IDC Ponders the Economics of Ecology

IDC Ponders the Economics of Ecology

By Greg McNevin

August 14, 2008: With climate change increasingly being seen as an issue that they businesses not only could, but should work to mitigate, IDC is exploring the economy of ecology at its inaugural Asia/Pacific Green IT event.

The firm notes that commercial and government organisations are under increasing pressure to 'go green', and that new research has shown this driver has filtered down into the IT department as organisations question what Green IT can do in an overall 'Green' strategy.

IDC says that there is clear evidence that 'going green' not only saves the planet, it also makes good business sense, and this new event seeks to highlight this.

The 2008 Asia/Pacific Green IT Conference, which is set to be held across 8 major cities in Asia/Pacific, will kick-off in mid-August and will bring industry experts together to share strategic insights into how organisations can reduce the impact of their IT operations on the environment.

In terms of business benefits, IDC says its research reveals that CIOs are deriving tangible returns in terms of reduced cost through streamlining operations, improved asset utilisation, compliance with regulations and, overall, contributing to a socially responsible corporate image.

It says that the starting point for most Green IT initiatives tends to be within the data centre, because this is where most potential energy efficiency gains can be made. However, IDC believes that with all of the current focus on reducing power consumption within the data centre, the role of the distributed office environment within the Green IT ecosystem in Asia/Pacific including Japan (APJ) region has been largely underplayed.

“As with the general Green IT space, the initial focus will be on cost-saving in terms of reducing electricity consumption in the distributed environment,” says Philip Carter, Principal of Green IT Research at IDC Asia/Pacific. “Part of these organisations are beginning to realise that thin client computing and desktop virtualisation can result in significant energy saving at the client level, particularly in large-scale environments.

Carter adds that smaller organisations are also taking advantage of energy management features within existing equipment, as well as setting up 'device switch-off' campaigns for machines when not in use to save even more.

Overall, IDC believes that organisations need to incorporate the notion of the 'Green Office' into their overall Green IT strategy by ensuring a positive business and environmental outcome in three main areas:

  • Electricity Consumption by PCs (desktops and laptops) as well as peripherals (printers and fax machines)
  • IT Asset Disposal & Material Usage (of the IT equipments outlined above)
  • Document Management (specifically in terms of the printing environment)

In terms of IT Asset Disposal, IDC's Asia/Pacific Green Poll shows that organisations are becoming more aware of the need to dispose of IT assets in a more environmentally-friendly way. For example:


Will your organisation be performing a formal assessment of your IT equipment recycling program over the next 12 months?

IDC says that while recycling activities vary by country, it believes that the impact of European Union (EU) legislation, such as the Waste Electrical and Electronic Equipment (WEEE) directive which sets collection, recycling and recovery targets for electrical goods, will set the standard for organisations to aspire to, even if they are not directly required to comply with the regulation.

Similarly, initiatives such as the Electronic Product Environmental Assessment Tool (EPEAT), which is now a US federal government procurement requirement and additional EU legislation in the form of the Restriction on the Use of Certain Hazardous Substances (RoHS) directive, are ensuring organisations assess the extent of potentially toxic materials being used in IT equipment that vendors are bringing to market.

Document management - specifically paper - is also a key factor within the Green Office framework. Paper is easier to recycle than PCs, however, IDC’s poll shows that more organisations are actively recycling PCs and desktops than paper.

“The 'paperless office' is still a long way into the future,” says Carter. “[A]nd until we get there, the benefits of recycling paper cannot be underestimated in terms of ensuring a positive environmental outcome from a Green IT strategy in the office environment.”

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