Strategic Response to Contemporary Accounting Issues

The provided content discusses various articles related to environmental management and accounting. The authors highlight the importance of adopting a holistic approach to environmental management, emphasizing the need for organizations to consider both environmental and financial aspects. The articles also discuss the role of ISO 9000 in implementing environmental management systems and its implications on industries. Furthermore, the authors evaluate the impact of environmental issues on accounting practices and the need for sustainable management strategies. Overall, the content emphasizes the significance of environmental management and accounting in ensuring the growth and sustainability of organizations.

CONTEMPORARY ISSUES IN ACCOUNTING
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
PRACTICAL MOTIVATION.........................................................................................................4
THEORETICAL MOTIVATION...................................................................................................5
LITERATURE REVIEW................................................................................................................6
HYPOTHYESIS..............................................................................................................................7
CONCEPTUAL FRAMEWORK....................................................................................................8
APPENDIX......................................................................................................................................9
REFERENCES..............................................................................................................................12
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INTRODUCTION
Technology is one of the aspects which are growing day by day in present time. It is being
observed that due to growth in the technological aspects commercialization, social developments
is increasing in the society (Carter & Ross, 2014). It is being observed that manpower is
declining due to which environment and surroundings are getti8ng affected. In this growth aspect
a question arises that whether these companies or industries working in the market are paying
appropriate set of attention towards the environment or not, whether are the are providing proper
set of allowance for the harm which is affecting the environment or not (Ajith Sankar R. N.,
2015). The case is about the growing industries in Australia due to which environment is getting
affected with the effect of which there accounting management system is getting affected.
Environmental management is one of the aspects which require huge cost as it requires that a
proper track record should be kept by the organization while performing the organizational
management duties. Industries are increasing due to which carbon radiation is increasing in the
environment; this increase in the carbon radiation is affecting the Ozone layer which is
protecting the environment from the ultraviolet rays (Rankin, 2012). In this situation it has
become important for the industries to understand their corporate social responsibilities and
develop a proper set of mechanism with the effect of which they can protect the environment
from getting affected with the production process they are using. Hence, the report is developed
which will help the industries in understanding their corporate social responsibilities towards
environment. The report will also provide relevant set of information of how they can solve the
accounting issues and manage their fund effectively (He, Shifley & Thompson, 2011).
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PRACTICAL MOTIVATION
Carbon radiation is increasing day by day in the environment which is giving rise to the serious
health issues. Climatic changes could be seen due the increase in carbon radiation and pollution
in the environment (Harris & Roach, 2017). Studies say that industries are the root cause of
increase in the carbon radiation due to which Ozone layer is getting affected and the natural
calamities are getting affected. In this situation it has become important that the organizations
should understand their corporate social responsibilities and apply the practices of monitoring the
level of carbon radiation and should apply various strategies with the help of which the level
could be maintained (Carter & Ross, 2014). In this all the aspects which will help in
understanding the roles and responsibilities of the industries towards the environment will be
provided and will also include all the aspects with the help of which organization will be able to
save the cost they spend on environmental management issues. This will help the industries in
solving all the accounting issues and will help in managing their day to day processes in a proper
and relevant way (Burritt, Schaltegger, Bennett, Pohjola & Csutora, 2011). The research will
undertake all the aspects related with environmental sustainability and will provide appropriate
set of support to the organizations with the help of which they will be able to manage all the
accounting issues which could affect the future aspects. The section of the research will include
the review of several set of researches in which surveys were done by the researchers to develop
better and in depth information related with various aspects of environmental management and
the accounting management system (Ajith Sankar R. N., 2015).
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THEORETICAL MOTIVATION
The research developed is aimed at developing a proper set of framework for the industries with
the effect of which they can save their cost that they are spending on the environment
sustainability aspects. The report will provide a proper theoretical description of every single
aspect with the effect of which they can reduce the carbon emission and provide a relevant set of
support in protecting the environment from getting harmed (Zhu, Cordeiro & Sarkis, 2013).
Researchers suggest that the carbon radiation and other harmful gaseous emissions are affecting
the ozone layer. Level of pollution is increasing due to carbon emission and various other
harmful gases which are omitted by the industries. Using the legitimacy theory a research is
being conducted which will help in determining the legitimate ways with the help of which
industries available in the market will be able to reduce carbon radiation by making less or
minimal expenses (Svensson, 2008).
