Journal of Cleaner Production 17 (2009) 559–569
Contents lists available at ScienceDirect
Journal of Cleaner Production journal homepage: www.elsevier.com/locate/jclepro
The benefits associated with ISO 14001 certification for construction firms: Turkish case Ahmet Murat Turk* Istanbul Kultur University, Department of Civil Engineering, Atakoy Campus, D100 Yanyol, 34156, Bakirkoy, Istanbul, Turkey
a r t i c l e i n f o
a b s t r a c t
Article history: Received 11 June 2008 Received in revised form 25 October 2008 Accepted 5 November 2008 Available online 6 December 2008
Construction firms all over the world are increasingly seeking to obtain ISO 14001. The rapid growth in the number of ISO 14001 applications in Turkey and the share from the construction sector in this number, as a leading sector, is rather striking. This paper, using a structured questionnaire survey, investigates whether there is any dependence or relation between construction firms characteristics and having ISO 14001 certification and any difference in the perceptions related to ISO 14001 by considering both firm characteristics and two different groups as certified and non-certified firms. Additionally, it examines the perceived benefits of having ISO 14001 for certified construction firms. According to the results of analysis, although there is not any difference in perceptions on ISO 14001 certification in terms of firm characteristics and being as certified and non-certified and their both positive opinions about ISO 14001 certification. There is a relation between firms characteristics and having ISO 14001 certification. ISO 14001 certification contributes to construction firms not only in terms of environmental benefits but also with corporate management and marketing effects, thus verifying that the ISO 14001 has a positive impact on the Turkish construction sector. Ó 2008 Elsevier Ltd. All rights reserved.
Keywords: ISO 14001 Environmental management system (EMS) Construction firms Turkey
1. Introduction Following both the Rio Conference in 1992 and GATT (General Agreement on Tariffs and Trade) negotiations, international standards have become important for succeeding and for getting access to the markets; at the same time, there has been an increase in the interest of environmental management. Such regulatory and competitive pressures have caused firms to take into consideration the environmental issues within their own production and market plans. Many firms have attempted to seek an effective environmental management system. These have led to implementation and development of the ISO 14001 standard for assessing environmental management processes. Today, all over the world, many firms are seeking ISO 14001 certification. According to statistics published by ISO, by the end of 2006, 129,199 certificates have been issued in 140 countries, an increase of 18,037 certificates since the end of 2005 when the total number was 21,225 in 138 countries [1]. While Europe has 44.05% of regional share expressed in 2006, Far East countries have 41.24% share. The other regional shares are respectively North America 5.94%, Africa/West Asia 3.74%, Central and South America 3.37 and Australia and New Zealand 1.66%. The top 10 countries for growth in ISO 14001 certification were China
* Tel.: þ90 212 498 42 57. E-mail address:
[email protected] 0959-6526/$ – see front matter Ó 2008 Elsevier Ltd. All rights reserved. doi:10.1016/j.jclepro.2008.11.001
(6159), Italy (2745), Spain (2505), Germany (975), Korea (938), Sweden (729), Romania (702), Turkey (505), and Switzerland (503) by 2006. In Turkey, while 918 firms were registered at the end of 2005, the number of certifications increased to 1423 at the end of 2006. This is an increase of 64.5% in one year in the number of ISO 14001 certificates in Turkey. This growth is rather striking. According to statistics published by ISO, the top five industrial sectors for ISO 14001 certifications are electrical and optical equipment (9423), construction (9095), basic metal and fabricated metal products (7521), chemicals, chemical products and fibers (5041), and machinery and equipment (4554), respectively. The share of construction certificates in industrial sectors is quite high. While 4660 firms were registered at the end of 2005, the number of certifications rose significantly to 9095 at the end of 2006. In this sector, the share all over the world has increased by 51.2% in one year [1]. The more and more increasing interest of construction firms to obtain the ISO 14001 certificate depends on benefits associated with it. Construction, as an activity, is defined by NACE Code1 under the Group F. Under this group, there are three sub-groups: construction of buildings (F41), civil engineering (F42), and specialized
1 NACE stands for ‘‘Nomenclature Generale des Activites Economiques dans I’Union Europeenne’’ (General Name for Economic Activities in the European Union) and is based on the European standard for industry classifications.
560
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
construction activities (F43). In this study, construction, the general field of activity of the surveyed firms includes all items given under the titles of all three sub-groups. While the construction sector creates and provides facilities for human activities and social development [2], environmental impacts of construction activities, products and services are quite significant [3]. Construction activities, products and services may cause different types of pollution such as land deterioration, resource depletion, waste generation, air pollution, noise pollution and water pollution [4–6]. The ISO 14001 offers a framework for managing construction operations for improvement of their environmental performance. In Turkey, as rapid growth in the number of ISO 14001 certifications and the share of the construction sector as a leader in this number are considered, there is a need to conduct an exploratory study on Turkish construction firms. This paper has focused on two main aims. The first is to determine whether there is any dependence or relation between construction firms characteristics and having ISO 14001 certification and also any difference in the perceptions related to ISO 14001 depending on both firm characteristics and grouped as certified and non-certified construction firms. Second one is to examine the perceived benefits gained from obtaining ISO 14001 for certified construction firms. The contribution expected from this study is to examine relation between construction firm characteristics and having ISO 14001 certification and the benefits associated with the ISO 14001 certification in the construction sector in Turkey and to compare the findings with other countries. The information on the ISO 14001 is given in the following section. Section 3 presents the theoretical background related to implement in the construction sector. Section 4 gives information about the significance of ISO 14001 for construction sector in Turkey. Section 5 contains a survey study of Turkish construction firms. This section is divided into three parts. In the first part, the structure of the survey is determined. In the second part, findings in relation with the analysis are given in six sub-divisions. The third part provides a general evaluation of the findings, including comparison with experiences of other countries. Section 6 contains the conclusions and policy recommendations. 2. Environmental management system standard: ISO 14001 Although firms in most industrialized countries have adopted environmental protection practices required by government agencies since early 1970s, these regulations largely focus on control of water and air emissions and waste disposal. Government regulations usually require companies to reduce or eliminate the pollution [7]. Since the 1980s, governments and industry associations have significantly increased their promotion and reliance on voluntary environmental policies as a mean of encouraging firms to establish management and operational practices that reduce pollution and increase material and energy efficiencies. The term ‘voluntary policy’ includes a wide range of programmes that employ explicit or implied regulatory and market incentives to obtain commitments from polluters in service and manufacturing industries to reduce the environmental damage for which they are responsible. The prevalence of voluntary policies and programmes is representative of a broader shift toward more flexible instruments and away from standards-based regulation [8]. The first environmental management standard, BS7750, was prepared in 1992. In 1993, the Eco-management Audit Scheme (EMAS), prepared by the European Union, started to be applied. Following the BS7750 and EMAS, various countries developed their own EMS (Kein et al. [9]). Later, ISO 14001 environmental management system standard was introduced in 1996. ISO 14001 provides guidelines by firms or organizations design and implement an EMS that identifies the organization’s
