Technology underpins every aspect of an organisation’s performance and having access to the right digital tools is central to being able to thrive and compete.  

It’s no surprise then that technology is a top strategic business priority, second only to profitable growth, and that global IT spending continues to increase, with investment tipped to exceed $5 trillion in 2024. 

But today, developing an IT procurement strategy is more than just operational. Chief Procurement Officers are being asked to mitigate a complex external environment and consider factors like supply chain resilience and transparency, ESG compliance, and data security, all while driving down costs and improving efficiencies. 

Purchase has power 

The way an organisation procures digital assets can profoundly affect its business outcomes, and savvy procurement executives are favouring alternative, circular technology management models as part of their future-fit digitalisation strategies. 

Circular technology management services, like our Technology Lifecycle Management solution, offer an end-to-end approach to procuring and managing enterprise IT. Instead of owning tech hardware outright, organisations acquire devices through a financial lease contract, which includes additional value-add services, such as an IT asset management platform to track and monitor devices while in use and a secure end-of-contract refurbishment service. 

Unlike traditional cash ownership, these IT lifecycle management models allow organisations to access digital tools that are tailored to their business needs and embed flexibility to scale or change their acquisition strategy. 

Circular technology management solutions make budgeting and renewals predictable through planned monthly payments and a strategic approach to tech management across the IT lifecycle. This predictability is gold; after all, if you can measure and plan for it, you can manage it. 

Reducing supply chain pain 

Procurement teams also have a tremendous opportunity to choose suppliers that embed the circular economy into their operating models. This can help businesses make their operations more sustainable and alleviate the disruption felt throughout the global technology supply chain. 70% of CPOs say that procurement-related risk/supply chain disruption has increased in the past 12 months, as shortages and congestion result in difficulty accessing IT hardware. 

Using a circular technology management provider also reduces the administrative burden of dealing with multiple suppliers across the IT device lifecycle and streamlines the tech procurement process, allowing CPOs and their team to focus on other more strategic areas of their work.  

A circular economy for tech 

As the regulatory margins in which organisations can operate within narrow, enterprises are now required to consider the environmental footprint of the IT device lifecycle and use the full force of their purchase power to make a positive social and environmental impact via their own operations and their supply chain.  

Adopting a circular tech strategy kick starts more sustainable and responsible device lifecycle management practices from the point of procurement because end-of-life refurbishment services are included as part of a single contract. 

Our TLM customer’s end-of-contract devices are securely transported to our state-of-the-art refurbishment centres¹ to be securely wiped, cleaned, and repaired if necessary. These devices are then sold through a network of trusted trading partners and may be purchased by a new secondary user. This process potentially extends the useful life of the device and gives users the opportunity the purchase second-hand tech instead of carbon and resource-intensive new devices. 

These end-of-life services can also minimise data security exposure and General Data Protection Regulation (GDPR) non-compliance for organisations, thanks to tracked data sanitization, which is also embedded as part of the contract. 

A resilient digital future 

As procurement teams collaborate with other departments to design a resilient and future-fit IT procurement strategy, there’s a huge opportunity to make more sustainable and secure tech management business as usual. Circular technology management solutions are a win-win for CPOs focussed on managing risk, minimising supply chain disruption and securing competitive advantage. 

Ready to kick start your IT procurement strategy? Contact us today.  

¹ In some regions devices might be processed by accredited partners 

Legacy tech is a universal issue for all organisations. Believe it or not, 92% of the UK’s financial services companies still rely on legacy tech, but they’re not alone. This issue is becoming a top priority for every business, as rapid progress in Artificial Intelligence (AI) and the decommissioning of MS Windows 10 are expected to spark the biggest refresh of corporate technology in a generation, with over 240 million PCs at risk of becoming e-waste as a result. 

Many companies are turning to IT asset disposition (ITAD) as a quick fix to responsibly manage legacy tech out of the business, but not all ITAD providers have the same credentials.  

Legacy tech as a value generating asset 

For most organisations legacy tech is an inconvenience and it’s not surprising that many organisations are willing to pay an ITAD provider to deal with it. But when you consider that an estimated USD$91billion of economic value was lost in the metal contained in global e-waste generated in 2022 alone, it’s clear decommissioned devices still hold significant value. 

Before choosing an ITAD provider, it’s important to check that they pay market value for used devices that can be reinvested into your digital transformation strategy. 

Due diligence across the lifecycle 

It’s also important your chosen ITAD provider can offer transparency on how end-of-life devices are handled and where they end up. It is estimated that, every year, more than 350,000 metric tonnes of electronic waste are illegally shipped from recycling facilities in the EU to developing countries, where it wreaks environmental havoc.  

With regulatory pressure increasing, organisations must ensure they can track and trace the impact of their enterprise technology across the entire IT device lifecycle, including once it has left the business and is in the hands of ITAD providers. 

Organisations should look for ISO-certified processes to guarantee compliance with international laws, regulations and standards, as well as best-practice handling of data and environmental procedures.  

Protecting company data 

Data security is another consideration for businesses, especially as failing to properly retire old assets containing sensitive data can have significant consequences for organisations and expose businesses to needless and costly security breaches, ransomware attacks, and regulatory sanctions. 

To avoid these risks organisations should only consider IT asset disposition services that guarantee a strict chain of custody, complete audit trail for every device, digital tracking of IT assets, secure data destruction, and environmentally responsible repair and refurbishment.   

A sustainable alternative 

Reputable ITAD providers will offer a secure and sustainable refurbishment programme that prevents used devices ending up as e-waste. 

At BNP Paribas 3 Step IT, we securely transport your legacy tech to our refurbishment centres¹ where we securely erase and refurbish as many devices as possible. These devices are then re-sold through a network of trusted partners and may go on to have a second life with a new user. If devices can’t be completely wiped or are damaged beyond repair, we shred them and recycle the material with our certified recycling partners. 

An end-to-end approach 

Today, corporate responsibility extends across the entire IT device lifecycle and IT asset disposition is a critical consideration as part of every sustainable IT strategy. Leading organisations are embedding end-of-life device management services at the point of procurement as part of a circular technology management solution, ensuring that responsible repair, refurbishment, and re-sale used corporate devices doesn’t become an afterthought. 

At BNP Paribas 3 Step IT, we’re committed to helping organisations no matter where they are in their sustainability journey. For some that’s transitioning to a future-fit solution that embeds a more secure and sustainable approach across the IT device lifecycle, for others it’s about safely and securely managing legacy tech out of the business while maximising its value.  

Need help with your IT asset disposition? Contact us today. 

¹ In some countries assets might be transported and processed by accredited partners