Application of ISO 14001 in food processing enterprises

■2012 JSPS Asian CORE Program, Nagoya University and VNU University of Economics and Business

Application of ISO 14001 in food processing enterprises
Phan Chi Anh* - Dang Thi Huong*

Abstract: Environment is becoming hot issue to many countries and has attracted increasing attention of public
organizations, businesses and citizens in the world including Vietnam. One of the most importance choices for enterprises
to control and minimize negative impacts on the environment is application of environmental management system ISO
14001. In Vietnam, food processing enterprises have the highest number of ISO 14001 certificates compared with other
industry. However, the number of enterprises certificated ISO 14001 is still small and mainly belongs to the enterprises
with foreign direct investment (FDI). Therefore, the main purpose of this paper is to investigate current issue of applying
ISO 14001 and assessing the factors influencing the implementing of ISO 14001 in food processing enterprises. Some
suggestions for fostering application of ISO 14001 in Vietnamese food processing enterprises have been also made.
Keywords: Environment, ISO 14001, environmental management system, food processing enterprises, Vietnam

1. Introduction

Therefore, various non-government organizations and

In recent years, environment and food safety are

pressure groups have been encouraging businesses to

becoming hot issues to many countries in the world.

address the impact they are having on the environment.

Environment has been seriously destroyed; customers

Common reasons that encourage businesses to ―green‖

disbelieve and turn their backs on enterprises. These
directly

threaten

the

sustainable

socio-economic

development of each nation. Some countries including

their practices typically include growing consumer
pressure; the reduced costs associated with improved

Vietnam are paying a heavy price for economic boom

efficiency, the reassurance of regulatory compliance and

but

of

reduced insurance premiums (Peattie, 1995; Welford,

environment protection and food safety for customers.

1998). Some leading companies are using environmental

Therefore, solving the environmental pollution issues in

pressure to improve their operational efficiency, raise their

while

underestimating

the

importance

this current period of accelerating industrialization and

corporate image, develop new products and opportunities,

modernization is not only an imperative task for
governmental organizations but also the responsibility of
enterprises and the entire society.
Chan & Wong (2006) stated that business has an essential

and thus gain a competitive edge (Taylor, 1992).
To respond to these pressures, many organizations have
adopted environmental policies and carried out
environmental audits or reviews. One tool they could

role to play in preventing environmental damage, as it is

use to facilitate the implementation of environmental

responsible for much of the environmental degradation that

policies is a formal environmental management system

has occurred because of the process of production.

(EMS), described by Rothery (1993) as a means of

* University of Economic and Business, HaNoi National University


ensuring that an organization, in all of its operations

14001 standard foreseeing that their European-based

and activities, conforms to environmental targets set by

customers will require it. Globally, the trend of

its policy, which itself relates to standards set by

certified companies refusing to do business with

directives or other criteria. EMS has become enshrined

non-certified companies is increasing. Thus, exporters

in

EU

in developing countries will face more pressure from

eco-management and audit scheme (EMAS) and the

their trading partners in industrialized countries to

International

Standardization's

implement an environmental management system in

standard for environmental management systems ISO

compliance with ISO 14001. ISO 14001 EMS standard

14001. The main purpose of the EMS is to organize

may become a necessary condition of international

environmental work in such a way that an

trade. Besides that, several surveys and case studies

organization's environmental performance improves

have been conducted in Europe and in developing

continuously (Emilsson, Hjelm, 2002). It allows

countries released that generally, enterprises are often

organizations to be systematic in the evaluation of their

slow to respond to the challenge of improving their

processes and activities with regard to interaction with

environmental performance due to the lack of financial,

the environment.

knowledge and technical resources (Gerstenfeld,

ISO 14001 requires that adopting organizations create

Roberts, 2000; Hitchens, Clausen, Trainor, et al 2003;

an environmental policy, set objectives and targets,

Pimenova, Van der Vorst, 2004).