environmental policy, the environmental aspects of its operations, legal and other requirements, a set of clearly defined objectives and targets for environmental improvement and a set of environmental management programs [10]. The ISO 14001 is a set of guidelines by which a facility can establish or strengthen its environmental policy, identify environmental aspects of its operations, define environmental objectives and targets, implement a program to attain environmental performance goals, monitor and measure effectiveness, correct deficiencies and problems and review its management systems to promote continuous improvement [11]. The ISO 14001 provides standard that is an internationally recognized system for the improvement of organization–level environmental performance through the minimization of harmful environmental effects and continual improvement [1]. ISO 14001 articulates a set of required steps that organizations must undertake prior to successful certification: definition of an organizational environmental policy; identification of environmental aspects of production and service activities; establishment of clear environmental objectives and targets; creation of plans for implementation, actual implementation, monitoring and evaluation, and periodic management review. Certification and continued compliance with the standards also requires that facilities undergo a series of third party audits [8,12]. 3. Literature review: the implementing of ISO 14001 in the construction sector A limited number of studies have been carried out in various countries related to implementing ISO 14001 in the construction sector. In these studies, two different methodologies were followed. First one covers the studies based on a sample of construction firms where second one covers the case studies performed on single firm. In literature review, this differentiation is taken into consideration. The summary of previous studies based on the ISO 14001 within the construction industry is given in Table 1. 3.1. Studies and their findings based on sample of firms The studies based on a sample of firms related to using of ISO 14001 in construction sector focused much more in Far East and Asian countries. In these studies the benefits of ISO 14001 for construction firms and obstacles in application were determined. For example, in a study performed in Hong Kong, the most important benefits of ISO 14001 certification in the construction sector have been determined as benefits to environmental protection, minimization of environmental risk, positive development of environmental image and cost savings due to compliance with environmental guidelines [6]. In a study carried out in China, the benefits of the ISO 14001 certification are analyzed under five subtitles; internal operations, corporate management, marketing effects, subcontractor relations and site cleanliness [2]. According to the findings in this study, the benefit of the ISO 14001 certification is determined as the achievement of standardization for the management under the title of internal operations. Under corporate management, benefit of the ISO 14001 certification is seen as protection of resources and minimization of waste. In terms of market effects, the benefits are being sensitive to the environment and gaining the confidence of the clients. For subcontractor relations, the benefit is determined as the emphasis on the importance given to environmental issues by the subcontractors. In terms of site cleanliness, it is stated that the ISO 14001 certification has provided a significant development. In a study conducted in Singapore, one of major reasons why contractors would seek ISO 14001 certification is that they hope to reduce material wastage, hence cutting costs. Constructors also adopt ISO 14001 certification for purpose of alleviating the regulation burden, protecting the
Table 1 The summary of previous studies based on the ISO 14001 within the construction industry. Country and targeted group
Kein et al. (1999) Ofori et al. (2000)
Singapore, Construction firms
Study based on sample of firms Singapore, Clients, consultants Study based on and contractors sample of firms
Tse (2001)
Hong Kong, Construction firms Study based on sample of firms Hong Kong, Construction firms Study based on sample of firms
Shen and Tam (2002)
Zeng et al. (2003)
Methodology
No of samples in the study
Findings of Research
24
Environmental protection is important for the construction firms but it does not have a priority. The construction firms in Singapore are not found to be ready for ISO 14001 although environmental awareness exists among firms [9]. The need of qualified personnel, lack of knowledge, high application costs and changes in traditional applications are identified as main problems. High costs of ISO 14001, common belief about ISO 14001 such as it does not have any advantage for construction firms, benefits of ISO 14001 does not compensate the costs of implementing it, lack of client support impeding the use of ISO 14001. The main reasons for seeking ISO 14001 are minimizing waste production, stopping illegal behavior and to stand behind the legal barriers in terms of environment [3]. The obstacles in the use of EMS in construction are lack of governmental pressures, lack of client support, high costs of application of EMS, the problems related to subcontractors in terms of EMS [13]. The main benefits of EMS are summarized as the contribution to environmental protection, minimization of environmental risk, improving the environmental image and cost savings due to reductions of environmental pollution. Increasing management costs, lack of qualified personnel, lack of subcontractor cooperation, lack of client support, time consuming feature of improving environmental performance are main obstacles for application of EMS in construction sector [6]. The major motivation for Chinese construction firms to have ISO 14001 certification is to entry to international markets. The others can be summarized as standardization of environmental management procedures, to get social recognition and client confidence, to enhance company image, to increase the environmental awareness of subcontractors and to get cleaner construction sites for better housekeeping. Main obstacles are found such as financial burden for firms, imbalance between costs and benefits, low environmental awareness and lack of governmental pressure and enforcement [2]. A decision making model is developed for construction companies by comparing the critical factors such as governmental regulations, technology conditions, competitive pressures, cooperative attitude, cost-benefit efficiency whether to pursue ISO 14001 certification [14]. EMS on worksites helps promote the fulfillment of the relevant current legislation and the appropriate management of solid, inert and hazardous waste. For example, with regard to reuse, 11.8% of inert waste from EMS sites is reused on another site, as against 5.8% on nonEMS sites [16]. Certification analysis by industry demonstrates manufacture (by its nature involving environmentally hazardous processes) as the industry having by far the highest ISO 14001 penetration levels.This is further supported by the respective distribution by sector, where certification diffusion among sectors appears much wider in manufacture compared with both services and commerce. Even in these industries, however, most sectors with the highest EMS penetration levels can generally be considered as environmentally hazardous. In this meaning, construction sector has statistically significant influence on environment [17]. The construction firms are realizing that the elimination or minimization of harmful environmental impacts from construction site is crucial. Although ISO 14001 does not have specific environmental performance criteria for construction firms, firms can seek the balance between costs and benefits with the application of EMS. Beers Skanska did not receive the ISO 14001 certification with governmental or other pressures. On the contrary, the firm is enthusiastic to fulfill the environmental commitment and get competitive advantage against competitors in the construction industry [18]. The positive aspects of ISO 14001 is identified such as making commitments to environmental responsibility, improvement in environmental performance, increasing employee awareness, generating benefits like monetary savings and creating new marketing opportunities [19].
