An Expert System to Evaluate the Impacts of Health, Safety, and Environment System Implementation on Firms’ Financial Performance Using Analytic Network Process and Promethee Techniques

Abstract

Sustainability involves balancing the environment, equity, and economy, with a focus on the green or low-carbon economy. Four strategic targets for a green economy encompass green management, green production, green lifestyle, and green technologies. Adopting a green economy poses challenges for companies, necessitating innovative systems like green supply chain management, smart homes, and health-safety-environment systems. Companies' concern about financial effectiveness drives the need for investments in these systems, as financial performance is critical for survival and growth. This study investigates the influence of health-safety-environment practices on a firm's financial performance. By determining key health-safety-environment indicators and financial metrics, the research gathered insights through 97 questionnaires, which were completed by experts from four Iranian companies. The collected data was analyzed employing the analytic network process and Promethee techniques, enabling a robust evaluation of the relationship between HSE practices and financial performance. Finally, an expert system was designed based on decision matrices to provide suitable financial indicators derived from HSE data. Linking HSE practices to financial performance enhances overall effectiveness and sustainability, guiding businesses in making informed decisions while respecting growth, success, environmental issues, and finally low carbon economy.

Received: 27 July 2023 | Revised: 25 September 2023 | Accepted: 13 October 2023

Conflicts of Interest

The authors declare that they have no conflicts of interest to this work.