Environment/decisionmaking/final report

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decision-making environment industrial facilities

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  • 1. Understanding Organizational Decision Making Related to Environmental PerformanceFinal report: June 20, 2014Presented to:Government of AlbertaEnvironment and Sustainable Resource DevelopmentPresented by:Advanis Inc.

2. UNDERSTANDING ORGANIZATIONAL DECISION MAKING RELATED TO ENVIRONMENTAL PERFORMANCE2 3. UNDERSTANDING ORGANIZATIONAL DECISION MAKING RELATED TO ENVIRONMENTAL PERFORMANCE3Executive summaryDesigned to understand What factors influence environmental performances among regulated facilities in Alberta? this research relied on a sequence of phases: an initial documentation and literature review; a first series of interviews with managers at facilities, to identify explicit factors; a quantitative validation of explicit factors by managers at facilities (N=264); a second series of interviews to precise the factors implicit dimensions; a quantitative validation of managers perceptions at facilities (N=130).Our results rank regulation as the most important driver of environmental improvement at facilities and provide a quantitative measure of its relative importance compared with the other significant factors described by responders of our survey.Our results also show there may be potential beneficial actions complementary to regulation, and open avenues of research for environmental performance improvement and for policy design.Indicators of environmental performanceFACTORInvestor pressure(Q10A-Q10B-Q10C) FACTORManagement value and involvement(Q10D-Q10E-Q10F- Q10G-Q10H) FACTORImpact on profitability(Q17A-Q17B-Q17C- Q17D-Q17E-Q17F-Q17H) FACTORCorporate image(Q10J-Q12I-Q10I-Q12A- Q12B-Q12C-Q12F) Facilities practices(Q19A-Q19B-Q19C-Q19D-Q19E-Q19F- Q19G) Facilities standards(Q21A-Q21B-Q21C-Q21D) FACTORThe regulation(Q12D-Q12E-Q12H) FACTORCompetitors improvements (Q10K-Q12G) FACTORDifficulties complying with regulation(Q17G-Q17I) FACTORBarriers to improvement(impact on profitability and difficulties complying with regulation ) Perception of compliance (Q23H) - + + + - + + ? ? Relations between factors that influences environmental performance and the indicators of environmental performance 4. UNDERSTANDING ORGANIZATIONAL DECISION MAKING RELATED TO ENVIRONMENTAL PERFORMANCE4This research indicates that environmental performance at facilities interplays with a number of organizational and social factors. Innovative mechanisms for policy making can already be conceived by taking into account explicit and implicit factors for environmental improvement.Thus, Understanding Organizational Decision Making Related to Environmental Performance will allow Alberta ESRD to use new knowledge and understanding that can support options that seek higher levels of performance, as part of the focused effort of the Government of Alberta to move forward in establishing priority initiatives pertinent to the environment. 5. UNDERSTANDING ORGANIZATIONAL DECISION MAKING RELATED TO ENVIRONMENTAL PERFORMANCE5Table of contentsIntroduction............................................................................................................................................ 6Research outline .................................................................................................................................. 7Phase 1 Document review.................................................................................................................. 101.1 Factors that influence environmental performance at facilities ................................................ 101.2 Literature review...................................................................................................................... 101.3 Factors for qualitative data collection....................................................................................... 16Phase 2 Semi-structured interviews ................................................................................................... 202.1 Phase 2 Research in Context..................................................................................................... 202.2 Phase 2 research results........................................................................................................... 21Phase 3 Online Survey........................................................................................................................ 253.1 Introduction ............................................................................................................................. 253.2 Data collection methodology and questionnaire ...................................................................... 253.3 Building a model of indicators of environmental performance and factors ............................... 263.4 Results ..................................................................................................................................... 303.5 Results and development of the final statistical model of analysis ............................................ 353.6 Summary of Key Findings ......................................................................................................... 41Phase 4 In-depth Qualitative Interviews ............................................................................................ 424.1 Interview grid design (Phase 4)................................................................................................. 424.2 Results ..................................................................................................................................... 43Phase 5 Validation.............................................................................................................................. 495.1 Links with scientific literature................................................................................................... 495.2 Questionnaire and Data collection ........................................................................................... 505.3 Results ..................................................................................................................................... 51Conclusion ............................................................................................................................................ 53Bibliography.......................................................................................................................................... 55Appendices ........................................................................................................................................... 58Appendix 1: Recruiting and Interview grids of Phase 2 ....................................................................... 58Appendix 2: Questionnaire Phase 3.................................................................................................... 61Appendix 3: Interview grids of Phase 4............................................................................................... 86Appendix 4: Questionnaire Phase 5.................................................................................................... 88 6. UNDERSTANDING ORGANIZATIONAL DECISION MAKING RELATED TO ENVIRONMENTAL PERFORMANCE6IntroductionThe Government of Albertas strategic decisions, meant to position Alberta for the future, have led to a focused effort to move forward in establishing priority initiatives for the environment. An integrated resource management system is being developed to achieve the environmental, economic, and social outcomes Albertans expect from resource development and to maintain the social licence to develop resources.The implementation of the Cumulative Effects Management System (CEMS) will allow the Ministry of Environment and Sustainable Resource (ESRD) to account for the combined effects of past, present, and foreseeable human activities and to manage activities that impact the environment, economy, and society. It reflects the Government of Albertas move toward a more integrated approach to managing natural resources in the province. It implies that outcomes are meant to be measured and evaluated continuously and that management actions can be applied throughout the system1. Locally, the development and implementation of regional plans, as identified by the Land-use Framework, will enable the management of the provinces land and natural resources to achieve Albertas long-term economic, environmental, and social goals.In order for ESRD to develop new knowledge and understanding that can support options that seek higher levels of performance and to achieve the goals of continuous improvement and environmental excellence within an enhanced regulatory system, it is necessary to understand which factors are influencing environmental performance beyond compliance decisions in the Alberta context and the degree to which they enable or constrain environmental performance.Understanding Organizational Decision Making Related to Environmental Performance aims at better understanding the various factors that influence environmental performance decision makingrelevant to regulated facilities in Albertaand the variation in environmental performance objectives.This mixed-method research aims to identify the explicit (clearly expressed) and implicit (implied but not directly expressed) factors influencing environmental performance beyond compliance at a facility level with the aim of supporting future policy development and program design on environmental performance and excellence. In a sequence of five research phases occuring from November 2013 to June 2014, the research project addressed the following question:What factors influence environmental performances among regulated facilities in Alberta?1 Alberta's Environmental Protection and Enhancement Act (EPEA) and accompanying regulations set out in detail which activities require approvals and the process for obtaining them. 7. UNDERSTANDING ORGANIZATIONAL DECISION M