33 (contractors)
– 72
China, Construction firms
Study based on sample of firms
60
Chen, et al. China, Construction firms (2004) Rodriguez Spain, Construction firms et al. (2007)
Study based on sample of firms Study based on sample of firms
72
Lagodimos, Greece Industrial sectors et al. (2007) include construction sector
The analysis of published data
–
Christini et al. (2004)
Study based on single firm
–
Study based on single firm
–
USA, A construction firms
Valdez and USA, Construction firms Chini (2002)
80
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
Field Study
561
562
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
environment, enhancing public image and improving workers health and safety [3]. The obstacles in application of ISO 14001 were also emphasized in the previous studies. For example, according to a study, although the requirement for environmental protection has been agreed on, the construction firms in Singapore are not ready for the application of environmental management standards such as ISO 14001 [3]. The reasons why the construction firms in Singapore are not ready are the high costs in the application process, the failure of the benefits of the ISO 14001 to meet the costs and the lack of client support. Existence of various obstacles in the application of 14001 certification are determined as an increase in managerial costs, a lack of qualified personnel and experts, a lack of subcontractor cooperation, lack of client support and the time consuming characteristic of the environmental performance development [6]. According to other study in Hong Kong, the obstacles in the application of the ISO 14001 certification in the construction sector are defined as the lack of government pressure, the lack of client support, the high application costs, the existing subcontractor system and its difficulties [13]. In the other study, the obstacles for implementation of ISO 14001 certification are the high costs of the application and the increase in paperwork [2]. According to another study conducted in China, the critical factors in application and acceptance of the ISO 14001 are analyzed under five factors [14]. The first factor is governmental regulations. The second factor is the state of the technology. According to the results of the analysis, technology is important for the application and acceptance of the ISO 14001 EMS. If the construction firms had adequate technology in order to minimize and control the adverse effects of the construction on the environment, they would prefer to have the ISO 14001 certification. The third factor is competitive pressures. As a result of the analysis, competitive pressure is important in acceptance and application of the ISO 14001 for the construction firms. If there was a sufficient competitive pressure, the construction firms would accept the ISO 14001 standards. The fourth factor is the cooperative behavior. According to the results, the construction firms would accept the ISO 14001 if there was a satisfactory cooperation with local and foreign firms on the subject of environmental management. The fifth factor is the cost-benefit efficiency. According to the results, indistinct cost-benefit efficiency prevents construction firms from accepting the ISO 14001 standards. There are some studies related to the using of ISO 14001 in construction sector in Europe. However, before the evaluation of the findings of the studies, to give information related to legal base might be useful. According to the European construction products directive (CPD, 89/106/EC), construction products must satisfy specified essential requirements, where the works are subjected to notified regulations containing such requirements. The main issue relating to the environment is the essential requirement No. 3, on hygiene, health and environment (ER 3). To comply with ER 3, the construction works must be designed and built in such way that they will neither be a threat to the hygiene or health of the occupants or neighbors, nor to the environment (CEC, 1989). In this context, the standardization mandate M/366 issued by the European Commission to CEN deals with the subject of emission of dangerous substances from construction products as defined in the CPD and specifies that: ‘‘Measurement/test standards shall be prepared to allow the assessment of the emission performance of regulated dangerous substances from construction products, under normal conditions of use, into indoor air, soil, ground water and surface water’’ (EC, 2005 EC – European Commission, 2005). Mandate M/366: Horizontal complement to the mandates to CEN/ CENELEC, concerning the execution of standardization work for the development of horizontal standardized assessment methods for harmonized approaches relating to dangerous substances under
the Construction Products Directive (CPD). Emission to indoor air, soil, surface water and ground water should be minimized (Brussels, Belgium.EC, 2005) [15]. Studies related to the using of ISO 14001 in construction sector in Europe mainly focused on Mediterranean countries. For example, in Spain, the application of the ISO 14001 certification to construction sites in Madrid has been analyzed and evaluated by paying particular attention to control and management practices for waste generated on site and the fulfillment of legislation on waste management. The comparison of construction waste management on sites with and without EMS was made in order to detect possible deficiencies of EMS and current management instruments. According to results, EMS on worksites helps to promote the fulfillment of the relevant current legislation and the appropriate management of solid, inert and hazardous waste. For example, with regard to reuse, 11.8% of inert waste from EMS sites is reused on another site, as against 5.8% on non- EMS sites [16]. The penetration of certifications and of certification agencies within industries in Greece was examined in another study. Certification analysis by industry demonstrates manufacturing (by its nature involving environmentally hazardous processes) as the industry having by far the highest ISO 14001 penetration levels. This is further supported by the respective distribution by sector, where certification diffusion among sectors appears much wider in manufacturing compared with both services and commerce. Even in these industries, however, most sectors with the highest EMS penetration levels can generally be considered as environmentally hazardous. In this meaning, construction sector is statistically significant [17]. 3.2. Studies and their findings based on single firm Skanska, construction company, has established an EMS and the results showed that EMS has improved the environmental performance and increases employee commitment and understanding of the company’s environmental impact. In a case study, the experience of Beers Skanska in relation to the ISO 14001 certification is analyzed [18]. Reducing environmental impact is synonymous with ensuring optimal use of resources and saving money. Environmental audits relating to EMS lead to measures which improve competitiveness. According to the findings, due to its ISO 14001 certification, Beers Skanska has been awarded several projects. The company has also distinguished itself on the market and has achieved a high level of awareness and sensitivity to the environment. There has been monetary savings also. These are related mostly to resource and waste management and transportation. The savings have helped to finance the overhead costs with regard to ISO 14001 certification and its implementation. Skanska implemented its ISO 14001 standard without government or client pressure. They have chosen to fulfill Skanska’s environmental commitment and gain a competitive edge. Although, Beers Skanska does not require subcontractors to have their own EMS, they must participate in implementing Beers Skanska’s EMS at the job site. However, Beers Skanska has also experienced difficulties in the certification and implementation processes ISO 14001. Since it was the first construction company to obtain certification in the US, auditor in charge of the process did not have previous construction experience or background. Another difficulty that has been experienced is maintaining people invested in the program and making sure that the program is consistently implemented in the entire company [19]. 4. Significance of ISO 14001 for construction sector in Turkey In Turkey, there are important reasons requiring the expansion and implementation of the ISO 14001 certification for the construction sector. First one is that the construction sector is an
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
essential economic activity area in terms of the Turkish economy, as in the case for all countries throughout the world. The construction sector is deemed as one of the leading sectors of the Turkish economy because the sector depends on the local industry to a great extent by providing large employment opportunities. In terms of production, it has been calculated that the construction sector takes up to 6% share of the gross national product in the Turkish economy, Furthermore this share reaches 33% with the contribution of the other sectors that go on their activities by depending on the construction sector. As this sector is directly related with the fixed capital investment, the growth of the construction sector also affects the growth rate of the country’s economy. In general, the construction investments in Turkey account for approximately 60% of the realized total investment costs [20]. Due to the rapid population growth and urbanization rate in Turkey, the construction investments within the country’s economy are considered to be able to carry on for long years. In a country where the share of construction investments is so high, it is inevitable to think of the impacts of such investments on the environment. The second is that there is no exact data about the direct impacts of the construction sector in Turkey on the environment. However, just like the examples in other countries, the construction waste is also a significant problem for Turkey. In order to eliminate such problem, the ‘‘bylaw on the control of excavation, construction, and demolition wastes’’ has been in effect since 2004. However, such problems could not be eliminated despite such a regulation. The best example is the dumping of tons of construction waste on to the Turkish coast in August 2005 which was removed from a tourism facility constructed in Belek, Antalya, whose beach is one of the most important egg-laying and sheltering areas of the Caretta Caretta sea turtles. Egg-laying