Determining the disposition of IT assets (ITAD)

Determining the disposition of IT assets (ITAD) is the act of disposing of IT assets:

In the field of IT asset disposition, reusing, recycling, repurposing, repairing or disposing of unwanted IT equipment in an environmentally and safely responsible manner is termed ITAD. It is possible for an IT organization to dispose of its assets itself or contract out the process to a specialized vendor.

Rather than becoming electronic waste, or e-waste, in a landfill, IT devices can have their internal components recycled. This prevents the environment from being polluted by waste, such as plastics and heavy metals.

Most businesses replace their electronic equipment or hardware on a regular basis, but enterprises with worn-out hardware must determine whether to refurbish, resell, recycle, or dispose of the equipment, depending on the condition. In some cases, technical asset management, procurement, or risk management teams are involved in the disposition process of IT assets. In some cases, an organization may also contract with external companies specializing in ITAD. The data destruction services provided by these companies usually include environmentally friendly e-waste recycling. Vendors in the ITAD business specialize in streamlining the disposal of IT assets for their clients, while minimizing costs and recovering equipment value.

How does ITAD work?

The process is focused on the following:

Information security. In order to ensure that data is thoroughly deleted on old hardware, ITAD providers follow best practices. They securely wipe storage devices.

Devices can be recycled and repurposed. ITAD providers engage in the disposal of various types of used hardware such as desktops, laptops, servers, phones, and tablets. In addition to being harvested and used in other products, RAM sticks and video cards can also be recycled.

Replacing damaged equipment. ITAD services offer organizations the opportunity to repurpose their equipment through hardware repair options.

Organizations can dispose of excess IT equipment by using IT asset disposition companies. IT organizations sell them unneeded hardware and then they attempt to recoup some value from it.

Services typically provided by IT asset disposition vendors include:

• managing hardware assets
• decommissioning data centers
• data destruction
• shredding hard drives
• reconditioning
• repair and return

What are the benefits of IT asset disposition?

E-waste disposal is a bigger and more urgent issue when organizations cycle through IT assets quickly. The disposal of these devices in a landfill may expose the earth to heavy metals, chemicals and other materials that could wreak havoc on the environment. For example, lead may leach into the ground and make water sources contaminated. In order to ensure the proper and secure disposal of e-waste, ITAD providers employ certified recyclers.

The ITAD process is also critical when dealing with data security. When data in a hard drive is not properly deleted when disposed of, for example, data breaches may occur. A data erasure provider will destroy the hardware or degauss it in order to ensure complete data erasure. The degaussing process makes a disk or hard drive unusable by removing its magnetic field electronically. Both methods ensure that all data is permanently erased.

As a result of ITAD, IT organizations can also save money by buying the IT equipment from their customers and refurbishing their older equipment.

What are the factors driving the market in ITAD?

For ITAD businesses, the IT asset disposition market is a secondary IT market where they resell the hardware they've purchased. Different ITAD companies may cooperate with each other to sell equipment within the market. These companies may also directly contact IT organizations.

Arrow ITAD, which has since exited the asset disposition business, was among the most well-known players in the ITAD market. Among others are Ingram Micro Services, ITRenew, Transpere, and Sipi Asset Recovery.

Small and mid-sized businesses can use ITAD services to handle their data deletion processes, as ITAD services handle the process of wiping data completely and securely. An increasing awareness of environmental concerns has also helped to make ITAD more successful.

The global market for ITAD is estimated to be $14.6 billion in 2020, and it is projected to grow to $24.5 billion by 2026, according to a new market study by research firm Global Industry Analysts Inc.

As a result of the COVID-19 pandemic, the ITAD market experienced a decline in growth in 2020 and 2021. During the supply chain disruption, demand for ITAD services such as data destruction, recycling, and asset recovery decreased.

What to look for in an ITAD company:-

IT organizations should choose which IT asset disposition company to work with based on several factors, including:

• Cerffications: By earning certifications through ITAD, businesses can prove that they adhere to industry guidelines for recycling and reusing electronics. The National Association for Information Destruction, for instance, and e-Stewards are examples. Customer trust can also be built through certifications.
• Resiliency: Select ITAD service providers who are committed to environmental sustainability. Whenever possible, IT organizations should assist IT organizations with repurposing, reselling, and recycling hardware. Chemicals that may be harmful to the environment should also be safely disposed of.
• It costs money: ITAD services should be less expensive than handling the disposal of hardware on their own.
• Data security is guaranteed: For data sanitization and security reasons, ITAD services should disclose how they erase data. They should also be able to ensure data erasure in an effective and secure manner.
• Manage the repair process: Additionally, ITAD companies should offer repair services to ensure IT organizations can get the most out of their IT equipment.

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