Green-IT Governance : the sustainable pair

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T O D O Green-IT Governance: An introduction By . Your Partner in Green-IT & sustainable business strategy

description

As invited lecturer @ Jönköping International Business School, I've tried to explain how both the concepts of governance and green-it form together the future for a more sustainable world.

Transcript of Green-IT Governance : the sustainable pair

Page 1: Green-IT Governance : the sustainable pair

TO DO

Green-IT Governance:

An introduction

By .Your Partner in Green-IT

& sustainable business strategy

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Learning Objectives

Understand Green-IT context & CSR

Understand need for Green-IT Governance

Get to know a practical framework (and tool)

Review tow Case Studies Cloud Transportation

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Green-IT

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Green-IT

Understand the general context behind environmental initiatives

Understand the general context of Green-IT

Understand both roles of IT in environmental context

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Environmental Context

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WorldWide Environment

Global warming

Scarcity of various resources

Global financial crisis

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Global warming potential (GWP) - a measure of how much a given mass of greenhouse gas is estimated to contribute to global warming. It is a relative scale which compares the gas in question to that of the same mass of carbon dioxide.

Carbon dioxide equivalent (CDE) and Equivalent carbon dioxide (or CO

2e)

are two related but distinct measures for describing how much global warming a given type and amount of greenhouse gas may cause, using the functionally equivalent amount or concentration of carbon dioxide (CO

2) as the

reference.

CO2e

Global Warning PotentialMeasuring GHG

Greenhouse gases (GHGs)•Water vapor •Carbon dioxide •Methane • xNitrous oxide •Ozone

… How do we compare ?

Need for comparable measurement

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Carbon footprint and offset

The carbon footprint is the amount of GHG emitted by an organization (event, person, product) in CO2e Primary (direct) CF: CO2e directly emitted

by the business, including external energy use;

Secondary CF: Primary CF + C02e from suppliers to customers and disposal.

Carbon offsetting is the compensation of CO2e emission (carbon footprint) by investing in environment friendly projects, research or by buying carbon credits.

Being carbon neutral means you have a zero carbon footprint.

Don’t skip the steps: Less -> Efficient -> Offsetting.

Use a recognized method like WBCSD GHG protocol

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Sourcing Manufacturing Packaging Distribution

and Sales Usage Disposal

Earth impact @ time of buying

The Goods Economy is condemned to be eco-risky.

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Environment:A few figures

How many computers are taken out of circulation yearly?

What is the carbon footprint of a laptop used during business (4 years)? (C to C)

150 millions, but the recycling is increasing:Objectives for EU: - 45% in 2016, - 65% in 2019.

Multiple objectives:To prevent earth pollution (chemicals)To prevent resources scarcity

Sourcing to distribution: 400 kg CO2eUse: 150 kg to 250 kg CO2eRecycling (0 to 75%): 0 to -30 kg CO2e

Depends on where it is used.

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Green I(C)T

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Ever growing use of IT

IT Spending Forecast Summary, Q2 2012 UpdateGartner's current U.S. dollar growth forecast for overall global IT spending in 2012 has been revised up slightly from 2.5% last quarter to 3.0% now.

Ever growing use of IT

Higher and Higher

environmental pressure

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The Chain of Energy Loss

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Conclusions:IT is under Green Pressure

Changing climate forces us to adapt our behavior:

Reduce the CO2 footprint

Reduce waste and pollution

ICT is not an environmentally friendly industry (2-> 3% of global industry footprint)

The changing supply chain

Demand side: green customer and shareholder attitude

Environmentally friendly customers vote with their wallet

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2 facets for Green-IT

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Green-IT : 2 facets

Environmental facts about ICT use

How can IT help ? Improve own IT

environmental footprint Improve others’

environmental footprint

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17A few Green-IT activities

Greening Of IT

Actions taken by an organization to lower IT environmental footprint.

e.g.

Managing electrical power used by IT infrastructure

Managing wastes and consumables used by IT and related systems

Sustainable IT practices

Integrating and aligning with enterprise level carbon management targets and initiatives

Greening By IT

ICT projects and products allowing a reduction of the global environmental footprint.

e.g.

Environmental friendly practices (travel optimization / reduction, ...)