areas of sea turtle species have been put under strict protection by Environmental Ministry for their actual protection and for raising environmental consciousness of the public as well. Approximately, 600 baby Caretta carettas were killed before birth [21]. The third one is that Turkey has accepted the principles of sustainable development, protection of the environment and the related international agreements. Under this framework, laws and various regulations have been put into force on the issue of protection of the environment. Furthermore, Turkey’s adaptation process for accession to the European Union, the intensive utilization of the ISO 14001 certification within the construction sector by the member states of the European Union and its standardization introduces an obligation for Turkey, especially on the subject of utilization of the EMS by the construction firms [1]. With the Regulation on Evaluation and Management of Environmental Noise put into force in 2005 regarding the protection of the environment, some sanctions are applied in relation with construction site noise and the noise created by the equipment used in the site. It is evident that these kinds of legal arrangements put pressure on the construction sector. These pressures tend to grow stronger. The fourth is the actions of Turkish construction firms in international markets. There are 20 Turkish firms among the leading 225 construction firms throughout the world according to Engineering News Record [22]. Besides, the amount of international construction projects contracted by Turkish firms in 2005 reached USD 9.3 billion [23]. The ISO 14001 is important for the Turkish construction firms to increase their chance to get new projects or increase their prestige in international markets. Again, the ISO 14001 is important for foreign investment firms within the construction sector to undertake work in Turkey. In particular, with the legal arrangements carried out in 2003, it has become easier for direct foreign capital to invest in Turkey. As a result of these legal arrangements, a serious foreign investment flow has been achieved [24]. Having ISO 14001 certificate for the foreign companies planning to make
563
investments may provide benefits for the Turkish construction sector in two perspectives. Firstly, it is the facilitation of the adoption of environmental management systems by the construction firms in the internal market, and secondly it means a guarantee for Turkey in the protection of the environment just as in the other developing countries. 5. The Turkish case study 5.1. The structure of the survey 5.1.1. Survey sample and analysis method The survey was conducted in July 2004 with 138 construction firms. The sample frame includes non-certified and certified firms which were selected as samples because they were registered in the Turkish Contractors Association2 which represents the top category of firms operating in both national and international markets. After the preparation of questionnaire, a pilot survey was carried out with 12 construction firms. According to the results of this survey, some questions were revised. As of August 2004, 42 out of 138 construction firms had returned the questionnaires. At the end of September, a total of 68 forms had been returned after making one-on-one telephone calls to the non-responding ones. The rate of return was 49%. The 68 completed questionnaires included 28 from certified firms with ISO 14001 and 40 from non-certified firms. After completion of the questionnaire survey, the data obtained from the results of such questionnaire survey were processed in SPSS 9.5 software [25]. In the analysis of the data, descriptive analysis, one sample t-test, and an independent sample t-test analyses were utilized. 5.1.2. Profile of firms in survey In the survey, 67.6% (46) were answered by the quality department managers, 10.3% (7) by the general manager, 5.9% (4) by the administrative manager, 5.9% (4) by the engineering department manager and 10.3% (7) by other personnel. In other words all were professionals who replied to the questionnaire. The field of activity of 95.6% (65) of the firms in the survey is construction services (contracting services) and 4.4% (3) is consultancy. The total amount of contracted projects in the last five years was US$ 0–25 million for 37.9 % (25) of the surveyed firms, US$ 100–250 million for 19.7% (13), US$ 50–100 million for 18.2% (12), US$ 25–50 million for 13.6% (9) and over US$250 million for 10.6% (7). In the past five years, 33.3% (22) of the surveyed firms received 0%–25% of their business volume from the international market, 13.7% (9) got 25%–50% from international market, 10.6% (7) derived 50%–70% from the international market, and 9.1% (6) derived 100% of their business volume from the international market. 33.3% (22) of the surveyed construction firms received their business volume over the same time period from the domestic market. The total number of employees working in 53% (35) of those surveyed firms is above 200, between 100 and 200 employees in 16.7% (11) of the firms, between 50 and 100 employees in 12.1% (8)
2 The Turkish Contractors Association (TCA) is the most experienced professional organization of the Turkish construction industry. The business volume of TCA members covers 70% of the domestic projects and 90% of the foreign projects carried out by Turkish construction firms. The member firms of TCA have been operating in the international market since 1972, and nearly 50% of 1500 projects undertaken in 56 countries until the end of 2003 are projects related to housing, superstructures (roads, bridges, dams, tunnels) and industrial plants. Additionally, 11 Turkish contractors (Enka, Gama, Tekfen, Stfa, Summa, Alarko, Hazinedaroglu, Dogus, Baytur, Soyak, Limak), all members of the Turkish Contractors Association, are listed among the ENR 225 Top Contractors of 2004. These firms are ranked according to construction revenue generated outside of each firm’s home country in 2003 in US$ millions [22].
564
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
of the firms, between 20 and 50 employees in 15.2% (10) of the firms, between 10 and 20 employees in 1.5% (1) of the firms, and between 1 and 10 employees in 1.5% (1) of the firms. The total number of employees is quite high as they represent the top category operating in both national and international markets (Table 2). 91.2% (62) of these firms hold ISO 9001 certificates, and 8.8% (6) of the firms do not possess ISO 9001 certification. Among all responding firms, 71.8% (28) of non-certified firms are considering obtaining ISO 14001 certification in the near future. Among the firms having ISO 14001 surveyed, 42.9% (12), 50% (14) and 7.1% (2) of them have applied ISO 14001 certificates for between 0 and 1 year, 1 and 3 years and 3 and 5 years, respectively. As can be seen from the results survey, the use of the ISO 14001 by construction firms in Turkey is rather new. 5.2. Analysis 5.2.1. Relation between firm characteristics and having ISO 14001 certification It could be beneficial whether relationship between construction firms characteristics and having ISO 14001 certification. In order to perform this assessment, certain hypotheses are set up. Hypothesis 1: There is no relation between the size of the construction firms and having ISO 14001 certification. Definition of the size of a firm is evaluated in two ways. First, the average business volume of the firm in last five years can be considered as a variable that represents the size of the firm. The relation between this variable and having ISO 14001 certification can be tested. Second, the total number of personnel employed in the firm can be assumed as a variable that represents the size of the firm. Similarly, the relation or dependence between this variable
and having ISO 14001 certification can be tested. For the test of the relation between these variables, the chi-square independence test was used. The chi-square test of independence is performed in order to test whether there is dependence between the predetermined characteristics of the variables, by classification of the variables in the data set in the form of a one-dimensional or multidimensional crosswise table within the frame of a hypothesis. According to the results of chi-square independence test, a relation or dependence has been identified between the business volume undertaken in the surveyed firm and having ISO 14001 certification for construction firms (Pearson chi-square: 11.979, p: 0.001). There is a statistically significant relationship between business volume of construction firms and having ISO 14001 certification. The construction firms with high business volume generally have ISO 14001 certification (Phi coefficient: 0.453 p: 0.009). The results of the chi-square independence test showed that a relation or dependence has been identified between the average number of personnel employed in the surveyed firm and having ISO 14001 certification (Pearson chi-square: 6.224, p: 0.045). There is a statistically significant relationship between the average number of personnel employed in the surveyed firm and having ISO 14001 certification. Construction firms with high number of personnel have ISO 14001 certification (Phi coefficient: 0.303 p: 0.045). As a result, the hypothesis that ‘‘there is no relation between the size of firms and having ISO 14001 certification’’ is rejected. The results showed that large construction firms have ISO 14001 certification. Hypothesis 2: There is no relation between statements which are; the firm has been awarded contracts in the international market and having ISO 14001 certification for the firm. According to the results of chi-square independence test performed to examine the hypothesis; a relation or dependence has
Table 2 Profile of firms. Item
All Firms Number
Certified Firms Percentage (%)
Respondent on behalf of the company CEO 7 10.3 Executive manager 4 5.9 Quality department manager 46 67.6 Engineering department manager 4 5.9 Others 7 10.3 Scope of the company Construction 59 86.8 Manufacturing and supply 3 4.4 Engineering design services 2 2.9 Consulting services 1 1.5 Other 3 4.4 Total amount of contracted projects in last five years (in US $) 0–25 million 25 37.9 25–50 million 9 13.6 50–100 million 12 18.2 100–250 million 13 19.7 Above 250 million 7 10.6 Percent of total contracted work taken from international market in last five years (%) 0 22 33.3 0-25 22 33.3 25-50 9 13.7 50-75 7 10.6 100 6 9.1 Total number of employees in the company 1–10 1 1.5 10–20 1 1.5 20–50 10 15.2 50–100 8 12.1 100–200 11 16.7 More than 200 35 53.0 (N: 68) Source: A.M. Turk (2004).
