Case Study: Professional Technical Services

Transcription

1 Sustainability is the Core of the Business for Tech Networks of Boston A Boston-based information technology managed service provider strengthens its financials and improves employee retention through the implementation of sustainable business practices. Abstract Tech Networks of Boston (TNB), is a 47 person professional information services company. It delivers help desk, remote monitoring and maintenance, staff augmentation, onsite support, training and project IT services to non-profits and businesses in the greater Boston area. TNB, founded in 1994, has incorporated the principles of sustainable business from its inception. The company has steadily expanded its sustainability initiatives enabling the firm to broaden the range of services it provides. Company Background Susan Labandibar, founder, president and Chief Mission Officer of Tech Networks Boston converted her environmental activist career into an earth-steward, job creation role with the 1994 launch of TNB. At its inception, TNB saved computers from heading to the landfill by refurbishing them and giving them a second life. The company evolved to bringing energy efficient computers and servers to the market. The company s Earth-PC and Earth-servers used 25-percent less energy than well known commercial computing devices. At the time, energy efficient computing devices was a ground breaking, novel idea that has since taken hold of the entire computer industry. TNB s mission has evolved from salvaging and repurposing old computers to building energy efficient computers. The firm now provides a suite of technology related services aimed at significantly reducing the resource consumption of its clients. TNB s mission has evolved from salvaging and repurposing old computers to building energy efficient computers. The firm now provides a suite of technology related services aimed at significantly reducing the resource consumption of its clients. The suite of services include training customers to optimize compute technology and software; properly manage, store and back-up information; and use IT tools to serve business

2 needs. Through proper use, firms can maximize their technology investments without wasting compute cycles, energy or money by purchasing more equipment than needed. The result is TNB has successfully integrated the financial, environmental and social elements of sustainable practices into its own business as well as its clients businesses, building a resilient company that has prospered for 20 years, establishing a strong competitive position in its local market. The Sustainable Journey Begins at the Core of the Business Remote IT management, the genesis of cloud computing, is designed to reduce, and in some cases eliminate, intensive capital equipment requirements. TNB launched with the development of energy efficient compute devices; it has evolved to a managed services provider. Along the way, the firm adopted sustainable business strategies for itself. Pursuing B-Corp Status In 2013 TNB pursued B-Corporation status. It took three months to accomplish this goal. Along the way to becoming a B-Corp, the company learned it was an industry thought leader on many corporate practices; however, the firm needed to put a stronger emphasis on tracking measurable metrics for energy, waste, and their ecological footprint. The B-Corp status was important to Labandibar and the firm because it identifies TNB as an earth-friendly, mission-based company. The status certifies TNB as an accredited, mission driven organization focused on its own environmental impact as well as its role in driving sustainability within the community. Using EPA-based measures of 5.1 tons of CO 2 per year per vehicle, TNB prevents over 178 tons of carbon dioxide from being released into the atmosphere annually. Focus on Location TNB opened its store on a subway portal. This location enables its customers and prospective customers to visit the shop without having to drive private vehicles. This simple site selection has saved thousands of driving miles. As the company added employees, the location enabled the firm to actively promote its core values through the subsidization of transit passes. Three-quarters of the employees take advantage of the pass, removing more than 35 cars from day-to-day commuting.

3 Using EPA-based measures of 5.1 tons of CO2 per year per vehicle, TNB prevents over 178 tons of carbon dioxide from being released into the atmosphere annually. Employees who need to visit customer sites have TNB s electric vehicle available for use. Waste Management Operational Efficiency Office waste management is an operational cost where TNB has applied disciplined handling. The company has implemented aggressive recycling and composting initiatives. These initiatives have reduced its waste from operations significantly. The City of Boston provides recycle services and TNB uses a 3 rd party for compostable pickup services. The firm has eliminated its landfill-destined waste by over 50 pounds each month. TNB hosts IT Roundtables for nonprofit businesses that often focus on sustainable business practices and opportunities. There is a strict company policy that meat is not served at the roundtables or other company functions. This policy ensures any waste is wholly compostable, supporting one of the firm s core principles of treading lightly. Greening the Company s Headquarters Building One of TNB s most successful sustainability initiatives is the greening of its office. The site is a repurposed building in a neighborhood undergoing revitalization. TNB is working on upgrading its older inefficient florescent lighting to new, 5 th generation florescent lights. The new lights use the existing fixtures and infrastructure which represent up to 80% of a lighting upgrade cost. The new lighting technology enables a faster, more cost effective lighting upgrade; and eliminates adding functional fixtures to the landfill. This change is expected to have a dramatic impact, reducing the firm s energy costs by more than 20-percent, or approximately $75 per month. TNB recognized the electric waste of having a hot water heater at its first facility. The heater was removed. Corporate Culture and Employee Wellbeing From the beginning Labandibar has recognized the value of the firm s employees and This commitment (to human assets) is a key element of a genuinely sustainable business strategy. interns. The hiring process ensures staff additions share the founder s passion for maximizing human and environmental resources. The process has been so successful that the company

