The Impact of Macro Trends on IT Asset Disposition (ITAD)

CIO Review Europe | Tuesday, July 05, 2022

Programs suitable for managing hyper-scale lifecycle management need to be in the right places so that companies can spin up solutions quickly.

FREMONT, CA: Today's data centres are required to manage huge, intricate, and varied workloads to maintain the continuity of day-to-day operations and global commerce. An estimated 2.9 billion regular Facebook users worldwide were impacted by the application's 2021 outage. For operators of data centres, preventing outages is a crucial strategic priority. A few minutes of Instagram being down would have a different effect on a data centre that manages military finances or satellites.

Operators of data centres require ITAD businesses that innovate at the same rate. For businesses to quickly spin up solutions, programmes suited for handling hyper-scale lifecycle management need to be in the appropriate locations.

Many chip manufacturing operations briefly shut down as the COVID-19 epidemic caused the entire planet to shut down. The demand for consumer electronics surged globally due to work-from-home orders, and data centres needed more processors as a result of cloud-based collaboration services like Zoom and Microsoft Teams. Electronics are now less readily available as a result of subsequent supply shortages, which are still having an effect on other businesses along global supply chains. Although some leading companies in the sector have made considerable investments to enhance capacity as semiconductor manufacturing is beginning to recover, there is still a shortage of supply due to rising demand. Increased demand for used data centres and office IT equipment is a direct result of the restricted supply of new products. Chips are among the parts and components in high demand as supply chains for manufacturing and repair services expand. The need for post-consumer recycled materials grows as the demand for commodity resources necessary for semiconductor fabrication rises. This is good news for the ITAD and recycling industries, which are supplying refurbished products, components, and recycled materials into the supply chains of hyper-scale, corporate, and manufacturing companies. Asset redeployment increases value return and integrates with broader business sustainability goals.

Businesses are looking for supply chain partners that can help them achieve their sustainability goals as the issue continues to rise on the corporate agenda. An electronics circular economy that is more sustainable relies on repurposing and reuse. AWS and Google, two hyper-scale data centre operators, signed the Climate Neutral Data Center Pact in 2021, pledging to uphold strict standards for circular economy activities and to analyse all of their spent server equipment for reuse, repair, or recycling. Organizations are increasingly opting for programmes that prioritise optimum reuse and demand high standards of material recovery, which has increased the need for redeployment and reuse choices. Organizations desire thorough reporting demonstrating the carbon emissions averted by their reuse and recycling efforts, together with sophisticated lifecycle management strategies for their equipment.

Numerous studies have shown that organisations that embrace strong environmental, social, and corporate governance (ESG) practices outperform their contemporaries. Data explicitly shows consumers like businesses that are considered to be doing well since it promotes risk management, lowers costs, fosters innovation, and boosts financial success. Globally, more stringent ESG regulations are evolving, including tighter safeguards against modern slavery and human trafficking and a greater focus on taxonomies to create universal metrics for sustainability. Companies must also be auditable and open with their operations, supplier chains, and finances due to rising public disclosure requirements. When it comes to these ESG commitments, principles, and deliverables, responsible enterprises expect their ITAD and recycling partners to be peers of their suppliers and supply chain partners.

Check Out This : Semiconductor Review 

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