in now productivity & agility comes in greenfontana/greeninternet/slides/sundeep khisty.pdf ·...

1 / Nov 2008 / EDS INTERNAL

IN NOWPRODUCTIVITY & AGILITY COMES IN GREENSundeep KhistyGreen Practice Leader

Asia Pacific Japan

Nov 2008


Carbon Emissions Management Services (CEMS)

Agenda

• Impact of IT on the environment

•EDS Environmental Framework

•Example of initiatives

•Summary and Q&A



ICT Contributes 2% of the Greenhouse Gases



Result of 40+ Years of Technology Evolution

15M IT

Professionals

13M IT Professionals

10M IT Professionals

6M IT Professional

3M IT

Professionals

1B Microprocessors

Sold

51% of Households w/Computers

8% of Householdsw/Computers

140M Computers

75M Computers

30M Computers

12M Computers

1000 Computers

Dawn Monolithic Decentralized InternetDistributed Agile

30% Write Code

38% Write Code

45% Write Code

53% Write Code

60% Write Code

579B Lines of Code

320B Lines of Code

120B Lines of Code

5B Lines of Code

Source: EDS Fellows



Demand for Resources Is Growing ExponentiallyDrives electricity consumption and Co2 emissions



Electricity driving Costs and Co2 emissions It is significant cost driver to be managedWill differ from organisation to organisation

Source: 451 Group

* This will include lighting, heating, non-IT office equipment, office air conditioning, elevators, heating, catering, security and specialist

industrial equipment.

� Energy bills traditionally account for 10% of IT budgets but soon could account for more than 50% - Gartner

� Energy consumption / energy efficiency was never identified as a business driver for Data Centre facility managers and CIO

�Energy prices are increasing by 20-30% (AFR) and will become the second most expensive line item after labour -Gartner

�A computer left on 24 hours a day will cost you approx AUD 161- 224 in electricity costs a year and dumps approx 680Kg of CO2 into the atmosphere

�The IT and communications industry accounts for 2% of global CO2 emissions. That percentage is about the same as for aviation. (Gartner)



Surging electricity costs

10

10.5

11

11.5

12

12.5

13

13.5

14

2001 2002 2003 2004 2005 2006

Cost Per KW

Source: NSW Independent Pricing and Regulatory Tribunal 2006 report

Is it a strategic commodity?



The asset utilisation challenge…

• Only 5% to 20% server utilization

• 75% to 90% of IT budget spent on supporting existing systems

• Deceleration of speed to market

• Greatly increased utilization rate

• 20-40% TCO savings

• Structured Flexibility and scalability

Impact Desired StateChallenges

• Vastly underutilized assets

• Repetitive labor

• Business rigidities

Manufacturing Distribution Real Estate IT AssetsCall Center

20%

40%

60%

80%

100%

Source: Gartner Group Meta Group Giga

Utilisation Rates

Desired state



The Carbon issue Political – Environmental - Social–Technological Challenge/Opportunity

Investment in low carbon technologies/services and

forward cost curvesGrowth in Compute, Storage and Network resources and

over- provisioning

Expectations from Clients/Business Units/

Shareholders

Carbon Cap and Trade market system by 2010 plus Govt. regulations & compliance

Reputational Risk

Physical Risk

Litigation Risk

Product Risk

Supply Chain

Rising power costs, consumption and

scarcity



Evolution towards a flexible systemEvolution towards a flexible system

Fixed

Variable

CostReduction

HighFixedCost

Variable

EV

EN

TS

Se

ns

e

EV

EN

TS

Sense

EVENTS

Pro

cu

rem

en

t

EVENTS

Re

sp

on

se

Se

ns

e

Re

sp

on

se

Sense

Response

Sense

Response

Mfg/Dist/Sales

Back Office

Mark

etin

g

Development

Maintenance

Infrastructure

Maintenance

Infrastructure

Development

Applications

Business Process Outsourcing

Global Secure Network

Infrastructure

Rigid Agile

70%-80%

Electricity

Electricity



What is EDS Doing ?The EDS on EDS Environmental framework

Energetics &

our carbon footprint

Real Estate

Initiatives

Customer

Service Offerings

Corporate

Responsibility

Reporting

Video Conferencing

& Travel Mgt

EDS Internal

Strategies &

Offerings

EDS ANZ

Intranet siteEmployee

Go For Green

Mailbox

Certifications

Employee offset

contributions

Engaging our people

Quality & Productivity

Green Service Offerings



A&NZ Green initiatives completed to date:

Engage our Communities & People

• Videoconferencing deployed across all 10 major sites in Australia and New Zealand

• End of Life Hardware disposal services for clients and internally

• EDS on EDS - upgrade our systems to more efficient hardware which consumes less power and more computing output).

• MOS –printing initiative in partnership with EDS Agility Alliance partner, Fuji Xerox, EDS centralised and reduced its printer footprint in 2006 by 72%

• Information sessions with the A&NZ sales team & HR team on EDS’ environmental value proposition

• Raised awareness of enhanced recycling programs through regional communications in numerous locations. i.e. 100% co-mingled Recycling Commenced in Melbourne –

• Battery Recycling

• Mobile Phone Muster

• Green Solutions Overviewdeveloped and Sales Animation

• Green Go To Market - Launch of EDS’ eco-friendly value proposition to the ANZ market and explained how EDS can improve our clients’environmental footprint

• Our key messages included: We will reduce our clients IT enabled carbon footprint by up to 40% along with reducing a total cost of ownership by up to 30% by taking them on a journey towards a more eco-friendly and agile future.

• Sales Training sessions across A&NZ

• Green speaking engagements included MIS Green Roundtable at MIS, AMCHAM, CEMG, Fellow Conference (Sydney), AIIA Conference – Sustainable ICT –(Melbourne & Adelaide)

• Create Go for Green Mailbox & Intranet

• Employee Carbon offsetprogram, matched dollar for dollar by EDS

• Participated in the Earth Hourinitiative, switching off over 35,000 lights across A&NZ -followed up with various initiatives to encouraging ongoing participation at the individual level.

• Sponsored Earth Day in A&NZ with television and print advertisements on the National Geographic channel and in other outlets

• COE ‘pop up’ notification requesting employees to turn their equipment power off at the source. Notification activated upon shutting down and restarting of EDS computers.

• Melbourne driven initiatives:

Go for Green Lunch Sessions

(100+ staff)

Go for Green Info Sheet

Communications Program

Engage our Client Engage our Company



Role of IT Service Providers

• Treat climate change as a mainstream business issue and as a business strategy

• Drive higher asset utilisation and productivity

• Make business investment decisions and technology selections that are low in carbon

• Upstream partner and procure from like-minded suppliers with environmental credentials

• Incorporate operational excellence with environmental excellence

• Measure environmental impact with Total Cost of Ownership

• Offset Co2 and mix Black Power with Green Power

• Help clients to reduce their Co2 footprint by providing innovative solutions

• Adhere to compliance requirements and be responsible corporate citizens

• Show transparency through Sustainability Reporting

Take a Low Carbon Route and save



In Summary

— Treat Global warming as a business issue with a holistic approach

— Organisations should know their Co2 Footprint and take steps to reduce it proactively before the legislation and Emission Trading System

— It should improve your efficiency, utilisation of assets, market differentiation and therefore your bottom line

— EDS understands the new challenges of climate change on IT organisations and its comprehensive Offerings will reduce

— Its clients carbon footprint by up to 40%

— Along with reduction of total cost of ownership by up to 30%

— Don’t wait, Act Now


Sundeep Khisty

EDS

30, Hickson Road

Millers Point, Sydney

(02) 89650991

0401 714 667

EDS and the EDS logo are registered trademarks of Hewlett-Packard Development Company, LP. HP is an equal opportunity employer and values the diversity of its people. ©2008 Hewlett-Packard Development Company, LP.

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