MINISTRY OF INDUSTRY AND TRADE INDUSTRIAL UNIVERSITY OF HO CHI MINH CITY NGUYEN THI PHUONG RESEARCH FACTORS AFFECTING THE APPLICABILITY OF ENVIRONMENTAL MANAGEMENT ACCOUNTING (EMA) IN VIETNAM: AUTOMOBILE INDUSTRY ENTERPRISES CASE Major: Accounting Code: 60.A THESIS HO CHI MINH CITY, 2022 This M.A thesis was completed at Industrial University of Ho Chi Minh City. Science supervisor: Ph. Tran Ngoc Hung .A thesis was presented at Council assess of Master Thesis at University Industrial of Ho Chi Minh City Jun 02, 2021. The Council assess of Master Thesis include: 1.D Tran Quoc Thinh - Chairman 2.D Le Vu Ngoc Thanh - Reviewer No.D Dang Anh Tuan - Reviewer No.D Ngo Nhat Phuong Diem - Commissioner 5.D Nguyen Ngoc Khanh Dung - Secretary CHAIRMAN DEAN FACULTY OF ACCOUNTING AND AUDITING MINISTRY OF INDUSTRY AND TRADE SOCIALIST REPUBLIC OF VIET NAM INDUSTRIAL UNIVERSITY OF Independence - Freedom – Happiness HO CHI MINH CITY THE DUTY OF THE MASTER THESIS Full name: Nguyen Thi Phuong ID: 17001051 Date of Birth: July 20, 1987 Address: Hop Ly, Ly Nhan, Ha Nam Major: Accounting Code: 60.
Title name: Research factors affecting the applicability of environmental management accounting (EMA) in Viet Nam: Automobile industry enterprises case. DUTY AND CONTENT: Determine the factors that impact on the possibility of environmental management accounting application in Vietnamese automobile industry enterprises. Measure the level of each factor. Based on the research results, the author suggests solutions to enhance the possibility of environmental management accounting applications in Vietnamese automobile industry enterprises for improving their performance.
DATE OF DUTY: The decision No. DATE OF COMPLETION: …………………………………. SCIENCE SUPERVISOR: Ph. Tran Ngoc Hung Ho Chi Minh City, May 21, 2021 SUPERVISOR HEAD OF DEPARTMENT (Signature, Full name) (Signature, Full name) DEAN FACULTY OF ACCOUNTING AND AUDITING (Signature, Full name) ACKNOWLEDGMENTS First of all, I would like to express my sincere appreciation and gratitude to school administrators and all lectures of the Industrial University of Ho Chi Minh City, especially my PhD.
Tran Ngoc Hung - my direct lecturer and supervisor for my thesis. I would like also to take this opportunity to thank all CEO, CFO, Chief accountants and Staff of Accounting Department at case study companies for providing me the necessary information and completing questionnaires for this thesis Many thanks to my classmates and colleagues for their silent support throughout the course. Finally, I would like to thank my family for giving me the energy and encouragement in the whole process of this postgraduate research. i ABSTRACT Purpose: The purpose of this study is to detect and measure the impact of factors on the applicability of environmental management accounting in Vietnam: automobile industry enterprises case.
Design/ methodology: This research was conducted using a mixed research design approach of qualitative research methods and quantitative research methods. Survey questionnaires were collected from 352 subjects of industry automobile enterprises at the big city and industrial zones in Vietnam. By using Descriptive Statistical Method, Regression Analysis SPSS 26.0 software Findings: The research results show that there are 7 factors affecting the ability to apply environmental management accounting in Vietnamese automobile industry enterprises, including: Coercive pressure; Normative pressure; Mimetic pressure; Business environmental uncertainty; Environmental Strategy; Benefits when applying environmental management accounting; Task complexity. Implications: This study systematized the theoretical basis, providing an overview of environmental management accounting.
Research results are also the basis necessary and useful references for other relevant scientific researches to environmental management accounting. At the same time, the author proposes solutions to contribute to improving the applicability of environmental management accounting in Vietnam: automotive industry enterprises case. ii DECLARATION I certify that: Except where due acknowledgement has been made, the work is that of the author alone; The work has not been submitted previously, in whole or in part, to qualify for any other academic award; The content of the thesis is the result of work which has been carried out since the official commencement date of the approved research program; and Any editorial work, paid or unpaid, carried out by a third party is acknowledged. I assure you this is my own research.
