THE the green initiative. We all know every

THE IMPACT OF GREEN INITIATIVE ON
SMALL

 AND MEDIUM INTERPRISES (SME)

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 PERFORMING CORPORATE SOCIAL

 RESPOSIBILITY (CSR) PAKISTAN

 

                             
                                ABSTRACT

Green
initiative has been taken to avoid the ozone depletion and greenhouse effect.
Our ozone layer has been depleting continuously for multiple years. Green
initiative aimed to reduce the industrial ages. But the other side of the
scenario is that production has been compromised. Small and medium enterprises
has the impact of green initiative on a different scale.

 

                                               
INTRODUCTION

Before
having the debate on the impact of green initiative on the small and medium
enterprises, we should know what the green initiative is.

So here is
the definition of green initiative.

DEFINITION:

The green
initiative aims to scalp up the ILOs knowledge, policy response and capacity to
manage a just transition to a low carbon, sustainable future.

Or

Safe,
sustainable, non-polluted practice which deals with minimum waste and energy.

The green
initiative has as its main objective the offsetting of green house gases
emitted by human activities that can range from complex industrial production
processes. Small
businesses face serious obstacles in implementing environmental management
systems (EMSs), including a lack of resources, knowledge and technical
capacity, high upfront costs, and low public visibility. The challenge is to
tailor EMSs, both in terms of their content and delivery, to the
particularities of SMEs. With regard to SMEs, it is important to focus on
simple, accessible improvements in management practices. EMSs with varying
degrees of complexity and low on paperwork as well as sectoral green label
schemes are more likely to be attractive to small businesses than formal ISO
14001 certification, which is relatively complex and costly.

 

 

                                                   
 OBJECT

 

The objective of writing this document is to explain the impact of green
initiative on the different firms, whether it is a small or a big ozone. There
should be a balance among the emission of the dangerous gasses, the production
factor and the green initiative. We all know every good thing has a bad factor
too. We have to compromise on either a side of the scenario. Here, green
initiative increasing the life of Earth but production factor has been compromised.
On the other hand when the Green initiative was not taken, the life of Earth
might had reduced to ¼ of its normal life (according to a USA Research).

 

                                        DEFINE
GREEN MARKETING

Green marketing mention to the process of
selling products or services specified on their environmental advantages. Such
a product or service may be environmentally favorable in itself or produced in
an environmentally friendly way, including:

Being
manufactured in a sustainable manner
Not
containing hazardous materials or ozone-depleting substances
proficiency
to be recycled and/or is manufactured 
from recycled materials

Able
to be formed from renewable materials (such as bamboo, etc.)
Not
require the use of further packaging
Being
designed to be recyclable and not “thruway

Lamentablely many of the people thought that the
green marketing refer entirely to the promotion or displaying of products with
environmental characteristics. Terms like phosphate free, recyclable, refillable,
ozone friendly and environmentally friendly, are some of the things consumers
most often accomplice with green marketing. While these terms are green marketing
allegation, in general green marketing is a much broader concept, one that can
be applied to consumer goods, industrial goods and even services. For example,
around the world there are resorts that are beginning to advocate themselves as
ecotourism facilities, i.e. facilities that specialize in experiencing nature
or operating in a fashion that minimize their environmental impacts.

 

                    WHAT IS SMALL AND MEDIUM ENTERPRISES (SME)

The
independent non subsidiary firms which employ less than a given number of
employees are known as small and medium sized enterprises (SMEs). This number
varies across countries. The most patronized upper limit designating an SME is
250 employees. Although, some countries maintain the limit of 200 employees,
while the United States considers SMEs to include firms with fewer than 500
employees.

 Meanwhile, environmental regulatory
authorities are designed around environmental risk and not to address any
specific company size. SMEs is not specifically targeted by any environmental
regulation, instead distinguishing low-risk activities and installations,
although regulatory conduct usually have in mind particular points of small
businesses. Environmental enforcement regimes are not systematically mindful of
the quantity of SMEs they are going through and do not collect this data.

To define
low risk to human health and the environment is not an easy task. Environmental
regulators have different risk tolerances in different countries, impelled in
part by their authorization and the institutional context.

 

                                             ISO STANDARDS

ISO come from the association of two organisations –
the ISO (International Federation of the National Standardizing Associations)
and the UNSCC (United Nations Standard Coordinating Committee).

