How to successfully procure IT products for the circular economy

New guide: How to procure IT products for the circular economy

Implementing circular IT practices can help reduce environmental risk and save money at the same time. Knowing where to start can be a key challenge for organizations. TCO Development's new guide offers practical advice on procuring IT products that support a circular economy, helping organizations thrive in a sustainable future.

Why circular IT sourcing matters

Circular IT management helps reduce climate impact, e-waste and resource consumption, whilst  saving significant costs. TCO Development’s guide outlines five key steps to successful circular IT procurement,   providing practical advice to purchasers and decision makers. 

Step 1: Partner with sustainability-driven suppliers

Engage in open dialogs, meetings, and requests for information (RFI) to gather information. Clearly communicate your organization's sustainability and circularity ambitions and needs. Specify the sustainability data you require access to ensure transparency and accountability. 

Step 2: Include circular criteria in procurement policies and processes

To enable circular IT management, products must be designed for longevity. Materials and components should be easily accessible and available. 

Step 3: Prioritize durable, high-capacity products 

Adopt a long-term perspective when purchasing IT products. Choose high-performance products with enough capacity to meet the organization's needs for several years. Consider replacing traditional software with cloud-based solutions to reduce performance demands and extend product lifespan. 

Step 4: Embrace the Second-Hand Market 

Maximizing product life is critical for a circular economy. When a product no longer meets the initial user’s needs, it should be redistributed or sold to a second user. Second-hand purchases offer both cost saving and a reduced  sustainability impact.

Step 5: Establish Clear KPIs 

Identifying the right KPIs helps your organization meet legal requirements on sustainability reporting, such as CSRD, and take steps toward meeting internal or external circularity goals. For IT, the negative sustainability impacts are embedded in the products you use. Indirect climate impact (scope 3 emissions) stems from the manufacturing phase. Extending product lifespan directly reduces annual Scope 3 emissions. In addition to product use, track emissions from cloud services and repair activities.

Download the full guide here: https://tcocertified.com/how-to-procure-it-products-for-the-circular-economy/