Non-certified firms
Number
Percentage (%)
Number
Percentage (%)
3 2 20 0 3
10.7 7.2 71.4 0 10.7
4 2 26 4 4
10.0 5.0 65.0 10.0 10.0
24 1 1 1 1
85.6 3.6 3.6 3.6 3.6
35 2 1 0 2
87.5 5.0 2.5 0 5
5 3 8 7 5
17.9 10.7 28.5 25.0 17.9
20 6 4 6 2
52.6 15.8 10.5 15.8 5.3
6 13 5 3 1
21.4 46.4 17.9 10.7 3.6
16 9 4 4 5
42.1 23.7 10.5 10.5 13.2
0 0 4 4 2 18
0 0 14.3 14.3 7.1 64.3
1 1 6 4 9 17
2.6 2.6 15.8 10.5 23.7 44.8
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
been identified between the statements (Pearson chi-square: 4.513, p: 0.034). Business volume of construction firms from international market affects having ISO 14001 certification. There is a statistically significant relationship between business volume of construction firms from international market and having ISO 14001 (Phi coefficient: 0.262 p: 0.034). As a result of the analysis, the hypothesis 2 is rejected. According to the results of the descriptive analysis and the chi-square analysis; having ISO 14001 certification for the firms is dependent on the size of the firm or the firm has been awarded contracts in the international market. 5.2.2. Differences in the perceptions between ISO 14001 certified and non-certified firms, environmental effect of construction, behavior toward environmental management (EM) All the respondents were asked to indicate their views of the effect of construction on the environment. As shown in Table 3, while 53.6% (15) of surveyed certified firms considered the impact to be obvious, 57.5% (23) of the non-certified firms considered that there was some impact. All the respondents were asked whether the firms had taken any preventive measures for environmental protection. As shown in Table 3, 100% of certified firms and 77.5 % (31) of non-certified firms among all surveyed ones stated that their firms had taken measures. Certified firms were found to take more measures than non-certified firms for the protection of the environment (t ¼ 2.364; p ¼ 0.23). A difference was determined in the evaluation of the potential impacts of the construction activities on the environment by certified firms. While certified firms stated that construction activities having site pollution and construction waste pollution had impacts on the environment, non-certified firms did not share that opinion (t ¼ 1.781; p ¼ 0.80 and t ¼ 1.830; p ¼ 0.51). Table 4 presents the behavior of firms toward environmental management measured in terms of whether the firm received complaints, how the firm responded and whether the firm had been punished due to violation of environmental protection regulations. Of the respondents of all certified firms, 71.4% (20) declared that they occasionally received complaints about the impact of their construction work on the environment. 75% (30) of the noncertified firms stated that they occasionally received complaints. While, of the respondents of all certified firms, 64% (14) agreed that they would operate necessary procedures about these complaints, 56% (14) of surveyed non-certified firms declared the same. The majority of the respondents (97%) claimed that they had not been punished due to violation of environmental protection regulations. The inspection of public on environmental issues in developing countries is looser compared to developed countries. Respondents from both certified and non-certified firms were asked whether their firm employs staff for EM. While 57.1% (16) of the respondents of certified firms declared that their firms had staff
Table 3 The environmental effect of construction. Item
All firms
Certified firms
Non-certified firms
Number Percentage (%)
Number Percentage (%)
Number Percentage (%)
Impact of construction on environment Obvious 31 45.6 15 53.6 16 40.0 impact Some impact 36 52.9 13 46.4 23 57.5 No impact 1 1.5 0 0 1 2.5 Has your company taken preventive measures for environmental protection? Yes 59 86.7 28 100 31 77.5 No 9 13.3 0 0 9 22.5 (N: 68) Source: A.M. Turk (2004).
565
for EM, 25% (10) of the respondents of non-certified firms employed staff on EM. 89.3% (25) of the surveyed certified firms, stated that ISO 14001 was suitable for construction firms. Again 92.9% (26) of those firms declared that the ISO 14001 certificate had a positive impact within the Turkish construction sector. 100% (28) of the surveyed certified firms accepted that its importance would increase in the near future. According to 75% (21) of the certified firms, the ISO 14001 certificate should be mandatory within the Turkish construction sector (Table 5). 73.7% (28) of the surveyed non-certified firms stated that ISO 14001 certification was favorable for construction firms. 75.7% (28) of those firms declared that ISO 14001 certification had a positive impact on the Turkish construction sector. And 71.1% (27) of the surveyed non-certified firms stated that the ISO 14001 certification should be mandatory for the Turkish construction sector. When these perceptional questions from the questionnaire are evaluated within the framework of descriptive analysis, a preliminary deduction can be made that the surveyed firms have positive opinions concerning ISO 14001 certification. However, it is important to know how these perceptional questions are assessed within the framework of a different grouping in the sample. It may be useful to set up certain hypotheses in order to perform these assessments (Table 5). Hypothesis 3: There is no difference between the size of the firms and their perceptions about ISO 14001. Definition of the size of a firm is evaluated in two aspects: the average business volume of the firm in last five years and the total number of staff employed in the firm. Similarly, the relation or dependence between this variable and the perception can be tested. In the testing of the dependence between these variables, the chi-square independence test was used. According to the results of chi-square independence test performed to test the hypothesis, a difference has been identified between the business volume undertaken in the surveyed firm and the statement that ISO 14001 certification is appropriate for the construction firm (Pearson chi-square: 4.958, p: 0.026). There is positive relation statistically between the business volume undertaken in the surveyed firm and the statement given above (phi coefficient: 0.274, p: 0.026). No difference has been identified between the business volume realized in the surveyed firm in the last five years and the statement (Pearson chi-square: 1.685, p: 0.194). Similarly, no difference has been identified between the business volume realized by the surveyed firm in the last five years and whether the importance of ISO 14001 certification will soon increase (Pearson chi-square: 2.200, p: 0.138). No difference has been identified between the business volume realized by the surveyed firm in the last five years and the perceptions of the firms with respect to the requirement of holding ISO 14001 certification. There is independence between both variables (chi-square: 0.012, p: 0.912). According to the results of the chi-square independence test performed to test the hypothesis, no difference has been identified between the average number of personnel employed in the surveyed firm and whether ISO 14001 certification is appropriate for the construction firms (Pearson chi-square: 2.853, p: 0.240). Similarly, no difference has been identified between the average number of personnel employed in the surveyed firm and whether ISO 14001 certification has positive effects (Pearson chi-square: 0.432, p: 0.806). There is no difference between the average number of personnel employed in the surveyed firm and whether the importance of ISO 14001 certification will soon increase (Pearson chi-square: 0.515, p: 0.773). No difference has been identified between the total number of personnel employed in the surveyed firm and the perceptions of the firms with respect to the requirement of holding ISO 14001 certification. There is
566
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
Table 4 Behavior toward environmental management. Item
All firms Number
Certificated firms Percentage (%)
Has your company ever received any complaints related to environment? Always 2 3.0 Occasionally 50 73.5 No 15 22.1 Others 1 1.4 How has your company responded to these complaints? Complaints are taken seriously and care given 18 39.3 Necessary procedures operated 28 58.9 Ignoring the complaints 1 1.8 Whether firm had been punished due to violation of environmental protection regulations Yes 2 3 No 65 97 Whether firms employs staff for EM Yes 26 38.2 No 42 61.8
Non-certificated firms
Number
Percentage (%)
Number
Percentage (%)
2 20 5 1
7.1 71.4 17.9 3.6
– 30 10 –
– 75 25 –
8 14 –
36 64 –
10 14 1
1 27
3.6 96.4
1 38
16 12
57.1 42.9
10 30
40.0 56.0 4 0 100 25.0 75.0
(N: 68) Source: Turk (2004).
