IT Sustainability: Your Guide To A Greener Tech Future

IT sustainability is a complex topic with nuances that not everyone gets right. 

On the one hand, advancements are enabling companies and individuals to reduce emissions. On the other, massive data centers still rely on fossil fuel energy. Then there’s the alarming situation with metals that pose environmental threats and are rife with human rights abuses. 

That’s not to say that the technology sector doesn’t take sustainability seriously or hasn’t made much progress. Compared to many other sectors, tech companies seemingly value sustainability. But with the climate emergency at our doors, there’s a need for more efforts. 

In this article, we will discuss the following:

• How to understand sustainable IT.
• How to know what it means and why it’s so important.
• How companies and individuals can achieve sustainable IT.

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IT Impact On Environment In Numbers

When we talk about environmental damage, industries like oil and gas, energy, construction, and fashion often face the brunt of blame (and rightly so). But the tech industry isn’t far behind with its carbon emissions contributing to global warming. 

From the materials that go into the batteries that power devices to the electricity they use, IT’s impact on the environment is far-reaching. Waste is another big contributor, as electronics hardly get recycled. 

(Data: source)

According to a Capgemini research report, 85 percent of organizations recycle less than 10 percent of their hardware. The same report also says that data centers use one percent of the world’s energy. This demand for electricity by data centers is only poised to increase as more devices connect and more users generate data. As per one forecast, the demand for networks will rise by over 20 percent by 2030.  

Overall, the tech industry is estimated to contribute one to two percent of global greenhouse gas (GHG) emissions. 

Energy consumption largely contributes to the emissions, particularly energy from non-renewable sources. However, the toxic metals in e-waste are also part of the problem. E-waste is increasing by 2 metric tonnes each year, and the toxic metals and chemicals from this waste pose a great risk to the environment and humans. 

Most of this waste is generated by users and the industry isn’t necessarily dealing with it hands-on. Instead, each year, there are new models of different equipment, whether enterprise hardware or consumer electronics. 

What Is Sustainability In Technology?

Sustainable IT simply refers to technology with minimal negative environmental impact. It encompasses different factions of the IT industry, including design, manufacturing, operations, consumption, and disposal. It refers to everything from the factories that produce hardware to using those devices in offices and homes. 

Also called green IT, sustainable IT essentially considers environmental impact in the technology's design, functionality, and application. Companies that focus on sustainable IT value the environment and aim to mitigate their carbon footprint as much as possible through best practices. 

Fortunately, there’s been a strong focus on sustainability in IT, with many tech companies embracing the concept and mitigating their impact on the environment. For instance, major hardware vendors like Dell, Cisco, and HPE have set ambitious goals to reduce their emissions.

Why Should IT Enterprises Care About Sustainability?

The tech industry’s contributions to global emissions are smaller than those of, say, the fashion industry (10%). So why should the industry care about sustainability and try to reduce its impact even further? 

The tech industry is home to some of the most powerful and wealthiest companies. It somewhat overarches every other industry, as hardware and software help with the operations of businesses in virtually every industry. So, it’s safe to say that any efforts made by tech companies have strong reverberations throughout different industries. 

Here’s why IT enterprise sustainability is so important:

Ethical And Moral Responsibility

Not to sound too extreme, but if there’s no Earth, there wouldn’t be a tech industry. That’s not to say the world is about to end, but the numbers don’t necessarily paint a rosy picture. If the United Nations alarm bells are anything to go by, we’ve entered a stage of climate emergency. 

Simply put, if countries, cities, and companies worldwide don’t make the needed efforts to reduce GHG emissions, global temperatures will rise by 2 degrees Celsius or more by 2050, and the effects will be catastrophic. Extreme weather events will become frequent, and many warmer places will become uninhabitable. 

So when the literal lifeline of the world is hanging in the balance, it’s a moral responsibility of all entities, not just tech, to do their part to stop climate change. 

Compliance With Increasing Regulations

Almost all countries have signed the Paris Agreement, a resolution to achieve net-zero status by 2050 and keep temperature rise well below 2 degrees Celcius. The resolution, initially signed in 2015, has led to countries adopting strict environmental reporting requirements and targeting industries that are big emitters. 

Many environmental regulations exclusively target large corporations and their supply chains, including many tech companies worldwide. So, sustainable IT isn’t optional; it is a regulatory requirement in many parts of the world. 

Companies must do more to curb their carbon emissions as regulations get stricter. 

Economic Opportunities

Going green isn’t just good for the planet; it’s also a great business strategy. With consumer and investor focus moving toward greener products and services, it’s an opportunity for tech companies to explore new opportunities, bring innovative ideas into the market, and profit. 

Existing examples of tech companies have found operational and economic success with green initiatives. From recycling waste to reducing packaging, many companies have found clever ways to reduce their emissions while saving money. 

With research and innovation, IT sustainability can be just as lucrative as it can be impactful for the environment. 

Importance Of Accounting And Reporting

Sustainability in the IT industry hinges on accurate carbon accounting, i.e., the measure of how much emissions their operations and supply chains cause. That calls for adopting widely used frameworks and standards for accounting and reporting. 

While environmental, social, and governance (ESG) reporting isn’t mandatory in the US, many companies do it voluntarily. However, the requirement may exist for companies that conduct business in other regions. For instance, since 2024, non-European companies operating in the European Union must make their ESG reports public. 

ESG reporting can be a way to show stakeholders the progress in efforts to reduce emissions and reach net-zero status. 

But more importantly, carbon accounting is essential for target setting. Without accurate data on energy or fuel consumption, companies can’t set targets on their emissions, making any efforts futile.