4 has spawned several start-ups to further drive specific messages on the value of sustainability in business. These start-ups include: Climate Action Liaison Coalition, works with small and mid-sized businesses to build internal, metrics-based, sustainable businesses; acts as a political advocacy platform; and works to foster strong ties to local communities. Southie Trees, an environmental initiative aimed at preserving and maintaining trees in the South Boston area. Labandibar has a commitment to building a culture that maximizes the value generated by its human assets. This commitment is a key element of a genuinely sustainable business strategy, Labandibar stated. However, the obvious benefits of this type of Labandibar sharing TNB s environmental ideas with other business women. strategy frequently get overlooked or even ignored. Supported employees who feel that they are fairly treated; enjoy their work environment; and appreciate what the firm stands for in its approach to customers, the community in which it works and the natural environment, are more productive in their work and remain with the firm over a longer period. Employee retention is significant in financial terms. The cost of finding, hiring and training professional staff is estimated by human resource management firms to be 1.5 times the base salary of an employee. measure does not include the lost productivity or impact on clientele due to staffing shortages. Sustainability Drives Innovation and New Revenue Opportunities Companies of all sizes are developing new products and services designed to address the world s sustainability challenges and generate new sources of revenue. TNB is a company that has leveraged changes in technology to drive innovation in its business. The firm has gone from being a hardware company to a professional managed services firm. Some hardware and software management tasks are conducted on-site, others via remote capabilities, all dependent on what the customer desires. This

5 In addition, Labandibar noted, Attempts to address climate change have not been effective; we need to evolve our thinking and our approach to action. Businesses in general, and small businesses in particular, are key actors in evolving better awareness and perspective in our communities. Small business, being rooted in a place, and therefore being connected to and a part of a community, can play a key role in improving the quality of awareness of how our approach to commerce impacts the Earth s life support systems. The problem has been cast as business interests vs. environmental interests. However, there are many business leaders who share the values of business for the environment and are ready to be leaders for a new economy. Business leaders have the potential to not just act locally, but also to influence policy Businesses in general, and small businesses in particular, are key actors in evolving better awareness and perspective in our communities. and action at all levels of government. But business leaders are generally too busy running their business to focus much attention on such matters. Small businesses don t realize that they are leaders and that they can be catalysts of change; TNB will help them come to the realization that they are an important part of the solution, and then help direct them into action! Nurturing that process we can be most effective: we are THE organization for local businesses looking to counteract climate change. Sustainability as an Innovation Driver for TNB The Internet, high speed broadband, blade servers, software applications, project management, data encryption and other computing technologies have enabled TNB to increase its professional service offerings. These technologies have also enabled resource sharing, an especially attractive option for businesses that need technology, but are not able to rationalize an IT staff to monitor, manage and maintain the equipment and applications. The evolution of computing technology has enabled TNB to expand its offers, but more importantly, support its small and mid-sized customers technology needs in an optimized manner. No longer does every business need to have its own servers or tiered backup and storage. Through resource sharing, less equipment and energy is used to support a large number of businesses.

6 Green Infrastructure Designs Enhance Business Resiliency and Continuity Technology hiccups happen. Someone loads an application that is not compatible with a core business application and data gets lost or corrupted. Or worse, a virus or malware gets introduced into the company s local area network and a technology nightmare ensues. These types of issues can easily bring a small business to its knees, negatively impacting customers, employees, and the flow of business itself. When small and mid-sized businesses use a managed services firm such as TNB, these types of issues and many others get handed over to the service provider. A business using managed services can focus its efforts and resources on its core competences, not worrying about technology issues. Remotely managed technology can readily be returned to the last backed up state. Natural and manmade disasters happen. These could readily affect business resiliency and continuity. Remote managed services help mitigate the risks associated with these types of disasters. It is because of technology innovations and firms like TNB, that small and mid-sized companies are able to enjoy comparable levels of business resiliency and continuity as large enterprises. Labandibar and her team at TNB have been extremely successful in using its expertise and services to develop innovative solutions that drive energy efficiency, reduced water consumption, improved human resource utilization, and improve the overall planet. Leveraging innovative business opportunities like remote technology management, and spawning new environmentally-centric companies are just a couple of ways in which this professional services company has used sustainability-based strategies to remain competitive and prosperous after 20 years in business. Graham Russell and Martha Young, co-founders of Sustainability4SMEs www. Remote managed services help mitigate the risks associated with these (natural and manmade) types of disasters. Tech Networks of Boston 1 Wadleigh Place Boston, MA (617)