6-2. Reasons for Failure in a Company Penalized for Waste Management Act Violations

The Waste Management and Public Cleansing Act is a crucial law that aims to protect the environment and public health through the proper disposal of industrial waste. However, some companies have faced administrative penalties due to violations, leading to a significant loss of social credibility. Analyzing the reasons for these failures provides important lessons to avoid repeating the same mistakes.

1. Flaws in Selecting Entrusted Contractors

One of the most common causes of failure is not adequately verifying the suitability of a contracted waste management company. When companies sign a contract without checking for proper permits, processing capabilities, or past compliance with laws, it can lead to illegal dumping or improper processing, and the waste-discharging company may be held responsible.

2. Insufficient Manifest Management

Incomplete documentation on industrial waste manifests and a failure to confirm their return are also typical reasons for violations. Without being able to track the disposal process, a company cannot prove that proper treatment was carried out, which can result in the waste-discharging company being subject to penalties.

3. Inadequate Internal Management Systems

In some cases, companies delegate legal compliance to a specific department, and senior management and on-site staff do not fully grasp the importance of waste management. This can lead to repeated sorting errors and improper storage on-site due to a lack of manuals and insufficient training, which results in violations.

4. Business Decisions Prioritizing Cost

Prioritizing cost reduction when selecting a contracted company can be a risk factor. There are numerous cases where a focus on short-term cost savings has led to the use of illegal waste disposal contractors, resulting in administrative penalties and litigation risks that ultimately lead to even greater losses.

5. Failure to Keep Up with the Latest Legal Information

The Waste Management and Public Cleansing Act is frequently amended, and it is essential to stay up-to-date with the latest information, such as the introduction of the electronic manifest system or changes to processing standards for specific types of waste. Companies that fail to do so run a high risk of unknowingly falling into a state of non-compliance and receiving administrative penalties.

Summary

The common causes of failure for companies that have received administrative penalties for violating the Waste Management and Public Cleansing Act include laxity in selecting contractors, inadequate manifest management, a lack of internal management systems, cost-driven decision-making, and a failure to keep up with legal information. To prevent these issues, it is essential for companies to position legal compliance as a key business issue and to ensure thorough and regular internal audits and employee training. Furthermore, implementing an electronic manifest system and having checks by external experts can help prevent the risk of violations. Companies must recognize that waste disposal is not merely a cost, but a critical factor that supports credibility and sustainability.