Implementing a corporate environmental strategy: establishing coordination and control within multinational companies

Abstract

Abstract This article presents the results of an empirical study that investigated coordination and control within multinational companies over six key aspects of their environmental strategy. Specifically, it first examines the level of centralization of these key issues. Second, it investigates whether there is a positive relation between three variables associated with organizational complexity and the level of centralization of the environmental issues. Statistical analyses of the data obtained from a sample of 98 North American multinationals were conducted. The study's results revealed that most companies have adopted a global environmental standard to govern their worldwide business activities that is supported by strong central controls over both environmental performance evaluation of facilities and decisions regarding the development of environmental programs. Results also revealed that there are limited links between organizational complexity and most aspects of the environmental strategy. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.