ITAD Explained
IT Asset Disposition, or ITAD, is an industry term and practice built around reusing, recycling, repurposing, or disposing of unwanted electronics. ITAD is performed in a regulated and environmentally conscious way. The global ITAD market was valued at $12 billion in 2017 and projected to more than double that amount by 2025. Data security, information privacy, and environmental protection must all be addressed to safeguard an organization’s reputation and prevent costly fines, ITAD ensures that this happens correctly. The key to successful asset disposition is having a well-defined and documented program in place.
The use of electronic products has grown astronomically in recent years, changing the ways in which individuals communicate, seek information and entertain themselves. With the rate that electronic devices are being cycled through, many do not think twice about throwing away an outdated electronic item. Dropping it in the recycling bin or taking it to a thrift store seem like a simple solution, never to be given another thought. Sadly, these items will likely end up as e-waste, sitting in a landfill for years to come. This is irresponsible and incredibly dangerous for the environment. Without IT Asset Disposition (ITAD), trashed devices remain vulnerable to data breaches, too. Improperly disposing of a device which contains personal information is an unfortunate mistake that can cost one’s identity. ITAD is critical for ensuring that personal and company data do not fall into the wrong hands or end up as e-waste.
Two Major Processes
ITAD involves two main phases when it comes to decommissioning hardware. The first process involves wiping the equipment to remove all asset tags. This incredibly important step ensures that private data cannot be leaked or tied to a specific person or organization anymore. The second phase is determining whether the item should be destroyed, donated, or recycled. Hiring a specialized ITAD vendor is the best way to make certain that e-waste is properly managed.
In today’s post-covid era, corporations heavily rely on IT equipment to operate, many having a methodical replacement cycle for electronic equipment already in place. Oftentimes, though, forgetting to plan for the worn-out hardware. Data wiping processes and equipment refurbishment are laborious tasks, something many businesses do not have time or money for. This is where IT asset disposition services can help.
Businesses should work with external organizations that focus specifically on ITAD. These companies provide secure destruction of data and environmentally friendly e-waste recycling. ITAD vendors specialize in the process of streamlining the disposition of IT assets for their clients, while minimizing costs and potentially recouping equipment value. ITAD providers should meet critical standards for: Data Security, Information Privacy, Environmental Protection, Traceability, Compliance, Redeployment, Remarketing, Recycling, and Circular Economy.
Within the past few years, businesses and consumers have purchased technological devices more frequently as they become rapidly obsolete over short periods of time. ITAD is a market powered by government regulations, which have increased this century with the growth of e-waste and new technology. ITAD services market is projected to double by 2025 because organizations must follow EPA and NIST standards for the disposal of old electronic equipment. Many businesses do not have the time or resources to handle these end-of-life devices internally. Rendering ITAD services invaluable to modern day enterprises.
Consumers Cycling Through Devices at Rapid Speeds
As new-tech is rapidly unfolding and consumers try to keep up, this billion-dollar industry has created a flood of used devices in need of suitable management. According to the U.S. Environmental Protection Agency, “almost 2.4 million tons of electronics were disposed of in 2009, an increase of more than 120 percent from 1999. Of this amount, only 25 percent were collected for recycling. The remaining 75 percent ending up in landfills and incinerators. This includes computers, televisions, stereos, printers, copiers and mobile devices.” A global crisis stemming from statistics like this. The massive amounts of e-waste sitting in landfills are only getting larger.
The manufacturing of electronic devices requires a significant number of resources. Most of these resources including metal, glass, and plastic can be salvaged through recycling. For example, “the production of one desktop computer takes at least 530 pounds of fossil fuels, 48 pounds of chemicals, and 1.5 tons of water. Cell phones are also resource-intensive, composed of precious metals such as silver, gold, palladium and copper.” Recovering these and other materials through recycling uses a small percentage of the fuel needed to drill for new metals, making it far better for the environment.
Finally, the presence of deadly materials in some electronics make safe disposal particularly critical. These chemicals pose risk to human health and the environment when improperly disposed of.
What Electronic Devices does an ITAD Provider Service?
Most electronic devices can be recycled through ITAD. This includes servers, routers, computers, tablets, phones, printers, meters, phone systems, TV’s, gaming machines, solar panels, registers, scanner’s, battery-powered toys, medical and government equipment, smart watches, electrical scrap, and lab equipment. ITAD is applicable to virtually any device that consumers may possess. With new-tech items flooding the market, ITAD services are in high demand.
What is the ITAD Process?
