. This includes
documentation of all procedures and processes; including operational and documentation control,
the establishment of emergency procedures and responses, and the education of employees, to
ensure they can competently implement the necessary processes and record results.
Communication and participation across all levels of the organisation, especially top management
is a vital part of the implementation phase, with the effectiveness of the EMS being dependant on
active involvement from all employees.

3. Check – measure and monitor the processes and report results

During the check stage, performance is monitored and periodically measured to ensure that the
organisation’s environmental targets and objectives are being met. In addition, internal audits are
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regularly conducted to ascertain whether the EMS itself is being implemented properly and
whether the processes and procedures are being adequately maintained and monitored.

4. Act – take action to improve performance of EMS based on results

After the checking stage, a regular planned management review is conducted to ensure that the
objectives of the EMS are being met, the extent to which they are being met, that communications
are being appropriately managed and to evaluate changing circumstances, such as legal
requirements, in order to make recommendations for further improvement of the system. These
recommendations are then fed back into the planning stage to be implemented into the EMS
moving forward.

Benefits

ISO 14001 was developed primarily to assist companies in reducing their environmental impact,
but in addition to an improvement in environmental standards and performance, organizations can
reap a number of economic benefits including higher conformance with legislative and regulatory
requirements by utilizing the ISO standard. Firstly by minimizing the risk of regulatory and
environmental liability fines and improving an organization’s efficiency, leading to a reduction in
waste and consumption of resources, operating costs can be reduced.

Secondly, as an internationally recognized standard, businesses operating in multiple locations

across the globe can register as ISO 14001 compliant, eliminating the need for multiple
registrations or certifications.

Thirdly there has been a push in the last decade by consumers, for companies to adopt stricter
environmental regulations, making the incorporation of ISO 14001 a greater necessity for the long
term viability of businesses and providing them with a competitive advantage against companies
that do not adopt the standard. This in turn can have a positive impact on a company’s asset value
and can lead to improved public perceptions of the business, placing them in a better position to
operate in the international marketplace. Finally it can serve to reduce trade barriers between
registered businesses.

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 Corporate Social Responsibility
The concept Corporate Social Responsibility might be unfamiliar to several, but the aspira tion for
socially responsible companies is emerging (Carroll & Shabana, 2010). Even if it is a new concept,
the customers and investors are expecting a company that actions sustainable to environment and
society. The way companies act socially responsible can be dissimilar, but common is the increased
compression of satisfying stakeholder’s needs. The CSR actions can vary among industries and
differ from controversial global issues, such as malaria and poverty in developing countries, to
decreasing carbon dioxide emissions or supporting the local school in a sports tournament. The
demand for CSR has been emerging for the latest decades and has enforced many companies, and
especially global ones, to reevaluate their commit ment in CSR and employ it in their every-day
operations (Carroll & Shabana, 2010).
The proposition is that the roles and impacts of corporate actors go beyond providing revenue and
employment and maximizing profit and hence increasing shareholder’s value, that they have
influence and power (actual and potential) beyond their official location inside legal and political
structures, particularly those of developing countries and that they should be recog nized as
conscious and influential participants in activities with a broad range of consequences. In this
regard, the Johannesburg Declaration on Sustainable Development asserts the need for corporate
accountability and the duty of private sector to contribute to the evolution of equitable and
sustainable communities and society (UNECA & AU, 2010).

Social Responsibility
It is vital and valuable to define the related terms and concepts of corporate social responsi bility
before directly drives to word by word meaning of Corporate Social Responsibility.The concept of
Corporate Social responsibility is twisted around business and society. According to Carroll
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business may be defined as the assembly of private, commercially oriented 9 (Profit oriented)
organization, fluctuating in size from one person, proprietorships to corporate giants. However
Society may be defined as a community, a nation or a wide federation of people having common
traditions, values, institutions, and collective activities and inter ests. As such, when we speak to
business and society relationship, we may in fact be refer ring to business and the local community
(Coca Cola and Atlanta or with the same token Me ta and Sebeta, Business and the country as a
whole, business and global public or business and specific group of people). For the last three
decades, business has been undergoing and received unlike and strong in spection from the public.
These long process as the result comes out some level of standard concern as to what
responsibilities business has to the society.

