The Prospect of Environmental Management Accounting for Enterprise Group by Climate Change

Abstract

Currently, the global environment surrounding companies is changing dramatically. Companies need to grasp the social costs that have not been covered by conventional management accounting such as climate change, water, biodiversity associated with global warming. Moreover, though it is necessary to maintain consistency between overall optimality and partial optimality in group management, can this situation continue in modern companies with the challenges mentioned above as well?

In order to realize a sustainable society, it is necessary to expand the range of overall optimality so far in group management to the global. Thus, as a tool for environmental management accounting that contributes to sustainable management, we focus on full cost accounting and natural capital accounting. To clarify the current situation and problems of environmental accounting, environmental management accounting, and environmental activities in Japanese companies, we sent a questionnaire on environmental management and environmental accounting of enterprise group. We also conducted case studies on natural capital accounting and discussion of new developments in the enterprise group's environmental management accounting under climate change.