Water optimization in gardening

Integrating building automation & power management systems

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Sustainability… and Smart XXX

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Further than the environment

CSR SD

CSR is embedded in Corporate Sustainability and Sustainable

Development

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General Definition

Smart cities can be identified along six main axes or dimensions: a smart economy smart mobility

a smart environment smart people smart living smart governance

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What is smartness

[latin : intelligare] covers 3 related aspect in modern languages: Learn

Information must be created and shared

Understand People’s skills and abilities must

be fostered Huge sets of data must be valued

Interact Everybody can be a sensor and

capture the information

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Expected capabilities

Growth

Resource efficiency

Limited un-used outcomes (wastes)

Ready for change

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Domains to be tackled

Energy

Waste

Transportation

Neighborhood / involvement

Water

… within a consistent, holistic direction

Need governance approach to create, execute and control set of policies fully aligned with higher level (strategic) directions.

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Our view …

Smart city is the instantiation of Sustainable Development concepts within the City.

… Is it “just” Utopia ?

... It is today a real concern for a lot of local authorities

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Stockolm

http://www.siemens.com/entry/cc/en/greencityindex.htm

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From Smart-Cities to … Smart-X

Smart – … – Infrastructure … – Mobility … – Financing … – Industry … – transportation

… let us create the Smart – Society.

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The Smart – Society

The Smart – Society is the one that is ready to tackle the challenges of the future, (e.g. demographic changes, shortage of raw materials, …).

The Smart Society applies sustainability approach onto various domains with two common denominators : Innovation and the Green-BY IT.

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Green-IT Governance

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Green- IT Governance

Understand general concepts of Governance

Understand Regulations and standards

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Governance 101

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Introduction

Why do we need governance? (institute of governance)

Promotes trust in the organization and its people,

Improves decision-making and the quality of these decisions,

Enhances the perception of the organization among people,

Improves the ability to mitigate risks,

Improves stability (financial, legal, social, industrial).

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Green-IT governance: some concepts

Green IT governance can be defined as an operating model that describes the administration of Green-IT initiatives (…)Green IT governance specifies the decision rights and accountability framework to encourage environmentally desirable behavior in the sourcing, use and disposal of IT. To achieve this, roles, responsibilities, accountability, and control for Green IT initiatives need to be clearly established

(Molla et al. 2009).

Green Governance is a systematic life-cycle to help an organization drive towards overall sustainability.  The life-cycle focuses on continuous improvement and encompasses the following areas: Strategy Risk Management Compliance Management Idea Management Portfolio Management Project Management

(Clark, 2008)

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From TypicalBusiness Goals

ToIT Goals

...To

COBIT Processes

Formal approach33

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Green-IT Governance isnot (solely) an IT matter …

Green-IT Governance

ICTCSR

HR

PROCUREMENTFACILITIES

OPERATIONS ( business)

RISK/LEGAL COMMUNICATION

Finance

Frameworks & Standards Pragmatic implementation BENEFITS

Continuous improvement

Green Initiatives

… and changes behavior for all employees !!

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Internal drivers

Alignment with Goals and objectives of the organization

Efficient ICT to support business services Sustainable culture Better ROI and reduced operational costs Change in behavior and work practices Improved internal and external image Attract and retain employees Optimization of operations Innovation / Risk management

Multiple Green-IT drivers from different departments

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External drivers

Regulations and mandatory reporting Carbon Reporting (CRC), WEEE, RoHs

Customers expectations

Political pressure United Nations, European Union, nations

NGO lobby WWF, Greenpeace, ITU, WRI

Standards, labels, best practices, tools ISO14000, ISO 50000, ISO 26000, EPEAT, Energy Star, EU Code of Conduct, Green Grid

Environmental protection Kyoto protocol

Pressure is increasing.

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Regulatory Environment

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Standards and labels (certificates)

Type

Object Scope

Impact (1)

ISO 14001 STD Environment management system(International Organization for Standardization)

Global CSR

ISO 50001 STD Energy management system(International Organization for Standardization)

Global Facilities

ISO 26000 STD Guidance on social responsibility(International Organization for Standardization)

Global CSR

Energy Star LBL Energy efficiencient for EE equipments(Environment and Energy Agencies US)

Global Proc

EPEAT(IEEE1680)

LBL Environmentally preferable electronics(Green Electronic Council US)

Global Proc

FSC LBL Eco paper (not recycled)(Forest Sterwardship Council US)

Global Proc

LEED LBL Eco efficient buildings(Green Building Council)

US Facilities(1) Most impacted department

3 levels, based on 23 criteria on reduction of environmentally sensitive materials, material selection, design for end of life product, energy conservation, end-of-life management, corporate performance, packaging

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Directives, best practices, reporting and tools

Type

Object Scope Impact (1)

CRC REP Carbon Reporting Commitment(Government)

UK CSR

GRI REP Sustainability reporting framework (3BL)(Global Reporting Initiative)