These concerns have produced an unprecedented number of pleas for corporate social
responsibility (CSR). Corporate Social Responsibility has been redefined over the years. The
concept of CSR is much debated. Practitioners argue that there is a strong business case for CSR, in
that busi ness organizations benefit in multiple ways by operating with a perspective broader and
longer than their own immediate, short-term profit. Proponents of CSR also posit a virtuous
relation between the increased presence of foreign investment and the promotion of growth and
development in the countries concerned. These links have led private sector actors in the mining
sector to turn to multilateral institutions and bilateral agencies not only for financial support of
various kinds for their business operations (loans, export credits for example), but also, more
recently, for support for their projects in the area of CSR. Critics, however, argue that CSR
distracts from the fundamental economic role of businesses; others argue that business engagement
in social and community development is, more likely than not, destined to be outward, short
termed, and neither equitable nor sustainable (Campbell, 2011).

CSR is a framework for formulating and employing the expanded roles and responsibilities of the
corporate sector to include incorporation of the opportunities and needs of a wider community in
the business model. In the areas of environment, social and community development, employment
and labor and human rights (UNECA & AU, 2010). According to Khoury et al; (1999), explain the
overall relationship of corporations with their stakeholders. This includes communities, customers,
employees, owners/investors, govern ment, suppliers, and competitors. Social responsibility

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elements include investment in community area, employee, creation and maintenance of
employment, environmental issues, and financial performance.

Who are the Stakeholders?

“Stake is an interest in or share in an undertaking” (Buchholtz and Carroll, 2008), in a small group
of friends who have out for a dinner or launch each of them has an interest or stake, in groups
decision. No money would be spent yet until each of the group conveys his own stake or interest in
terms of choosing and preferring what would be taken. In trails, then, that Stakeholder is an
individual or a group that has one or more of various kinds of stakes in an organization. Just as
stakeholders may be affected by the decision, ac tion, policies, or practices of the business firm,
these stakeholders also may affect the deci sion, actions, policies or practices of the business firm.
Therefore there is two-way interac tion or exchange of interaction between stakeholders and
business. In today’s global business environment, there are many individuals and groups who can
be considered as business stakeholders. On one hand there are individuals and groups who has
legitimate direct claim or interest in the eyes of management and on the other hand there are also a
significant number of individuals and groups who are indirectly has interest on the

DuPunt, stated:” We have traditionally defined four stakeholder groups important to DuPont -
Shareholders, customers employees, and society.”As per Buchholtz and Carroll stakeholders are
categorized primary and secondary as follows: Primary Stakeholders have a direct stake in the
organization and its success, therefore they are most influential. These include:-
 Shareholders and investors
 Employees and M hareholders and investors
 Employees and Managers
 Customers
 Other Partners ( Suppliers)
Secondary Stakeholders influential as well, especially in affecting reputation and public standing,
but their stake in the organization is more indirect. These include:
• Government and regulators
• Civic institutions
• Social pressure groups
• Media and academic commentators
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 • Trade bodies
• Competitors
The main point that should not be ignored here is that the secondary stakeholders can quickly
become key ones. This often occurs by way of media or special interest group (Boycott or
demonstration) takes precedence over the other claims. Thus it is useful to comprehend both
primary and secondary class of

Principles of Corporate Social Responsibility

Crowther and Aras in their book of “Corporate Social Responsibility” have put three basic
principles which together compile all CSR activities. These are:-
1. Sustainability
2. Accountability
3. Transparency

Theoretical Framework
The theoretical framework for this study is the eight step model to transforming an organization as
recommended by Kotter (1995) for organizations. This model is depicted as follows by Kotter:

Step 1: Not establishing a great enough sense of urgency;

Step 2: Forming a powerful guiding coalition;

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 Step 3: Creating a vision;

Step 4: Communicating the vision;

Step 5: Empowering others to act on the vision;

Step 6: Planning for and creating short term wins;

Step 7: Consolidating improvements and producing still more change; Step

Step 8: Institutionalizing new approaches.

