It seems to be a truism when one says that what gets measured gets managed. The UK COAL managers use monitoring and measuring performance in order to ensure that the company’s policies, goals and targets are achieved on everyday basis.
The main purposes for measuring performance of the company are: to control the success of the company in improving over time, to enable the company to benchmark itself against its competitors, to help see priorities for action, to meet the requirements of external stakeholders for knowledge about the performance of the company, and to find the need for action, for instance, in situations where there is mismatch with regulatory requirements. Measuring performance also helps senior management confirm that financial resources are being used to the best possible effect.
This includes being able to show that matching is being achieved within the existing framework of expenditure or enabling cost. The other important result from monitoring and measuring work is creating of a framework of responsibility for environmental performance within the company. Managers and employees are used to having their performance assessed against defined targets. The measurement and subsequent evaluation of environmental performance integrates environmental responsibilities into position descriptions in a much more tangible
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This helps develop commitment to, and responsibility for, achieving environmental results that may otherwise be difficult to engender. The first step is to identify those areas for which monitoring and measuring are needed. Performance measurement can be used in any aspect of the company’s activities, products or services. Requirements for performance measurement must be developed in the context of company’s environmental policy, significant aspects and impacts and defined objectives and targets.
Measurements are generally used in three chief areas: the environmental aspects of the company (for example, the activities, products or services over which the company has control), the environmental impacts associated with the environmental aspects of the organisation, and management practices. For each of these areas, the company defines performance indicators that give information about environmental performance of the company and. They also provide the basis for evaluating the progress of environmental management efforts. The performance indicators connected with environmental aspects for WELBECK are focused on operational activities.
Operational activities involve a range of environmental aspects such as energy consumption, raw materials consumption, waste water discharges and emissions to air. The performance indicators adopted are connected with issues such as the efficiency of the production process, the quantities of raw materials and energy consumed and the quantities of pollutants and waste produced. Then this information is used to assess issues such as changes in environmental performance over time, benchmarking against similar companies and the financial costs and benefits of environmental expenditures.
The environmental impacts of concern to the company include air, water, land, ecology, human health, natural resources, amenity, aesthetic values and the built environment. The company has an impact on the environment through their products, activities and services and. While many of the impacts cannot be directly controlled by the company, monitoring of environmental impacts can help define priorities for management and provide a basis for the evaluation of the efficacy of management activities.
That is, for example, environmental monitoring can give an indication of the overall effectiveness of environmental management efforts although it is important to recognise that, in many cases, environmental improvement or degradation cannot be directly linked to the company’s activities as such changes are influenced by a range of factors. Many of the factors are outside the company’s direct control. Potentially helpful environmental indicators comprise: • changes in land use, as measured by the amount of land used; • ecological effects such as changes in the diversity of an ecosystem;
• ambient air and water quality as regulated by the concentrations of various substances in the environment; • human health effects. These include the incidence of defined illnesses in a local population or surrogate measures such as blood lead levels; and • overall rates of resource depletion. This enables the company to determine the significance of its contribution to these issues. Performance indicators for the company mining management and management practices encompass employees, practices and procedures at all levels of the company. The task of these indicators is to find areas where improvements can be achieved.
Environmental performance indicators relate to issues such as regulatory compliance, the performance of the company in meeting objectives and targets, the time needed to respond to corrective actions, the number of outstanding corrective actions, success in implementing policies and systems, the capital and operating budgets allocated to environmental projects, the number of business units with implemented management systems, the number of suppliers that have environmental evaluation, financial performance and leadership and management costs (Blair 78).
For example, the number of employees receiving environmental training, employee survey responses on environmental issues, number of suggestions for environmental improvements relate to the environmental performance indicators. Finally, operational performance, environmental impacts and management performance are all related and the company will need a mixture of measures from all three areas to evaluate the overall performance and effectiveness of its environmental management activities. Performance indicators could be specified at the operational level, environmental level and management level.
It is the combination of all of these measures that enables the overall performance of the company in managing its activity to be assessed. Environmental performance indicators should give a satisfactory representation of the environmental performance of the company, reflect changes in the company’s environmental performance. It must provide information that can be used in predicting trends in environmental performance and be comprehensible, relevant, cost effective and comparable to other sites or companies.
The first step in defining requirements for monitoring and measuring is to define the performance indicators that should be monitored and measured (as discussed above). For each of these performance indicators, the company defines how these are to be measured and the frequency with which such measurements should occur. Measurement specifications should comprise sampling and analytical protocols, analytical requirements, and analytical equipment and performance checks on software and hardware. The results of monitoring should be saved and there should be provisions for the informing about these results management.