Global CSR

CoC datacenter BP Datacenter efficiency practices(European Commission)

EU ICT

ADEME BP Code of conduct for greenwashing(Environment and Energy Management Agency)

FR Comm

DC Maturity Model

TL Goals and directions for DC efficiency(Green Grid US)

Global ICT

ODCA BP Guidance CO2 reporting (cloud providers)(Open data Center Alliance)

Global ICT

WEEE DIR Collection, recycling, recovery targets(European Commission)

UE Proc

UNFCCCProtocol NM0350

DIR(BP)

Datacenter efficiency (monetization)(UN Framework Convention on Climate Change + Power Assure and Carbonomics)

Global ICT

Into force in 2013

NEW AND HOTThe methodology will help data centers realize potential energy savings and carbon reduction in areas where CER (Certified Emission Reduction) credits can be traded and sold to buyers in industrialized countries with reduction targets under the Kyoto Protocol. 

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Standards, labels, best practices and tools

Regulation

Voluntary

Financial

impact

Scope

ISO 14001 Global

ISO 50001 Global

Energy Star Global

EU Code of conduct for datacenter

EU

Building regulation (EPC) EU/national

Carbon monitoring (CRC) National (UK)

Sustainable ICT specifications (ITU)

Global

In 2020: -20% CO2e in UE (base 1990)

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But all countries don’t have the same maturity

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Governance Wrap-up

Use a framework (internal or external) tailored to your organization that Assesses the As-Is situation Envisions a To-Be situation Helps creating a roadmap Manages the risk Supports the green-IT strategy and

the changes in the organization.

Company goals, firm size, organization structure, performance strategy, environmental impact of industry, environmental strategy, IT infusion, IT diffusion and corporate, IT, CSR governance archetypes are contingency factors.

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A practical Framework

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Thoughts from the real world

Be adaptive to the contingencies of the organization,

Privilege an evolutionary approach (As-Is -> To-Be) vs a revolutionary one.

Look for achievable results, (budget, quality, time)

Build on the people, essential to the infusion of the Green-IT in the whole organization

Look for immediate financial and environmental results (quick wins): Stronger factor for Green-IT!

Use existing standards, tools; don’t reinvent the wheel

Evaluate the risk if the organization does not comply to regulation and mandatory reports

Identify the internal sponsor (IT, CSR, Management)

You will be able to motivate key stakeholders

You will prepare the organization for a shift in attitude: Think at a Change Management process!

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“Exec summary”

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SGM Framework:4 steps

ASSESS

Quick scanDetailed auditsMaturity check

RecommandationsQuick Wins

PLAN IMPLEMENT

Project PlanGreen objectives

KPI definition

StrategicTactical

Operational

Green-IT StrategyRoadmap

Green BSCGreen PPM

Periodic reassessmentRisk mitigation

CommunicationFrom greening OF IT -> Sustainable IT

SUSTAIN

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STO

3 mgt Levels;3 timeframes;

Strategy

Tactics

Operations

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4 pillars and 1 arch

IT/O

rg X

-Fu

sio

n

Cen

tral

ized

IT

De-

Cen

tral

ized

IT

IT L

ifec

ycle

Gre

een

-By

IT

Green-OF IT

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Org / IT x-fusion

This are covers topics that sets the organization in relationship with the IT:

Contingency and Paradigms

Enterprise architecture

SDLC / Bus / IT alignement (effectiveness)

Enterprise governance of IT

IT/O

rg X

-Fu

sio

n

• Gov Paradigm• Entreprise

Architecture• SDLC• Corp gov of IT

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Centralized IT

Removal of unused capacity (disk, servers, …)

Higher T° for DCs …

Facilities

Power

Cooling

Other

Management

IT

Compute + Virtualization

Storage

Network

Other

Covered underLifecycle > Energy Supply

Covered undervarious places of SGM2.0 fw

Cen

tral

ized

IT

• DC Facilities• IT Equipment• Networking• Application

Architecture• Outsourcing

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De-Centralized IT

This area covers any IT device that can be manipulated by the end user. Thus IT-Department cannot claim full control (and hence full responsibility) on those devices. Personal HDs Laptops & desktops Screens Smart Phones & PDAs Printers

De-

Cen

tral

ized

IT

• End-User computing• Mobility• Printing• Departmental

Computing

Sample actions for printers:

double-side

B/W

recycled paper & cartridges

Renewing to Networked MFPs

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IT-Lifecycle

This area covers the various aspects before and after IT-services are created and managed by the IT-department (w/ help of other departments). Retiring unused servers(*)

Re-using servers (internally or externally)

Light-Out Management

IT L

ifec

ycle

• Procurement• Recycling• Disposal• Supplier Mgt• Energy Supply

(*) Watch out !Various aspect (e.g. data privacy, …) must be considered

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Green-By IT

This area covers any aspect of the business (other than processing and storage) where greening can be facilitated by the usage of IT. IT can help actually in enabling Business transformations.

