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2: The Basics of Green IT 19

Under current efficiency trends, data center energy consumption may
nearly double by 2011. That is, if no action is taken to “green” data cen-
ters by making them more energy efficient, their peak power consumption
can increase from seven gigawatts today to 12 gigawatts globally. Thus, it
is important for IT managers worldwide to consider seriously how to make
their data centers green by making them more energy efficient.
Energy costs represent the second largest line item associated with
data center operations today, consuming more than ten percent of a typ-
ical enterprise’s IT budget—a number that many experts predict will
rise quickly in just a few years. And make no mistake: These fast-rising
costs are not just the concern of those far-away, energy-guzzling
Americans. Indian data center managers should be equally concerned, if
not more so. Indeed, energy is said to cost 39 percent more in India than
in China—and even more if compared to costs in the United States. As
energy costs continue to rise and power grid capacity is pushed to the
brink, energy provisioning and consumption are emerging as critical
concerns for today’s CIOs, IT administrators, and facility managers.
Experts say the problem needs immediate attention worldwide, espe-
ptg
cially in hot economies like those of China, India, and Brazil.

Product End of Life, Asset Disposal, Procurement Policies,
Supply-Chain Issues

Green IT can give a company a great strategic advantage, making the
IT department competitive in today’s economy. A nimble IT department
can mean a shorter time to market, faster product cycles, and closer com-
munication with your customer base. The IT department can provide the
facilities to store knowledge and disseminates it, properly versioned, to all
the right parties. Service Oriented Architecture (SOA) and business
process redefinition are a part of that more responsive IT department.
Many freight forwarders are working together in industry consortia to
accomplish greater efficiency, and supply-chain management leaders are
contributing their expertise and their pilot budgets. But most experts
agree that ocean shipping and cross-border ground transport have a
decade of work to do before they are as efficient as the freight for-
warders. Driving the forces for cooperation among competitors in the
freight forwarding industry are reduced delivery costs for all of us. There
is also another dimension and driving cost: global warming. Stagnation