FOSTERING EFFECTIVE ENVIRONMENTAL
                  MANAGEMENT
                     ENVIRONMENTAL
                        RESULTS
                    Prepared for James E. Hayes
                    Regulatory Innovations Staff
                Office of Policy Planning and Evaluation

                     in cooperation with the
             Office of Cooperative Environmental Management
                             •
                 US Environmental Protection Agency
               Prepared by Technical Resources, Inc.

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Introduction

Successful environmental management is based largely upon the amount, types, and quality of human resources
applied toward identifying, studying, regulating, and managing environmental concerns. Knowledgeable and skilled
people, supported by an understanding management structure, are needed in both industry and the regulatory
community. This combination of human resources, training, and experience has often been referred to as "human
capital." Without this "human capital," otherwise progressive management systems will not succeed in implementing
an environmental ethic. We all have seen examples where lack of astute management or this vital human ingredient
have created major problems for both the regulated entities and the regulatory community. Without these ingredients,
standards cannot be formulated,  regulated organizations cannot comply, regulators cannot regulate, and environ-
mental problems can neither be avoided nor ameliorated. Our ability to develop, perfect, and disseminate the use of
new and appropriate technologies is also impaired if humancapital is unavailable or captured by competing industries.
Managing environmental programs within regulated entities is a complex task requiring certain skills, training, and
knowledge.

What can be done to promote practices which provide more and better environmental managers who are capable of
effecting the development, utilization, and dissemination of appropriate technologies and practices  that result in
positive environmental change?  Solutions will involve a greater degree of cooperation between the regulated
community and regulatory agencies as well as the knowledge base and teaching skills of academia. Because of the
need to expand the supply and improve the quality of environmental managers, we foresee a move toward profes-
sionalization that involves acquisition of basic skills, diverse experience, and continuing education.
                  The Role of Environmental Management
                                                    -An  Integrated Approach
There are good economic reasons for
industry to adopt an environmental
ethic:  inefficiency  and excessive
waste generation reduce profitability;
enforcement actions often cause ex-
pensive litigations, punitive judg-
ments, lost production, and exorbitant
mitigation costs; and publicity from
environmental problems diminishes
corporate good will and  may reduce
product marketability. Because of lia-
bility issues, banks and insurance
companies often apply considerable
pressure on firms to comply with envi-
ronmental regulations, mitigate envi-
ronmental damage, and  adopt sound
management practices. These eco-
nomic reasons for effective environ-
mental management practices are in
concert with the broad concepts of our
legal system that uphold all  user's
rights to both resources and an un-
damaged environment.
               Human Retourcea
Environmental
 Management
                                             Technology
                  \7
          ENVIRONMENTAL RESULTS

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With the increasing level of environmental regulation, there has been an increasing demand in both industry and
regulatory agencies for environmentally knowledgeable managers. People performing this function in industry today
do not have formal education in environmental management itself, but they have been "retrofitted" to the function with
on-the-job experience, and occasional training. This has been the traditional approach to the emergence of a new
profession—the environmental manager. Today, this person has broad ranging duties and responsibilities and has
been blessed (or cursed) with oversight of complex and ever changing regulatory programs.
               POTENTIAL INITIATIVES FOR ENVIRONMENTAL MANAGEMENT TRAINING

   These initiatives are planks in a platform to support the transfer of knowledge and systems from first
   round adopters to others. They are intended to disseminate knowledge, to promote innovation, and to
   attain environmental compliance goals more quickly through the cooperation of industry, academia, and
   government. These initiatives include:

     *  establishing cooperative university programs for graduate students to expose students to both
        private sector and public sector environmental management needs and regulatory "realities,"

     •  developing environmental management case studies which illustrate successful management
        approaches to common problems, and dissemination of this information through select regional out
        reach programs,

     *  increasing opportunities for mid-level career environmental managers to acquire and transfer
        knowledge on compliance-enhancing programs within state or Federal government,

     •  promoting the use of computerized environmental management systems such as:

        - expert systems

        - database management systems that track regulations and certain
          regulatory requirements, or support environmental audit programs

        • training systems

     •  working with selected Masters of Business Administration (MBA) or Management Information Sys-
        tems (MIS) programs to promote an academic major or emphasis in environmental management,

     •  developing guidelines for curricula for continuing education credits in environmental management,

     •  working with select universities to develop both educational and training programs related to
        environmental management training,

     •  developing mechanisms for senior environmental managers to serve as advisors to both MBA and
        engineering programs seeking to embrace environmental management concepts.
  L
Currently, formal environmental management systems or even an identifiable environmental manager are often
missing in business firms. When a specific person is designated as a responsible individual, he or she may not nec-
essarily have the training or backround to deal with the diverse aspects involved. Thus, regulated entities may not be
able to mitigate today's environmental problems because of a lack of knowledge base and unified approach; they may
also be unable to avoidfuture environmental problems because knowledge and skills are not accessible in the planning
stages.

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In pursuit of better environmental management, the EPA- Regulatory Innovations Staff is soliciting input on initiatives
that will promote transfer of good environmental management tools and stimulate environmental manager training.
Potential initiatives promote the building of human capitol for environmental management, better organization of envi-
ronmental activities, and the diffusion of knowledge into regulated entitites and regulatory agencies at all government
levels.

