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When a worldwide tech company needed to decommission retired IT hardware – the case study

An anonymous case study showcasing how GlobeCom helped a worldwide tech company decommission IT hardware from A to Z and then audited every piece of equipment to ensure no remarketing in the dark. Tailormade decommission solutions at GlobeCom – Your one-stop ITAD partner.

Table of Contents

decommission locations

Getting rid of retired IT equipment does not have to be frustrating, especially if you have a reliable ITAD service provider who has both the experience and the know-how of the decommissioning and remarketing processes.

Recently, an established worldwide tech company (from now on referred to as TechX*) needed a reliable partner who could execute the decommissioning process from A to Z. Long term. No questions asked.

*This is an anonymous case study. TechX is a pseudonym used to disguise the identity of GlobeCom’s client. The TechX logo is also fictional and used for decorative purposes only. Any similarity to any other logo used by an existing company is a coincidence.

TechX Need

TechX has colocation servers and networking equipment- strategically placed in data centres across the US and Europe. TechX needed a durable solution to decommission and remove retired IT hardware from their data centres before installing brand new equipment.

techx logo

Need

Find a durable solution to decommission and remove retired IT hardware from their data centres before installing brand new equipment.

At GlobeCom, we are specialists in providing one-stop tailor-made solutions. The Customer-comes-first approach and circular technology are the two driving forces of GlobeCom. This case study shows that.

The Problem

techx logo

Problem

Not having the resources nor the knowledge to remarket retired IT hardware assets.

TechX had purchased brand new IT equipment and did not have the resources or the necessary knowledge to remarket their retired IT hardware assets successfully. Additionally, TechX business goals lie elsewhere, so outsourcing an ITAD service provider made a lot of sense.

TechX Objectives

techx logo

Objectives

Proof of concept decommissioning service by GlobeCom in 10 steps

GlobeCom did a Proof of Concept for TechX at a location in Europe. The decommissioning process that GlobeCom carried out for TechX can be melted down into 10 steps.

10-step-decommission-infographic

Step 1

Understand TechX’s needs

The first step in any collaboration with GlobeCom begins with fully understanding the customers’ needs and challenges. Therefore, the GlobeCom sales & project team sat down with TechX’s representatives at numerous meetings, mapped all TechX’s needs and worked diligently to make a plan of execution that turned out to be this Proof of Concept. Assisting the customer with the project mapping is crucial when working with the GlobeCom team to ensure great collaboration and that every customer need is met with utmost care.

Step 2

Make the preliminary arrangements

All the preliminary arrangements were made, and the execution date was agreed upon, so our customer could arrange for the necessary access tickets on-site at the data centre.

Step 3

GlobeCom IT technicians arriving on the TechX grounds

Two GlobeCom technicians arrived at the agreed-upon time and location and started the decommissioning process immediately. The two technicians were already instructed on what and where to do the decommission. They did not require any help from TechX staff due to their years of experience working with IT hardware.

Step 4

Remove hardware from data centre racks

GlobeCom technicians uninstalled the agreed-upon hardware from the data centre racks, packed the hardware safely on pallets and removed the equipment from the site. All was done within one business day as it was agreed prior.

The GlobeCom staff also brought all the necessary tools, packing material, pallets, etc. – and were, therefore, able to independently do the decommission without any local assistance. Convenient and carefree for TechX.

Step 5

Secure transportation to GlobeCom headquarters

After the decommissioned IT hardware was packed, it was safely transported to GlobeCom’s headquarters in Denmark. GlobeCom had arranged all the necessary safety precautions to avoid any data leakage during the transfer. IT hardware was transported in a sealed and locked truck.

Step 6

IT hardware audit and testing

Upon arrival, our skilled technicians’ audit and test ALL the hardware they brought back. The audit report is meticulously filled out, leaving no blind spots at all. We know exactly what the IT equipment contains, everything from Server CTO, to Processor, Memory Kit, Hard disk Drives, well – everything is pencilled out into the report (showing part numbers, description, and unique list of serial numbers) about all assets.

Step 7

Data erasure

TechX, who is also the owner of the retired IT hardware, instructed GlobeCom to do data erasure on the hard drives that were brought back from the data centre. Therefore, the next important step was to execute hard disk data erasure following the NIST 800-88 rv1 standard. It is the standard that GlobeCom always uses by default for data erasure procedures since NIST 800-88 rv1 is the most common and suggested standard of secure data erasure.

Step 8

Detailed equipment audit & data erasure reporting

GlobeCom insists on delivering detailed audit reports and data erasure reports. In this way, we ensure maximal transparency to our customers.

These reports showed completion of data erasure for every single hard drive including serial numbers. Before moving on to the next step we needed TechX approval of these tamper-proof documents.

Step 9

Remarketing

Once we got TechX approval on the audit reports our sales team was ready to do the remarketing. GlobeCom sales team is very skilled and experienced. In combination with their expertise and the full audit, GlobeCom can ensure our customers get the best market price for their hardware. And so did TechX. The re-marketing process for this IT hardware was done very swift since the equipment had a high demand on the market. That, combined with the knowledge from the sales team and the detailed audit lists, meant that the sales team could optimize as much as possible, on all retired assets.

Step 10

Financial auditing

The final step is financial auditing carried out by GlobeCom CFO. TechX gets a detailed report that consists of

The reporting ends with the settlement at an agreed-upon rate.

One-stop ITAD service that is custom-made, transparent and focuses on the customer’s needs

The above proof of concept is a unique solution that GlobeCom tailormade to fit TechX needs. The customer wanted a swift, care-free settlement, meaning GlobeCom tested, audited, and remarketed all the hardware within 45 days after decommissioning. At GlobeCom, we understand that “one-size-fits-all” is rarely the case. Therefore, for other selected partners, where we also do consignment throughout the year, we can do financial reporting and settlement, i.e., each quarter or year – it completely depends on the customer.

No ”Remarketing in the dark.”

With the remarketing process that GlobeCom offers, there is no “Remarketing in the dark.” The full and comprehensive auditing reports that GlobeCom creates ensure GlobeCom knows the identification numbers and serial numbers from the CTO Server to the Power Supply, which means that the remarketing and value of the equipment is not made on a worst-case scenario but made based on educated knowledge. At GlobeCom, we offer and expect full transparency when working with our partners.

Why is the auditing of equipment so important?

When IT managers worldwide have retired IT hardware they would like to sell, they usually use an IT Broker, IT Reseller, etc., to buy their equipment. However, time is often of the essence for everyone today. IT personnel often have to prioritize their time and the re-sale of retired IT hardware, as in our experience, is often not prioritized. So, when the IT managers offer out their hardware to a select few brokers, they most likely know, for instance, how many servers they have to sell, but they rarely have the time to audit it themselves, providing all the specs to the buyers.

This means that the brokers are setting a buyback price based on a “worst-case scenario,” for instance, assuming that the servers are of a minimum working config and are bidding based on this assumption. What often happens is that the IT manager and IT Broker agree on a buyback price, and that’s it. Then the IT Broker does the audit and finds out that the servers are not minimum config, but they are fully populated with CPUs, memory, hard disk drives, etc.

Now the question is, how many IT managers have received a call from an IT Broker, after they picked up the equipment they already bought and perhaps paid for, saying: “There was a lot more spare parts and power of the servers than we expected, so we would like to pay extra.” Probably very few… This is exactly why, GlobeCom insists on working with full transparency, all the time.

Long-term partners across Europe and USA

The above Proof of Concept was executed to deep contentment for both parties, and today, GlobeCom is doing decommissions in Europe and the United States for this partner. A partner, we look forward to servicing in many years to come.

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