1. 7th annual conference of EMAN-EU “Sustainability Accounting and Reporting“ Dissemination of Environmental Management Accounting in South­East Asia University of Lueneburg 4-5 March 2004 Christian Herzig & Tobias Viere Centre for Sustainability Management (CSM) www.environmental-accounting.org

2. © CSM 2004 Dissemination of EMA in South-East Asia IDevelopments in South-East Asia IIDissemination of Environmental Management Accounting - EMA-SEA project IIIDissemination targets of EMA-SEA IVResearch targets of EMA-SEA

3. © CSM 2004 Developments in South-East Asia Industrial situation in South-East Asia : economic growth accompanied by alarming levels of environmental pollution Environmental Management Accounting (EMA) encourages economic and environmental improvements simultaneously EMA offers a set of tools and methods suitable for enterprises in industrialized as well as in industrializing and developing countries EMA not widely spread in South-East Asia so far, especially not in small and medium-sized enterprises (SME)

4. © CSM 2004 Institutional building: EMAN AP, APRCP, etc. Capacity building: training programs / development projects on EMS, EPI/EPA Indonesia, the Philippines, Thailand, and Vietnam: Some EMA company projects (e.g. the Philippines) Training seminars / Training of Trainers (TOT) seminars on EMA (e.g. the Philippines, Thailand) Guidebook on EMS incl. part of ECA (the Philippines) Etc. Developments in South-East Asia

5. © CSM 2004 EMA­SEA Project www.environmental-accounting.org / ema-sea@uni-lueneburg.de Environmental Management Accounting for small and medium­sized enterprises in South­East Asia (EMA­SEA)

6. © CSM 2004 Project goals Implementation and dissemination of EMA in South-East Asian companies to promote sustainable business Transfer of know how in the field of EMA Strengthening of capability and institution building Implementation and dissemination of EMA in South-East Asian companies to promote sustainable business Transfer of know how in the field of EMA Strengthening of capability and institution building To adapt EMA methods to the specific needs of South-East Asian companies To identify and assess the potential of economical and ecological savings Local case studies EMA training seminars Training of Trainers (TOT)

7. © CSM 2004 Project facts Target countries: Indonesia, the Philippines, Thailand, and Vietnam Who can participate? Managers from SMEs Representatives from consulting companies, industry institutions, public authorities, universities, etc. Project duration: 10/2003 – 10/2007

8. © CSM 2004 InWEnt – Capacity Building International Cologne, Germany Centre for Sustainability Management (CSM) University of Lueneburg, Germany Asian Society for Environmental Protection (ASEP) Bangkok, Thailand Further local partners who are successful within their countries in industry network building and use Project partners

9. © CSM 2004 EMA-SEA cooperates with: United Nations - Division for Sustainable Development (UN DSD) Environmental Management Accouting Network – Europe (EMAN-EU) Environmental Management Accouting Network – Asia Pacific (EMAN-AP) International EMA experts (e.g. Dr. Roger Burritt, Australian National University) Strategic partners

10. © CSM 2004 Dissemination of EMA in SEA EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-off-events EMA computer-based training

11. © CSM 2004 EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-off-events EMA computer-based training 12 information workshops Providing information about EMA, its benefits and methods Presentation of EMA-SEA project Kick-off events

12. © CSM 2004 EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-Off-Events EMA computer-based training Development of 16 case studies covering various EMA tools Implementation of EMA tools in selected SMEs regarding their specific needs Company projects

13. © CSM 2004 EMA training seminars Training of Trainers EMA dissemination Development of training materials Company Projects Kick-Off-Events EMA computer-based training Generation of EMA training materials focussing on the needs of South-East Asian companies Training materials support the EMA-SEA training activities Development of training materials

14. © CSM 2004 EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-off-events EMA computer based training Realization of 12 EMA Training Seminars in the target countries Transfer of EMA knowledge and skills to companies and other organizations Managers from SMEs / representatives from consulting companies, industry institutions, public authorities, universities, etc. EMA training seminars

15. © CSM 2004 EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-off-events EMA computer- based training EMA computer-based training (CBT) platform on the Internet Managers from SMEs / representatives from consulting companies, industry institutions, public authorities, universities, etc.