In 1946 more than 25 countries join together at the
Institute of Civil Engineers in London to bring a new international
organisation, where the objective was to ‘facilitate the international
coordination and unification of industrial standards’ From this the new
organisation ISO began operations in February 1947. The word ISO is derived
from the Greek ISOS meaning ‘equal’.

In short ISO issues a document which provides
guidelines to make the use of materials, products, processes and the services
in the right way. This is a very important component of a firm, which works as
a backbone of all the processes and the actions, happening in the firm.

 

Some of ISO standards are as following:

1.    
Meet stakeholder needs

2.    
Be usable by all sizes of
organizations

3.    
Be usable by all sectors

4.    
Be simple and clearly understood

5.    
Connect quality management system to
business processes

 

Some Quality Managements are as following:

 

1.    
Focus on the customers

2.    
Leadership Qualities

3.    
People Engagement to the Business

4.    
Process Approach

5.    
Improvements in the Current Plan

6.    
Relational Management

 

                                      

                                             

                                                       PURPOSE

 

 Examination of the state of sustainable SME
growth policies is the main purpose of green initiative and share information
on four green-related policy areas.

FOUR POLICY
AREA

1.     Overview of national policy framework
and definition.

2.     Financial and non-financial growth
for green technology innovation and green management.

3.     Formation of an ecofriendly economic
environment.

4.     Producing green partnerships.

The other
purpose of the Green initiative is the neutralization of the Greenhouse gasses
(GHG) emissions related to the realization of the COP-8 through the reforestation
of a degraded riparian area in the City of Curitiba. The Project will be
realized in two stages and will demonstrate in a practical way a possibility to
contribute at the same time to the Biodiversity and Climate Conventions.

 

We can also
quote the purpose of the green initiative as:

Going green
has a different meaning to the every individual and every enterprise (Doesn’t
matter whether it is a small or a major firm .) .Perhaps you want to reduce
energy use or support the use of alternative energy sources, reduce greenhouse
gas emissions and global warming or do what you can to minimize the
environmental impact in your own region. Perhaps your motivating factors are
primarily business-based, including cutting operating costs, enhancing employee
health and productivity, enhancing your business reputation or reducing the
risk of running afoul of environmental regulations.

So in short
it is more about saving the life on Earth then affecting the firms in a
negative way. But yes it is obvious that, firms widely affected by this step inversely.
We should be more towards the natural resources, rather than spoiling the
current resources to generate the artificial one.

So it was the major reason of this initiative.

                                         

                                                   
OBJECTIVES

 

The objective of the Green Action Plan (GAP) is to help
small and medium-sized enterprises (SMEs) have advantage of the opportunities
offered by the transition to a green economy. It describes ways for SMEs to
cover environmental challenges into business opportunities.

The objective is to promote SMEs’ awareness of resource
efficiency improvements and the energy of the circular economy for productivity,
competitiveness and
business opportunities

 

Some Major Objectives are as following:

 

·       
Enhance
initiatives, explore new business models being pioneered, and support
best-practices on adaptation to improve climate and disaster resilience.

 

·       
Provide
advisory services, matching the needs and demands from businesses to the
services and solutions offered by others. This digital crossroads on green
initiatives will facilitate the networking between companies willing to invest
in an ecological approach and gain from a green comparative advantage.

 

 

·       
Provide
clear incentives for the private sector to become involved in building a
low-carbon, climate-resilient future. Some tools can already be used: green
audit for businesses, green strategies, website adjustments to advertise
company SER and promotion, certification system, support services, monitoring
and reporting

 

·       
Promote
carbon pricing to provide long-term incentives for economic actors to switch to
low-carbon pathways, and facilitate the implementation of systematic offsetting
by offering customized services to companies looking to reduce their carbon
footprint.

 

 

·       
Attract
adequate climate financing and SDGs finance to allow Private sector in the
region to realize its climate ambition, take advantage of the opportunities
that climate change and SDGs offers.

 

                                               
 SIGNIFICANCE

 

For small
businesses significant challenges are presented by environmental management,
and earlier research has explains that they are typically less associated with
environmental problems with their larger counterparts. At the same time, prior
research has rarely explored engagement among small and medium sized companies
with the vast variety of practices that are encompassed by environmental
management, nor has it sought to discover heterogeneity among SMEs.

 

FOR some
time now, we have been bombarded with the concept of “green” living
and working together to slow down global warming, with terms such as
“carbon footprint” and “energy efficiency” coined on what
seems a weekly basis.

