Managers seek greener workplace

Citation

(1998), "Managers seek greener workplace", European Business Review, Vol. 98 No. 5. https://doi.org/10.1108/ebr.1998.05498eab.001

Managers seek greener workplace

Managers seek greener workplace

Many of Britain's managers have turned "green" but UK companies are failing to follow suit and adopt "green" strategies.

Most managers see themselves as environmentally aware, with almost nine in ten saying they personally take action to help the environment at work, but often this does not translate into a company-wide policy of sound environmental management, according to a new report, A Green and Pleasant Land?, launched in May by the Institute of Management (IM) and Electrolux UK.

Only half the organisations surveyed have a written environmental policy and in smaller organisations this drops to less than a third (32 per cent). Among companies who do not have a "green" policy 68 per cent say they have no plans to develop one.

The research reveals that larger organisations (over 1,000 employees) are far more likely to be "green". Seventy-four per cent of managers in these organisations say they have a written environmental policy. Three quarters say they also have an individual specifically responsible for environmental matters, compared with 60 per cent overall.

Time and money are the main reasons given by managers for companies not going "green". Seventy per cent of managers say companies believe there will be an immediate increase in costs, while rewards will be much longer in coming. Sixty-three per cent of managers cite lack of time to investigate the issues as a barrier, while 50 per cent are sceptical about any potential cost savings.

Managers acknowledge the business benefits of a "green" approach, but fail to see the link with financial savings, which are perceived as the least likely benefit. Eighty-nine per cent of managers see avoiding liability as the greatest benefit, 84 per cent say protecting their public image and 81 per cent cite good customer relations. These figures are even higher for PLCs where the key benefits are avoiding liability (96 per cent) and protecting their public image (97 per cent).

Legislation is what causes companies to become "green", according to nearly half of managers (48 per cent), while 43 per cent say regulation is the main cause. However, nearly seven in ten believe policing of current environmental regulations is not rigorous enough. Over a third believe pressure from consumers and environmental groups is a major cause. Sixty-four per cent of managers consider financial incentives the best way to increase "green" behaviour in the future.

The main ways in which managers say their organisations damage the environment are through disposal of solid waste (50 per cent), heavy use of paper and packaging (49 per cent), disposal of effluents (37 per cent) and high energy consumption (35 per cent).

Top level commitment from the Boardroom to "green" policies is seen as vital within organisations. However, only 24 per cent of managers currently see their Board as fully committed to the issue, with this figure dropping to 16 per cent among junior managers. Forty-seven per cent of managers believe greater environmental awareness is needed in their organisation.

The report provides environmental guidelines for managers including examples of best practice.

Roger Young, IM director-general, commented:

An environmental policy is sound business management. Money spent on good environmental practice is an investment not a cost and will reap real bottom line benefits. It is time to turn rhetoric into reality and take action to make the workplace a "greener" place.

For further information contact: Karen Dale or Tricia Back, IM press office, 0171 497 0496. The report, A Green and Pleasant Land?, by Karen Charlesworth, is available, price £15.00 (IM members £10.00), from the Public Affairs Department, Institute of Management, 2 Savoy Court, Strand, London WC2R 0EZ. Tel: 0171 497 0580.

The Institute of Management represents 84,000 individual members making it the largest broadly-based management institute in the UK. It also embraces 600 corporate members, representing around three million employees. The IM exists to promote the art and science of management through research, education and training and objective representation of managers' views and interests.

Electrolux is one of the world's leading manufacturers of indoor and outdoor household appliances, and of corresponding products for professional users. Concern for the environment is one of the company's key values. The Electrolux strategy is to become a leader in environmentally sound products and processes, and the company focuses on products with low impact on the environment and on the long-term household budget.