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Boardroom Strategies / Initiatives

Going Green in IT

By Jodi Mardesich

The global energy crisis, the escalating cost of energy, and efforts by former vice president Al Gore, through his popular documentary "An Inconvenient Truth," are making environmentalism a concern of consumers and the businesses they support. All types of industries are discovering that there are real benefits to going "green," from improving the corporate image to receiving tax incentives that improve the company's bottom line. For CIOs, becoming more environmentally sensitive goes beyond corporate image or saving money; it's increasingly their responsibility to help their companies be more environmentally responsible via their purchasing and recycling of the toxic products used to power their businesses.

Personal computers, network servers, routers, hubs, telephones, and cables are made with heavy metals and chemicals that are toxic. Cadmium is found in semiconductors. Lead is used in glass panels in computer monitors as well as solder on circuit boards. Mercury is a component of circuit boards, telecommunications equipment, and cell phones. And flame retardants are found on circuit boards and plastic coverings.

Computer equipment is not biodegradable, and the materials that computers are made of pose a threat to public health, environmental groups say. When put into landfills, these chemicals can harm the environment, either by leaching into the water supply or, if incinerated, traveling through the air.

Consider the problem of PCs alone. According to the Gartner Group, consumers and businesses will replace more than 800 million PCs worldwide through 2009. Gartner estimates that they will attempt to dispose of 64 percent of these computers, or 512 million.

"Most organizations upgrade PCs every three to four years," says Frances O'Brien, a Gartner analyst. "In 2006, we estimate that there will be 100 million obsolete business PCs worldwide." That's not counting the other electronic equipment being replaced as companies upgrade to newer, more advanced technology.

CIOs are on the front lines, making decisions about how old or outdated equipment will be disposed of, and which new electronics will be purchased.

"Under a number of different worldwide e-waste regulations, IT executives should be prepared for the possibility that companies will be responsible for safe and proper disposal, even after ownership is transferred to another party," O'Brien says. "In the event of litigation or investigation, the company disposing of the PC bears the burden of proof for showing that appropriate procedures were followed for disposal."

There are two major ways CIOs can help their companies be more environmentally responsible:  by recycling computers and other equipment, and by purchasing more environmentally friendly products in the future.

  • Recycling  Because it can't be simply thrown away, old computer equipment is often stored -- at the company's expense -- because it is too costly or problematic to dispose of. Two options exist for disposal: taking equipment to recycling centers that accept old computer equipment, and donating computers to non-profits that refurbish them and give them to schools and low-income families.
  • Responsible disposal  It's illegal to throw away computers, laptops, monitors, and other equipment made with hazardous materials. Companies that do may be fined. There are some recycling centers that do accept them, sometimes for free, sometimes for a fee. Rules and programs for recycling computers and other electronic equipment vary by location. Computer recyclers sometimes mine the old equipment for resources that can be reused, such as the gold and silver they contain. Some recycling centers work with organizations or charities that refurbish computers and then redistribute them, giving them new life. And in the future, there may be tax incentives for recycling computers -- if passed, a new measure being considered by Congress, the Talent-Wyden e-waste recycling bill, would provide for tax credits.

Gartner's O'Brien suggests creating a process for PC disposal, which includes an audit trail documenting the process. Part of the process involves the removal of sensitive data from hard drives before releasing the computers to a third party.

It's also a good idea to do some research before choosing a recycling company. A recent report, entitled "The Digital Dump," by The Basel Action Network, identifies unethical practices by recyclers.  For example, some companies send outdated computers to Africa, claiming to help bridge the digital divide, but in reality creating a digital dump, burdening developing companies with a disproportionate amount of toxic cyber waste that ends up in landfill, polluting the water supply or air.

"Review your disposal strategies in light of current legal developments in Europe, the U.S., Japan, and other countries you do business in not only because noncompliance can result in high fines, but also because compliance results workload for the IT department," O'Brien says.

Computer donations
Computers that corporations deem outdated often can be reused by others. Organizations such as the non-profit Computers for Youth accept computers, refurbish them with new software, and provide training, Internet access, and technical support for the low-income families who receive them.

"CIOs are donating these machines in part to be great corporate citizens, but also because the economic costs of disposing of old machines in an environmentally friendly manner has become higher and higher," says Elisabeth Stock, president of Computers for Youth. "We then get the computers, which we call 'family learning centers' into the homes of low-income inner-city kid for use on their schoolwork.  It is a win-win situation."

CFY has distributed more than 8,000 computers and trained more than 16,000 low-income students and parents in the New York City area since 1999, and is expanding to other cities. In addition to being good corporate citizens, companies can get tax deductions on donations.

The Earth 911 Web site lists resources for both recycling and donation.

Buying green
Going forward, CIOs can make a difference by buying environmentally friendly products that meet new standards.  The European Union's Restriction on Hazardous Substances (RoHS) directive recently went into effect. It requires manufacturers to restrict the use of toxic chemicals in manufacturing, especially cadmium and lead. Though the U.S. has no such legislation, major manufacturers are complying rather than be barred from selling their products into the E.U. Another positive point: as companies make cleaner products, it will become easier to recycle them in the future.

Another E.U. directive, or law, called Waste Electrical and Electronic Equipment (WEEE), makes manufacturers responsible for recycling their products at the end of their life to make sure they don't end up in landfill. The Silicon Valley Toxics Coalition encourages manufacturers to offer free take-back programs, where companies can return used computers to them for safe disposal. Dell, Hewlett-Packard, and Apple now have take-back programs, some free, some for a small fee.

There may be other ways a company can be more environmentally responsible. CIOs can actively seek out products that use less power, for example. They can devise ways to get more use out of products before those products are phased out. By taking the lead in these initiatives, CIOs can be strategic thinkers within the corporation as well as reduce their firm's toxic footprint.

Jodi Mardesich writes about business and technology. Her writing has appeared in The New York Times, Fortune, San Jose Mercury News, Salon, Slate, and Yoga Journal.

CIO Strategy Center is a daily editorial resource offering innovative insights and strategies for building an integrated, secure and resilient IT infrastructure.

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"Under a number of different worldwide e-waste regulations, IT executives should be prepared for the possibility that companies will be responsible for safe and proper disposal, even after ownership is transferred to another party."

-- Frances O'Brien, Gartner Inc. analyst

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