16. © CSM 2004 EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-off-events EMA computer-based training Trainings of so-called multiplicators (local EMA trainers) Selected participants of EMA training seminars and EMA computer-based training (CBT) Training of Trainers (TOT) seminars

17. © CSM 2004 EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-off-events EMA computer-based training Further EMA dissemination Local EMA trainers offer further EMA seminars and on-site training sessions Coaching through EMA trainers of CSM

18. © CSM 2004 Dissemination targets of EMA-SEA EMA-SEA: development project Generation of practice oriented training materials Development of training program / curriculum Supporting the implementation of EMA tools in companies Enhancing the competitiveness of South-East Asian companies Generation of social benefits

19. © CSM 2004 Research targets of EMA-SEA EMA-SEA: research project Specific needs and requirements of South-East Asian companies concerning the application of EMA tools Necessary adaptation of EMA tools to meet the needs Concretising the EMA framework/matrix

20. © CSM 2004 Environmental Management Accounting (EMA) Monetary EMA (MEMA)Physical EMA (PEMA) MEMA tools: Include the environmentally differentiated conventional management accounting system Deal with the environmentally-driven impacts on a company expressed in monetary terms Provide the basis for most internal desicions and how to track, trace and treat environmentally driven costs EMA framework Source: Burritt/Hahn/Schaltegger 2002

21. © CSM 2004 Environmental Management Accounting (EMA) Monetary EMA (MEMA)Physical EMA (PEMA) PEMA tools: Focuse on a company's ecological impact on the natural environment (physical units) Are designed to collect environmental impact information in physical units for internal managment decisions EMA framework Source: Burritt/Hahn/Schaltegger 2002

22. © CSM 2004 Environmental Management Accounting (EMA) Monetary EMA (MEMA)Physical EMA (PEMA) Short Term FocusLong Term FocusShort Term FocusLong Term Focus Future Oriented Past Oriented Ad hoc information Routinely generated information Ad hoc information Routinely generated information EMA framework Environmental cost accounting (e.g. variable costing, absorption costing and activity based costing) Environmental induced capital expenditure and revenues Ex post assessment of relevant environmental costing decisions Environmental life cycle (and target) costing Post investment assessment of individual projects Monetary environmental operational budgeting (flows) Monetary environmental capital budgeting (stocks) Environmental long term financial planning Relevant environmental costing (e.g. special orders, product mix with capacity constraints) Monetary environmental project investment appraisal Environmental life cycle budgeting and target pricing Material and energy flow accounting (short term impacts on the environment – product, division and company levels) Ex post assessment of short term environmental impacts (e.g. of a site or product) Physical environmental budgeting (flows and stocks) (e.g. material and energy flos activity based budgeting) Relevant environmental impacts (e.g. given short run constraints on activities) Environmental (or natural) capital impact accounting Life cycle inventories Post investment assessment of physical environmental investment appraisal Long term physical environmental planning Physical environmental investement appraisal Life cycle analysis of specific project Source: Burritt/Hahn/Schaltegger 2002

23. © CSM 2004 Environmental Management Accounting (EMA) Monetary EMA (MEMA)Physical EMA (PEMA) Short Term FocusLong Term FocusShort Term FocusLong Term Focus Future Oriented Past Oriented Ad hoc information Routinely generated information Ad hoc information Routinely generated information EMA framework Environmental cost accounting (e.g. variable costing, absorption costing and activity based costing) Environmental induced capital expenditure and revenues Ex post assessment of relevant environmental costing decisions Environmental life cycle (and target) costing Post investment assessment of individual projects Monetary environmental operational budgeting (flows) Monetary environmental capital budgeting (stocks) Environmental long term financial planning Relevant environmental costing (e.g. special orders, product mix with capacity constraints) Monetary environmental project investment appraisal Environmental life cycle budgeting and target pricing Material and energy flow accounting (short term impacts on the environment – product, division and company levels) Ex post assessment of short term environmental impacts (e.g. of a site or product) Physical environmental budgeting (flows and stocks) (e.g. material and energy flos activity based budgeting) Relevant environmental impacts (e.g. given short run constraints on activities) Environmental (or natural) capital impact accounting Life cycle inventories Post investment assessment of physical environmental investment appraisal Long term physical environmental planning Physical environmental investement appraisal Life cycle analysis of specific project Source: Burritt/Hahn/Schaltegger 2002 16 case studies

24. © CSM 2004 Dissemination of EMA in SEA EMA training seminars Training of Trainers EMA dissemination Development of training materials Company projects Kick-off-events EMA computer-based training Kick-off-events Company projects EMA training seminars EMA training (CBT) TOT seminars Dissemination

25. © CSM 2004 Further information EMA-SEA Environmental Management Accounting for small and medium-sized enterprises in South-East Asia Prof. Dr. Stefan Schaltegger Christian Herzig / Tobias Viere ema-sea@uni-lueneburg.de www.environmental-accounting.org