An Integrated Package of Environmental Management Control Systems

Purpose This study aims to investigate the role of environmental management control systems as mechanisms to translate environmental strategy into environmental managerial performance. Design/methodology/approach Based on survey data from 218 firms, the authors test a structural equation model. Findings The results show that environmental management control systems mediate the relationship between environmental strategy and environmental managerial performance. Moreover, the level of integration between regular and environmental management control systems significantly impacts the relationship between environmental management control systems and environmental managerial performance. Therefore, environmental management control systems are important mechanisms to translate environmental strategy into managerial performance, and a high level of integration can reinforce this role. Research limitations/implications The typical shortcomings of survey-based research apply to this study. Originality/value While previous research focuses primarily on environmental performance at the organizational level, this study addresses individual managerial performance with regard to environmental outcomes. In addition, the authors investigate how the level of integration between regular and environmental management control systems influences the relationship between environmental strategy and environmental managerial performance as well as the mediating role of environmental management control systems.

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Organisational culture, environmental management control systems, environmental performance of Pakistani manufacturing industry

International Journal of Productivity and Performance Management ◽

10.1108/ijppm-05-2018-0187 ◽

2019 ◽

Vol 68 (7) ◽

pp. 1293-1322 ◽

Cited By ~ 1

Author(s):

Tze San Ong ◽

Hussain Bakhsh Magsi ◽

Thomas F. Burgess

Keyword(s):

Environmental Management ◽

Control Systems ◽

Environmental Performance ◽

Structural Equation ◽

Manufacturing Industry ◽

Management Control ◽

Management Control Systems ◽

Equation Modeling ◽

Content Type ◽

And Control

Purpose The purpose of this paper is to analyze the influence of organizational culture (OC) on a firm’s environmental performance (EP) via the mediating variable of environmental management control systems (EMCS). Design/methodology/approach Data were collected from 314 Pakistani manufacturing firms via the questionnaire survey, and the structural equation modeling was used to test the relationships. Findings The stable and flexible values of OC affect the effectiveness of formal and informal EMCS. Informal EMCS mediates the relationship between flexible values and EP, whereas formal EMCS mediates the stable values and EP. Overall, the data reveal that the integration of environmental culture within an organization’s culture and control systems leads to improve EP. Originality/value The study is one of the first, to the author’s knowledge, that links OC, EMCS, and EP in a developing economy, in this case Pakistan.

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