The Organization: AVIDCO

The AVNDCO is a voluntary association in Ethiopia, which provides a variety of services to its
member organizations and socities. These services are primarily Group Purchasing, Advocacy and
Representation, Pastoral Care, and Collective Bargaining. The AVNDCO is funded through
contributions from each of the member. All publicly- funded health boards have elected to hold
membership in the AVNDCO.

Regionalization within the health system began in 1994, which essentially involved a reduction
in the number of individual health boards from approximately 45 to 14. As a result of the
regionalization, the AVNDCO restructured internally with a greater emphasis placed on client
services, with members requiring additional services based on the same fiscal contributions as
pre-regionalization. The AVNDCO funding has been essentially a “flat line” budget for the
period 1994-1999. A review of the historical financial data indicates that the AVNDCO has
approximately the same budget today as it had eleven years ago. One of the unwritten policies of
the AVNDCO is to share its members’ pain with respect to financial restraints. In the fiscal year
2013-14, government imposed a requirement of balanced budgets within the health sector.

The Executive Director of the AVNDCO is accountable to a Board of Directors, which is

comprised of one elected representative from each of the 14 health boards. The Board of
Directors essentially operates under a governance model. The AVNDCO has a three-year
strategic Operating Plan. Presently, the AVNDCO employs 15 full-time staff members and the
2002-03 Operating Plan requires operating revenues of approximately $1.1 million. The
AVNDCO has budgeted a $140,000 deficit for the 2005-06 fiscal year. There is little likelihood

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 of receiving additional monies from member organizations given their fiscal restraints. Wages
represent approximately $800,000 of the overall expenditures and office rental space accounts
for approximately $160,000 in additional expenses.

Senior management of the AVNDCO has received direction from the Board of Directors to
present a balanced budget for the upcoming fiscal year 2003-04. A review of the financial data
indicates that measures such as reducing courier services and decreasing use of facsimile
transmissions will have minimal impact on achieving a savings of approximately $140,000.
Conclution
Current environmental management activities represents challenge and a truly paradigmatic shift for
business corporations. Despite good awareness and intentions, the environmental management
approach of the companies, organizational management is still largely conceived in the context of
voluntary philanthropic responsibility initiative as a result of enlightened entrepreneurship
exercised by owners of the organization, with the corresponding responsiveness processes and
outcomes modest at best (Jamali & Mirshak, 2006).

The actual practice of environmental management in the developing world is not a wide spread
phenomena. Even though most of environmental management issues are included in the various
laws and policies of the country, their implementation is inevitably lagging behind; that may be due
to lack of full awareness of the relevant practices and its consequences. Some companies are also
reluctant to the implement station of such rules as costs effect. Though, developing countries’
firms are still in the initial level of development in their awareness and integration of
environmental management activities within their corporate policies and strategies, which is reflect
on the country’s early stage of private sector development (Mandurah, Khat- ib & Al-Sabaan,
2012).

While those managers are aware of the environmental management concept and exhibit a positive
attitude toward it, there is a gap between employee and top management attitude and perception of
the concept. Tends to lean toward being classical and viewed as philanthropic responsibility rather
than strategic orientation. A company’s performance and business in general could not be
measured solely by gaining economic profit to the organizations. Rather its shareholders and
managers should be respon 4 sible for all others who directly or indirectly affect or are affected by
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a firm's business activi ties (Vitezic, 2011). The motivation for environmental management is
likely to be strictly adjusted and the private sector cannot be ex pected to be effectively engaged in
a sustainable CSR drive. Paradoxically, it is precisely in a developing country context that the need
for CSR type initiatives is most delicate (Jamali & Mirshak, 2007). In due fact presently all over
the world consumers, employees and social communities have become more and more attentive of
the CSR efforts of companies and base their relationship with them based on this. A stark and
complex shift has occurred in how organizations must understand themselves in relation to a wide
variety of both local and global stakeholders. Ac countability is one of the processes whereby a
company seeks to ensure integrity. The leading most authoritative outcomes from the fact that
investment in mineral-rich coun tries of sub-Saharan Africa has not contributed to the community
and financial development and the conservation of the environment of the nations worried over the
last decades. It is not for business to supernumerary itself for government initiatives and follows
development ob ectives. If corporations are to donate to these objectives, it is through exchanging
reasonable and transparent contracts, paying adequate incomes according to directives set out in
country wide controlling frameworks, and obeying the laws of the country (Giannarakis, 2009).

