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IT Asset Disposition Trends and Best Practices

Cascade Asset Management’s new research shows an uptick in reuse scenarios, a result of an increase in both volume and average prices paid for resale products. These results reflect a developing trend as more IT companies consider end-of-life care as an important element in the management of their assets.

Key Points

  • 1.3% uptick in reuse of assets as opposed to recycling. 
  • Security continues to be the number one criteria for setting up and managing ITAD programs
  • "Maximizing resale value" also moved up in importance on the priorities list
  • increase in both volume and average prices paid for resale products
  • Respondents expect to spend incrementally more on IT hardware in 2017 as opposed to 2016
  • Respondents also expect a more aggressive refresh rate for both desktops and laptops for 2017 over 2016

I. IT Asset Procurement Trends:

SLIGHT UPTICK IN PROJECTED IT INVESTMENTS

According to the report, the past several years have been marked by a steady investment trend in IT, with indications that respondents are maintaining more regular refresh programs.  While the high levels of a few years ago (when companies were catching up on deferred purchases from the recession) are in the past, a consistent pace is expected to continue. (IA)

MORE AGGRESSIVE REFRESH RATES

Both laptops and desktops are expected to be replaced more quickly in 2017 than in 2016.  (IB)

II. IT Asset Disposition Priorities

MANAGING DATA SECURITY & PRIVACY RISKS REMAINS #1

When setting up and managing an asset disposition program, five criteria rank at the top year after year. While "Managing Data Security & Privacy Risks" remains the highest priority, "Maximizing Resale Value" and "Freeing Up Space" showed increased interest. The authors suggest that as ITAD programs mature, there will be increased focus on value added aspects of such initiatives. (IIA)

INCREASE IN POLICIES ADDRESSING IT ASSET DISPOSAL

There was a significant increase from 2015  to 2016 among respondents reporting official policies for IT asset disposal. The results further support the trend toward robust security protocols including established programs to sanitize data on retired drives.

III. IT Asset Disposition Priorities

76% of responding organizations reported that they use some type of sanitization method on hard drives before they are handed over to ITAD providers for final destruction.  That statistic compares to only 44% in 2015. (IIIA) 

Unfortunately, use of drive formatting (which was not remove data effectively) remains a popular solution at 34%.

THIS SUMMARY IS BASED ON A PROPRIETARY REPORT ISSUED BY CASCADE ASSET MANAGEMENT. 

The report was built from data Cascade compiled through (1) a December 2016 customer survey, (2) an evaluation of more than 200,000 assets processed by Cascade in the past twelve months, and (3) a review of related industry research. 

The full report is available from Cascade Asset Management.

DestructData develops and builds the industry's widest range of industrial data erasure systems, including processing facility erasure systemson-site erasure services appliances and mobile platforms.

Cacade's Asset Management's latest report shows a 1.3% increase in ITAD reuse over recycling measured from 2015 - 2016.

Cacade's Asset Management's latest report shows a 1.3% increase in ITAD reuse over recycling measured from 2015 - 2016.

Chart IA.
Chart IB.
Data Destruction Methods
Format hard drives 34%
Encrypt drives 32%
Wipe w/free software 32%
3-Pass Dod Wipe 36%
1-Pass NIST wipe 3%
Degauss 8%
Shred 8%
Chart IIIA