In order to protect the public from environmental related issues, business organisations have been implementing measures, by introducing Visy.
Now, Visy is a world’s largest owned paper, dealing with packing, recycling the company’s papers & encouraging the organization to achieve the environmental goal.
A brief of National Packaging Covenant, for the financial year 2014 was examined in detail, in order to review the steps that were taken by the organization towards environmental goal.
Visy’s Environmental Goal:
Visy’s focus has been to be a sustainable manufacturer environmentally, to avoid negative impacts on environment, achieve its goal and have users in Australia as well.
Not only that, Visy has also implemented its environmental code of practice and constantly engaged in package recycling and reusing, thus avoiding disposals.
Some of the initiatives taken by Visy are development of new markets (Environmental Management System, EMS, 2010) with better designing, light weight packaging and recovery rates in order to achieve its environmental goal.
Management Accounting plays an important role:
Management Accounting provides satisfactory information of the organisation’s internal management by focusing on monetary policies & monetary related concerns, which is helpful for business policies formulation and use of resources in an effective way.
Since the accountants have monetary and non-monetary information of organization, they play an important role in ensuring environmental management system and framing rules and regulations concerned to managing finance.
Similarly, the accountants also bring in traditional functions of accounting by implementing an Environmental Management System (EMS) within the organisation.
They also ensure better results by incorporating mechanism, which deals with performance evaluation of the environment & its impact on organisation, thereby helps in achieving monetary success with regards to environment.
According to Wilmshurst and Frost (2001), accountants could identify the information related to organization and therefore, eligible to make important decisions.
As per study on accountability, corporate governance and sustainability, conducted by Ans Kolk, the companies are engaged in attaining accountability and transparency, by learning legal and ethical aspects, regarding environment.
Environment goals at Visy and its assistance from Management Accounting:
The Management at Visy, found a diligent business practice and good environment works jointly. Not only does the accountant keep a track of monetary related things like costs, earnings and savings, but also focuses on information of water, material waste and energy.
Visy asks for staff’s advice on their day to day activities, to see how compatible they are environmentally, by issuing values to them. The Management is bringing in the Environmental code of practice into system, to enable the packaging team practice the rules and regulations within the codes provided.
As per major resource management concerns in Australia, higher prioritization is given to the capital for water and energy. Visy is working on effective internal operation towards environmental growth using the same resource technique.
To efficiently use the water, Visy conducts energy audits and develops water management plans. Since water energy is the scarcest resource, Visy makes sure they are used in limit.
As per the Visy report, the organization aims for achieving internal efficiency, remaining environmentally competitive and sticking to its goal.
This whole article was to give a briefing on how Management Accountant plays an important role in making the Visy’s goal of environmental growth to succeed. As per many studies undertaken from various sources also proves the importance of Accounting in environmental management system.
The conclusion for the Management Accounting in Visy is that it plays an important role in achieving organisation’s goal of being effective in recycling and packaging.