This paper envisaged to assess the stakeholders’ perception of environmental management carried
out by AVNDCO Brewery S. Co and measure the level of feeling and attitude of consumers,
employees and part of the societies towards the company environmental management activity. The
researcher also believe that this re search help other domestic company’s leaders to comprehend
the concept and effect of environmental management and to include on their day by day business
decision

Recommendations
One noteworthy limitation of this paper is that it will not recommend specific changes for the
AVNDCO, which are beyond the scope of this paper, rather it will recommend strategies to
maintain or enhance organizational commitment during management of environment. These
recommendations are directed to the senior management team at the AVNDCO.
1. Consider why environmental management is necessary. Obviously, there is a need to
reduce expenditures and present a balanced budget; however, the senior management
team must look beyond this and adapt a long-term perspective. This will require

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 developing a sense of how the downsizing will move the AVNDCO to become a
stronger organization where it can survive and prosper. Part of the survival encompasses
continuing to provide services required by members.
2. In other words, the proposed networking should not be simply an exercise to identify monetary
savings by having less people working. The senior management team must be aware that it
needs to maintain the required skills and competencies in order to provide services demanded
by the members, otherwise the member organizations will not look to the AVNDCO to provide
such services and this could have a detrimental impact on the sustainability of the AVNDCO.

3. When the management plan is complete review of the AVNDCO Strategic Plan is
required in order to include the goals of restructuring in the plan. This will serve the
purpose of making the goals measurable. As well, employees may be inclined to see
this as a measure of continued survival of the organization.
4. It is incumbent that the senior management team recognize the “contract” with staff. Up
to this point in the AVNDCO’s existence, there has not been a period where layoffs or
downsizing has been required and, as a result, many employees may see this move as a
reflection of incompetent management and a breach of trust. While the term “vision”
may be a misunderstood and overused term it is important that senior management
convey to staff a clear picture of why downsizing is required, where they see the
organization going, and the role that the employees remaining with the organization will
play. This message should be developed in conjunction with forming a long-term
perspective as identified in recommendation number 1. Employees need to understand
how the downsizing will provide the AVNDCO with a competitive advantage. This message
must also be conveyed to senior management, not solely staff employees.

5. Training should be provided to senior managers, as required, to ensure they have

appropriate skills to communicate the rationale for the change and to implement staff
reductions.
6. When announcing the partnership invitation plan must be done with all senior
management and all staff present. Senior management should solve a decrease in
productivity and income generation problems

7. Ensure, to the extent practical, that downsizing is fair. Obviously, individuals will
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 perceive fairness differently based upon their own experiences and expectations;
however, senior management must treat those who will be leaving the organization in a
professional and generous manner. Likewise, those remaining must be given correct
information, communication must be conducted in a personal manner and the messages
must clearly outline the rationale for the downsizing.

8. To increase affective commitment there will be a need to follow previous

recommendations and have those employees remaining with the organization involved

9. Normative commitment will likely take some time to strengthen as employees “recover”
from the downsizing to the point where they perceive the organization as meeting its
commitment to them of continued employment. Once they perceive this, they will likely
demonstrate an increased cooperation and will assist with change initiatives.

10. Some employees inclusive of senior management may not share a vision of the new
organization as proposed through the downsizing. If such individuals continue to
maintain a resistance to the changes, to the extent that this may have a detrimental impact
on the restructuring and such individuals may have to be terminated.

SUMMARY

Environmental management is a difficult task and statistics show that often it is not successful.
In order to improve the chances of success, a well thought-out plan is required rather than a
short-term fix. Success in this case is measured by the organization’s survival. Critical success
factors are such things as open communication with employees, which serves to outline the
rationale of the change in role the employees will play within the organization. Secondly, senior
management must be cognizant that emphasis is placed on maintaining or ideally enhancing
organizational commitment of those remaining with the organization. Given the client focus of
the NLHBA, it is imperative that downsizing not occur with a cost that the necessary skills and
competencies will no longer be available to the NLHBA to meet its needs as a service provider
to its members.

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