According to the studies making generalized perception or assumptions that the actions of an
entity are desirable and proper within in certain set of social construct systems or norm is known
as legitimacy (Rankin, 2012). Legitimacy theory helps the individual in gaining appropriate set
of information related with the topic by making certain set of perceptions and evaluation under
certain norms, values and beliefs. Hence, by using legitimacy theory various set of perceptions
will be made in relation with environmental sustainability aspects and accounting management
so that a set direction could be provided to the industries working upon which they will be able
to manage their work process and succeed in making an effective set of contribution in making a
healthy and sustainable environment. Information related with the ways with the effect of which
carbon radiation could get reduced will be evaluated so that industries could work on them and
protect the environment from getting affected by the same (Messner, 2010).
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LITERATURE REVIEW
In present time environment sustainability has become one of the most important aspects which
are required to be taken into consideration by the industries working in the market (Kapardis,
2010). For the businesses it has become important that they should work towards to
environmental sustainability aspects and should develop the strategies with the help of which
their financial performance could get managed. Industries present in the market should indulge in
the practices of reducing the omission of green house gases. Green House gases are the gases
which trap the heat in the air and affect the Ozone layer. These are the gases which absorb and
emit the radiation within the thermal infrared range. There are various greenhouse gases
available in the atmosphere these are water vapor, carbon dioxide, methane, nitrous oxide and
ozone (Jasch, Ayres & Bernaudat, 2010).
Industries are growing due to which competition is also increasing in the market so as to ensure
that the industries could remain in the run it is required that they should focus upon their
financial performance. Environment management is one of the aspects which require huge funds
as monitoring and controlling the level of carbon radiation and various other harmful gases
requires hue investment. Hence, managing such type of aspects is becoming difficult for the
organizations due to financial issues. In this situation it has become important that organizations
should develop the cost effective strategies like using more man power to reduce the use of
machines, providing proper set of training to save energy and motivating them to plan more trees
in the premises will help in the environmental sustainability aspects of the organization
(Hovardas & Poirazidis, 2007).
Government plays a very vital role in providing effective set of solution to protect the
environment. It is required that organizations should take the help of government so as to
manage the environmental sustainability aspects. This will help the industries in getting subsidies
and financial support in managing the environmental sustainability aspects.
Financial advisor of the industry also plays a very vital role in providing legitimate solution to
the financial issues. It is necessary that proper advices should be taken by the industries from the
financial advisors in relation with environmental sustainability aspects and should try to apply
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the cost effective strategies with the effect of which level carbon radiation and emission of
harmful gases could get reduced (He, Shifley & Thompson, 2011).
Strategies like plantation of more trees, processing the work with manpower, saving energy and
making the work process more energy efficient, switching off the light whenever people go
outside the premises and encouraging society to plant more trees will help in environmental
sustainability aspects and will help in reducing the level of carbon radiation (Harris & Roach,
2017). Hence, it could be evaluated that using various cost effective methods and providing
appropriate training to the employees working at the workplace will help in making an effective
contribution in environmental sustainability aspects and will provide a proper set of support to
the companies in maintaining financial performance.
HYPOTHYESIS
H1: Evaluating the cost effective strategies and taking all the employees into consideration will
help in making a positive contribution in environmental sustainability aspects and will help in
resolving accounting system issues.
H2: Legitimacy theory helps in making a proper evaluation of all the aspects related with
environmental management and provides a proper set of support in managing company accounts
(Carter & Ross, 2014).
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CONCEPTUAL FRAMEWORK
(Burritt, Schaltegger, Bennett, Pohjola & Csutora, 2011)
According to the framework it is necessary that all the institutional environment should be
properly identified which consists of macro, meso and micro environment. Then evaluation of
the institutional environment should be done in which institutional liability and institutional
capital must be evaluated. Then the trade off should be made in which legitimacy should be
maintained and efficiency should be developed, and at the last strategic response should be
provided. This strategic response will help in managing the contemporary accounting issues and
will provide effective set of direction for the growth of the organization (Ajith Sankar R. N.,
2015).
