Corporate Governance

Purpose – This paper aims to explore the relevance of the application of an environmental management system in creating the image of a good corporate citizen in the Australian construction industry.

Design/methodology/approach – The author applied a research method based on data collected from annual reports, corporations' websites and publicly available statistics; and interviews conducted with stakeholders of the leading Australian construction industry corporations.

Findings – The environmental management system has a part in creating the image of a good corporate citizen. Majority of the companies pursues the corporate governance structure that is concerned about healthy environment. None of the companies includes both suppliers and community representatives in the board of directors. There is a different interpretation as to what healthy working environment comprises, and how to sustain a healthy environment of the present without compromising the ability of future generations to meet their needs. The implementation of the occupational, health and safety regulations varies from state of state in Australia.

Practical implications – All companies should pursue the governance structure that ensures the social values of the organization are aligned with those of the community; overall unique stakeholders' understanding of a healthy working environment should support sustainability; equal implementation of occupational, health and safety regulations for each state in Australia could contribute overcoming for much-needed occupational, health and safety improvement.

Originality/value – The originality of the paper is in applying the framework for examining the environmental management system pertinence to the image of defined good corporate citizen. The paper is useful to construction industry practitioners, academics, and government.