Asset Management: Reuse Hardware and Software

By Megan Santosus

Fri, August 15, 2003CIO One of the hallmarks of this year’s crop of CIO 100 honorees is a commitment to reusing technology assets, be they hardware, software or both. Yet being truly resourceful involves more than saving money. Any organization can reduce expenses or avoid additional purchases by reusing assets it already owns. What sets CIO 100 honorees apart from the merely cost-conscious is their reuse of assets in innovative ways that actually boost revenue, improve service or otherwise enhance how business gets done.

Hardware

Organization: Air Force Flight Test Center
Resourceful reuse of hardware:
Equipment turn-in center
Payoff: $1.7 million saved since 2000
Keeping an accurate inventory of hardware is tough for most organizations, but the IT group at the Air Force Flight Test Center at Edwards Air Force Base in Southern California has two unique challenges. At 470 square miles, Edwards’ hardware assets literally cover a lot of ground. Add to that the constant turnover of military personnel, and no wonder most obsolete hardware used to end up stockpiled in closets, lost or was otherwise unaccounted for.

In October 2000, the newly formed IT group established the IT Turn-In Center, outfitted with a crew of drivers and trucks to go out and pick up old equipment. For the people looking to ditch outdated hardware, a phone call to the center is all it takes. The paperwork—which, before, was more troublesome than dumping old stuff in a closet—is now handled by the center staff, who also evaluate old equipment for reuse, recycling or retirement. To date, the center has reutilized 978 items worth $829,733 and donated 618 items worth $845,198 to schools, according to Sean McMorrow, deputy CIO. For taxpayers, that adds up to a cool $1.7 million saved.

Organization: Merrill Lynch
Resourceful reuse of hardware:Internal online auction
Payoff: $500,000 in savings
Sometimes innovative ideas for reusing IT assets can happen by chance. At Merrill Lynch, the IT group was interested in open-source software. At the same time, the company’s communications department wanted to conduct a fund-raising auction for charity. During a December 2001 meeting between communications and IT, the two groups came up with an idea that would meet both their needs: build a Linux-based internal online auction that would operate much like eBay. MLXchange was born. IT staffers spent 30 business days implementing the system. So far, employees using MLXchange to sell everything from wine to swimming lessons have raised $82,000 for the United Way.

But MLXchange hasn’t been limited to charity efforts. "We always bought new hardware when there was perfectly capable hardware lying around," says John Helm, director of architecture. Using the auction software as a platform, Merrill began to post lists of hardware available for reuse throughout the company. From August 2002 to May 2003, more than $700,000 worth of hardware was traded via MLXchange, resulting in an overall cost avoidance of $500,000.


Loading...
Applications MarketSpace
Practical Approaches for Securing Web Applications
Enterprises understand the importance of securing web applications to protect critical corporate and customer data. What many don't understand, is how to implement a robust process for integrating security and risk management throughout the web application software development lifecycle. Learn more »
An Executive's Guide to Web Application Security
Since so many Web sites contain vulnerabilities, hackers can leverage a relatively simple exploit to gain access to a wealth of sensitive information, such as credit card data, social security numbers and health records. It's more important than ever to examine your Web application security, assess your vulnerability and take action to protect your business. Learn more »
Web Application Vulnerabilities
Security managers may work for midsize or large organizations; they may operate from anywhere on the globe. But inevitably, they share a common goal: to better manage the risks associated with their business infrastructure. Increasingly, Web application security plays a significant role in achieving that goal. Learn more »
Using ERP To Gain Competitive Advantage in a Tough Economy
For midsize enterprises, now is the perfect time to invest in a significant IT expansion - despite the economic climate. Learn more »
Why BI is Ripe For Businesses of Any Size
Oracle's range of offerings to mid-size and emerging companies reflects its vision that BI and EPM solutions can be embraced by companies of all sizes. Learn more »
Oracle Accelerate
Ovum has been following Oracle's Accelerate program over the last couple of years because they thought it is a smart strategy for penetrating the upper mid-market. Learn more »
The New Age of ERP
Not only can small and mid-sized companies reap the renowned ERP benefits of greater agility, increased business visibility and measurable ROI. Learn more »
 
SPONSORED LINKS
 

CRM Built for IT: The Executive Guide to Selecting CRM that Meets IT Needs

ROI of Application Delivery Controllers

White Paper: 4 Customer Service Myths

White Paper: Improve Agility with Operational Responsiveness

Removing the Barriers to IT Governance: How On-Demand Software Changes the Game

Cloud Computing--Latest Buzzword or a Glimpse of the Future?

A Balanced Approach to an Application Development Platform

Adobe® LiveCycle®solutions for intuitive user experience

10 Ways Excel Drives More Value from Your SAP Investment

What's New in SOA Suite 11g?

Unleash the Power of Java with Oracle JRockit Real Time

SOA Best Practices and Design Patterns

Application Grid: Ideal Platform for IT Consolidation

Ready to virtualize tier one applications? Check your virtualization maturity.

Learn how to provide complete Business Service Management.

Increase ROI of Your Application Portfolio

Return on Information: Google Enterprise Search pays you back. Get the facts.

VMware. The source for Business Infrastructure Virtualization.

ShoreTel tells businesses to untangle from competitors' complexity and turn to its brilliantly simple UC solution

See how AT&T can help protect your network.

Streamline IT Costs. Boost Performance with WAN Optimization.

Build your 1st app FREE with Force.com

TDWI checklist helps define data readiness for analytics. Download report.

eZine: A Roadmap to Reducing IT Complexity

Reduce risk, gain agility. See how Progress can help your business.

What's Next for Enterprise Resource Planning?

Gartner Magic Quadrant, Application Delivery Controllers 2009

White Paper: Managed Security for a Not-So-Secure World

SharePoint - Unchecked growth of content is unsustainable.

Focus Under Pressure: Why IT Governance Becomes Mission-Critical in a Down Economy

Should Your Email Live In The Cloud? A Comparative Cost Analysis

Adobe® LiveCycle® solutions for business process automation

Architecting Business Intelligence Applications for Change: The Open Solution

Increase UPS efficiency without sacrificing protection.

Unlocking the Mainframe: Modernizing Legacy System to SOA

State of the Data Integration Market

Enhance Customer Loyalty through Higher Responsiveness

Achieving Business Agility with Application Grid

Seven Ways ITIL Can Help You in an Economic Downturn

Four steps to populate your CMDB.

"Enterprise-Proven" is the Prerequisite for Enterprise SaaS Portal Solutions

AT&T Synaptic Storage as a Service. Expand on demand

Trend Micro ranked #1 against real-world malware. Read more.

Webinar: Jump-start your in-house e-discovery with Ringtail QuickCull from FTI Technology

Top Five CIO Challenges

Read the RSA report: Security for Business Innovation

64-page prescriptive guide to security, compliance, and IT operations.

A Clear View Toward Virtualization

Virtualization Technology as a Business Solution

The rules of infrastructure management just changed.

 
 
RESOURCE CENTER