Copyright 2009 IDC | Reproduction is forbidden unless authorized. All rights reserved.

Greening Your Print Infrastructure

Is Good For BusinessAngèle Boyd

GVP/GM, Imaging/Output Solutions & SMB

©2009 IDC | 2

Agenda

Essential guidance

Why is Printing critical to Green IT– Energy, landfills,

water, trees

Demand drivers– Customers, Wall Street,

Government

What more can the industry do

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Why Is Printing Critical To Green IT?

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1. The Energy Dilemma

Usage declines are mostly due to

–Declining installed base

But, energy costs are increasing

–Driven by supply and demand

This will force change

–Reduce costs further by decreasing power requirements for the device and toner

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0

10,000,000

20,000,000

30,000,000

40,000,000

50,000,000

60,000,000

70,000,000

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Inst

alle

d Pr

inte

rs &

MFP

s

0

1,000,000,000

2,000,000,000

3,000,000,000

4,000,000,000

5,000,000,000

6,000,000,000

7,000,000,000

Tota

l Ene

rgy

Con

umed

/Yea

r (K

W)

U.S. Installed Printers & MFPsTotal Energy (KW) Consumed Per Year

Note: energy use per device decreases each year.

Printer & MFP Energy Consumption Is Declining

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0

10,000,000

20,000,000

30,000,000

40,000,000

50,000,000

60,000,000

70,000,000

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Inst

alle

d Pr

inte

rs &

MFP

s

$0

$100,000,000

$200,000,000

$300,000,000

$400,000,000

$500,000,000

$600,000,000

$700,000,000

Tota

l Ene

rgy

(KW

) Cos

t/Yea

r ($)

U.S. Installed Printers & MFPsTotal Energy (KW) Cost Per Year $

Note: energy use per device decreases each year; cost per KW increases.

But, Printer & MFP Energy Costs Are Increasing

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Cartridges = Huge Oil Consumption

0

50,000,000

100,000,000

150,000,000

200,000,000

250,000,000

300,000,000

350,000,000

400,000,000

450,000,000

500,000,000

Gallons Of Oil Per Year To Mfte. Laser Cartridges, N.A.

Source: lasercartridgeplus.com

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2. The Landfill Problem

Recycling Cartridges and Biodegradability

Huge problems we are barely making a dent in

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70% of cartridges/year are discarded into N.A. landfills.

– 350M cartridges

That's 12.25B pounds of landfill waste each year

– A cartridge is nearly 3.5 pounds of solid waste deposited into a landfill.

A laser cartridge takes up to 450 years to decompose

– Some components up to 1,000 years

Cartridges And Landfills

Source: lasercartridgeplus.com

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3. The Paper Challenge

Paper equals Trees, lots of Trees!

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179,964,000 trees*were consumed in 2008

Paper = Trees

– For 1.5T pages output on U.S. printers and MFPs

* 1 tree = 16.67 standard office reams of paper (500 sheets each). Source: greenprinter.com

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Paper equals Water, lots of Water!

4. The Paper Challenge

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Paper = Water21.2B to 105.9B gallons of water* were consumed in 2008 to produce 1.5T sheets of paper– Gallons depend on type of

equipment used, what type of paper is made, and basis weight of the sheet, among other things

* It takes 2,000 to 10,000 gallons of water to produce 1 ton of paper (17 trees). Source: wiki.answers.com

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What/Who Is Driving Green Solutions?

TechnologyCustomersWall StreetThe Government

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Information access anywhere anytime, digitally– Smartphones provide information access with less

need for printing– Video conferencing– Digital displays– Kindle book reader– Cloud for document storage– Scanning– Wireless access to printers

means fewer printers

But, are these digital alternatives any greener!!

Technologies Driving Green Print Behavior

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Twenty-somethings prefer not to print

Corporate RFPs include sustainability requirements

"From Starbucks to Nike, Business Asks for Green Legislation." blogs.harvardbusiness.org, 12/5/08

Customers' Desire To Be Green Is On The Rise

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0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Veryimportant=5

4 3 2 Not at allimportant=1

Don't know

Importance 9/08

Importance 9/07

U.S. respondents, 2007 n=292, 2008 n=300

Source: IDC Green IT survey, September 2007 and 2008

Q. How important to your senior management is the goal of reducing your organization's environmental impact through Green IT initiatives and policies?