independence between the two variables (chi-square: 0.278, p: 0.870). As a result of the analysis, the hypothesis that ‘‘there is no difference between the size of firms and the perceptions of firms with respect to ISO 14001 certification’’ is verified. Hypothesis 4: There is no difference between whether the firm has been awarded contracts in the international market and the perceptions of the firms with respect to ISO 14001 certification. According to the results of chi-square independence test, the hypothesis was tested. A difference has been identified between whether the firms have been awarded contracts in the international market or not and whether ISO 14001 certification is appropriate for construction firms (Pearson chi-square: 4.014, p: 0.045). That is, there is a positive relation between whether the firms have been awarded contracts in the international market or not and whether ISO 14001 certification is appropriate for construction firms. No difference has been identified between whether or not the surveyed firms have been awarded contracts in the international market and whether ISO 14001 has positive effects (Pearson chisquare: 0. 943, p: 0.315). No difference has been identified between whether the surveyed firms have been awarded contracts in the international market and whether the importance of ISO 14001 certification will increase soon (Pearson chi-square: 1.537, p: 0.215). No difference has been identified between whether the surveyed firms have been awarded contracts in the international market and the perceptions of the firms about whether ISO 14001 certification are compulsory. There is independence between the two variables (chi-square: 0.905, p: 0.341). As a result, the hypothesis that ‘‘there is no difference between whether the firms have been awarded contracts in the international
market or not and their perceptions concerning ISO 14001 certification’’ is verified. According to the results of the descriptive analysis and the chi-square analysis, it is concluded that the firms have a positive opinion about ISO 14001 certification, and that this opinion is not dependent on the size of the firm or whether the firm has been awarded contracts in the international market. There is no difference related to perception of ISO 14001 certification depending on firm characteristics, and their positive opinion about ISO 14001 certification, there is a relation between firms characteristics and having ISO 14001 certification. Having ISO 14001 certification is dependent on the size of the firm or whether the firm has been awarded contracts in the international market. When the size of construction firms (taking into consideration business volume and the average number of personnel employed in the surveyed firm) and business volume of construction firms from international markets increase, having ISO 14001 certification increases. The construction firms whose size is small and that do not undertake the business from international markets despite their positive opinion, do not have ISO 14001 certification. The situation can explain the costs related to ISO 14001 certification. 5.2.3. Reasons for seeking ISO 14001 certification for certified construction firms Reasons for obtaining ISO 14001 of certified firms have been analyzed using t statistical testing (Table 6). According to the results, the most significant reason for the firms to obtain ISO 14001 certification is its easy access opportunity into the international market. In particular, the adaptation process to access the European
Table 5 Implementing ISO 14001 in construction industry. Item
All firms Number
Certificated firms Percentage (%)
Number
ISO 14001 certification is an appropriate tool for the construction industry Yes 53 80.13 25 No 13 19.7 3 ISO 14001 certification has a positive impact on the Turkish construction sector Yes 54 83.1 26 No 11 16.9 2 ISO 14001 certification has to be mandatory for the Turkish construction industry Yes 48 72.7 21 No 18 27.3 7 The importance of ISO 14001 certification will increase for the Turkish construction sector soon Yes 63 95.5 28 No 3 4.5 0 (N: 68) Source: A.M. Turk (2004).
Non-certificated firms Percentage (%)
Number
Percentage (%)
89.3 10.7
28 10
73.7 26.3
92.9 7.1
28 9
75.7 24.3
75.0 25.0
27 11
71.1 28.9
35 3
92.1 7.9
100 0
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
567
Table 6 Reasons for seeking ISO 14001 certification, benefits gained from ISO 14001 registration and difficulties encountered during certification process and implementation, and ttest results.
Reasons for seeking ISO 14001 certification
Benefits gained from ISO 14001 registration
Difficulties encountered during ISO 14001 certification process and implementation
Items
Mean
Standard deviation
t-statistic
p-value
Easy access to international markets Desire of firm to develop its EMS For obligations in tender specifications Desire of firm to change and development Common opinion that ISO 14000 EMS to be mandatory in the near future Clients request ISO 14001 Competitors have ISO 14001 Improves environmental awareness of company. Improves standardization in environmental management Decreases adverse impacts on environment Provides sustainable development in environment Enhances company’s image Decreases complaints against the company about environmental problems Increases self-confidence of the company Enlarges market share Improves client satisfaction Gives more stringent control over subcontractors Increases social recognition of the company Firm management is not open to research and criticism Long period of certification process Increased amount of paperwork High implementation costs Construction firm’s size limits ability to get ISO 14001 Lack of information regarding the certificate Difficulty in understanding the terminology of EMS Need of reorganization of firm in terms of management Lack of qualified personnel in the firm Failure to provide control of the sub-contractor Lack of client support Lack of government support
1.6296 1.4074 1.1481 1.1154 0.8519 0.6296 0.4815 1.4697 1.2879 1.2576 1.2424 1.1364 0.9848 0.8939 0.8741 0.8636 0.5152 0.5303 1.1429 1.000 0.5926 0.4290 0.4286 0.3214 0.2857 0.2857 0.1786 0.0035 0.0071 0.2857
0.4921 0.6939 1.0267 0.9089 1.1995 1.2449 1.3118 0.7888 0.8729 0.8649 0.8604 0.8751 1.0883 0.9943 0.9989 1.0653 1.0988 1.1925 1.0079 0.9428 1.0099 1.3801 1.3174 1.2188 1.1819 1.3569 1.1564 1.1701 1.2150 1.3569
17.207 10.539 5.811 6.257 3.690 0.6296 1.907 15.137 11.986 11.813 11.731 10.550 7.352 7.304 7.241 6.586 3.809 3.613 6.000 5.612 3.049 0.548 1.721 1.396 1.279 1.114 0.817 0.162 0.311 1.114
0.000 0.000 0.000 0.000 0.001 0.014 0.068* 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.001 0.000 0.000 0.005 0.588* 0.097* 0.174* 0.212* 0.275* 0.421* 0.873* 0.758* 0.275*
(N: 28) Source: A.M. Turk (2004). *Do not reject null hypothesis at 95% level of significance.
