Abstract:
The goal of this study was to determine the effect of environmental management on
hotels' operational costs. To determine the strength of the relationship between
operational cost and environmental management, Environmental management constructs
of energy management, waste reduction and recycling, water conservation, green
procurement, and organizational system control as an independent variable were used.
Additionally, data were collected from ten selected hotels in Sri Lanka to investigate the
influence of environmental management on operational costs. This study elicited
responses from 150 individuals. The data were gathered using a five-point Likert
structured questionnaire produced by the lodging firms. The measuring scales are based
on the available literature. The collected data were evaluated for dependability in order
to determine their suitability for further investigation. According to the analysis's
findings, the was determined to be fit. Following that, correlation and multiple regression
analyses were conducted. The correlation coefficient of spearmen was used to test the
hypothesis. Multiple linear regression analysis was used to determine the relationship
between independent and dependent variables. The multicollinearity test was used to
ensure the data set's normality. Correlation analysis revealed a positive significant
correlation between energy management and green procurement and operational costs,
and a negative significant correlation between waste reduction and recycling, water
conservation, and organizational systems. Additionally, regression analysis was used to
determine the effect of independent variables on dependent variables. The final finding
indicates that operating costs have a significant link with environmental management
components at a level of 0.004 (P0.05). The study's final findings indicate that there is a
considerable relationship between operational cost and environmental management
components, and that environmental management was a significant determinant of
operational cost for hotel enterprises.