This is another area where technology is playing a pivotal role. ESG data software solutions can help companies gather and analyze emissions data and prepare accurate reports on their yearly emissions. That, in turn, can help them set short and long-term targets. 

How to conduct accurate carbon accounting for your company?

• Choose a framework to follow (for example, the GHG Corporate Sustainability framework).
  
  
• Gather data from internal sources.
  
  
• Collect data from partners, suppliers, and other external parties linked to your operations.
  
  
• Choose a viable ESG analytics solution.
  
  
• Prepare a detailed report on different ESG criteria.
  
  
• Use third-party verification to verify the authenticity of data and the accuracy of findings.
  
  
• Set realistic, measurable, and actionable goals for the next year, five-year period, and so on.
  
  
• Create a sustainability policy that aligns with business goals and reflects commitments.
  
  
• Inform stakeholders about the current carbon footprint, targets, and proposed initiatives.

How Can IT Companies Be More Sustainable: Strategies That Work

To reduce their carbon footprint, IT companies must target both direct (Scope 1 and 2) and indirect (Scope 3). Of course, the exact strategy and policy may differ by the size and niche of the company. But generally speaking, there are well-researched ways companies, including those in the tech industry, can bring about positive change and reduce their negative environmental impact. 

Increasing Energy Efficiency And Switching To Renewable Sources

This is a no-brainer, and everyone already knows it. Still, it bears repeating that becoming more energy efficient is the best way to reduce your emissions. But what’s even better is using renewable energy. 

Many hyperscalers like Amazon and Meta have gone sustainable with their data center, relying completely on renewable energy. Other tech companies with significant on-premise infrastructure can move towards investing in similar solutions, getting part or most of their energy from renewable sources. 

But that’s not the only way, as other technologies can help companies with data centers reduce their energy consumption. For instance, technologies like liquid cooling and low-energy servers can significantly reduce the overall energy requirements in a facility. Although controversial, carbon offsets are another plausible strategy to reduce the carbon footprint of energy consumption. 

Promoting Circular Economy With Technology

A circular economy has the potential to reduce its emissions by as much as 49 percent. Tech companies have been at the heart of promoting a circular economy through their efforts to reuse materials and products to elongate their life and prevent them from going to waste. 

Tech companies, especially those that produce or work with hardware, can adopt practices that extend the use of equipment for as long as possible or feasible. Here’s how:

• Designing products with longevity in mind, making them modular for easier upgrades, and promoting recycling initiatives can help extend the lifecycle of electronic devices.
  
  
• Vendors can initiate buyback/resell programs to encourage customers to sell old equipment and sell it to others. 
  
  
• Companies can continue to use the equipment for longer with maintenance, including that from third parties for when manufacturers end support. 
  
  
• Equipment owners can donate legacy appliances to smaller companies or non-profit organizations. 

At PivIT, we’ve always been big fans of the potential of a circular economy and have been pushing for it with our buyback program. We buy used equipment from businesses, refurbish it, and sell it to others, ensuring it stays in use for as long as possible. 

Waste Reduction And Safe Disposal

Tech companies can significantly reduce their emissions by focusing on waste reduction and safe disposal practices. One key strategy involves minimizing electronic e-waste generated during device production and disposal.

Similarly, sustainable packaging practices can minimize packaging waste. These practices include using eco-friendly materials and optimizing packaging design to reduce environmental impact.

Safe disposal of electronic waste is equally critical to reducing emissions. Tech companies can partner with certified e-waste recyclers to ensure that end-of-life products are handled responsibly. This involves recovering valuable materials from old devices while safely disposing of hazardous components so they don’t end up in the environment. 

Adopt And Encourage A Hybrid/Remote Work Model

COVID-19 may have kicked in the hybrid and remote work era, but it’s very much here to stay and has environmental benefits. The gas employees spend commuting to work is a component of the company’s emissions. Shifting to a hybrid or remote work model can eliminate those emissions. 

Tech companies, in particular, were early adopters of the hybrid work model and continue to use it. This model can be applied throughout the organization. The impact on emissions from this move can be significant for large companies. Yes, it may be hard to determine how much emissions that may have saved, but it does help. 

Plus, the hybrid and remote work model is very popular with employees.

Go Green 

IT sustainability is crucial, and IT and sustainability must go hand in hand if we want a future without climate catastrophes. It’s in the interest of tech companies, regardless of their size or niche, to work on reducing their carbon footprint. 

Adopting sustainable practices early on, analyzing your current carbon footprint, and setting goals for the future can put you on the right track. 

At PivIT, IT sustainability isn’t an afterthought; it’s at our very core. Our services are designed to help businesses take a greener path, whether procuring energy-efficient servers, extending refresh cycles, reselling legacy equipment, or IT asset disposal. 

Stuck in a Refresh Cycle Dictated by your OEM?

FAQs

Why is sustainability important?

Sustainability is crucial because it ensures the responsible use of resources to meet present needs without compromising the ability of future generations to meet their own needs. 

It addresses environmental, social, and economic concerns, to help safeguard the planet, support social well-being, and promote economic stability in the long term.

What is sustainability reporting?

Sustainability reporting involves the transparent communication of an organization's environmental, social, and governance (ESG) performance and impacts. It goes beyond financial reporting, providing stakeholders with information on the company's sustainability initiatives, goals, achievements, and challenges. 

How is sustainability measured?

Sustainability is measured through various key performance indicators (KPIs) across environmental, social, and governance dimensions. Environmental metrics may include carbon footprint, energy consumption, and waste generation. 

Sustainability measurement involves tracking these indicators over time to assess progress, set targets, and show the organization's commitment to a sustainable and responsible business model.