The research results and conclusions in the thesis are honest, not copied from any sources and any form. References to sources (if any) have been cited and the source of references is properly regulated.A CANDIDATE ( Signature, Full name) Nguyen Thi Phuong iii TABLE OF CONTENTS TABLE OF CONTENTS. iv LIST OF FIGURES. viii LIST OF TABLES.
ix LIST OF ACRONYMS.1 CHAPTER 1 LITERATURE REVIEW .1 Oversea key researches .1 The overall research related to the diffusion of EMA and the need for adopting EMA .2 Research about the roles of EMA application in enterprises .3 Research on factors impacting the EMA application in enterprises .2 Key research in Viet Nam .1 The overall research related to the general perspectives of EMA and current EMA application in Vietnam .2 Researches about the role of EMA application in Vietnamese enterprises .3 Research on factors impacting the EMA application in enterprise .3 Gap research and the aims of study .1 Determining the gap research .2 The aims of study .16 CHAPTER 2 THEORETICAL FOUNDATIONS.1 Overview of Environmental management accounting .1 The Development of Environmental Management Accounting .2 Definition and Categorization of Environmental Accounting .3 Definition of Environmental Management Accounting .4 Types of Information Includes under Environmental Management Accounting .5 Benefits of Environmental Management Accounting Application .6 Content of Environmental management accounting .2 Some characteristics of the automobile industry enterprises.1 Some characteristics of automobile industry enterprises.2 Advantages and disadvantages when applying EMA at automobile industry enterprises in Vietnam.3 Factors affecting the ability to apply EMA in enterprises .50 CHAPTER 3 RESEARCH METHODOLOGY .4 Determination of influencing factors and research model.1 Determination of influencing factors .5 Qualitative research method .1 Qualitative method design .2 Results of expert discussions .3 Build of scale and encode data .4 Research hypothesis design .1 Building the questionnaires .2 Sampling investigation method .3 Analysis method of the research data .76 CHAPTER 4 RESEARCH RESULTS AND DISCUSSION .1 Sample descriptive statistics .3 Evaluate the scale .1 Evaluate the reliability of the scale .2 Evaluate the scale value .4 Multivariate regression analysis .1 Overall regression model .2 Verifying the suitability of the model .3 Regression weight test .4 Check the multi-collinearity phenomenon.5 Check for residual autocorrelation .6 Verify the normal distribution of the residue .7 The test assumes the variance of the error (remainder) remains constant.8 Test research hypotheses .9 Check the difference in degrees of accountants at the business.10 Check for differences about the degree .11 Check out the difference in the type of business ownership .103 CHAPTER 5 CONCLUSION AND RECOMMENDATION .3 Benefits of EMA .6 Business environmental uncertainty .3 Limitations and Possible future research .1 Limitations of the thesis .2 Possible future research .113 LIST OF RESEARCH RELATED TO THE AUTHOR’S THESIS .1: SUMMARY OF FACTORS AFFECTING THE ENVIRONMENTAL ACCOUNTING APPLICABILITY .2 : LIST OF EXPERTS INTERVIEWED AND THE QUESTION INTERVIEWED .3: SUMMARY OF THE FACTORS AFTER INTERVIEWING EXPERTS .5 CRONBACH'S ALPHA RELIABILITY TEST RESULTS.6: EFA FACTORS ANALYSIS RESULTS .7: RESULTS OF CORRELATION MATRIX TEST; RELEVANCE OF MODEL; VARIANCE ANOVA; REGRESSION COEFFICIENTS .156 vi APPENDIX No.8: STANDARD DISTRIBUTION RESULTS OF RESIDUALS .9: LIST OF SURVEY PARTICIPANTS .176 vii LIST OF FIGURES Figure 2. 1 EMA at the core of sustainable development. 1 Histogram graph of normalized remainder. 2 P-P Plot plot of normalized remainder.