IT asset disposition, or ITAD, has three important functions: securing data, recycling/reusing devices, and repairing hardware. When retired devices no longer have use, and are ready for ITAD services, the hardware still contains personal data, this is where ITAD providers are needed. IT asset disposition vendors typically provide services such as data erasing, hard drive shredding, asset management, refurbishing, repairing, and returning devices. Here is an in-depth look into each step of the ITAD process.
Function # 1: Proper Data Deletion
ITAD providers securely wipe equipment- erasing all data, ensuring privacy and safety for its previous user. ITAD companies then can dispose of any devices that are no longer useful. This would include computers, phones, servers, and tablets to name a few.
There are several methods of data destruction including sanitization, degaussing, and physical destruction (R2:2013 Guidance, section 8.1). ITAD utilizes a specially designed Data Erasure Software. This allows for the complete destruction of data from loose hard drives, storage arrays, and entire storage platforms.
ITAD providers work with clients to determine the best method for removing sensitive information from all data-containing devices. All data sanitization processes must meet the most current NIST standards. Further ensuring client safety, regular sampling of devices are tested by an independent audit to ensure 100% deletion of all digital information. This protects a company’s reputation, maintains consumer confidence, and safeguards confidential information.
Function # 2: Recycling and Reusing Devices
ITAD Recycling has a wide array of environmental benefits. Some of these include reducing the carbon footprint, freeing up space in landfills, and protecting natural resources. A large portion of IT asset disposition involves safely disposing of computer and laptop parts. Some of these parts include servers, hard drives, computer wires, circuit boards, power supplies, monitors, transformers, keyboards, and insulated wires. Cell phones and telecommunication equipment can also be recycled.
After the discarded IT equipment has been sorted, it is harvested for items such as RAM sticks, video cards, and useable metals. These can be collected and reused in other products or recycled. ITAD providers then dispose of numerous types of used IT hardware in an eco-friendly and regulated manner.
Function #3: Repairing Hardware
ITAD companies can help organizations get rid of their excess IT equipment with ease. By offering repair options, organizations can refurbish or resell their equipment. This is mutually beneficial to the client and the ITAD service provider. ITAD services prioritize finding value in the equipment received from clients.
Many ITAD providers have experience in the reselling of refurbished and pre-owned technology. They work with the main technology OEM’s and major service maintenance companies to maximize a return on investment. Additionally, they have experience on handling the parts within devices. With experience, global reach, deep industry contacts, and understanding of the value recovery, ITAD services are incredibly useful to corporations.
Where Do Devices Go After ITAD and what are the benefits?
After ITAD is complete, service providers work with corporations to decide if it makes the most sense to resell devices, recycle the materials, or donate them. IT asset disposition companies work hand-in-hand with businesses to manage every aspect of the ITAD journey.
ITAD has so many benefits, both on an individual and global scale. Companies who utilize ITAD services can promote themselves as ‘Going Green’, this is one of the many perks to partnering with an ITAD service. Another major benefit of utilizing an ITAD service is a businesses ability to uphold their reputation. Improper disposal of e-waste can result in data security breaches. This is not only costly for the company at fault but infuriating for the customer too.
ITAD helps to keep e-waste out of landfills by reusing materials, creating less impact on the environment. Retired electronic devices contain hazardous materials including lead, mercury and other metals, flame retardants and certain phthalates. These harmful substances can seep into the air, water, and soil if disposed of improperly. Even the most modern devices contain toxic materials and heavy metals. Businesses must take responsibility for ensuring their technology doesn’t end up in the wrong place or in the wrong hands.
How Does ITAD Differ from Other Methods of E-Waste Disposal?
ITAD services are highly governed by extensive safety regulations. These rules ensure that IT asset disposition is performed in a way that does not harm humans, wildlife, or the environment. When e-waste is disposed of in an unregulated manner, our wellbeing and the environment are compromised.
Throwing electronic items away in the trash, for example, contributes to a growing electronic waste crisis. In impoverished areas of the world, e-waste is often burned to extract precious metals. By doing this, toxic gases and chemicals are released into the air. These chemicals make their way into soil and water, eventually being ingested by human beings and wildlife. If corporations do not have a plan for their electronic waste, it can be disposed of illegally. ITAD is the only guaranteed solution for the proper disposal of e-waste.
How do Businesses Know That ITAD is the Right Choice for Them?
Business can begin by taking inventory of which electronic assets they have. The next step is to consider the current asset management policy that is already in place. Starting by determining what the current asset environment looks like helps to define which end-of-life process is the best fit for an organization’s needs.