 

Now these
terms are increasingly being applied within an economic context and businesses
are obliged by law to reduce carbon emissions and encouraged to make their
workplace a greener environment on the whole.

 

It’s easy to
understand how large multinational corporations can have an effect on our
environment with the volume of their global imports, exports and use of cheaper
non-recyclable materials as well as the abundance of commercial property that
needs to be powered.

 

By sharp
contrast, a small to medium-sized business may seem insignificant when it comes
to its impact on the environment. However, protecting the environment can
benefit your business in a number of ways. You can drastically cut costs by
reducing the amount of energy and you use and the waste you dispose of.

 

There may
also be an opportunity to reduce insurance premiums through improved
environmental practices. Tackling environmental issues can improve your
reputation with all of your stakeholders – staff, customers, clients, investors
and your local community.

 

Implement a
few rules that are easy to adhere to and add one or two initiatives a month.
Here are a few ideas to begin with:

 

·       
Regulate
room temperatures.

 

·       
Turn
off lights when not in use.

 

·       
Buy
energy-efficient appliances

 

·       
Recycle
office materials

 

·       
Use
local suppliers

 

·       
Use
energy-efficient light bulbs

 

It’s
important these changes are made throughout the whole of your business and
everybody gets involved. Form a “green team” – representatives from different
departments that will raise employee awareness of opportunities to save energy.

 

A green team
is motivational for employees who want to make a difference and this attitude
can be applied to other issues your business may face

 

                                             LITERATURE REVIEW

 

 

 

Both the Green Initiative and the behavior of the firm affected inversely.
Now the firms , working on either small or large scale has a pressure to be
more environmental friendly and should not burn more natural resources in order
to sustain in the market . We think that services and the transport sectors
have not any bad impact on the environment. Rather than we believe, all the
greenery has been destroyed by the manufacturing firms. This view is also
totally wrong. The reason is , transport services and logistics also using the
natural resources in an equal amount compared to the manufacturing firms (a
comparison among both , small and large scale firms .).

In short with the help of the green initiative, all the firms now keep
some points in mind before wasting the natural resources. They know they can’t
do it if they want to sustain in the market.

 

 

                                             RESEARCH METHOD

 

The research methods used here are as following:

 

1.      Case Study

2.      Content Analysis

3.    
Event sampling methodology

4.    
Self-report inventory

5.    
And in the last “Survey “.

 

All the cases regarding the bad effects of the firms on the green
environment, the impact of the green initiatives on the firms, and there
behavior towards each other has been mentioned and analyzed with the help of
the real word problem.

 

Different surveys has been made to prove the positive/negative impacts of
both

INTERPRISES and the green initiative on each other.

 

Data Collection Source

 

Primary Source:

Data regarding the impact of the green initiative towards the firms and
in return the behavior of the INTERPRISES towards the “Go Green” has been taken
from the real world example of the six firms , that has been working according
to the rules set by the green initiatives. Data about all the impacts of the
“Go Green” has been highlighted and analyzed.

The name of the major six firms are as following:

 

 

·       
Ford Motor Company

·       
Disney

·       
Fisher Investments

·       
Hewlett-Packard

·       
Johnson & Johnson

·       
Nike

 

 

Secondary Source:

 

All other data has been collected from the google. There is a huge
investigation on the green initiative, available on Wikipedia and other
websites like this.

 

 

 

Research Why Use:

 

 

Green initiative and its impact on the INTERPRISES should be elaborated in
order to understand the relation of this step to the Environment. If we don’t
know about the reason of this initiative, we might never know the initials and
basics of it.

 

This research has been quoting the real world examples with the
references, that’s can be evaluated easily.

All the examples are refereeing to the real world situations of why this
initiative was taken.

Majorly this research showing the importance of greenery, and the bad
impact of the firms against it.

                                      
DATA RECEIVING ANALYSIS

 

Every year there is assessment of data received from reports/survey.
Green initiative impact the small and medium sized companies, industries and
small plants too. In many case studies it reveals that there is much reduction
in productivity of these enterprises which is only due to the turn of business
into green environment.

When the researchers analyses the impact of emission released inventories
they came into a single point which is to stop the release of these gases,
waste and the other all toxic substances into the environment. This need is
coped with the turn of business into green initiative which reduce the
environmental pollution and make the use of environmentally favorable pathways.