implement a program to achieve those objectives,

In Vietnam, processing industry in general and food

monitor and measure the program's effectiveness,

processing industry in particular are considered one of 7

international

standards

Organization

such
for

as

the

correct problems, and conduct reviews aimed at

major industries of the whole nation and given special

improving the EMS. As such, the EMS is a tool that

attention by the Government and Party. In recent years,

allows the continual improvement of the environmental

food processing industry with high growth rate has

behavior and performance (Emilsson, Hjelm, 2002;
Gbedemah, 2004; Johnstone, Scapecchi, Yiterhus, et al,

significantly contributed to the country’s GDP and

2004; Lozanoa, Valles, 2007).

attracted a large workforce. However, it cannot be denied

Since the introduction of the ISO14000 series in 1996,

that food-processing industry has caused many negative

companies seeking the certification have been

impacts on the environment, ecosystem, productivity and

increasing worldwide. The number of studies related to

public health, including air pollution, water pollution and

implementing ISO 14001 has increased as well.
solid wastes. The number of businesses violating the

Massoud, Fayad, Mutasem El-Fadel, et al (2010)
pointed out that main motivations, benefits, incentives

regulations on environmental protection is increasing. The

and challenges for acquiring ISO 14001 vary with

application of ISO 14000 in food processing enterprises is

location with no explicit prioritization. This may be

still limited with the number of businesses granted ISO

attributed to the several independent variables that

14000 certificates are still small. Meanwhile, studies related

influence decisions and priorities whereby the demands

to implementing ISO 14001 EMS in food processing

for acquiring the certification are fundamentally market

enterprises in Vietnam are still lacking, incomprehensive

driven particularly in industrialized countries (Boiral,

and scattered.

2007; Jiang, Bansal, 2003; King, Lenox, Terlaak, 2005;
Toffel, 2000). Many firms in Asia are adopting the ISO
2


Therefore, in this study, we attempt to:
+ Generalize current situation of applying ISO 14001
in food processing enterprises;
+ Assess the factors influencing the implementing of
ISO 14001 in food processing enterprises;
+ Give some recommendations for food processing

enterprises in order to foster the applying ISO 14001 in
Vietnamese food processing enterprises.
Source: www.vpc.org
2. Some facts and finger
Some previous studies found that food processing industry

It is suggested that implementing EMS can bring benefits

in Vietnam may have caused many negative impacts on

to a company not only in financial terms through a

the environment, including air pollution, water pollution

reduction in energy costs and other resources, but also in

and solid wastes. In term of air pollution, the most popular

terms of improving the company's image with the general

source of contamination is the stench of prolonged raw

public and other stakeholders (Hemenway & Hale, 1995).

materials, decomposed organic compounds in solid wastes

Therefore, numbers of companies seeking the certification

and wastewater water from sewers and drains…They

have been increasing worldwide. By December, 2009, ISO

create/release toxic gases (H2S, CH4, NH3…); mephitic

14001 was worldwide applied with 223,000 organizations

stench of raw materials in outdoor exposure conditions;

in 159 countries certified.
In Vietnam, the certificate of ISO 14001 was first

dust, gas and smoke generated by burning coal, wood; or

awarded in 1998 and since then the number of

temperature, noise arising from the boiler, from the stages

organizations certified has increased fast. By the end of

of food processing: mixing, cooking, baking, frying,

December 2009, the number of enterprises certified in

steaming… Using much water, food processing industry

Vietnam was about 500 enterprises. They are mainly

also releases large amount of wastewater. Wastewater

the enterprises with foreign direct investment (FDI),

consists of both living and production wastewater, derived

specializing in food processing, electronics, chemicals

from equipment coolers, cooking and steaming stages as

and construction materials. This is a significant
progress in Vietnamese enterprises’ awareness of

well as plant cleaning water. Generally, wastewater is

environment protection activities. However, this

organic- rich, easily biodegradable with high contents of

number is still small compared to other countries in the

COD, BOD5, SS, TS and sugar. Long time being in

region. In 2007, the number of ISO 14001 certificates

sewers, it creates stench and toxic gases. It also causes land

of Vietnam compared to Indonesia, Malaysia,

pollution and reduces underground water quality. Solid

Philippine, Singapore was only 50- 55% and to

wastes include wrappings, material containers, redundant

Thailand was 35% only.

