Supply chain News and trends

Apple will use 100% recycled cobalt in batteries by 2025. It already uses large quantities of recycled rare earths and tungsten in products and has begun using AR to support disassembly.

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Despite the common belief that data center operations and the cloud generate information technology’s most significant environmental impacts, the embodied carbon of endpoint devices accounts for nearly half of overall IT greenhouse gas emissions in most enterprises.

As digital business accelerates, the use of corporate endpoints and peripherals continues to grow exponentially. Consequently, managing the environmental sustainability of end-user equipment is becoming a core responsibility and priority for IT leaders.

Yet many of them don’t realize that the decisions they make at every step of the device life cycle have a significant impact on IT sustainability. In addition to supporting corporate environmental, social and governance goals, strategic sustainability decisions can also provide benefits such as cost savings, modernization and infrastructure resilience.

The key to harnessing such benefits is to use the circular economy as a guiding framework for device sustainability. Here are the steps that IT leaders can take to rationalize, retain and restructure the use of devices continually, from procurement though disposal, in a way that equally serves the planet, engages employees and supports the business.

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Circular from the start
Startups have the opportunity to build businesses based around the circular economy from the start of their lifecycle. 

“Startups have the ability to build their businesses from scratch, truly disrupt the status quo and educate both consumers and businesses, in the process”

“Startups play a crucial role in helping the economy transition to the circular economy, because they don’t have the red tape or consumer expectations big tech does,” says Thibaud Hug De Larauze, cofounder and CEO of scaleup Back Market. “They have the ability to build their businesses from scratch, truly disrupt the status quo, and educate both consumers and businesses in the process.”

Back Market, founded in 2014, says it’s now the globe’s biggest online marketplace for refurbished devices and appliances, with over 6m users and over €1bn raised. 

According to figures cited by De Larauze, as much as 70% of existing toxic waste is due to disposed electronics, while only 12.5% is recycled. 

De Larauze says big tech is always looking for the new — offering expensive products that they want consumers to purchase on a yearly, or biennial basis. That creates two problems for customers: affordability and impact on the environment. 

“Refurbished technology can solve both of these problems. Not only are renewed devices much more affordable, they are key to creating a circular economy and drastically reducing the impact of technology on the environment,” says De Laurauze. 

This impact of technology and electronic devices can also be mitigated by renting equipment rather than purchasing it. This is particularly useful for smaller businesses and startups that may not know what equipment they need as they begin their journey. 

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The men said they had been deceived about pay, had their passports confiscated and had been told that they must pay large fines if they wanted to return to Nepal before the end of their contract. They also claimed they were forced to work for up to 14 hours on their feet without adequate rest, and with restricted toilet breaks, in an attempt to settle recruitment fees of up to £1,000 – they said they had to pay this money to secure their jobs

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Information and communications technology, or ICT, can potentially save 1.5 GT of CO2e in the year 2030. That’s fully 2.7 times greater than the full carbon emissions of the UK in 2012, and 37% of the EU’s 2012 emissions. Of course, we know that all those server farms and cell towers use a lot of energy themselves, but according to the report, the ICT emissions overhead is only about 5.3%.

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Humans are facing an existential crisis in climate change. We are also facing a crisis of collective action. As a species, we have every reason to slow the rise of global temperatures, but taking steps to cut carbon emissions is generally not in the short-term interest of individuals, companies, or countries. Where does that leave IT organizations?

IT systems all around the world consume ever-increasing amounts of electric power, making them a critical factor in increasing carbon emissions. Many people in the industry are acutely aware of IT's climate impact and want to see it reduced, but minimizing IT's carbon footprint will entail a cost that many small businesses and multinational corporations are reluctant to bear.

Curious about what might incentivize a shift to greener tech, I spoke to IT leaders who are pushing back on climate change. I found people working at every level of organizational leadership—from the top down to the bottom up—and pursuing a variety of strategies to reduce carbon consumption in company products and business models.

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Sustainable or green IT is not new. In fact, it has been a topic of discussion among IT leaders for decades. But the concept of sustainability in general, which the United Nations defines as “meeting the needs of the present without compromising the ability of future generations to meet their own needs,” is something people and organizations are prioritizing more than ever — and for good reason.

Concerns about the environment and climate change are front and center among world leaders, environmental advocacy groups, and society at large. Corporate executives and boards want their organizations to do their part — or at least be perceived as doing their part — to help.

The push for better environmental, social, and governance (ESG) initiatives has taken a high priority at many organizations, and this encompasses more efficient uses of technology.

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Disruptive technologies and digital infrastructure have the potential to solve some of the world’s most pressing risks and to transform industries. These include safeguarding the planet's soil and water, and improving inequality and education.
This is the main conclusion of the 2017 Global Opportunity Report, released by DNV GL, Sustainia and the United Nations Global Compact. The report also demonstrates the commitment of the global business community towards taking action on the UN Sustainable Development Goals (SDGs) and the 2030 agenda.

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Chinese telecommunication sector is fully integrated into the global supply chain. Among the multinational companies supplied by Chinese telecoms are Alcatel-Lucent and Ericsson, who both produce and sell in the U.S. market. As a result, it is practically impossible to turn away from “Made in China” products. Rather than officially boycott Chinese telecom products or engage in protectionism, the United States could mitigate security threats by adopting an inspection system similar to the United Kingdom’s.

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The deteriorating political situation in the Democratic Republic of Congo (DRC) is likely to fuel stricter regulations on the supply chains of cobalt from the country. The precious mineral is used in the manufacturing of phones, electric cars and laptops. International regulators have recently called for further scrutiny into the supply chain of DRC-sourced cobalt, and this demand is likely to grow louder due to the worsening political situation in the country.

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