Ingram Micro | Professional Services
IT Asset Disposition (ITAD)
John Redman | Ingram Micro
Ted Tilden | US Micro
July 19, 2013
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_1
Agenda
■ Introduction to IM Link
■ The ITAD Landscape
■ US Micro and US Micro Services
■ ITAD Best Practices
■ Selling ITAD Services
■ What’s in it for me?
■ IM Link Resources
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_2
NEW! IMLink
service
providers
services
customers
VAR  Resellers  MSP  Vendors
IM Professional Services
Plan
Benchmarking  Assessment 
Planning  Strategy  Design
Certification  Pre-Sales Tech
Support
Implement
Benchmarking  Installation 
Configuration  Tuning  Testing
 System Integration  H/W-S/W
Upgrades  Application
Development  S/W
Customization  Migration
Manage
Support
Benchmarking  Administration 
Asset Management  Systems
Management  Performance
Tuning  Production Control 
Back-up and Archiving 
Replication  Help Desk  Remote
Infrastructure Management 
Relocation
Benchmarking  Warranty  Asset
Disposition  Break-Fix 
Hardware Support  Software
Support  Business Recovery 
Training/Certification  RecyclingRemarketing
< I M L i n k >
IM Reseller Partner Network  IM Vendors Partner Network  Staffing Partners
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121101_3
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_4
Surveying the ITAD landscape

In the news: Data breaches


In 2012, the Identity Theft Resource Center (ITRC) documented 447 breaches in the United States, exposing
17,317,184 records. In the first half of 2013, there have so far been 255 incidents, exposing 6,207,297 records.
Identity Theft Resource Center


In 2011, data breaches in the U.S. cost companies $194.00 per compromised record.

Companies in the computer software, IT and healthcare sectors accounted for 93 percent of the total number of
identities stolen in 2011. Theft or loss was the most frequent cause, across all sectors, accounting for 34.3 percent, or
approximately 18.5 million identities exposed in 2011.






2011 Annual Study – U.S. Cost of a Data Breach, Symantec
In Defense of Data
Through 2016, the financial impact of cybercrime will grow 10 percent per year due to the continuing discovery of new
vulnerabilities.
Gartner Top Predictions for 2012: Control Slips Away
The average value of a lost laptop is $49,246 and the data breach costs represent 80 percent of the total cost of a lost
laptop compared to two percent for replacing the computer. Encryption on average can reduce the cost of a lost laptop
by more than $20,000.
The Billion Dollar Lost Laptop Study, Ponemon Institute and Intel Corp.
Data breaches are attracting greater public and government scrutiny

California strengthened data breach notification requirements

Secure and Fortify Electronic Data Act passed a House subcommittee in July 2011
Surveying the ITAD landscape
6
To Better Understand USM Value Prop, Best to
Understand State of ITAD Industry
Historically, industry dominated by small, regional firms, undercapitalized with very little
infrastructure (site visits should be critical when selecting an ITAD provider)
Recent industry consolidation has been healthy, with Arrow, Avnet and Sims being major acquirers
Historically, very little regulatory oversight and minimal standards and certifications still exist
(example to follow of a “certified” ITAD company)
Most ITAD vendors employ “reverse logistics” to recover customer assets…scary and dangerous!
Most ITAD vendors use the consignment model which shifts financial and legal risk to the end user
customer (most technology assets have easy to determine values at end of life)
Sub-contracting and Out-Sourcing remains rampant, even by the OEM’s (to include the most
critical functions of asset recovery, data sanitization and ultimate recycling)
U.S. Micro offers a broad range of capabilities to provide the most secure, cost-effective and
environmentally responsible disposition process in the industry.
Guaranteed price upfront – no
consignment that erodes equipment
value and adds numerous service fees.
U.S. Micro electronically reconciles
equipment inventory at your location to
account for all assets intended for disposal
and emails a real-time report while onsite.
Only U.S. Micro- trained
employees control every step of
the process – no subcontractors.
You receive a final, system-generated realtime report verifying data sanitization on
each piece of equipment before we leave
your location.
Assets certified as data free –
ONSITE AT YOUR LOCATION.
Even though assets are free of data,
shipping is still handled by highly trained
U.S. Micro employees.
8
Overview of U.S. Micro & U.S. Micro Services
U.S. Micro views reusing IT assets as
the highest form of recycling. We
refurbish approximately 85 percent of
equipment for resale and donation.
U.S. Micro conducts another, final inventory
audit after assets arrive at its facilities to
verify that all equipment originally marked
for disposition is accounted for and to
confirm all data was destroyed.
In addition to reselling equipment, we offer
customers the option to donate a portion of
their refurbished equipment to causes of
their choosing.
U.S. Micro works with customers to establish
Employee Eco-Events to encourage employees
to bring their outdated personal IT assets to
work for proper disposal. This program provides
your employees a valuable service and engages
them in environmental stewardship initiatives.
U.S. Micro has a 100 percent no landfill
policy and offers a full range of recycling
alternatives.
9
U.S. Micro complies with all relevant environmental, health & safety laws and regulations,
including all federal, state, and local requirements. U.S. Micro meets or exceeds R2, ISO
14001, and other such industry guidelines.
Some of our certifications include:







Responsible Recycling (R2) processor vs. collector
ISO 14001:2004
Microsoft Authorized Refurbisher (MAR)
Payment Card Industry (PCI) Data Security Standard compliant
IDC G.R.A.D.E. certified
SOC2-SM certified
Norcross Group quarterly and annual forensic audits
10
Examples of recent large projects
completed by U.S. Micro
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_11
650 branch refresh project with 7 pass D.o.D wipe
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_12
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_13
ITAD Best Practices
1. Ensure data destruction occurs onsite at your location
•
Destroy data before shipping assets offsite
•
Produce verification of data destruction before shipment
•
Avoid vendors who use third party shippers
2. Employ an electronic tracking system
•
Eliminate human error element with electronic tracking system
•
Track each piece of equipment from pick-up to disposition
•
Validate confirmation of the drive wipe before shipment
3. Data wiping is for trained professionals
•
Help establish stronger procedures & controls
•
Eliminate cost of training employees & managing ITAD process
•
Must be bonded, insured vendors with proven track records
4. Remember overlooked devices
•
Copiers, smart phones, fax machines, printers, scanners and USB drives can all hold sensitive
information
ITAD best practices
5. Refurbish & recycle




Know what happens to your IT equipment downstream
Commit to a 100% no landfill policy
Refurbish & resell all viable equipment to extend lifecycle
Partner with a vendor that can process e-waste in-house
6. Maximize your profit
 Negotiate an upfront purchase deal with a qualified vendor
 Avoid consignment models that result in eroded value of equipment & service fees
7. Risk reduction

Do not simply reply on corporate policies/edicts
“We are 100% encrypted.”
“We wipe all data bearing assets ourselves.”
“We use our install vendor to verify encryption or wipe the hard drives.”

Do not rely on non-ITAD vendors and/or internal resources who are typically already strained
15
Potential account qualification questions


















Does your organization purchase or lease new IT hardware? If both, what assets are leased vs. owned?
# of desktop PCs (“DT”) in the organization
# of laptop PCs (“LT) in the organization
# of tablets or smart phones in your organization
How often does the organization refresh their DT and LT?
Does your company encrypt all data bearing assets such as DT, LT or smart phones, etc?
Does the organization have a policy that the asset needs to be wiped before the asset leaves the original user’s location?
If the asset is required to be wiped at the original user’s facility – who wipes it – internal employee or external vendor?
Do you currently use an IT Asset Disposition (“ITAD”) provider? Who is your current ITAD provider?
Is your current ITAD provider either R2 or e-Steward certified? What other certifications do they possess?
Does your current ITAD program provide a positive or negative cash flow for your company?
Does the organization aggregate assets before they are disposed?
If the asset is required to be wiped at the aggregated facility – who wipes it – internal employee or external vendor?
How many total locations (original user locations and aggregated locations)?
For “owned” IT assets, does your current ITAD provider purchase these assets outright, or sell them on consignment over time?
Can the organization provide any historical data (reports) regarding volumes and monies returned/charged for previously disposed IT
assets?
Does your current ITAD vendor provide timely, accurate and auditable reporting, such as ROI, certificates of data destruction and physical
destruction/recycling?
How does your current ITAD vendor handle IT asset recycling for older assets and assets such as CRT monitors, batteries, etc that
require EPA complaint recycling? Specifically, does your ITAD provider maintain physical facilities and machinery to process e-waste inhouse as opposed to contracting this function to downstream vendors?
16
Questions?
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_17
IM Professional Services
IM Link
IM brokered solution provider network
Standard hourly rates for labor services
IT Staffing Services
Permanent or temporary positions
Flexible Staff Augmentation Solutions
Onsite Professional Services
Category and Vendor Specific Services
SKU’s and Customizable SOW’s
3rd Party Warranty Services
Private label product protection
Variety of Coverage Options
IT Asset Disposition Services
Remote System Admin Services
Secure and responsible disposal
Removes liability for information
Save a truck roll
Outsource support and development
System Integration Services
Compliment Cloud Services sales
Customizable to end-user environments
Ingram Micro Training Academy
Classroom or Online – guaranteed to run
Can be resold to end users
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121101_18
Getting Linked Up with IM Link
For access to IM Link…
www.ingrammicrolink.com
For help with professional services sales opportunities, getting
enrolled as a Customer of IM link, or help using IM Link…
ProServices@ingrammicro.com
1 (800) 456-8000 ext 67247
To become an IM Link Service Provider…
IMLink@ingrammicro.com
1 (800) 456-8000 ext 66686 | 1 (800) 235-4128
John.Redman@ingrammicro.com | x67014
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121101_19
Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission.
121202_20