ISS-1 – HP Restricted1

Green Technology Trends, Strategies, and Environmentally Responsible PrintingPennsylvania Digital Government SummitJune 17, 2008

Tara J. Agen Chief of Staff, HP LaserJet Americas Business& HP Environmental Leadership Team Member

Agenda• Problems to Consider • Environmental and Green Trends• Mega Considerations: Energy Efficiency and

Material Impact−Energy Leadership Strategies and Considerations

−Environmentally Responsible Imaging & Printing and HP proof point

• What You Can Consider−How and Who Can Help

• Proof Points on how to green your data center−Highmark

3

The World’s Environmental Issues

Global environmental impact

Limited energy resources

Escalating costs

Organization disruption from limited power

Social accountability

The Energy Problem• Natural gas prices

increased 300% since 1999

• Coal spot market prices increased 100% since 2003

• Oil prices for electric generators increased 50% from 2003 to 2005

• Nuclear uranium prices increased 40% since 2001

Fuels used to generate electricity

Source: Edison Electric Institute, September 2006

Concurrent with increasing electricity costs, server energy

demand doubled from 2000 to 2005*

In the USA, data centers used 61 billion kilowatt-hours (kWh) in 2006, or 1.5 percent of total U.S. electricity consumption according to the DOE

In the USA, data centers used 61 billion kilowatt-hours (kWh) in 2006, or 1.5 percent of total U.S. electricity consumption according to the DOE

*Lawrence Berkley Labs & Stanford, Feb 2007

Coal

Natural Gas

Nuclear Hyd

roO

il Other

Enterprise & Public Sector Purchase TrendsEnvironmental Issues impacting RFQ’s, Energy Spend Considerations and HW Purchase Decisions

67%of

organizationsare

implementingenvironmental

programs

80%of organizationRFQs evaluate

suppliers’environmental

aspects

30%of infrastructure

purchasing decisionsis based on

environmental factors

“Green IT” is#1 on Gartner’slist of the top 10technologies andtrends

By 2010,about half of the

Forbes Global2000 will spendmore on energy

than onhardware*

April 21, 20235

Source: ALL Associates Group

State CIO Trends• Understanding Government Impact to creating

Environmental Leadership− Federal Mandates− Municipality Trends:

• (www.nyc.gov/html/planyc2030/html/home/home.shtml)

• U.S. Mayors Climate Protection Agreement based upon the Kyoto Protocal-850 cities signed as of June, 2008

• What State CIOs are Saying and Doing through NASATE’s Green IT committee.

− Goals, Initiatives, Influences and Best Practices in other States: NY, CA, NC

− Assessing and developing collateral benefits of Green IT

• Citizen Environmentalists driving rapid change− Economy #1; Energy as #2 issue;

Environment #3− Consumers in the U.S. view industry as

most responsible for environmental problems. But 36% believe it should be up to the government to implement policies and standards that would regulate industry and better the environment.

• Landor Assoc, Cohn&Wolfe, Penn, Schoen & Berland Poll, conducted April, 2008; 1521 online interviews

ENERGY EFFICIENCY

Key Considerations for Green IT

Energy Efficiency

Material Impact

Energy Innovation Leadership

Leverage energy-efficient products

Improve energy efficiency of operations

Rethink energy use to transform society

Energy efficient

Energy effective

Environmental Printing Current State

Situation• Increasing social and

economic pressures to decrease impact on the environment

• Companies are being asked to comply with diverse regulations

• Exploding digital content (doubles every 18 mo.)

• Increasing requirement to track and measure supplies usage, recycling process and progress

Challenges• Reduce power

consumption/costs

• Reduce paper consumption and waste

• Improve ability to monitor and report supplies consumption and recycling

• Decrease environmental impact while maintaining productivity and business efficiency

Challenges• Reduce power

consumption/costs

• Reduce paper consumption and waste

• Improve ability to monitor and report supplies consumption and recycling

• Decrease environmental impact while maintaining productivity and business efficiency

Opportunities• Optimize the print

infrastructure to reduce cost AND reduce environmental impact

• Leverage technologies to reduce power and minimize paper waste

• Use HP Web Jetadmin to monitor and adjust fleet

• Track and manage supplies consumptions and recycling

• Redesign critical business processes to improve workflow and reduce the demand for paper

How can I be “green” and reduce costs of printing?

• Assess your printing environment to understand current energy, paper and supplies use.

• Reduce your energy consumption: − Consolidate with fewer, power-efficient devices

− With HP MFPs that use up to 40% less energy and materials compared to stand alone products

− With products that meet eco-label standards like ENERGY STAR®

− Up to 50% energy savings with Instant-On Technology in HP LaserJet devices

• Eliminate waste:− Easily set default duplex and reduce paper use

by up to 25% with HP Universal Print Driver

− With free internet HP Smart Web Printing

Optimize infrastructure to reduce the cost of energy, waste and disposal while improving productivity

