IDEAS home Printed from https://ideas.repec.org/a/rnd/arimbr/v17y2025i3p315-325.html

Organizational Determinants of Environmental Management Accounting Adoption: Evidence from Malaysian Local Councils

Author

Listed:
  • Che Ku Hisam Che Ku Kassim

Abstract

Despite the numerous benefits that environmental management accounting (EMA) offers, its adoption by the public sector in developing countries seems to be progressing slowly. Therefore, the purpose of this paper is to examine the organizational determinants influencing the adoption of EMA by Malaysian local councils. A self-administered questionnaire survey was conducted among accountants at local councils in Peninsular Malaysia using a consensus approach. The questionnaire items are based on prior studies on EMA adoption. The results suggest that an internal environmental committee plays a significant role in encouraging local councils to adopt EMA. This committee is responsible for planning, monitoring, measuring, and reporting environmental performance, for which EMA is needed to provide pertinent information. The research provides an impetus for other local councils to set up their in-house environmental committee to promote EMA adoption and subsequently improve the generation of information for more accurate measurement of environmental performance. Since research on EMA adoption in the public sector is relatively scarce, it contributes to a limited understanding of the internal and external factors that influence its adoption. Therefore, the paper offers useful insights to relevant authorities, such as federal and state governments, on policy changes that could enhance EMA adoption within public sector organisations.

Suggested Citation

  • Che Ku Hisam Che Ku Kassim, 2025. "Organizational Determinants of Environmental Management Accounting Adoption: Evidence from Malaysian Local Councils," Information Management and Business Review, AMH International, vol. 17(3), pages 315-325.
    • Handle: RePEc:rnd:arimbr:v:17:y:2025:i:3:p:315-325
    DOI: 10.22610/imbr.v17i3(I)S.4754
    as

    Download full text from publisher

    File URL: https://ojs.amhinternational.com/index.php/imbr/article/view/4754/3157
    Download Restriction: no
    File URL: https://ojs.amhinternational.com/index.php/imbr/article/view/4754
    Download Restriction: no
    File URL: https://libkey.io/10.22610/imbr.v17i3(I)S.4754?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Heather R. Dixon-Fowler & Alan E. Ellstrand & Jonathan L. Johnson, 2017. "The Role of Board Environmental Committees in Corporate Environmental Performance," Journal of Business Ethics, Springer, vol. 140(3), pages 423-438, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ali Uyar & Habiba Al-Shaer & Cemil Kuzey & Abdullah S. Karaman, 2026. "Board characteristics and aggressive CSR engagement: Do CSR committees provoke or restrain?," Review of Quantitative Finance and Accounting, Springer, vol. 66(1), pages 269-311, January.
    2. Wei Zhang & Xiuli Zhong & Xue Li, 2024. "The impact of degree of internationalization of MNEs on green innovation performance: The moderating role of absorptive capacity and global dynamic management capability," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(1), pages 659-675, January.
    3. Driss, Hamdi & Drobetz, Wolfgang & El Ghoul, Sadok & Guedhami, Omrane, 2024. "The Sustainability committee and environmental disclosure: International evidence," Journal of Economic Behavior & Organization, Elsevier, vol. 221(C), pages 602-625.
    4. Sana Ben Abdallah & Dhafer Saidane & Sami Ben Mim, 2024. "The impact of governance on environmental performance: evidence from African countries," Economics Bulletin, AccessEcon, vol. 44(1), pages 122-139.
    5. Abusharbeh, Mohammed & Hanaysha, Jalal Rajeh & Samara, Husni, 2025. "The interactive effect of environmental management team with board attributes on sustainability pillars: Evidence from Gulf Cooperation Council (GCC)," International Review of Economics & Finance, Elsevier, vol. 103(C).
    6. Liu, Xutang & Boubaker, Sabri & Liao, Jing & Yao, Shouyu, 2025. "The rise of common state ownership and corporate environmental performance," The British Accounting Review, Elsevier, vol. 57(5).
    7. Soana, Maria Gaia, 2024. "Environmental strategies, environmental performance and board sustainability committees: Are financial and non-financial companies different?," Research in International Business and Finance, Elsevier, vol. 69(C).
    8. Tantawy Moussa & Amir Allam & Said Elbanna & Ahmed Bani‐Mustafa, 2020. "Can board environmental orientation improve U.S. firms' carbon performance? The mediating role of carbon strategy," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 72-86, January.
    9. Camélia Radu & Nadia Smaili, 2022. "Alignment Versus Monitoring: An Examination of the Effect of the CSR Committee and CSR-Linked Executive Compensation on CSR Performance," Journal of Business Ethics, Springer, vol. 180(1), pages 145-163, September.
    10. Wunhong Su & Xingxing Hu & Liuzhen Zhang, 2023. "Association Between Directors With Foreign Experience and Firms’ Environmental Disclosure," SAGE Open, , vol. 13(4), pages 21582440231, December.
    11. Nurlan Orazalin, 2020. "Do board sustainability committees contribute to corporate environmental and social performance? The mediating role of corporate social responsibility strategy," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 140-153, January.
    12. Gaoke Liao & Peng Hou & Xiaoyan Shen & Khaldoon Albitar, 2021. "The impact of economic policy uncertainty on stock returns: The role of corporate environmental responsibility engagement," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 26(3), pages 4386-4392, July.
    13. Abrar ul haq, Muhammad, 2018. "A Role of Corporate Governance and Firm’s Environmental Performance: A Moderating Role of Institutional Regulations," MPRA Paper 100047, University Library of Munich, Germany, revised 2018.
    14. Bolourian, Soudabeh & Alinaghian, Leila & Angus, Andrew, 2023. "Exploring the role of board-level corporate social responsibility committees in corporate social responsibility performance: A configurational approach," Journal of Business Research, Elsevier, vol. 169(C).
    15. Walid Ben‐Amar & Claude Francoeur & Sylvain Marsat & Aida Sijamic Wahid, 2021. "How do firms achieve corporate social performance? An integrated perspective," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(3), pages 1078-1090, May.
    16. Zhenghui Li & Gaoke Liao & Khaldoon Albitar, 2020. "Does corporate environmental responsibility engagement affect firm value? The mediating role of corporate innovation," Business Strategy and the Environment, Wiley Blackwell, vol. 29(3), pages 1045-1055, March.
    17. Jeanne, Amar & Demaria, Samira & Rigot, Sandra, 2023. "What are the drivers of corporates' climate transparency? Evidence from the S&P 1200 index," Ecological Economics, Elsevier, vol. 213(C).
    18. Alam, Md Samsul & Safiullah, Md & Islam, Md Shahidul, 2022. "Cash-rich firms and carbon emissions," International Review of Financial Analysis, Elsevier, vol. 81(C).
    19. Simon Nadel & Magali Savès, 2025. "Corporate governance and ecological investments. The case of French industry," Post-Print hal-05395432, HAL.
    20. Hansin Bilgili & Jonathan L. Johnson & Tsvetomira V. Bilgili & Alan E. Ellstrand, 2022. "Research on social relationships and processes governing the behaviors of members of the corporate elite: a review and bibliometric analysis," Review of Managerial Science, Springer, vol. 16(8), pages 2285-2339, November.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rnd:arimbr:v:17:y:2025:i:3:p:315-325. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Muhammad Tayyab (email available below). General contact details of provider: https://ojs.amhinternational.com/index.php/imbr .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.