Union and the extensive use of ISO 9000 QMS and ISO 14001 EMS and standardization within construction sectors of member countries of the European Union have accelerated the urgency to seek ISO 14001 certification in the construction sector in Turkey. Other significant reasons are the desire of the firm to develop its EMS and the desire of the firm to change. One of the reasons for the certified firms to obtain certificates is the requirement of tender specifications to have the certificate. As can be understood from the results of the analysis, there is a similarity between the reasons for obtaining ISO 9001 certificates and the reasons for obtaining ISO 14001 certificates. According to the study of Turk, the reasons for Turkish construction firms to obtain ISO 9000 certificates were determined to be: access to the international market, its obligation in tender specifications, general consideration of its being mandatory in the near future and the development of a quality system [26]. There is a similarity between the reasons for obtaining ISO 9001 certificates and the reasons for obtaining ISO 14001 certificates in Turkey except for the area of client request. Contrary to ISO 9001 certification, client request is not an effective reason for obtaining ISO 14001 certification. This indicates that ISO 9000 was customer-driven; however, ISO 14000 is more driven by stakeholders, the community or regulators. A similar tendency was found in the other studies [2]. 5.2.4. Benefits gained from having ISO 14001 for certified construction firms The survey studies four aspects of the benefits of certification, including improvement in ‘‘environmental benefits and internal operations’’, ‘‘corporate managements’’, ’’marketing effects’’ and ‘‘subcontractor relations’’ with the results summarized in Table 7. The questions related to benefits gained from ISO 14001 registration are on a four-scale tier (varying from totally agree, to agree, to disagree, and to totally disagree). The results of the questions are assessed according to the scales.
5.2.4.1. Environmental benefits and internal operations. All responding firms gave high positive scores for the variables under environmental benefits and internal operations variables (Table 7). 96.4% of the respondents were very aware that having ISO 14001 certification provided improvement of environmental awareness for their company. In implementing ISO 14001, construction firms are required to provide training to employees to increase environmental awareness. This is valid for Turkish construction firms. Also, of the respondents, 96.4% agreed strongly that they had benefited from improving standardization in environmental management. This is related closely to ISO 14001 in which the standardization of EMS procedures is maintained through five stages: (1) environmental policies; (2) planning; (3) implementation and operation; (4) checking and corrective action; and (5) management review [2]. 92.8% of the respondents also agreed that after ISO 14001 certification they had benefited from decreasing negative impacts on the environment. This is consistent with the main aim of ISO 14001 registration. 6.4% of the respondents declared that ISO 14001 had benefits of sustainable development in the environment. Also, 89.2% of the respondents indicated that complaints against the company about environmental problems decreased with ISO 14001. 5.2.4.2. Corporate management. 78% of the respondents established that the social recognition of their company has increased. Success in internal operations such as ‘‘decreasing negative impacts on environment’’, ‘‘decreasing of complaints against the company’’ can stimulate the social recognition of these firms. The different types of pollution, such as land deterioration, resource depletion, waste generation, air pollution, noise pollution and water pollution due to construction activities can be reduced via ISO 14001 and the firm can be recognized in the sector. All of these efforts will also increase the awareness of the company. Likewise, 89.2% of the respondents accepted that the self-confidence in their company had increased. Almost all respondents (96.4%) strongly agreed that their company’s
568
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
Table 7 Benefits gained from ISO 14001 for certified construction firms in Turkey. Advantages
Environmental Benefits & Internal Operations
Corporate Management
Marketing Effects Subcontractors Relations
Positive Side
Improves environmental awareness of company. Improves standardization in environmental management Decreases adverse impacts on environment Provides sustainable development in environment Decreases complaints against the company about environmental problems Increases social recognition of the company Increases self-confidence of the company Enhances company’s image Improves client satisfaction Enlarges market share Gives more stringent control on subcontractors
Negative Side
Totally agree
Agree
Disagree
Totally disagree
15 13 9 11 9 3 6 8 4 5 2
12 14 17 16 14 19 19 19 18 20 20
1 (3.6%) 1 (3.6%) 2 (7.1%) 1 (3.6) 4 (14.3%) 4 (14.3%) 3 (10.7%) 0 (0%) 5 (17.9%) 3 (10.7%) 5 (17.9%)
0 (0%) 0 (0%) 0 (0%) 0 (0%) 1 (3.6%) 2 (7.1%) 0 (0%) 1 (3.6%) 1 (0%) 0 (0%) 1 (3.6%)
(53.9%) (46.4%) (32.1%) (39.3%) (32.1%) (10.7%) (19%) (28.6%) (14.3%) (17.9%) (7.1%)
(42.9%) (50.0%) (60.7%) (57.1) (50.0%) (67.9%) (67.9%) (67.9%) (64.3%) (71.4%) (71.4%)
(N: 28) Source: A.M. Turk (2004).
image had improved after ISO 14001 certification. All of the certified firms were proud of successful registration. They believed that their customers and stakeholders would have more confidence in the management and in the way the company was managed. 5.2.4.3. Marketing effects. 78.5% of the respondents found that having ISO 14001 certification provided marketing advantages such as an increased market share. Also, 89.2% of respondents accepted that ISO 14001 registrations provided improvement of client satisfaction. 5.2.4.4. Subcontractors relations. 78.5% of the respondents agreed that they had benefited from more stringent control of subcontractors. Because of improving standardization in environmental management, the relationship between firm and subcontractors could become more concrete. 5.2.5. Benefits gained from ISO 14001 certification: t-test results Evaluations of the certified firms on the subject of the benefits of obtaining ISO 14001 certificates are analyzed using t-tests. According to the results of the analysis, the most essential benefit of obtaining ISO 14001 is ‘‘improving the environmental awareness of company’’ for the firm. Other important benefits of obtaining ISO 14001 according to the surveyed firms are; ‘‘providing standardization in environmental management’’, ‘‘providing sustainable development in environment’’, ‘‘decreasing the adverse impacts on environment’’, and ‘‘enhancing company’s image’’. According to these results, these variables under environmental benefits and internal operations have a high t statistic value (p:0.000) (Table 6). 5.2.6. The difficulties encountered by the ISO 14001 certified firms: t-test results The difficulties encountered by the certified firms in obtaining certificates are analyzed using t-tests. According to the importance of the results of the analysis, the encountered difficulties are stated as follows: the firm’s management is not open to research and criticism, the long period of the certification process, the increased amount of paperwork and the high implementation costs. Accordingly, the results depending on the variables such as lack of governmental support, lack of client support, restructuring of the firm, difficulty in understanding the terminology, failure to provide control of the subcontractor firms, lack of information regarding the certificate and lack of qualified personnel are not statistically meaningful (Table 6). 5.3. Evaluations about the findings According to the results of analysis, although there is no relation in perceptions on ISO 14001 certification depending on both firm characteristics and divisions as certified and non-certified
construction firms, even their both positive opinions about ISO 14001 certification, there is a relation between firms characteristics and having ISO 14001 certification. That is, having ISO 14001 depends on the size of construction firms (by taking into consideration business volume and the average number of personnel employed in the surveyed firm) and business volume of construction firms from international markets. This is completely related to the cost in the application of ISO 14001 in construction sector. In the Turkish construction sector, the most significant reason for certified firms to obtain ISO 14001 is the interest of access into the international markets. Turkish construction firms want to obtain the certificate in order to get a competitive edge. In the studies of Chen et al. [14] and Christini et al. [18], having a competitive advantage was found to be important in obtaining ISO 14001. Significant reasons are the desire of the firm to develop its EMS and the desire for positive change in firm positively along with the development and the meeting of obligations in tender specifications. As for benefits gained, according to the results of the analysis, the most essential one is ‘‘improving the environmental awareness of company’’. Other important benefits are: ‘‘providing standardization in environmental management’’, ‘‘decreasing the adverse impacts on environment’’, ‘‘providing sustainable development in environment’’ and ‘‘enhancing company’s image’’. The certified firms declared that environmental benefits and internal operations are more important. According to analysis results, there are differences in the perceptions of environmental impact of construction, and behavior toward environmental management among ISO 14001 certified firms and non-certified firms. That is, firms having ISO 14001 are determined to be more careful about environmental effects of construction and behavior toward environmental management. Both ISO 14001 certified and non-certified firms find the ISO 14001 suitable for construction firms and consider that it has a positive effect on the Turkish construction sector. In other words, the construction firms in the sector have a positive approach to the EMS. All these results show that ISO 14001 certification puts in to construction firms not only in term of environmental benefits but also corporate management and marketing effects. This also verifies that the ISO 14001 has a positive impact on the Turkish construction sector. The difficulties encountered as cited by the certified firms in obtaining ISO 14001 are determined as ‘‘company management is not open to research and criticisms’’, ‘‘registration process is too lengthy’’, ‘‘volume of documentation and paperwork has been increasing’’ and ‘‘ISO 14001 has increased expenses’’. Increasing expenses and the increase in documentation and paperwork are also determined as the main difficulties encountered in the study by Zeng et al. [2].