• Assess environment

• Reduce energy• Eliminate waste

How we did it: HP’s own print transformation

Measures Modified driver and deployed to all users

All copier/MFP devices’ default updated

Objective Reduced consumable spendReduced waste

Target: 25% office paper reduction (over 800 tons of paper), saving $6M annually, with a 60% duplex rate, TCO of $30M

annually

Tactics: HP Universal Print Driver print default set to 2-sided

MFP/copier device copy default set to 2-sidedAwareness campaign: Saving over 800 tons

paper/year

Strategy

Change behavior

“Duplex” as a global standard

Change defaults

5 things you can do - Immediately

1. Create a conserve energy plan & implement

2. Print on both sides

3. Recycle – supplies, hw, paper (Planet Partners)

4. Digitize paper-based and document-intensive workflows

5. Assess your imaging and printing environment; HP and/our Partner community offers both Managed Print and Smart Printing Services to Help

For More Ideas and InformationWork with your HP Team:• Chris Kelley

− Chris.Kelley@hp.com− Account Manager, State of PA, HP Imaging and Printing

• Randy DeBrauwere− Randy.Debrauwere@hp.com− Account Manager, State of PA, HP TSG (Enterprise Devices/Services)

• Joel McGowen− Joel.mcgowan@hp.com− Account Manager, State of PA, HP PSG (Client Devices)

• Tara Agen, Conduit to HP Environmental Thought Leadership: tara.agen@hp.com

• GREEN links: − http://cceaacspro02.cce.cpqcorp.net/enterprise/cache/temp-331475-3-0-0-121.html − http://www.hp.com/large/ipg/environment/index3.html

Highmark – The Evolution Into The Green Revolution

Highmark – The Evolution Into The Green Revolution

Provide access to

affordable, quality health

care enabling individuals to

live longer, healthier lives.

Highmark’s Longstanding Mission

Approach

Phase1 Started with a need for a new Data Center

Data Center Objectives

Meet Business Needs for the next 10-15 years

Highly Sustainable Tier III certified 72 Hour Sustainability Factor (Water, Power)

Highly Secure

Environmentally Friendly LEEDS Certified Silver

Highmark’s Evolution Begins

Design and construction practices that significantly reduce or eliminate the negative impact of buildings on the environment and occupants in five broad areas:

Sustainable site planning Safeguarding water and water efficiency Energy efficiency and renewable energyConservation of materials and resourcesIndoor environmental quality

What is Green Design?

USGBC’s Mission: “To promote the

design and construction of buildings that are environmentally responsible, profitable, and healthy places to live and work.”

Key Construction / Building Features

Extensive construction waste recycling.

Construction materials acquired within 500 miles of the construction site

Innovative Wastewater Technologies – Rainwater collected for non-potable uses

Water Use Reduction – Reuse of rainwater by cooling towers

Energy Star Roofing System

Optimize Energy Performance – Efficient HVAC system, increased R-values in walls and roof, low-e glass, reduced artificial lighting

High Delta T Cooling of the Data Center space in conjunction with precision cool cabinets

Why do a LEED Data Center?

LEED goals coordinate with Highmark’s

corporate philosophy on the environment,

employee wellness, and employee satisfaction

LEED criteria helped the Data Center be a better

neighbor

Highmark felt that a LEED facility would be a

positive marketing concept when dealing with

state and federal clients

Energy and resource conservations makes

economic sense when Highmark pays the

electric bill

Phase 2 – Green IT with a focus on energy conservation.

Business Needs Drive Motivation To

Conserve:

Utility Rate Caps will be lifted in 2010 Up to 40% rate increases likely from our

utility company

Data Center capacity (critical power load)

likely to double within the next 12 months

Business Objective to reduce Data Center

power consumption by ten percent

established.

So Where To Start?

Form a team

Find the utility bill

Baseline power consumption by

platform within the data center

Understand critical power loads

Measure power usage for all

platforms

Understand Your Baseline?

Bretz Drive Energy Consumption11/23/07

26

3.5 5.5

40

713

2.5 2.5010203040

Power Use

Understand Your Baseline?

Bretz Drive UPS Load By Quarter/Month

462 455462446422

375375418425 423

300

400

500

600

700

800

900

1000

1100

1200

1300

2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 08-Jan 08-Feb 08-MarQuarter/Month

KW

Con

sum

ed

Critical KW Load 1080 Max KW

So Where To Start?

Understand the power usage for each platform

Develop a list of the top 10 power platforms

Turn off equipment not being used

Develop a plan to virtualize servers (P to V) on

refresh cycles

Develop Disk & Tape strategies Archiving Tiered Storage Larger disk sizes Data Deduplication

Power Consumption By Platform?

Bretz Drive Critical Power Breakdown By PlatformMarch, 2008

Teredata, 69, 13%

LINUX, 54, 11%

Network, 31, 6%

IIS, 21, 4%

Stratus, 20, 4%

Solaris, 19, 4%

VMServers, 17, 3%

AIX, 14, 3%

Mainframe/DASD/TAPE, 101, 20%

Open Systems SAN/NAS, 88, 17%

Windows, 79, 15%

Platform / KW / KW Percent of Total

What’s Next For Highmark?

Accelerate server virtualization utilizing VMWARE

and zVM

Implement data deduplication across storage

platforms

Continue to work with facilities to improve the site

infrastructure efficiency (power and cooling)

Investigate renewable energy

Manage the assets on the raised floor as a portfolio

with the goal to reduce power consumption over

time

Questions?