materials, ashes, lime residues, deposited mud, living

Figure 1: Number of ISO 14001 certificates issued in

wastes from foods and drinks…These wastes will reduce

Vietnam by 2009
3


the quality of the air, land and water, negatively affect
human heath, even economy, environment and society
unless they are appropriately controlled and disposed.

3.

Discussion

Therefore, it is important to encourage food processing

The survey result showed that, only three ISO 14001 EMS

enterprises to apply ISO 14001.

certificates were reported within 15 food processing
enterprises in Ha Noi examined. They were all big veteran

According to experts, the sector of food processing

businesses having export market and strong financial

(sugarcane, seafood, alcohol, soft drinks ...) has the

power. The others were not much interested in ISO 14000.

highest number of ISO 14000 certificates. However,

They have been generally more concerned with safety and

most of them belong to FDI or export enterprises

quality issues rather than environmental issues. It is

which have large scale, strong financial capacity and
better capability of investing into the environment.

necessary for the companies in this industrial sector to be

Apart from the pressure from parent companies, these

aware of the importance of applying ISO 14001 and

enterprises understand that ISO 14001 can help them

minimizing environmental pollution.

reduce costs, promote the customers’ belief and
improve the image and competition ability in domestic

We also asked these enterprises about the barriers to

as well as international market. That is the reason why

applying ISO 14000. These factors include:

they invest more into ISO 14001.
ISO 14001 Awareness

The application of ISO 14000 in the domestic production
facilities and food processing enterprises is still limited. The

Recently, besides product quality improvement, food

number of businesses granted ISO 14000 certificates is

processing enterprises pay more serious attention to

small but the number of ones violating the regulations on

environmental issues because of their importance amid

waste water treatment, on environmental protection is

fierce competition, increasing demand from customers and

increasing. The authorities have discovered a mass of food

society. They understand that the observance of regulations

processing enterprises causing environmental pollution by

on environmental protection helps to bring about

discharging untreated wastewater outside, making

sustainable development, cost savings, better images in the

residents so distressed.

eyes of consumers and authorities. Good awareness of
The research scope of our study was some food

environmental protection creates advantages for a

processing enterprises in Ha Noi. To reach research

company to approach business opportunities such as

objectives, the questionnaire survey of food processing

capital, domestic and international bids. Therefore, 67% of

companies in Ha Noi was done. 50 questionnaires were

total food processing enterprises attending the survey

sent to senior and middle managers in these companies.

suppose that applying ISO 14001 ensures sustainable

These are the people who are normally highly involved
in planning and implementing the EMS in an enterprise.

business and good profits; 33% of them say that it

Finally, 15 responses were obtained, for a response rate

influences on immediate profits as well as sustainable

of nearly 30%.

business. However, with only 20% of them officially
4


applying ISO 14001, the awareness of this quality

low. Knowledge and skills of leaders and managers are

management system is still limited among the companies.

still limited. Many people majoring in engineering or
sociology hold positions of management or business.
Some leaders improve their qualifications through self-

Financial capability

Building and applying ISO 14001 need money for a

studying or short- term refresher courses. Failure to

great number of activities such as consulting, training,

ensure professional qualifications and management

wastewater treatment, solid waste treatment, improving

skills of enterprises’ leaders not only affect their

drainage

treatment

performance in present positions but also distract them

infrastructure, exhaust systems, management and

from accessing quality management systems such as

administrative costs, operation supporting costs… The

ISO14001.

costs vary among each type of enterprises, product

In addition, there is the shortage of staff having

features and operation scale, but financial resources

extensive knowledge of environmental protection in

must be prepared.

