Case Study on Evaluating Business Environmental Performance of Iceland Manufacturing Limited

Introduction

Environmental performance has become an area of concern for most factories and manufacturing industries. Environmental conservation has been of interest by most governments and public at large (Sarkis and Torre,2010). Most of the concern is on the effect of human activities on the immediate environment.it is due the negative influence of the practices to the environment for example the global warming. Any organization that aspires to stay in the policies and harsh business necessities has to develop an effective environmental conservation system (Diaz,2014)

As such, most industries worldwide have developed an interest to address the environmental sustainability cases (for example emission of carbon oxide in the surrounding). Bandits (2013) argues that management of the environment through effective systems helps companies in identifying, managing, monitoring and controlling environmental related problems. As factories explore the sustainability issue, they try to incorporate environmental sustainability in their management functions. Hasan (2015) states that companies and workers have to embrace environmentally good produce so as to regain environmental effective, minimize poverty and come up with economic improvements. All factories including food processing should put in place ways that will see all aspects of working are friendly to the environment (Diaz and Sarkis,2014). Having a track record of good environmental performance will help the organization meet the environmental rules, this will avoid lawsuits and legal penalties. Through effective use of raw materials, minimization of waste emission and reduction of insurance risks, the company will boost its reputation among its stakeholders. This paper seeks to evaluate the environmental performance of Iceland Manufacturing Limited.

Methodology

This is as qualitative research study aiming at evaluating the environmental sustainability performance of Iceland Manufacturing Limited. Kyle (2019) defines methodology as the guideline and technique that is often used in the identification, selection and analysis of data about a particular title. The section addresses how data was collected, analyzed and presented using which tools. The research adopted survey approach because the report evaluated the environmental performance of manufacturing and processing industries in the United Kingdom. This paper is a survey research and it aimed to evaluate the performance of companies as far as environmental sustainability is concerned. Also, the research used a case study design. James (2001) defines a case study as a research design in which studies is based on an in-depth evaluation of a particular group of people, object or concept. Robertson (2008) further defines a case study as an intensive study about an object, group of people. Using a case study is effective because it enables the researcher capture and acquire the real state of the scenario and narrow down the broad topic of the study in to researchable. On the other hand, it also makes it hard to make general conclusion based on the data collected. In this case, Royal Dutch Shell was used as a case study of the study.

To begin with, recent studies which summarized research concept of environmental performance plus its related aspects was reviewed resulting in strategic and operational angles of the topic. Additionally, related journals and papers were analyzed in terms of how they relate to the topic, about 15 empirical studies were reviewed by employing integrative research review method.

Company overview

The Iceland manufacturing Limited is food processing company which provides food services to its customers. It offers frozen and ready food that include vegetables, sauces and special meals. It is located in Manchester, United Kingdom and it was founded in 1985.The company is among the Iceland Foods Group that won judges special Award in 2021, it is among the best food processing industries in England. Further, the company has a total of 193 employees who are assigned to various duties.

Evaluation of Environmental performance of Iceland manufacturing limited

The study involved the review of 15 recent research papers relative to the topic. Empirical studies show that most companies in United Kingdom struggle having a recommendable environmental performance record. However, the papers do not clearly describe the performance index level of the Iceland Limited which brings the essence of evaluating the environmental sustainability performance Iceland company.

The environmental management sections

The company comprises of various departments including the environment management department. The department handles all issues that relate to the company’s environment. This implied that the company prioritized environmental aspects hence meeting the environmental regulations. Lewis (2012) reveals that companies should comply to the environmental managent legislations and implement them in their activities.

Existence of environmental performance policies

The company contains a detailed and well formulated set of environmental policies that regulate use and dispose of company’s product. Some of the policies include

1. Consideration of environmental effects in all business operations
2. Implementation and review of environmental performance annually.
3. Complying with the environmental regulations in every activity undertaken
4. Disposition of waste products responsibly in aim to reduce, reuse and recycle waste materials.
5. Communication of policies to all stakeholders (employees, suppliers, contractors and consultants)
6. Monitoring of environmental impacts on all operations.
7. Conducting training session to enhance the ability and skills of employees on how to conserve the environment.

The company concurs with UNDP (2015) that states companies should formulate and implement regulative policies in regard to environmental management and develop ways of enhancing the ability and skills among its employees.