                                                
DATA ANALYSIS

 

In 2010 a sustainability goal was set to reduce the environmental impact
and provide transparent accounting progress. To understand the current stage of
sustainability the report is integral and policies and initiatives are informed
by this sustainable report.

The sustainability report explain how well they implanted their goals and
targets.

Data obtained from the sustainable reports explains that the water, air
and the atmosphere is polluted to a large extent and the green initiative is
trying to generate the alternate path to 
reduce the risk of pollution caused by small and medium enterprises. The
green initiative gives the companies following route,

A.   
Alternative synthetic pathway

B.    
Alternative reaction conditions

C.    
Design of safe chemicals

 

                                     GROUPS AND
TABLES

 

 

The data received and analyzed in a
well-mannered way which describes the effects, impacts and risks.

 

Section

objective

action

Description of the action

1.Green SMEs
for more competitiveness and sustainability

Provide SME with practical information, advice and
support on how to improve their resource efficiency in a cost effective
manner

Establishment of resource efficiency excellence center

To increase the resource of competitiveness and sustainability
the SME needs to improve their efficiency to greener economy.
 
 

2.Green entrepreneurship for the companies of the
future

All forms of Eco innovations are promoted along
with non-technological eco innovations

Development and demonstration of eco innovation is
supported for green ideas

It encourages SMEs to put forward their most
innovative ideas

3.Oppertunities for SMEs in a greener value chain

Address systematic barriers to cross sectoral and cross
national value chain

Analysis of the barrier and potential of the
circular economy including  SMEs
aspects

Impeding the development of circular business by
analysis of systematic barriers

 

                     

                                          

                                 CONCLUSION

 

SMEs can efficaciously carry out green programs with enough training,
effective research, and education. SMEs need to ensure that their
business goals are in conformity with environmental standards. Though it is
difficult to successfully operate a green supply chain management without full
participation, it is worth it so as to ensure the success of the business.

 

                                      
       RECOMMENDATIONS

 

The question if a rising focus on sustainable business practices result
in financial advantages or disadvantages have been intemperately discussed. Supporting
a positive relationship between CSR and financial performance the result of
study gives new proves from SMEs. CSR practices are effective tools
to draw and build stakeholder relationships that help corporations to achieve
better financial performance.

CSR practices can conduct to competitive reward because of decreased
agency and transactions costs, one can imagine that improved sustainable
business exercise among SMEs seem to be measure adding, rather than a mislead
of business resources. Consequently, the findings jeopardize with the
agency perspective and existing empirical proves offering that CSR is
negatively related to financial performance.

                                               REFRENCES

 

1.    
Abagail, M., &
Siegel, D. 2000. `Corporate social responsibility and financial performance:
correlation or misspecification´. Strategic Management Journal, 21(5), 603-609.

2.    
Asia-Pacific Economic
Cooperation, 2015. Small Medium Enterprises Working Group

3.    
Defra (2011b), Micro
businesses and environmental regulation, Final Report prepared by GHK
Consulting Ltd. for Defra, Department for Environment, Food and Rural Affairs.

4.    
EC (2004a), Buying
Green! A handbook on environmental public procurement, European Commission.

5.    
Bhutta, M.K.S., Rana,
A.I. and Asad, U. (2007). “SCM practices and the health of the SME in
Pakistan”, Supply Chain Management: An International Journal, Vol. 12, Issue 6,
pp. 412-422. Census

6.    
Economic Survey of
Pakistan, 2007-08, Ministry of Finance, GOP.

7.    
Fatima, M. and Ahmad,
E. (2006). “Quality Management in Pakistan’s Knitwear Industry”, Quality
Engineering, Vol. 18, No. 1, pp. 434-451.

8.    
Fatima, M. and Ahmad,
E. (2006.b). “Quality Management in Pakistan’s Bed ware Industry”, Quality
Engineering, Volume 18, Number 4, Number 1/2006 , pp. 15-22.

9.    
Hussain, T., Akhtar, N.
A. and Butt, N. S. (2009). “Quality Management: A Case from Pakistan Cotton
yarn Industry”, Journal of Quality and Technology Management.

10.                       
Rana, A. I. (2005).
“The SME Pulse: An Exploratory Study of the Performance of SME in Pakistan and
the Characteristics of Successful Firms”, Conference of the International
Council of Small Businesses. 2005, Washington D.C., June 14-18.

 

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