Green IT Importance To Senior Management Has Shot Up, 2008 vs. 2007

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Companies Who Have Or Will Have a "Green" Policy for Hardcopy Devices

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

% Saying Yes

Source: IDC Green IT survey, 2007

N=386

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0%

10%

20%

30%

40%

50%

60%

70%

Total n=300

Checklist features - 2-sided printing, powerconsump., ability to print on recycled paper,ability to recycle the ink/toner cartridges,etc.

Employees required to use 2-sided printing,use recycled paper, etc.

Requirement to recycle ink/toner cartridges

The brands we buy/will buy

Reduction in the no. of HC devices allowedto acquire or reduction in ratio of HC devicesto employees

Source: IDC Green IT survey, September 2008

% respondents saying yes

Customer Green Policies Are Impacting Printer/MFP Purchasing And Behavior

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0%

10%

20%

30%

40%

50%

60%

70%

80%

Currently Have Or In Process

2-sided printing/copying to reduce paper usage

Printer/copier optimized for recycled paper

Scan to email functionality versus a faxing function to reducepaper usage* 10% energy consumption reduction

Refillable ink/toner cartridges

* Partake community used cartridge pick-up/refill

20% energy consumption reduction

90% re-usable/recycled cartridge parts from mftrs.

* Certif. by Energy Star, Blue Angel, Black Swan, otherreg'l/nat'l energy agencySoftware to auto-fit web pages to standard office paper &eliminate trailing pages* N-Up printing to reduce paper usage

Printer/copier using soy/organic inks/toner

Source: IDC Green IT survey, September 2008

U.S. respondents, n=300

% respondents

* "Currently have" mention rates for these are highest in the mid-market and large companies,(100-999 and 1000+ emp).

Green Printing Policy Components – Focus Is Paper Reduction, Scanning, Remanufactured Cartridges

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The Government & Wall Street Will Drive Solutions

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The Government & Wall Street Will Force Solutions

"Congressman Markey laid out his science- and consumer-based vision for climate legislation…"

markey.house.gov/ 5/28/08

"U.S. institutional investors sign pact urging Congress to enact green legislation"

Boston Globe, 3/20/07

"China to give Green legislation more teeth"Worldwatch Institute, 8/28/07

"Technology Legislation: 2008 Bills and Their Potential IT Impact .... Green IT and Web 2.0 Shape 2008 IT Trends"

www.govtech.com

CA, CO, FL, and SC made state legislation news in 2008

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What More Can The Industry Do?

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Starts With…..Accelerating customers' behavior change– Duplex print as factory default– Recycling incentives for cartridges

and paper– Pull printing/secure print feature

usage– Scheduled automatic power-down

times– Scan-to email/repository – A4 where A3 is not needed

Police thyself before the government and customers do…

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Continues With…Embracing and investing in less-paper technologies– Video conferencing

– Digital displays

– Smartphones

– Kindle book reader

– Cloud for document storage and document accounting

– Scanning

– Wireless printer access

But wait! Are they any Greener?

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The Industry Needs To Go Further….

1. Develop Green printing technologies2. Extend Managed Print

Services/Assessments to include carbon footprint

3. Develop industry standards to enable customers and the channel to consistently and reliably evaluate Manufacturer green claims

Three Avenues To Pursue

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The Industry Needs To Go Further….Three Avenues To Pursue

1. Develop Green printing technologies– Bundled software to auto-fit web pages to

standard office paper & eliminate trailing pages

– Lower-energy devices, lower-energy toner, soy ink

– Separate drum and toner

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The Industry Needs To Go Further….Three Avenues To Pursue

2. Extend Managed Print Services/Assessments– Assess information-access print alternatives for

• Costs• Productivity AND • Carbon footprint

– MPS tools need to manage and balance imaging/printing’s• Costs• Productivity AND • Carbon footprint

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MPS Tools Must Track/Balance Costs, Productivity AND Carbon Footprint

$0.00

$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

$70.00

$80.00

$90.00

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Inkjet

B/W Laser Printer

B/W Laser MFP

Color LaserPrinter

Color Laser MFP

Energy (KW)Cost/Year/Device

Poorly done consolidation increases carbon footprint (higher-end devices use more energy)

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0

10

20

30

40

50

60

Inkjet Fax Machines

Pers.Mono

Lsr.Ptrs.

