Eco-Efficiency and Sustainable Development as Efforts to Produce Environmentally Friendly Products: An Exploratory Case Study

The issue of climate change, global warming and environmental damage caused by the production process leads to many changes in manufacturing technology, in the understanding of environmental concerns or environmental awareness. Eco-efficiency is a concept that requires companies to care about the environment, and is then forwarded to the concept of sustainable development which requires current generations to think and act to not pass the environmental damage to future generations. This study was aimed at answering whether a go-international company has environmental awareness, how they understand, interpret, and apply these eco efficiency and sustainable development concepts. The research methodology used is Yin's non-positivist exploratory case study research in PT. Indonesian Cement. The results showed that although the company has already understood and implemented eco-efficiency, and other environmental friendly programs, such as Japanese 5' S (Seiri, Seiton, Seiso, Seiketsu, and Shitsuke mean Tidiness, Order lines, Cleanliness, Standardization , and Discipline); Triple Bottom Line (Profit, People and Planet), and other programs. The implementation of such programs leads to the application of sustainable development concept.
The research's implications are academically it will enrich management accounting literature by introducing environmental-based management accounting, and encourage academicians to restructure the content of management accounting subjects as well as it will inform companies to be aware of possible environmental problems in their production processes.