An evaluation of success factors using the AHP to implement ISO 14001‐based EMS

Abstract

Today’s growing concern in environment awareness forces manufacturers to strive for implementing competitive strategies in environmental management. With the introduction of ISO 14001 Environmental Management System (EMS) standard in 1996, many manufacturing companies are facing a decision problem of whether or not to implement the ISO 14001 based EMS. The authors have studied the critical success factors to be considered by the Hong Kong manufacturers in this regard. The Analytic Hierarchy Process (AHP) methodology is used in the study to formulate an appropriate model to evaluate success factors and develop strategies to implement ISO 14001 based EMS in Hong Kong manufacturing companies. The model is also used to evaluate the benefits/costs ratios of implementing ISO based EMS and to decide whether or not to implement it. As the results of the model indicated, the ISO 14001 based EMS should be implemented in Hong Kong by manufacturing companies to improve their environmental performance and sustain the competitive position in the global market place, regardless of the considerable costs incurred from its implementation. This is supported by a relatively larger benefits/costs ratio with respect to implementing ISO 14001 based EMS than that of the contrary. This paper reports the findings of the study.