INFLUENTIAL FACTORS ON ENVIRONMENTAL ACCOUNTING PRACTICES AS A PERSPECTIVE OF HOTELS IN SRI LANKA (SPECIAL REFERENCE TO EASTERN PROVINCE)

Abstract

for almost all sectors worldwide to take measures to reduce their environmental impact. These practices, in turn, resulted in companies incorporating the environmental activities they undertake in their reports, thus coining the term “Environmental Accounting (EA)”.Purpose - This research article aims to identify the factors which help to implement the environmental accounting concept for the eastern province hotel industry by examining selected hotels' perceptions of the level of awareness, hotel-related factors, incentive level & availability of qualified human resources. Methodology - The quantitative method was followed in the study. The primary data were collected by sharing online questionnaires among the top and middle employees in the hotel of the eastern province of Sri Lanka. Many actions were taken in the data collection process to improve validity and reliability. The data gathered were analysed using the SPSS software. The study population will be all hotels in the Eastern province, which is hotels total number is 382 & using a sampling cluster technique to divide the population into groups. Moreover, random convenience random sampling was used to select the samples from the group. The study engages a structured questionnaire to acquire selected hotels' views about challenges and barriers to adopting environmental accounting in the hotel industry in the eastern province. And used correlation and regression analysis to analyse the data. Moreover, this study helps to identify which factors help more to implement environmental accounting. This study uses PCA allows for easy data investigation to understand the key variables. Findings – The results indicated that the level of awareness 42.9%, hotel-related factors 24.5% & availability of qualified human resources 16.2% positively impact adopting environmental accounting in hotels of the eastern province of Sri Lanka. The findings of the study indicate that the influential factors have a positive influence on implementing environmental accounting practices in hotels in the eastern province. The results related to the relationship of LA (r= 0.655), HRF (r=0. 0.495) & AQHR (r= 0.403). The most influential factor is identified using linear regression, level of awareness has the most substantial impact, and what government incentives have no impact and relationship on EA implementation in hotels in the eastern province.