Corporate Social Responsibility in the Oil and Gas Industry: Environmental Management Systems as a Source of Sustainable Development

The environmental aspect of corporate social responsibility (CSR) expressed through the process of the EMS implementation in the oil and gas companies is identified as the main subject of this research. In the theoretical part, the basic attention is paid to justification of a link between CSR and environmental management. The achievement of sustainable competitive advantage as a result of environmental capital growth and inclusion of the socially responsible activities in the corporate strategy is another issue that is of special significance here. Besides, two basic forms of environmental management systems (environmental decision support systems and environmental information management systems) are explored and their role in effective stakeholder interaction is tackled. The most crucial benefits of EMS are also analyzed to underline its importance as a source of sustainable development. Further research is based on the survey of 51 sampled oil and gas companies (both publicly owned and state owned ones) originated from different countries all over the world and providing reports on sustainability issues in the open access. To analyze their approach to sustainable development, a specifically designed evaluation matrix with 37 indicators developed in accordance with the General Reporting Initiative (GRI) guidelines for non-financial reporting was prepared. Additionally, the quality of environmental information disclosure was measured on the basis of a quality – quantity matrix. According to results of research, oil and gas companies prefer implementing reactive measures to the costly and knowledge-intensive proactive techniques for elimination of the negative environmental impacts. Besides, it was identified that the environmental performance disclosure is mostly rather limited, so that the quality of non-financial reporting can be judged as quite insufficient. In spite of the fact that most of the oil and gas companies in the sample claim the EMS to be embedded currently in their structure, they often do not provide any details for the process of their implementation. As a potential for the further development of EMS, author mentions possible integration of their different forms in a single entity, extension of existing structure on the basis of consolidation of the structural and strategic precautions as well as development of a unified certification standard instead of several ones that exist today in order to enhance control on the EMS implementation.

A Belief rule-based environmental responsibility assessment system for small and medium-sized enterprises

Various environmental management systems, standards and tools are being created to assist companies to become more environmental friendly. However, not all the enterprises have adopted environmental policies in the same scale and range. Additionally, there is no existing guide to help them determine their level of environmental responsibility and subsequently, provide support to enable them to move forward towards environmental responsibility excellence. This research proposes the use of a Belief Rule-Based approach to assess an enterprise’s level commitment to environmental issues. The Environmental Responsibility BRB assessment system has been developed for this research. Participating companies will have to complete a structured questionnaire. An automated analysis of their responses (using the Belief Rule-Based approach) will determine their environmental responsibility level. This is followed by a recommendation on how to progress to the next level. The recommended best practices will help promote understanding, increase awareness, and make the organization greener. BRB systems consist of two parts: Knowledge Base and Inference Engine. The knowledge base in this research is constructed after an in-depth literature review, critical analyses of existing environmental performance assessment models and primarily guided by the EU Draft Background Report on "Best Environmental Management Practice in the Telecommunications and ICT Services Sector". The reasoning algorithm of a selected Drools JBoss BRB inference engine is forward chaining, where an inference starts iteratively searching for a pattern-match of the input and if-then clause. However, the forward chaining mechanism is not equipped with uncertainty handling. Therefore, a decision is made to deploy an evidential reasoning and forward chaining with a hybrid knowledge representation inference scheme to accommodate imprecision, ambiguity and fuzzy types of uncertainties. It is believed that such a system generates well balanced, sensible and Green ICT readiness adapted results, to help enterprises focus on making improvements on more sustainable business operations.