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Importance of environmental auditing
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Introduction
Environmental auditing is a management tool that comprises of systematic, periodic, documented and objective process where a company, organisation or any other body of recognition is visited and the policies and legislation of that body is checked for compliance (Guest, 1999). Very often environmental audit is focused on matters that involve the natural environment and energy use. It looks at the impact that activities have on the natural environmental and tries to come up with ways that can decrease the impact on the environment. Environmental audit is done to come up with ways that may save nature for the present and future generation (EIGA, 2012). It is concerned with sustainable development and tries to limit the use of natural
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Depending on the size and the location of the facility that needs auditing, the process may be longer or shorter than expected. It is company management that needs to make sure that everyone knows the scope of auditing, the protocol and process of auditing.
On-site audit
On-site auditing include understanding all internal controls where the auditor will get familiar with the staff (if it is an external auditor); get familiar with regulations, policies and other documentation that may be of benefit to auditing. External auditor will be introduced to the staff and all the processes will be explained. This is then followed by site inspections and finalizing audit plans (EIGA, 2012).
Auditing will then begin by collecting all auditing evidence such as asking questions, taking notes or photographs, collecting records and policies, checking
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Research- the auditing team may have to do a background check on the facility that needs to be audited. This research will help the team to get familiar with the facility and the people that work there. It will also help them to get familiar with policies and regulations of the company (EIGA, 2012).
Questionnaires- open-ended questions may be formulated and used as part of communication channels.
Checklists-usually developed before auditing as a reminder of activities that needs to be done. These activities are listed down and when they are completed, they get ticked off the list (EIGA, 2012).
Photographs- will serve as a proof and may be used when compiling an environmental audit report (EIGA, 2012).
Drill down Sampling- this is a technique that is used to get information from way back. It acquires information from way past the time (DEAT, 2004).
Questioning- staff may be asked a few questions as part of the auditing process
(DEAT, 2004).
Positive and negative impacts of environmental audit in companies
Environmental audit can be seen as a tool that aims to correct any things that may be wrong or that may be done differently from what was initially intended. It can be used
Rittenberg, Larry, Bradley Schwieger, and Karla Johnstone. Auditing. 6th ed. Mason: Thomas South-Western, 2005. 10-40.
Objectivity also needs to be evaluated to make sure the internal audit is reliable. The internal audit needs to be free of conflicting responsibilities as well
The oversight responsibilities of the board, the CAE lacking of expertise or broad understanding of financial controls and responsibilities, and the understaffed internal audit functions lacking of independence and direct access to the board of directors contributed to the absence of internal controls. To begin with, the board should be retrained to achieve financial literacy to review financial reporting. Other than attending formal meetings, the board of directors should be more involved with the management. For the Audit Committee, the two members who were recruited as acquaintances to Brennahan need be replaced with experts who are more sufficiently knowledgeable about accounting rules beyond merely “financially literate”. Furthermore, the internal audit functions need to expand with different expertise commensurate with the expanded activities of the organization, testing financial reporting rather than internal controls from an operational perspective. The CAE should be more independent and proactive to execute audit plans, instead of following orders from the CFO, and initiate a direct and efficient communication between internal audit and audit
The problem with pollution prevention is that it requires people to understand more than the intimate details of the production process; they must also understand the technical possibilities. Many corporations have environmental managers, which are generally responsible for helping corporations comply with the law. According to the case study, the work of environmental managers often expose them to many pollution prevention solutions, but they often have trouble getting access to production areas. Production often sees Environmental Managers as "the compliance police".
The study was expanded to include pollution of the atmosphere by carbon dioxide, smoke, dust particles, and things of that
2. Staff members should introduce themselves to you and describe their roles before care is given.
A series of test will be required to demonstrate failure scenarios in their new lab. Once they have tweaked their labs and understand the layout they will be done with onsite
The next part of Audit process is to understand the business environmental aspects of the company. As part of the marketing audit project the author is going to analyze and provide detailed information on the following key environmental aspects
Environmental scanning is the process of gathering information about events and their relationships within an organization's internal and external environments. The basic purpose of environmental scanning is to help management determine the future direction of the organization (Barnat, 2004). For a business to succeed, it is important to study the business environment of the firm that consists external and internal influences that affect the firm’s decisions and performance (Grant, 2010). Environmental scanning includes the assessment of Macro and Micro environmental analysis.
Once all information is gathered, I document all relevant information in an investigation report. Tracing the
Procedures for monitoring and measuring operations that can have a significant impact on the environment.
Auditing has been the backbone of the complicated business world and has always changed with the times. As the business world grew strong, auditors’ roles grew more important. The auditors’ job became more difficult as the accounting principles changed. It also became easier with the use of internal controls, which introduced the need for testing, not a complete audit. Scandals and stock market crashes made auditors aware of deficiencies in auditing, and the auditing community was always quick to fix those deficiencies. Computers played an important role of changing the way audits were performed and also brought along some difficulties.
Environmental analysis is a strategic tool. It is a process of identifying all the external and internal elements, which can affect the organization’s performance. The analysis entails assessing the level of threat or opportunity the factors might present. These evaluations are later translated into the decision-making process. The analysis helps align strategies with the firm’s environment.
The environment today is not in a good condition, Climate change is evident, and oceans are getting polluted. Rainforrest's are decreasing in size due to deforestation and illegal logging. Animals are getting extinct due to the destruction of their habitats. Natural resources are being consumed at very large amounts, and get wasted. There are different ways these problems can be addressed, one option is environmental management. Environmental management focuses on conservation of natural resources, protection of habitats, and impact of humans on the environment. Conservation of natural resources is the smart use of the world's resources by humans, through this waste production is limited, and there will be less garbage in the world. By conserving
As human beings we have a responsibility to protect ourselves, each other and our environment. The term environment refers to a complex set of social/cultural conditions that affect an individual or community. However, there are events and processes that occur in the environment that human beings have no control over. Environmental science, the systematic study of processes and materials in our environment, identifies temperature, precipitation and humidity as a few natural conditions. Natural conditions force us to be reactive, while things that we can control, such as consumption and waste, allow us to be proactive.