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.ENVIRONMENTAL MANAGEMENT SYSTEMS
In an attempt to address this issue, the best organizations are now moving beyond environmental auditing and developing environmental management accounting systems (EMAS) that seek to establish environmental costs at every stage of production. Management accounting systems produce data used by the senior management team for decision-making purposes. In order to control and monitor costs they must be clearly identified, but this is not always a straightforward exercise. Neither is it cost free, and firms will tend to equate the marginal cost of identifying environmental costs with the marginal benefit derived from doing so.
Up until recently, environmental costs have simply been included as part of overhead costs. An EMAS requires that environmental costs are identified and made explicit. The arrival of Activity Based Costing systems in the 1980s has made the tracking of environmental costs easier (Kreuze J G & Newell G E, 1994). But, before

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