In my last blog post, I provided a high level summary of key findings from the recent market research study we conducted for Arrow Electronics on the topic of IT Asset Disposition Trends. Now that I’ve piqued your interest, I thought I’d share five important data points from the survey results:
- 9 out of 10 companies in 2014 have a formal end-of-life ITAD strategy
- Nearly 2 out of 3 companies surveyed choose to have a 3rd party service provider manage their end-of-life assets
- The most important factors in selecting a 3rd party service provider are adoption of compliance standards, well documented chain of custody, and high quality reporting
- 95% of companies feel that R2 and/or e-Stewards are the most important environmental standards related to ITAD
- Nearly 9 out of 10 companies feel that R2 and e-Stewards should be combined into a single standard
These findings validate the fact the ITAD has gained increased attention among not only IT Managers but C-suite executives as well. However, these findings reveal that most companies do not view ITAD as a core competency. Instead they choose to outsource it to 3rd Party Service providers. This explains the increased level of competition within the ITAD market as more and more companies enter this space. It is not just start-up specialized ITAD vendors that are pursing this opportunity but well established IT Service providers and distributors like Arrow Electronics who view ITAD as a natural extension of their product and service offerings.
Given the large playing field of competitors, end-customers are becoming increasingly selective about who they choose to conduct business with. Among the most important factors are compliance standards, documented chain of custody, and IT reporting and analytics. It is interesting that while R2 and e-Stewards are perceived as the most important environmental standards, an overwhelming majority of end-customers believe that they should be combined into one, single standard. This suggests that these standards are used interchangeably by end-customers. Possessing one or both of these industry standards is simply not enough for an ITAD service provider to differentiate itself in the marketplace. While many companies can lay claim to a well-documented chain of custody and superior reporting capabilities, we believe that its additional industry standards such as RIOS, ADISA, NIST, and knowledge of best practices to minimize risk, reduce waste, and maximize recovery values that set one ITAD vendor apart from one another. If you haven’t read the Arrow IT Asset Disposition Trends Report, we suggest you obtain a copy, click here. To discuss the implications of this report on your company or business, feel free to schedule a free 30-minute strategy session with us today.