The challenge for the future is to provide programs that forge links among the diverse skills directed at environmental
management. In many cases, programs will bring areas of expertise together as new partners in skills and knowledge
transfer. Resources for this expertise include industry environmental specialists; academic programs in law, manage-
ment, engineering and science; and Federal and state government.
The Making of an Environmental Manager
- A New Opportunity For Cooperation
                                        Public
                                        Information
                                                                                     Science
The need  for qualified
environmental manag-
ers by both the regulated
sector and government
will become  increas-
ingly apparent. The per-
spectives required  for
environmental manage-
ment are multi-faceted
and will continue to grow
in complexity  as pres-
sures mount to minimize
waste; to make energy
use more efficient; and
to conserve and improve
the quality of our envi-
ronment. The environ-
mental  manager of to-
morrow will need a bet-
terfunctional knowledge
of law, science,  engi-
neering, information sci-
ence, human resources
management, and public relations. He or she will need to be cognizant of issues and potential regulations on the ho-
rizon.  While today's environmental manager is often forced to wear many hats, and to accumulate training and ex-
perience in reacting to environmental problems, the demands of the future will almost certainly preclude this approach.
Tomorrow's corporate environmental manager will need the ability to direct and integrate the activities of a multi-dis-
ciplinary staff oravariety of contractors. This profession will require skills in public relations to generate the confidence
of both regulatory agencies and the neighboring community. Similarly, the environmental manager in local, state and
Federal government must have the confidence of the regulated community and the public. Most critical to the suc-
cessful function of environmental management within the regulated entity is the degree of access that the manager
has to the decision levelwhhin the corporate structure. Since the ability to develop strategies for avoiding problems
depends upon understanding corporate development plans, the environmental manager cannot function in a vacuum
but must have access to information on business planning and operations. He or she must occupy a position of trust
and influence in these operational decisions.
                                   Human
                                   Resource*
                                   Management
                                                                     Business
                                               Information Science

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f
Thus need presents an opportunity for
establishing new cooperative actions
among academia, industry, and gov-
ernment to provide regional and na-
tional  programs to fill the need tor
qualified environmental managers and
other professionals.  The Input of all
three sectors is necessary to define the
requirements  for training  environ-
mental managers and to add structure
to the  "black box" concept of the posi-
tion. Above all else, the manager must
have the depth of practical and theo-
retical knowledge necessary to antici-
pate and resolve problems. The com-
bined institutional response must be to
define and coalesce the knowledge
base and provide practical experience
whenever possible.
    Many  examples of  environmental
    management  training  consortia  al-
    ready exist, such as in programs at the New Jersey Institute of Technology, Purdue University, University of California
    at Irvine, Tufts University, and the University of Wisconsin. Although many programs in environmental management
    training are media-specific (i.e., solid waste), comprehensive programs in environmental management will need to
    assume a multimedia approach and will need to integrate classroom education with experience. Clearly, this estab-
    lishes a role for both academic institutions and the business sector. While industry could provide practical experience
    through internships and personnel exchanges, academic institutions may provide the knowledge base, institutional
    format, and training specialists necessary for a training program.  New initiatives by the EPA, such as the National
    Network for Environmental Management Studies (NNEMS), also strive to foster innovative approaches to environ-
    mental management training. All of these efforts need broader participation of interested parties to fill the need for the
    future.  The importance of a cooperative approach cannol be overemphasized.

    How do we bring the pieces together to establish institutions for environmental managment training? Is it possible to
    initiate pilot programs as a basis for establishing more widespread programs later? Could we consider joint initiatives
    to develop undergraduate and graduate programs in this area? Could industry, government, and academia arrange
    for sabbatical exchanges? Could academia work with industry to develop tutorials and computerized training with
    artificial intelligence? Could government and industry assemble a case study guide of Best Management Practices
    for use in a curriculum? How can senior industry environmental managers best assist with curriculum development,
    advising, seminars, and exploring methods of financing these institutes? Committees that devise these curricula
    should also consider the role of continuing education, and formation of peer-matching networks to provide technical
    assistance in the workplace.
    Environmental Professionalization

    -Answering Tomorrow's Needs

    Industry environmental managers will need the opportunity and resources for continuing career training. Changes in
    technologies, regulations, and managment approach will require a willingness to integrate continuing education into
    professional development for environmental managers. The expansion of the knowledge base and traditional role of
    environmental manager will be necessary to support sound judgement in industry for growth and development. The

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regulated community, financial, and liability insurance industries have a strong economic interest in avoiding losses
caused by industry-related damage to the environment. This raises the issue of how the regulated community, their
insurers, and sources of capital could ensure the quality of their environmental professionals' training. Could the
industry-academia-govemmertt consortium on environmental management training establish a set of community-
recognized standards (best practices) for environmental training? Is it reasonable to assume that some type of a
professionalization process could be established that includes goals for training and knowledge for environmental
managers? For managers, operations supervisors, or environmental auditors, programs in certrtication such as those
established by professional associations could stimulate the development of quality training programs. This would be
only one small part of an effort to professionalize environmental management and related functions. Other programs
such as continuing education, personnel exchanges, and peer assistance networks will probably provide the best
guaranty for quality professional development.  EPA intends to work with  all  interested parties  to enhance
opportunities to meet present and future needs for training of corporate environmental managers.
Action Items
      Create a supply and demand network to fill regional
      and national needs for qualified environmental
      professionals

      Identify experience, skills, and training promoting
      best practices In environmental management

      Initiate study of actions that would promote
      programs In environmental management
      improvement and professionalization
                                                                           Environmental
                                                                           Management
                                                                             Training
                                                                            Rmourc**

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