Recyle the E-waste-T


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Recyle the E-waste-T

  1. 1. The 3 Immutable Laws of eWaste Management, and Other Recycling Truths Presented to The Federal Network for Sustainability By Robert Houghton
  2. 2. The 3 Immutable Laws eWaste Management Responsible management and risk mitigation requires a comprehensive and detailed audit trail. Even relatively inert materials may be hazardous if handled improperly. De-manufacturing and materials recycling should be a last resort. Environmental responsibility should extend to the final disposition. Hazardous content is not labeled. Parts harvesting facilitates economic repair of low value systems. Confidential data and software licenses must be secured. Circuit boards, batteries, and other components contain heavy metals and various hazardous materials. Working units provide the greatest aggregate benefit—financial, social, environmental--if reused as working units. Risk trumps cost. Everything is hazardous. Best use is highest use.
  3. 3. Recycling Truths <ul><li>Centralize (process) </li></ul><ul><li>Sanitize (data) </li></ul><ul><li>Optimize (value) </li></ul><ul><li>Scrutinize (disposition) </li></ul><ul><li>Analyze (audit trail) </li></ul>5 Essential eWaste Best Practices
  4. 4. Sanitize <ul><li>Physical security </li></ul><ul><li>Automated erasure </li></ul><ul><li>Systematic verification </li></ul><ul><li>Audit Trail </li></ul><ul><li>OS & bios independent </li></ul><ul><li>Special procedure for servers and arrays </li></ul><ul><li>Quality control audit </li></ul>Failsafe Data Security Best Practices Testimonial “ Redemtech showed the lead in data security… audit trails… and reporting capabilities.” Judi Huitt BP Amoco <ul><li>Data Security Flaws Revealed </li></ul><ul><li>Infraworks Sanitizer </li></ul><ul><li>East-Tec Disk Sanitizer </li></ul><ul><li>Norton WipeInfo </li></ul><ul><li>NTI Diskscrub </li></ul><ul><li>Ontrack Data Eraser </li></ul><ul><li>Wipe Clean </li></ul><ul><li>“ Redemtech Data Erasure was the only application to successfully overwrite all hard disk sectors on each of the six PC configurations under test.” </li></ul>
  5. 5. Optimize--Reuse “ We took a problem that nobody wanted to deal with and now our CEO is on the front page of the Birmingham paper giving away computers to needy kids. It is a great program and we continue to use it.” Testimonial Ken Livesay, CIO HEALTHSOUTH Economic Value Social Value Redeploy Donate Employee Sale Reuse Options <ul><li>Refurbish and Reuse </li></ul><ul><li>Web Inventory </li></ul><ul><li>Testing </li></ul><ul><li>Software Imaging </li></ul><ul><li>Repair </li></ul><ul><li>Upgrade </li></ul><ul><li>Cleaning </li></ul><ul><li>Repackaging </li></ul>
  6. 6. Optimize--Remarket Highest Turn Highest Value Refiners Parts International End User Wholesale Auction <ul><li>Value Recovery </li></ul><ul><li>Diversified channels. </li></ul><ul><li>Optimal turn and price. </li></ul><ul><li>Revenue share model improves return. </li></ul><ul><li>Market makers need high volume. </li></ul>Web Secondary Market Testimonial “ Sell as quickly as possible so you can get some resale value…if you stack them in your closet, if you leave them there for two months, that could be the difference between receiving a check and paying an invoice.” Mike Bowman Verizon Wireless
  7. 7. Optimize--Recycle Testimonial “ Pay attention to what happens to materials going out your back door… Assess your practices… You can play ‘regulatory roulette’, but if you lose, you lose in a big way.” Steven Rowe Preston, Gates & Ellis <ul><li>Legal </li></ul><ul><li>Compliance with all Federal, State, and Local laws. </li></ul><ul><li>Waiver of Liability issued with each audit indemnifies the customer. </li></ul><ul><li>Environmental </li></ul><ul><li>Electronic scrap is recycled, never landfilled. </li></ul><ul><li>Disposition of materials is controlled and documented. </li></ul><ul><li>Social </li></ul><ul><li>End materials refiners are vetted for environmental and labor practices. </li></ul><ul><li>Usable systems are sold or donated rather than recycled. </li></ul><ul><li>Financial </li></ul><ul><li>Recycling is a last resort. “Highest” disposition is always sought. </li></ul><ul><li>Service on valueless product is limited to risk mitigation requirements. </li></ul>Economical, Responsible, and Fully Documented
  8. 8. Total Cost of Ownership <ul><li>Recycling equals 5% of TCO, 1/3 as much as purchase. </li></ul><ul><li>Ad hoc End-of-Life programs increase cost and risk. </li></ul><ul><li>End users will increase focus on EOL to reduce TCO. </li></ul>Use Purchase Total TCO $5236 per year IDC, August, 1998 Recycle
  9. 9. Disposition Costs Internal Costs of Disposition Testimonial “ Staff productivity increased…we gained better control of our idle assets.” Mike Bowman Verizon Wireless
  10. 10. Plan for Negative Residuals Break-Even Disposition Cost Negative Residual Testimonial “ Staff productivity increased…we gained better control of our idle assets.” Mike Bowman Verizon Wireless
  11. 11. Low Price--High Performance Lowers Residual Values New Systems Price Performance Used Market Price Shortened Economic Life T i m e Price/Performance Improvement and Economic Life Example: Used Market Values of IBM’s Large Systems 9672 G1-G5 Shortened Economic Life 6 years 5 years 3-4 years IBM System H0 H5 9021 H2 US$ per MIPS 90 92 94 96 98 00 100 1,000 10,000 100,000 3090 E S J
  12. 12. Scrutinize Know Where It Goes. <ul><li>Corporate policy will require end-to-end control of materials streams. </li></ul><ul><li>All points in the disposition stream must be fully vetted. </li></ul><ul><li>Low commodity values require elimination of middlemen. </li></ul>
  13. 13. State of the Industry <ul><li>Legal </li></ul><ul><li>US liabilities for data erasure and environmental compliance are increasing. </li></ul><ul><li>Export restrictions on e-waste are non-existent. </li></ul><ul><li>Environmental </li></ul><ul><li>Significant amounts of electronic scrap are in storage—a future liability. </li></ul><ul><li>Asset management and and audit trail are the best environmental protection. </li></ul><ul><li>Social </li></ul><ul><li>Exports of e-waste place workers and environment at risk. </li></ul><ul><li>A significant need still exists in the U.S. to bridge the “digital divide” with older systems. </li></ul><ul><li>Financial </li></ul><ul><li>Equipment values are often exceeded by the cost of disposition. </li></ul><ul><li>Failure to budget for recycling expense leads many to dubious practices. </li></ul>Testimonial “ Redemtech showed the lead in data security… audit trails… and reporting capabilities.” Judi Huitt BP Amoco
  14. 14. The Enterprise Solution to Technology Recycling ™ www. redemtech .com