Pers.Mono

Lsr.MFPs

Pers.Mono

Lsr.Cprs.

Pers.Col.

Lsr.Ptrs.

Pers.Col.

Lsr.MFPs

Wkgrp.Mono

Lsr. Ptrs.

Wkgrp.Mono

Lsr.MFPs

Wkgrp.Mono

Lsr.Cprs.

Wkgrp.Col.

Lsr.Ptrs.

Wkgrp.Col.

Lsr.MFPs

IncreaseDecreaseSameDon't know

Source: IDC HCP QuickPoll #2, September, 2008n=224

Because….Hardcopy-Device Purchasing Trend Favors Higher-Energy Workgroup Devices (Color And Mono)

Will your organization's hardcopy hardware acquisitions increase, decrease, or remain the same for the following products this CY compared to last?

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The Industry Needs To Go Further…Three Avenues To Pursue

3. Industry standards to enable customers and channels to reliably and consistently evaluate Manufacturer green claims– Embrace current standards

• ISO14001 for manufacturing

– Develop standards• Consistent CO2 measurement• Recycling/disposal• Overall manufacturer green rating

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STEP ONE: The first step toward receiving G.R.A.D.E. Certification is to fill out a preliminary questionnaire. This questionnaire helps IDC determine your organization pre-qualifies for the certification. It is the first step before a more in depth analysis is conducted. After the completed survey is returned you will receive feedback regarding the next step. In the event that you meet the preliminary criteria, we will move to the second step as described below. If you do not pre-qualify, a brief written assessment will be made and specific areas that need your focus will be brought to your attention. Upon adjusting your practices, you will be eligible for another review.

STEP TWO: The second step involves direct analyst' engagements through a more in depth assessment across more than 30 variables to determine if you qualify for G.R.A.D.E. Certification. As part of this process a series of interviews will be conducted as well as onsite visits of your facilities. Candidate companies will be required to cover analyst travel and assessment fees. In the event that your organization does not meet the minimum criteria you will be given the opportunity to evolve your existing process to meet the criteria.

STEP THREE: If your organization qualifies for G.R.A.D.E. Certification, you will be incorporated into IDC's database of certified providers. You will also have the option of purchasing a marketing package to leverage the certification. The package includes unlimited use of the logo for one year and a brief company profile including web rights and hard copies written by an IDC analyst highlighting your company's attributes.

For an initial consultation, please contact: Jon Guloyan at jguloyan@idc.com - Phone: 508.935-4296

IDC G.R.A.D.E. Certification Green Recycling and Asset Disposal for the Enterprise

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Essential Guidance

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0%

10%

20%

30%

40%

50%

60%

70%

% Respondents with 4 or 5 rating on 1-5scale 5=Very Likely and 1=Not Likely At All

* Switch HC brands for greater compliancew/ Green policies

Pay 10% price premium for hardcopy deviceor supplies reflecting Green policy

Pay 11-20% price premium for Green-enabled IT

Pay HC mftr. ~$25/100 employees perlocation for environmental assessment oforganization's asset utilization to reduce orrebalance fleetPay 21-30% price premium for Green-enabled IT

Pay >30% price premium for Green-enabledIT

Source: IDC Green IT survey, September 2008U.S. respondents, n=300* Mention rates for this is highest in small companies. All other rates are higher in the mid-market and large companies. (100-999/1k+ emp).

Customers Are Ready – Substantial Share Willing To Switch Brands, Pay A Premium, Buy Green Assessment Service

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Making The Biggest Green Impact

ImpactAdoptionGreen Lever

50% paper reduction saves 60M trees/year & 11B-53B gallons of water

ModerateDuplex print

10% less energy saves 576M KW/yearLowLower energy devices

and toner

10% less energy saves 576 KW/yearLowAuto power-down

10% more recycling reduces landfills by 1.2B pounds/yearModerateRecycling cartridges

Mild-moderate paper reductionLowCloud for document storage & document accounting

Priceless!HighCustomer goodwill and loyalty

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Contact Information

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