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Does Green IT make business sense?
Finding the right inflection points for “green” change is key for business success By Nagaraj Bhat, Director, Global Information Services, Applied Materials India , March 24, 2010
Green IT is the idea that IT organizations can and should look at practices that are environmentally friendly. Rising energy costs and recent legislation surrounding energy efficiency, toxic materials and greenhouse gases in different parts of the world are prompting IT leaders to pay more attention to Green IT.

Green IT vendors and technology providers have been aggressively promoting the concept. However, in order for Green IT to make business sense, the initiative must be environmentally effective and economically efficient. Many IT managers wonder if this is hype around “Eco Friendliness” or do Green IT benefits include potential cost savings and improved financial performance. Ultimately, it is the return on investment (ROI) that drives the technology decision.

Over the last year, many end-user IT organizations have tried to leverage Green IT concepts to deliver value to the business. In fact, Green IT has become an excellent opportunity for IT organizations to be role models for other functions in the company. By incorporating Green IT methods, IT can transform from a service organization into an enabler of business strategy and contributor to business results, including serving as enablers of Green business opportunities.

Getting Started
In many organizations, Green IT typically starts as a project, often focusing on the data center with server virtualization and consolidation being the priorities. This is partly due to the quick ROI that can be delivered in these initiatives.

Green IT stretches beyond data center optimization of course to unified communications, end-user computing and every part of the IT Infrastructure. It is about managing all of our projects and services mindful of energy and environmental impact. It must encompass our supplier relationships, roadmaps and technology lifecycle.

Long term, Green IT is not a project that has a specific end date, but a program that will need to continue over the years to unlock additional opportunities. IT organizations will have more success if Green IT strategies are a part of standard operating procedures.

Some of the key Green IT strategies include:

#1 Data center Optimization
Improvement in cooling systems, better airflow through hot aisle/cold aisle alignment and self-contained micro-environments can go a long way to reducing energy consumption. In most organizations, the cost of maintaining data center facilities may well be in the facilities budget rather than in IT, so be sure to partner with other stakeholders early and identify goals and metrics that all parties can support.

A reduction in the firm’s electricity bill is usually the most tangible and easiest Green IT goal to calculate. For the data centers, companies should measure the ratio of total power into the data center against the power that gets into the computing systems (the rest goes for auxiliary equipment including power distribution, lighting, cooling etc). The Green Grid Consortium defines this power usage effectiveness (PUE) ratio as PUE = total facility power or IT equipment power. In practice, Green Grid estimates that 77 percent of the total power going to IT equipment is considered as good rating. This is an area where facilities and IT need to team up since the company may need to consider instrumentation of electricity usage.



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