The Impact of Green Target Costing Technique on the Environmental Performance Evaluation An Exploratory Study

Abstract

This study aims to investigate the impact of green target costing, a modern strategic accounting approach, on enhancing the effectiveness of environmental performance evaluation in industrial economic units, specifically within the manufacturing sector. To achieve the study's objectives, the researchers adopted a descriptive-analytical methodology. A questionnaire was designed and distributed to a sample of 100 specialists and employees in industrial companies. Eighty-six valid questionnaires were returned for statistical analysis, representing an 86% response rate. The data were processed in SPSS, using Cronbach's alpha for reliability testing and multiple linear regression to assess the relationships among the study variables. The results demonstrated a statistically significant impact of green target costing on improving environmental performance evaluation, with the model explaining 78.7% of the variance in the dependent variable. The study recommends adopting this technique to develop environmental cost management and enhance environmental performance indicators, thereby contributing to environmental sustainability and increasing the competitiveness of industrial companies.