Environmental management is an increasingly important part of strategic management in companies, and the significance of environmental issues is increasing in business worldwide as companies form large global networks. The environmental pollution caused by industrial countries — especially air emissions — is a topic of global concern, but environmental debates often focus on finding the guilty companies instead of suggesting schemes for preventing environmental harm. Companies and administrators should aim to develop their environmental decision-making; to this end, the environmental modelling system and its applications presented in this article have been designed to identify, analyse, manage and report environmental factors in relation to operational and financial functions in business processes. The model addresses the process, environmental and financial aspects of operations on the basis of process management, environmental management and environmental business accounting. The model can also be used to determine alternatives for cost-effectively improving environmental performance. The environmental modelling system enables a company to: 1.
Identify key environmental aspects of operations.
2.
Analyse, manage and report current environmental performance
3.
Determine the relationship between pollution abatement measures and internal environmental costs and investments
4.
Compare alternatives for cost-effectively decreasing environmental loads generated by business