3 Scatter plot between predicted value and regression residue .96 viii LIST OF TABLES Table 4. 1 Research sample information. 2 Analytical results Cronbach's Alpha shows the scale of the independent variables. 3 Analysis results Cronbach's Alpha for the scale of the dependent variable.
4 Test KMO and Bartlett for scales of independent variables. 5 Table of variance extracted for the scale of the independent variables. 6 Rotation factor matrix. 7 KMO and Bartlett testing for scale of independent variables (2nd time).
8 Table of variance extracted for the scale of independent variables (2nd time). 9 Matrix of rotational factors (2nd time). 10 KMO and Bartlett tests for dependent variable scale. 11 Table of variance extracted for the scale of the dependent variable.
12 The dependent variable factor matrix. 13 Summary of regression model. 15 Regression weighting table. 16 Test there are differences in the degree of applicability of EMA in automobile industry enterprises between 2 groups from intermediate / college above and from university above.
17 Table comparing the mean of the applicability of EMA in the automobile industry enterprises between 2 groups of intermediate / college above and university or higher. 18 Verifying the differences in the degree of applicability EMA in the automobile industry enterprises among 4 groups of Degrees College, University, Master, and PhD doctor. 19 The Anova test with differences in the effects on the applicability of EMA in the automotive industry enterprises of 4 groups of Degrees: College, University, Master, and PhD doctor. 20 Table comparing mean values about differences the effects in the applicability of EMA in the automotive industry enterprises of 4 groups of Degrees: College, University, Master, and PhD doctor.
21 Examining the differences in the applicability of EMA in the automobile industry enterprises of 6 groups of State-owned enterprises, 100% foreign-invested enterprises, Joint-ventures, and Companies Limited Liability, Shares with State Capital, Limited Company, Shares without State Capital, Other type. 22 Test of Anova with differences in the applicability level of EMA in the automobile industry enterprises of 6 groups of State owned enterprises, 100% foreign invested enterprises, and joint venture enterprises Limited Liability Company, State Capitalized Joint Stock Company, Company Limited, Joint Stock Company without State Capital, Other type. 23 Table comparing average values about the applicability of EMA in the automobile industry enterprises of 6 groups of State owned enterprises, 100% foreign invested enterprises, and joint venture enterprises Limited Liability Company, State Capitalized Joint Stock Company, Company Limited, Joint Stock Company without State Capital, Other type.102 x LIST OF ACRONYMS AAA American Accounting Association EA Environment accounting EFA Exploratory factor analysis EMA Environmental Management Accounting EMS Environmental management System IFAC International Federation of Accountants MFA Material Flow Accounting LCA Life Cycle Analysis UNDSD United Nations Division for Sustainable Development USEPA US Environmental Protection Agency xi INTRODUCTION 1. Rationales of the research Nowadays, environmental issues have been concerned seriously world-wide, as the increasing number of significant environmental threats to the future of humanity.
These include, but not limited to, not only natural disasters such as hurricanes, tsunami, global warming but also human-made disasters including oil spills, plastic solid waste, the over-consumption of non-renewable resources, global air pollution (Jones, 2010). These incidents have given hostage to fortune, and therefore led to calling for organizations around the world to consider its environmental performance seriously (Lee, 2011). So adopting cleaner and safer, more friendly environmental practices have become more and more aware by the public, with the help of increased media coverage (Burritt et al. Environmental management accounting (EMA), as part of Environmental Accounting, may assist management to address environmental impacts of organization activities, particularly by providing related environmental information for making decisions.
Even though EMA has still no definite boundary or denomination, it has emerged as an interface between management accounting and environmental management (Bennett et al. Many recent studies on EMA from different perspectives reflect the importance of accounting when pursuing environmental management strategies (Schaltegger et al. There was numerous research on the environmental management systems and these first ones have been done in the developed economies (Hsiao et al. However, EMA’s studies in developing countries are scant, and according to the work of (Xiaomei, 2004; Jalaludin et al., 2010) in China and Malaysia show that the majority of enterprise in developing countries were considered that they were still far behind advanced countries in terms of understanding and applying EMA techniques and methods.