The green manufacturing activities

The company adopted green manufacturing activities that made it easy for the management of environment. The green manufacturing operations had a positive impact on the company’s environmental management, for example recycling of the products had an influence on the performance of the organization on environment management. also, treatment of waste materials, conservation of energy by using digital resources in the production in mention of a few had a positive impact in conserving the environment. This shows that Iceland Manufacturing Limited company has the necessary resources in the recycle used materials, waste material treatment and conservation of energy. According UNDP (2015) states that manufacturing activities in competitive companies will be improved through effective leadership, awareness of the employees, adoption of modern technology plus production of environmentally friendly stuffs.

Pollution prevention activities

The company adopted pollution practices on a small extend, for example air pollution through emission of harmful gases to air still persists. This is because the company do not treat gases before they are released in air. Companies should conserve natural resources including air and water for a sustainable environment (Blacksmith,2012). Through analysis of the company environmental annual report, they were insufficient waste treatment resources hence resulting in pollution of the surrounding. Also, the report indicated that the company recorded huge number of its workers inhaling hazardous gases at work stations and that most employees were not trained on how to use the machines neither were they provided with the right personal protective equipment. Additionally, the company had heavy and noise machines that consumed a lot of energy plus producing high noise in the surrounding. Companies should train workers on the safety ways and install machines that utilizes little energy (Delmas and Toffel,2014).

Environmental management system activities.

Empirical literature including the environmental evaluative report show that Iceland limited company adopted inappropriate management systems that made it difficult to have a good performance in the environment, for example formulating of green marketing regulations was still a challenge. Also, the company had a poor performance in complying to waste disposal Act. This means the organization was not compliant to the set standards. Annual evaluative report show that workers involved in accidents due to lack of sufficient information on how to handle machines. Murphy etal (2014) most companies scored poorly sustainable environmental activities because of non-compliance to the legal regulations as well as lack of awareness amongst the workers.

Recommendations for improvements

The research study found that the company had not incorporated most of the environmental operations in their activities. The researcher therefore recommends the company should embrace the practices and create awareness among the stakeholders. To be specific the research recommends management team should come up with the digital waste management system which will help in investing in the modern technologies of production.

The study also recommends that the higher management of the company should speed up the activities that are meant to improve environmental conservation, for example complying to the policies and get the certification from the environmental regulatory authorities.

In addition, the study recommends that management should compare and ensure the most appropriate management practices are followed by the stakeholders. For example, the company should ensure that its employees, suppliers and contractors strictly adhere Disposal Act, formulation technologies procedures and protocols

To sum up it was found that the company had not fully adopted the control pollution systems, the research therefore suggests that fines and penalties should be imposed to those companies that do not follow the waste Disposal Act.in line with this, the company should be not be allowed to sell its product in the United Kingdom because it does not meet all the legal thresholds. Stakeholders participations in companies’ activities should be made a culture by the Iceland manufacturing Limited

Conclusion

We can draw the conclusions from the above discussion that Iceland manufacturing Limited should embrace effective environmental practices including compliance to the legal statues to improve its performance. For an effective green manufacturing management, the company should follow ISO 1400 standards that emphasizes importance of producing green products. moreover, workers should be educated on the safety practices at work stations to minimize on the accidents that occur as result of the unawareness of the best practices. In line with this, the company should focus on the well being of the society instead of producing toxic substances to the environment.

In addition, formulated regulations should enhance worker empowerment as well as the communal philosophy. Efforts of keeping the of the natural environment conducive should be enacted quickly. According Torre (2016) environmental management systems should be given greater priority in the organization irrespective of the size. Bandits (2013) further states that environmental regulations set by relevant authorities must show the long-term mission of the company.

For the company to stay in the competition, it is must to have an improved awareness of the environment, train and provide relevant equipment to its employees, develop environmental research team that will improve on the relevant information to enhance the performance practices (Saris and Diaz,2012)

Reference

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Bandits, A.Y., Soderstrom, N.S. and Thomas, T.E., 2018. Measuring corporate environmental performance. Journal of accounting and public policy, 17(4-5), pp.383-408.

Hasan, A. and KAM, A., 2014. Environmental performance index. Wiley StatsRef: Statistics Reference Online, pp.1-5.

Färe, R., Robertson S. and Hernandez-Sancho, F., 2014. Environmental performance: an index number approach. Resource and Energy economics, 26(4), pp.343-352.

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Murphy, G. and James, N., 2016. Stakeholder pressures and environmental performance. Academy of Management Journal, 49(1), pp.145-159.

Patten, D.M., 2012. The relation between environmental performance and environmental disclosure: a research note. Accounting, organizations and Society, 27(8), pp.763-773.