W. P. Carey School of Business, Arizona State U., United States
Operations management research has focused on environmental transparency at the firm and supply chain level. However, new regulations and customer demands have now pushed manufacturing firms to develop environmental product declarations (EPDs)—a third-party-verified declaration label that communicates environmental information about a product’s life cycle impact. Building on information processing theory (IPT) and multi-stakeholder initiatives (MSI), we investigate the challenges that lighting manufacturers face in developing EPDs. Using a multiple case study with major players in the European lighting ecosystem—five manufacturers, two program operators, and two multistakeholder groups, we reveal the complexities in developing EPDs as well as the associated opportunities. This study (1) offers a comprehensive understanding of the roles played by different stakeholders in the EDP development process, (2) provides a grounded theoretical framework for managing the challenges during this process, and (3) offers suggestions and best practices to address its obstacles and conflicts.