A.M. Turk / Journal of Cleaner Production 17 (2009) 559–569
6. Conclusion and recommendations The number of certified firms with ISO 14001 in Turkey is low when compared to other countries, particularly European and Asian countries. An increase in this number can provide a reduction of potential negative impacts from construction investments to the environment as an important area in Turkey and find solutions for construction wastes, facilitate compliance with legal arrangements regarding the environment, provide a competitive edge for Turkish firms operating internationally and serve as a guarantee for the protection of the environment. Therefore, the difficulties encountered by the certified firms in obtaining ISO 14001 should be removed; in particular, the problems of lack of information and qualified personnel who should be educated on the concept of EMS and its technical details. Important roles should be delegated to government authorities, trade associations, companies and certification bodies in order to overcome the lack of information. These organizations may arrange training courses regarding the implementation of the EMS in the construction sector and case studies can be reviewed in these courses. The high operation cost which is indicated as the most significant adversity in the implementation of IS0 14001 should be analyzed in detail. A systematic analysis of the firms implementing EMS within the Turkish construction sector may provide an evaluation of the cost-benefit issue in an open manner. In this study, the behavior of the top category firms within the Turkish construction sector, which operate in the international markets regarding ISO 14001, has been analyzed. However, studies should be conducted within the medium and small-scale firms. The explanation of the importance and benefits of EMS support to implement this system, as well as to provide loan facilities in order to establish the system can be implemented for the medium- and small-scale firms. In the application of construction projects, the effective and common application of EMS, particularly in developing countries, may reduce environmental problems in construction activities. In the global market, an increase in the number of firms having EMS will both reduce environmental impact and develop the potential of awarding contracts to the construction firms from underdeveloped and/or developing countries. Acknowledgement The assistance of Assistant Prof. Dr. Sevkiye Sence Turk is gratefully acknowledged. References [1] The ISO survey of ISO 9001:2000 and ISO 14001 certificates. International Organisation for Standardization, ISO International Organization for Standardization CD-ROM, Geneva; 2006.
569
[2] Zeng SX, Tam CM, Deng ZM, Tam VWY. ISO 14000 and the construction industry: survey in China. Journal of Management in Engineering 2003;19(3):107–15. [3] Ofori G, Briffett C, Gang G, Ranasinghe M. Impact of ISO 14000 on construction enterprises in Singapore. Construction Management and Economics 2000;8:935–47. [4] UNCHS (United Nations Centre for Human Settlements) people, settlements and sustainable developments. Intergovernmental Meeting on Human Settlements and Sustainable Development 1990; Nairobi. [5] Ofori G. The environment: the fourth construction objective. Construction Management and Economics 1992;10(5):369–95. [6] Shen LY, Tam VWY. Implementation of environmental management in the Hong Kong construction industry. International Journal of Project Management 2002;20:535–43. [7] Morrow D, Rondinelli D. Adopting corporate environmental management systems: motivations and results of ISO 14001 and EMAS certification. European Management Journal 2002;20(2):159–71. [8] Mori Y, Welch EW. The ISO 14001 environmental management standard in Japan: results from a national survey of facilities in four industries. Journal of Environmental Planning and Management 2008;51(3):421–45. [9] Kein ATT, Ofori G, Briffett C. ISO 14000: its relevance to the construction industry of Singapore and its potential as the next industry milestone. Construction Management and Economics 1999;17:449–61. [10] Jackson SL. The ISO 14001 implementation guide: creating an integrated management system. New York, NY: Wiley; 1997. [11] Weaver GH. Strategic environmental management: using TQEM and ISO 14000 for competitive advantage. New York, NY: Wiley; 1996. [12] Delmas MA. The diffusion of environmental management standards in Europe and in the United States: an institutional perspective. Policy Science 2002;35:91–119. [13] Tse YCR. The implementation of EMS in construction firms: case study in Hong Kong. Journal of Environmental Assessment Policy and Management 2001;3(2):177–94. [14] Chen Z, Li H, Hong J. An integrative methodology for environmental management in construction. Automation in Construction 2004;13:621–8. [15] Schiopu N, Jayr E, Barna L, Moszkowicz P. Horizontal environmental assessment of building products in relation to the construction products directive (CPD). Waste Management 2007;27(10):1436–43. [16] Rodriguez G, Alegre FJ, Martinez G. The contribution of environmental management systems to the management of construction and demolition waste: the case of the autonomous community of Madrid (Spain). Resources Conservation and Recycling 2007;50(3):334–49. [17] Lagodimos AG, Chountalas PT, Chatzi K. The state of ISO 14001 certification in Greece. Journal of Cleaner Production 2007;15:1743–54. [18] Christini G, Fetsko M, Hendrickson C. Environmental Management Systems and ISO 14001 Certification for Construction Firms. ASCE Journal of Construction Engineering and Management 2004;130(3):330–6. [19] Valdez HE, Chini AR. ISO 14000 standards and the US construction industry. Environmental Practice 2002;4(4):210–9. [20] Special commission report on contracting, engineering and consulting services, DPT (State Planning Organization), 8th five-year development report. Ankara (in Turkish); 2001. [21] Milliyet Daily Newspaper; 13 August 2005. [22] The Top 225 International Contractors. Engineering News Record 2006. The McGraw-Hill Companies, www.enr.com; 2006. [23] Milliyet Daily Newspaper; 22 February 2006. [24] Berkoz L, Turk SS. Determination of location–specific factors at the intrametropolitan level: Istanbul case. Tijdschrift voor Economische en Sociale Geografie TESG (Journal of Economic & Social Geography) 2008;99(1): 94–114. [25] SPSS for Windows, Statistical Package for the Social Sciences, Release 9.0.0. [26] Turk AM. ISO 9000 in construction: An examination of its application in Turkey. Building and Environment 2006;41(4):501–11.