enterprises. According to the survey, only 20% of

Nowadays, the investments in environmental protection

enterprises

system,

and

wastewater

have

environmental

division

and

specialized workers, falling mainly into enterprises

mainly depend on companies’ own capital. With high

granted ISO 14001, the other 80% do not have such

average capitals, state-owned and FDI enterprises have

specialized staff. The shortage of environmental

more advantages to apply management systems such as

workers and the weakness of human resources have

ISO, HACCP... Small and medium-sized enterprises

limited the efficiency in environmental protection,

account for 97% of total enterprises in Vietnam. 50% of

covering the integration of new and environmentally

them have average capital of only 1-5 billion dong, which

friendly technologies, deployment of clean production
programs, and application of new management

is a barrier for applying ISO 14001.

methods in accordance with ISO 9000, ISO 14001,

7 out of 15 enterprises attending the survey (47%) say that

environmental certificates and brands

they are willing to pay for applying ISO 14000, but the

Technological capability

remaining 53% are not because of priority given to

In recent years, the food processing sector has made

production and business activities. Most of them say that,

remarkable progress in technology. Most companies

weak finance is one of the major barriers for them to apply

tend to develop and improve technology and

ISO 14001 and they need the support from environmental

equipment, use advanced technological line for

protection funds. According to the survey, nearly 100% of

production. This helps improve productivity, quality,
and reduce the impacts of waste on the environment.

the enterprises say that they did not receive any financial

In the process of technological innovation, the most
support (or so little) from the national environmental

significant measure adopted is to improve existing

protection fund and other ones, making it hard to apply

production processes. To state- owned enterprises, it is

environmental management systems.

less costly and easier than buying new technologies.

Human resources

Meanwhile innovation of the advanced technologies

The quality of the human resources in Vietnam

helps enterprises with FDI create good products.

enterprises in general (managers and workers) is still

Food processing enterprises have been actively
5


involved in researching, transferring and using

Enhancing awareness of leaders and staff

environmentally friendly technologies. These are some

on ISO 14001

major projects they have attended recently: Project of
Full understanding of quality management in general and

wastewater treatment technology for beer industry
(Institute of Beer- Alcohol- Beverage and consulting

ISO 14001 in particular is a very first step to build quality

office of Australia); Project of wastewater treatment

management programs. All members in a company, from

technology for confectionery industry transferred to

senior managers to ordinary workers must do that.

Tràng An confectionery (Technology Transfer Center

Although most of food processing enterprises in Ha Noi

from National Steering Committee on Water Supply &

have different measures to protect environment, the

Environmental Sanitation and Japan’s Technology

application of ISO 14001 is important and necessary. ISO

Transfer Office); Wastewater treatment system using

14001 not only helps control environmental issues, but also

Belgian technology for Bien Hoa II industrial park;
Italian technologies for Hazardous Waste Treatment…

reduce costs, improve the image and competitiveness for

However, the development and application of

the businesses. The companies should continue to promote

environmental technologies as well as importing

some activities such as educating, improving awareness of

foreign technologies in Vietnam are still spontaneous.

both leaders and staff on social responsibilities,

There is an absence of orientation and comprehensive

environmental management systems through some

management of the government, which leads to poor

following measures: Attending some training courses of

performance of technical equipment, wastage and

quality management, ISO 14001; Taking part in some

costliness.
technologies

forums, clubs on quality and ISO 14001, learning the

should be based on the criteria of modernity, efficiency,

methods of applying ISO 14001 from other organizations;

relevance and popularity. In addition, they must be

Enhancing awareness of all staff on social responsibilities

easy to manage, warrant, maintain with low costs...

through some training courses of environment, cultural

Choosing

environmentally

friendly

Importing technologies is an indispensable requirement

events or emulation movements; Improving the

amid weak market of environmental technologies,
limited resources of both human and finance…

corporation management skills of leaders and enhancing

However, besides the limitation of the importing

their awareness on green growth, social responsibilities and

investment and the limitation of management and

economic benefits as well from investing into environment

operation skills, the thinking of innovation in processes,

protection.

production methods and technologies is still sluggish.
That is the reason why the number of environmentally

Building environmental policies and the

friendly technologies imported is still small while

commitment of everyone in the organization

backward ones are excessively imported by the

In order to build a successful ISO 14000, the

companies. Therefore, environment pollution tends to

enterprises need to have a commitment and an

be more serious.

environmental policy agreed by leaders and all staff.