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APPENDIX
Annotated Bibliography of the Articles:
Author Date Title Journal Type of
Paper
(Theoreti
cal or
Empirica
l)
If
empirical,
research
method
and
sample
If
empirical,
dependent
and
independe
nt
variables
100 word
summary
of
contributi
on to the
research
question
Bill
Carter,
Hallen
Ross
29
Octobe
r 2014
Trends in
environmen
tal
managemen
t through
the lens of
the
Australasia
n Journal of
Environme
ntal
Manageme
nt
Australasia
n Journal
Of
Environme
ntal
Manageme
nt
Theoretic
al
The
method
chosen in
the study
are more
theoretical
rather than
providing
any fact
about
environme
ntal
manageme
nt trend.
Independe
nt variable
Informatio
n availed
Dependent
variable
Decision
required to
be made
on the
basis of the
informatio
n provided
The
research
question of
the study
helps in
determinin
g the
present
trends
which are
related
with
environme
ntal
manageme
nt system.
Christi
ne
Jasch,
Daniel
2
Decem
ber
2010
Environme
ntal
Manageme
nt
Issues In
Social And
Environme
ntal
Empirical The
method
chosen in
this
Independe
nt variable
Environme
ntal issues.
The
research
helped in
evaluating
9

Ayres,
Ludovi
c
Bernau
dat
Accounting
(EMA)
Case
Studies in
Honduras –
an
Integrated
UNIDO
Project
Accountin
g
research is
empirical
as proper
and in
depth
informatio
n related
with
environme
ntal
accounting
is
provided.
Dependent
variable
impact of
the
environme
ntal issues
on
accounting
the impact
of
environme
ntal issues
on the
accounting
of an
organisatio
n.
Qinghu
a Zhu,
James
Cordeir
o,
Joseph
Sarkis
15
January
2013
Institutional
pressures,
dynamic
capabilities
and
environmen
tal
managemen
t systems:
Investigatin
g the ISO
9000 –
Environme
ntal
managemen
t system
implementa
tion linkage
Journal Of
Environme
ntal
Manageme
nt
Empirical Informatio
n related
with ISO
9000 is
being
provided
which
helps in
developing
proper set
of
dynamics
related
with
environme
ntal
manageme
nt aspects.
Independe
nt variable
ISO 9000
implication
s
Dependent
variables
environme
ntal
manageme
nt
investigati
on
Research
include
informatio
n related
with the
implicatio
ns of ISO
9000 on
the
industries
so as to
manage
environme
ntal
sustainabil
ity aspects.
10

REFERENCES
Ajith Sankar R. N. (2015). Environmental management. New Delhi: Oxford Univ. Press.
Burritt, R., Schaltegger, S., Bennett, M., Pohjola, T., & Csutora, M. (2011). Environmental
Management Accounting and Supply Chain Management. Dordrecht: Springer Netherlands.
Carter, R., & Ross, H. (2014). Trends in environmental management through the lens of
theAustralasian Journal of Environmental Management. Australasian Journal Of Environmental
Management, 21(2), 200-218.
Harris, J., & Roach, B. (2017). Environmental and natural resource economics. London:
Routledge.
He, H., Shifley, S., & Thompson, F. (2011). Overview of Contemporary Issues of Forest
Research and Management in China. Environmental Management, 48(6), 1061-1065.
Hovardas, T., & Poirazidis, K. (2007). Environmental Policy Beliefs of Stakeholders in Protected
Area Management. Environmental Management, 39(4), 515-525.
Jasch, C., Ayres, D., & Bernaudat, L. (2010). Environmental Management Accounting (EMA)
Case Studies in Honduras –an Integrated UNIDO Project. Issues In Social And Environmental
Accounting, 4(2), 89.
Kapardis, M. (2010). Contemporary Issues in Accounting. Bradford: Emerald Group Pub.
Messner, M. (2010). Contemporary Issues in Accounting. European Accounting Review, 19(1),
191-192.
Rankin, M. (2012). Contemporary issues in accounting. Milton, Qld.: John Wiley and Sons
Australia, Ltd.
Svensson, G. (2008). Research Note Sustainable Management: An Accounting Issue?. Issues In
Social And Environmental Accounting, 2(1), 145.
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Zhu, Q., Cordeiro, J., & Sarkis, J. (2013). Institutional pressures, dynamic capabilities and
environmental management systems: Investigating the ISO 9000 – Environmental management
system implementation linkage. Journal Of Environmental Management, 114, 232-242.
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