Note that the more IT infused, the easiest it will be to green the organization BY the ICT.

Topics under this area might evolve at the time new innovation comes.

Gre

en-B

y IT

• CSR• CO2 reporting• Green Business• Business

Automation• Business

Optimisation• Tele-Collaboration

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Green-BY opportunities …

35 opportunities have been identified by GeSI ;that should make it possible to reduce by 16 % global industry CO2 footprint.

http://gesi.org/assets/js/lib/tinymce/jscripts/tiny_mce/plugins/ajaxfilemanager/uploaded/SMARTer2020-presentation.pdf

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Case Studies

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Cloud Is it Sustainable ?

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Cloud : just a hype or a real (potential) pain killer ?

IT’s pain points for the organization : Is IT Corp’s core business ? How to guarantee temporary extra power

? Who should host Open Data ? How to foster Open-Innovation ? Do I need to double-invest for BCP/DRP ? How to protect Region’s strategic IP ?

Green-ict.com11/10/2013

Green-IT Conference 2013Sustainable Cloud

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THE solution (?)

• Outsourcing does not relieve from accountability

• Sustainability impact is not that easy (holistic model)

• Risk perception shall vary

• Might lose some independance

Green-ict.com11/10/2013

Green-IT Conference 2013Sustainable Cloud

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Cloud’s general attributes

Shared pysical resources

Abstract Resources

On-demand Provisioning

Elastic Scale

No Up-front Hardware Investment

Utility Consumption and Pricing

Green-ict.com11/10/2013

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Green-IT Conference 2013Sustainable Cloud

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Planet

How to set up free cooling in a hot (and humid) Region ?

How to limit ghost / idle machines

From product delivery model to service model

Green-BY solutionsGeSi says : 16,5 % global GHG.

… Watch out …Networking energySecondary energy

Green-ict.com11/10/2013

Green-IT Conference 2013Sustainable Cloud

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People

Enabler for communities

Foster creation stds and hence make more data available

Makes IT (internal) people closer to actual business

… Watch out …

People side of change

Green-ict.com11/10/2013

Green-IT Conference 2013Sustainable Cloud

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Profit

Limited CapEx

makes it possible for more innovative StartUp to use same power as big players

provides low-cost redundancy and thus improve sustainability

… Watch out …

Budgeting

Green-ict.com11/10/2013

Green-IT Conference 2013Sustainable Cloud

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Accountability

Outsourcing does not relieve from accountability! Make sure you can audit your

provider Identify your part of DC’s

environmental impact Take into consideration the whole

chain Optional backups Networking …

Green-ict.com11/10/2013

Green-IT Conference 2013Sustainable Cloud

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TransportHow can IT help ?

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General Statement

Ahead of the 2-3% of industry footprint direct responsibility, …IT can help global industryto reduce carbon footprint by as much as 16%

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6 domains of industry …

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4 Change levers

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6 Industry domains,4 Levels of action

1,91 GtCO2e

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Transportation:

Service must remain

Main target are inefficiencies… and hence optimization... based on huge data sets Real-time telemetrics

Major opportunities:(>50% transportation potential) Optimization of Logistic nw Telecommuting Ecodriving

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EcoDriving

Eco-logy // Eco-nomy : 8% gain

Delivery needs

Scope definition Embodied truck Energy ?

Measurable effects Energy Consumption from ICT systems Operational fuel consumption Training fuel consumption Reduced refinery use

Side effects Healthier air Private eco-driving

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TeleCommunting

Eco-logy // Well-being

Scope definition Personal device embodied energy

Measurable effects Energy Consumption from ICT systems Reduce private vehicle used Higher private warming …

Side effects Higher quality of life Higher quality of work (isolation) Change in Mgt culture

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Future ?

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The future

Let’s brainstorm together!

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Green-ICT Green-IT Conference Kuala Lumpur 10 October 2012 7474

Your Partner in Green-ITand sustainable business strategy

Thierry Holoffe [email protected] @ThierryHoloffe

Tanguy [email protected]@TanguySwinnen

www.green-ict.com

[email protected]

@Green_ICT_Com

Green-IT Observatory