Service Matters! ITSM & IT Management

Below are some points that can help in "Green" procurement:

Procure in "Green" manner:

·         Utilizing e-Procurement or e-Supply Chain Management solutions:

E-Procurement solution can be implemented for both internal and external procurement. These kinds of solutions provide users the ability to select required products and services from an online catalog and order them through the system. These systems have workflows within them which automate and speed up the process of approval. This also reduces the usage of paper in the procurement process. In addition, the business benefits that these systems offer are:

ü  Reduction in transaction cost

ü  Increased contract compliance

ü  Improved supplier leverage

A classic example of utilizing information technology for optimizing supply chain is the supply chain model adopted by Wal-Mart long back in late 1990s.

·         Vendor terms & conditions:

Since the procurement process involves both buyer and seller, it is important for both parties to follow eco-friendly practices in order to procure assets in a "Green" manner. The buyer can emphasize the usage of recycled packaging and packing take back arrangements by explicitly mentioning it in the Request for Proposal (RFP) terms & conditions.

Quoting the example of Wal-mart again, the global organization had also taken up an inspirational initiative of giving eco-ratings to the products some time back; thereby, increasing the importance of sustainable practices for its suppliers.

Many hardware vendors have started asset take back programs where the vendor will take back the asset at the end of its useful life. For example, Dell, HP, IBM and Apple are all examples of organizations that offer asset take back programs. Good information about electronic takeback vendors, "Green" design and "Green" procurement tools can be found at the website of electronics takeback coalition.  Organizations can take advantage of such programs to manage assets in the disposal stage of their lifecycle and reduce the cost of recycling or reusing.

Procure "Green" Assets:

While replacing a hardware or component, make sure it is replaced only by an energy efficient component. This will help in increasing the % of energy efficient hardware components in the organization.

The easiest way to procure energy efficient products is to look for certifications like Energy Star or EPEAT. Many hardware manufacturers publish reports about their products' ecological footprint.

Also, investment in thin client technology can be considered for specific business functions and can be done during a normal PCs refresh cycle. Thin clients provide multiple benefits to IT organizations in terms of:

ü  Reduction in energy consumption after replacing the PCs

ü  Utilizing the unused load on servers

ü  Making support and management easier

ü  Lowering costs relating to equipment repairs and support

ü  Enhanced security

However, thin clients are not favorable for all sets of users and conditions and one needs to be mindful of usage requirements and patterns. A few points to be kept in mind while opting for thin clients are: target set of users, processing requirements and available network bandwidth.

Hope you are ready with some "Green" procurement by next Monday when I will be posting thoughts on "Greening" the use phase of IT assets' lifecycle.