Factors Influencing ISO 14001 Environmental Management System (EMS) Implementation and the Effects on SMEs Performance in Malaysia
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Date
2010
Authors
Nee, Goh Yen
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Abstract
This study aims to identify the factors influencing ISO 14001 Environmental
Management System (EMS) implementation in Small and Medium 'Enterprises
(SMEs). The factors influencing ISO 14001 EMS implementation are refer to
environmental performance tracking, organizational infrastructure, top management
commitment and support, training and education, employee empowerment,
teamwork, recognition and reward, organizational culture and organizational
communication. In addition, this study attempts to identify the effects of ISO 14001
EMS implementation on SMEs performance (i.e. operation and business) in
Malaysia. This study used Resource Based View (RBV) as the underpinning theory
supporting the research framework. There are 61 SMEs certified with , ISO 1400 1
EMS in Malaysia which represent a response rate of 51.7% participated in this study.
Data for all variables were collected through self-administered survey questionnaires.
Hierarchical multiple regression analyses were conducted to test the hypotheses
posited in this study. The results from this study showed that top management
commitment and support, organizational culture and environmental performance
tracking have a positive and significant relationship with ISO 14001 EMS
implementation while recognition and reward showed to have a negative and
significant relationship. ISO 14001 EMS implementation also showed to have a
positive and significant relationship with SMEs performance in Malaysia, i.e.
operation and business performance. The findings from this study bring practical
implications for managers of SMEs especially in managing internal resources (i.e.
physical, human and organizational resources) and also provide policy makers
empirical evidence pertaining to ISO 14001 EMS implementation among SMEs
which may helps in planning and formulating policy relates to SMEs in Malaysia.
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Keywords
Factors Influencing ISO 14001 Environmental Management System (EMS)