How to Conduct an Environmental Compliance Risk Assessment

¶ … Environmental Risk Assessment

Over the last several years, a wide variety of businesses have been focusing on the impact that they are having on the environment. Part of the reason for this, is because many firms are realizing that the footprint they are leaving can have an effect on the ecological balance for a particular region. A good example of this can be seen with Wal Mart. In this case, the various changes in the way they package different products could save: 3,800 trees, 1,000 barrels of oil and result in reduced costs for the company. (Kee, 2010, pp. 110 -- 118) This is significant because, it is illustrating how this approach is highlighting the way an environmental compliance risk assessment program can: save corporations money and reduce their effects on the ecosystem. To fully understand the full impact of this requires conducting a risk assessment involving a specialty apparel retailer. Once this occurs, it will offer specific insights about how firms can dramatically reduce their environmental footprint.

The Environmental Assessment

The procedure that most specialty apparel retailers will use to evaluate the possible environmental risks is through: increased levels of vigilance. This is when a company will monitor the practices of their suppliers and they will corroborate what they are told by particular firm. This is designed to provide them with an effective strategy for seeing the impact of their actions on the environment and the community. (Seong, 2010, pp. 490 -- 509)

Next, a company will have program of social responsibility implemented. This is when a firm will have their managers and the employees work with different communities to address their impact on: the economy and the ecosystem. When this takes place, it means that corporation will work with community leaders to understand and mitigate these effects. In the case of a specialty apparel retailer, this is the point that they will address possible issues that could be harming the environment such as: the kinds of transportation practices and packing of various products they are selling. Once this occurs, it means that they understand the overall scope of the program and that they have a way of addressing these issues. This is when they will be able to more effectively handle change by: knowing that there is a problem and the role they are playing in contributing to these issues. (Seong, 2010, pp. 490 -- 509)

The way that they can build their case internally, is to show executives how having socially responsible programs can: improve their image among customers, increase profitability and reduce costs. This means that they must have managers and staff member work together on a host of different projects. As both, must see how this program will help to give them a sense of satisfaction and the positive effects that this will have on where they are living. (Seong, 2010, pp. 490 -- 509)

A good example of this can be seen with Gap Stores. What they have been doing to reduce their environmental footprint, is to see the impact of their organization on communities around the world. In this case, they are examining how the firms they are purchasing clothing from are altering various regions. As some of the more unscrupulous suppliers, could be utilizing sweatshops to produce various goods. At the same time, these kinds of firms could have environmental practices that are affecting the ecosystem in these regions.

The company then takes this approach one step further, by looking at their impact on communities and the environment. Where, they will examine specific strategies they could use to address these issues and if this would help to improve the situation. To build acceptance for these practices internally, the firm has social responsibility policies and programs. These are designed to ensure that everyone buys in to the strategy and will go along with various procedures that have been established. The way that they handle change, is to have a process of monitoring the effectiveness of these programs and identifying areas that can be improved. Once this occurs, it means that everyone is willing to share their ideas about how the social responsibility practices of the company can be increased. This is important, because it is showing the way different kinds of environmental policies that are designed to: evaluate and monitor the effects that the company is having over the long-term. At which point, executives can be able to improve the image of the firm and create a sense of unity in achieving the larger goals of the organization beyond its bottom line numbers. (Zvi, 2011, pp. 527 -- 539)