These days, there are strict environmental regulations including federal, provincial, and local legislation and numerous fines and penalties that all govern the way you dispose of your electronic waste. Add to this burden the extra costs, security risks, and time and effort involved in asset disposition and you're looking at one hefty undertaking. But it's not all doom and gloom. In fact, with the right disposition strategy, your business could be saving money, reducing risk, and having a positive impact on communities and the environment. By Dave MacDonald, Softchoice

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Thomas Edison once said, "Opportunity is missed by most people because it is dressed in overalls and looks like work."

That pretty much sums up the approach most people take when it comes to disposing of old technology. IT managers probably wish asset disposal was as easy as taking out the garbage - throw it in a bin, drag it to the curb, and let the garbage truck take care of the rest. If only it were that simple.

The Current Situation

The problem with asset disposition is that it can involve a lot of work that doesn't really add value to an organization. In comparison to pressing issues such as network security, rolling out the latest software, or getting the best price for the next order of notebooks, worrying about what to do with outdated hardware is usually at the bottom of the list.

And why not? There's not a lot to be gained, or lost, by spending a lot of time disposing of your assets, right? Wrong.

Laws and policies concerning asset disposal are evolving rapidly too. In Canada, where my company operates, the exporting of electronic goods is a federal matter whereas disposal falls under local and provincial jurisdiction. The industry is guided by the Electronics Product Stewardship Canada (EPSC) - an organization that promotes the harmonization of electronic waste solutions across the country.

The EPSC has recently adopted twelve Canada-wide principles for electronic product stewardship that places much of the responsibility for electronic disposal with manufacturers, not the taxpayers. Many provinces such as British Columbia and Alberta have already started to levy surcharges on consumer electronic goods to help pay for recycling, and other provinces have started to follow suit.

These initiatives come at a very crucial time. Gartner Research estimates that 800 million PCs will be replaced around the world within the next five years, and 374 million of them will likely be dumped in landfills. There will also be one billion PC users worldwide within the next ten years - 22 million in Canada alone - and more than two billion PCs in total. Basic arithmetic suggests that roughly one billion computers could be slated for the dust heap. That's a lot of hardware.

How to Optimize Your Asset Disposition Opportunities

Getting rid of obsolete or excess hardware can be a costly and risk-intensive hassle for any enterprise. The good news is that there are ways to turn the asset disposal process into a simple, repeatable and in some cases profitable experience. There are three main options to consider for a PC at the end of its useful life: resell; re-allocate; and recycle or dispose. Here's how you can maximize the value of each option.

Refurbish and resell your PCs. One person's outdated PC is another person's treasure. You may no longer have use for an obsolete PC but someone else might and that's why you may want to consider reselling as an option. There are many companies with state-of-the art facilities that can refurbish returned assets, ensuring maximum resale value for them in the process. Depending on the state and value of your assets, many companies will not only come and pick up your hardware, but they'll cut you a check for it too.

As a general rule, the shorter you keep PC refresh life cycles, the more costs you can recoup at the end. Organizations selling PCs at 36 months typically recover 3%-5% of the original cost of the PC, but organizations often end up paying 5%-10% of the cost of a PC left beyond 36 months just to have it disposed of properly. Your best bet is to put together a hardware asset management plan so you can forecast future PC purchases, take advantage of volume discount programs, and get the most money back for your old computers.

Re-allocate your PCs to those who need them most. Re-allocating a PC means transferring its use to someone else - whether it's someone on the other side of your office or on the other side of the world. Your fellow employees who use only a few software applications may not need the latest hardware technology, so reassigning them an existing PC could be a cost-saving alternative.

You also have the opportunity to make a real difference for those with little or no access to technology. Consider donating your organization's older PCs to those in your community and around the world who have perhaps never even seen a computer before. International organizations such as Computer Aid, Youth for Technology, or Industry Canada's Computers for Schools program can ensure that your PCs are put to good use. Technology - even older systems - can help reduce the digital divide and enhance education and employment options for people who could really use the help.

Recycle or dispose. Your final option is to simply get rid of old PCs that no longer have any value. This means partnering with a company that will dispose of your assets in a secure method that meets local and federal environmental standards. This task shouldn't be taken lightly. Improper disposition practices can damage the environment if components like batteries, toner, ink, and mercury bulbs aren't handled properly.

Harmful practices can also hurt you in the pocketbook. Under Canada's Environmental Protection Act, illegal exporting of electronic waste can result in fines reaching $300,000 for a summary offence to $1 million and three years in jail for an indictable conviction. Additionally, an organization could potentially face litigation and negative publicity if its hardware or data end up in the wrong hands.

So how do you avoid this? If you lease your equipment, not to worry, the supplier is legally responsible for proper disposal. However, if you own the equipment, it is your responsibility to find an organization that abides by environmental regulations and can dispose of your hardware securely. Ask your provider whether it has a zero-landfill policy and what assurances it can provide that your old PCs won't be sent outside North America. Ask if the firm employs an environmental management system such as ISO 14000 and if it offers a certificate of destruction. Getting the right answers to these questions will ensure your partner is looking out for your best interests.

When You Dispose, Don't be Exposed

Whether you decide to resell, re-allocate or recycle your old PCs or other electronic equipment, make sure your assets don't leave you vulnerable to security leaks. With the increasing data security laws and regulations such as the Personal Information Protection and Electronic Documents Act (PIPEDA), companies are being held more accountable by shareholders, customers and employees for protecting confidential data.

The last thing you want is your personal or financial client information ending up in the wrong hands. According to a Lenovo study, over one-third of business PCs still contain sensitive data when they are discarded. Many companies simply erase data or format the disk on the PC, but deleting files doesn't necessarily mean the information is completely erased. Your best defense is to use a disk sanitizer tool, such as HP's Disk Sanitizer or Lenovo's ThinkVantage Secure Data Disposal. That way, when you're trying to protect the environment by properly disposing of your hardware, you're also protecting your business.

Doing the Right Thing

A lot of people don't think about the end of a PC's life as a time to gain value from it, but choosing the right path for your old hardware can have widespread repercussions on the environment, your community, enterprise security and on your bottom line. Take the time to plan an end-of-life strategy for your technology. With only a little bit of effort, you could be making a real difference.

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David MacDonald is president and CEO of Softchoice, a technology services and solutions provider based in Canada.