ITAD is a secure and effective way to manage retired electronics. ITAD can be an additional revenue driver for companies, too. Choosing to work with an IT asset disposal company is necessary when:
- Company assets are less than five years old and still function or seem repairable.
- Assets have been used to store sensitive information and need to be properly destroyed.
- Retrieving device-licensed software from old devices appeals to the potential client.
- Receiving a small return on refurbished assets or equipment would be beneficial to the organization.
- Maintaining compliance with industry standards is important to the client.
- Being environmentally conscious aligns with the company’s core values.
ITAD is applicable to businesses of any size and industry. In today’s technological revolution, almost all companies are shifting to a heavier use of IT equipment. As items become obsolete ITAD services are required to decommission these products correctly.
Is ITAD Only Applicable to Large Corporations?
Although the primary function of ITAD services lends itself to companies of any size, consumers can utilize ITAD services, too! Some ITAD providers have cardboard boxes that consumers can purchase to mail in old IT equipment. Consumers can choose the box that is the appropriate size for what needs to be disposed of. The cost of the box is minimal compared to the peace of mind individuals will feel knowing that their data is being properly sanitized.
This is an incredible way that ITAD services can benefit consumers. Although utilizing an ITAD service does have cost involved, it is the only way to ensure that old items do not end up as e-waste or with compromised data. A small price to pay for the health and safety of our ecosystems.
Why is ITAD Vital for IT Lifecycle Management?
While it may be tempting to treat ITAD as an afterthought, it must be a core element of IT lifecycle management. Organizations can get fined heavily for improperly disposing of e-waste. Not only is this damaging to the environment, but it also puts companies at risk of data leaks. It’s critical to be compliant with data privacy laws. Due to increasing regulations on environmental issues, it’s important for all businesses to connect with an ITAD service provider.
Enterprises need to establish an ITAD system for e-waste disposal by developing a partnership with an IT asset disposition service. ITAD centers recycle electronic items or direct them to a certified recycler. An ITAD provider helps a business abide by EPA requirements by issuing a certificate of destruction. This contains a sanitization date with detailed methods and techniques for data deletion. The certificate provides a complete report and lists the original items serial number as well.
Choosing the Right ITAD Provider
Choosing an ITAD provider can feel overwhelming, however, any legitimate ITAD servicing company should adhere to the following critical standards for, data security, information privacy, environmental protection, traceability, compliance, redeployment, remarketing, recycling, and circular economy.
ITAD businesses can earn certifications to show they follow industry standards for best practices in recycling and reusing electronics. Some examples are e-Stewards and the National Association for Information Destruction.
Select an ITAD service provider that is committed to environmental sustainability. ITAD services should cost less than if an organization handled the hardware disposal itself. Providers should disclose how data is erased for data sanitization and security reasons. Guarantee full and secure data erasure should be expected.
Who Are the Top Providers for ITAD Services?
Compliance Standards LLC have announced its 2022 ITAD Vendor Reputation Ratings. These 31 US-based ITAD vendors have been evaluated by gathering feedback from customers. The United States based clients provided their feedback on the disposition or decommissioning, data security, attention to ecological issues, and asset management of their hardware.
Six criteria were used to score the ITAD vendors, resulting in a possible 5-star rating. The categories include:
•Portfolio of service offerings (breadth and depth)
• Quality of work
• Relationship
• Pricing
• Flexibility and customization
• Management Vision
After all feedback was taken into review, the top 5 ITAD Companies were rated:
1. All Green Electronics Recycling: Aliso Viejo, CA: 4.5 stars
2. Cascade Asset Management: Madison, WI: 4.5 stars
3. ERI: Fresno, CA: 4.5 stars
4. Anything IT: North Bergen, NJ: 4.5 stars
5. IBM Global Asset Recovery Services: Armonk, NY: 4.5 stars
The vendors listed above possess a high level of loyalty to customer satisfaction. They have surpassed expectations in one or more of the six attributes. Compliance Standards LLC, “acknowledges ERI as the highest rated vendor for the attribute of ‘Quality of Work.’ Cascade Asset Management rated first among all vendors for the attribute of ‘Strength of Relationship.’ The highest rated vendor for the breadth and depth of their ‘Portfolio of Service Offering’ went to RE-Source Partners. For the attribute of ‘Pricing Perception,’ CWI rated as the top vendor based on its customer feedback. AnythingIT held the first position for ‘Flexibility and Customization.’ It also scored the highest when it comes to ‘Company Vision.’” ITAD services may be similar in nature, but there are some providers that stand out. When researching how to properly dispose of e-waste, choosing a provider who is recognized and awarded for superior business practices is paramount.