4. Recommendation

Environmental policy defined by top leaders represents
the orientation on environment of the whole enterprise.
6


The environmental policy must be built on the basis of

environmental policies for the company, and assessing

guidelines, general policies, orientation of sustainable

impacts on the environment.

development, and environmental protection strategies,

+ The staff must be able to operate the sewage

environmental law and related legal documents.

treatment system, analyze and check the safety of

Then, environmental objectives will be defined and

goods, environmental standards, regularly update

specified in each unit based on the environmental

market information related to environment.

policies. Environmental objectives should be specific,

Applying

quantifiable and evaluable. When building and revising

technologies

the objectives, organizations must consider the legal
requirements

and

many

other

ones

such

environmentally

friendly

Innovating production technologies is one of the most

as

important solutions to minimize environment pollution

environment, technological plans, business, finance,

and

and stakeholders’ views.

improve

competitiveness.

Technological

innovation helps companies reduce production costs,

Deploying ISO 14001 would not be successful without

improve products’ quality and meet the demand on

comprehensive commitment of senior leaders. The

standards for packaging, safety, processing, and

leaders must have a strategic vision, clear and specific

material savings. Nowadays, some food processing

values as well as customer-oriented goals. Besides

enterprises start to invest into technologies while many

building strategies, systems and measures, they must

of others do not have enough conditions. Their biggest

mobilize the participation and creativity of all staff to build

barrier is poor knowledge, poor finance, and poor

and improve environmental protection capability of the

information

organization. With the direct participation, leadership’ role

for

applying

the

system.

Therefore, they need to have strategies and appropriate

is to strengthen and to encourage value creation.

measures to innovate technologies. These are some

Training

suggestions:

In order to apply an environmental management

+ Innovating sewage treatment equipment to improve

system for producing goods with national and

operation efficiency and minimize environmental

international standards, the companies must plan to

pollutants.

train their staff. Studying the environmental standards

+

and regulations and applying them must be regular

Replacing

hazardous

technologies

by

environmentally friendly ones.

activities in the companies. According to the survey,

+ Adding some environmental pollution control

there is a shortage of staff having environmental

devices to existing equipment in order to minimize,

specialization in most food processing enterprises.

even to prevent discharging harmful substances into

Therefore, it is necessary to train the human resource at

the air, water and land.

all positions:

+ Importing modern, safe and high quality equipment.

+ The leaders must have a full understanding of

+ Researching the capability of moving to use less

organization’s operation, documents, environmental

harmful fuels. This is one of sound measures that many

regulations and the system of standards.

countries choose for heading.

+ The head of environment department is responsible

+ Generalizing ISO 14000 in all enterprises, labeling

for monitoring environmental situation, solving

―ecological mark‖ on all products related to

environmental problems, setting out objectives and

environment.
7


In addition, a clean production process should be

affecting application of ISO 14000 such as ISO 14000

applied in each facility. All stages of the production,

awareness, finance, human resource, technology… It

service and product life cycle should be carefully

also suggested some solutions to promote the

examined to offer better measures. This not only

application of ISO 14000 in these enterprises. The

reduces sewage but also brings about economic

above analysis and evaluations would help enterprises

benefits thanks to saving materials and energies, which

find the causes and solutions promoting more

help a company to get more profits, recover capital

application of ISO 14000 in Vietnam.

rapidly and improve the image in the eyes of the
public.

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10