Zero Waste

by Catherine M. Russo • catcobb@aol.com


A YEAR FROM NOW THAT JAZZY COMPUTER ON your desk will probably be in the junk pile, replaced by an even fancier one.

No big deal, right?

A study by Stanford University says that by year-end PC shipments are expected to reach more than 55-million units - nearly twice the number in 1997. The National Safety Council predicts that 300-million personal computers will need to be recycled over the next four years, with half of them presently collecting dust in warehouses. And so on.

This burgeoning mound of tossed PCs, TVs and other electronic devices has not gone unnoticed by a company in Tampa that is discovering gold in obsolete electronics. Creative Recycling Systems (CRS) specializes in the management of surplus, obsolete and end-of-life electronic equipment throughout the Southeast. It has experienced phenomenal three-year revenue growth in excess of 40 percent annually, garnered many new contracts - including one with the entire state of Florida - and is expanding physical operations statewide and into Georgia, with plans to open shop in Alabama or North Carolina.

CRS was started in 1994 by former commercial real estate salesman Jon Yob, who says that the impetus for the company was the possibility of electronics ending up in the trash as obsolescence occurs. Filling up the landfills is not the only problem, either.

Yob, 43, says that many electronic devices contain materials - lead and other heavy metals - that pose a real hazard for the health of plants, animals, people and for the viability of the environment in general. Discarded electronics account for over half of all heavy metals found in our landfills. Computers, for example, are complex assemblies of more than 1,000 materials, many of them highly toxic, including lead, mercury, cadmium, chromium, PVC plastics, brominated flame retardants and acids.

"Storing them in landfills or incinerating them doesn't make the problem go away," Yob says. "Our air, water or soil may still be contaminated through contact with these materials."

CRS develops programs for businesses and municipalities by determining cost-effective, environmentally sound methods to remove unwanted equipment while eliminating sensitive or proprietary information that may be contained on it. Yob's brother Joe assists customers in preventing the unauthorized disclosure of sensitive information from IT products/ devices at the end of the life cycle.

Joe Yob, vice president, is the author of the Electronic Devices chapter of the McGraw-Hill Recycling Handbook Second Edition and an American Banking Journal white paper on how to prevent IT assets from becoming liabilities.

Jon Yob says that the ultimate purpose is to provide value to clients while preventing the toxic materials found in electronics from harming the environment. "Of the thousands of tons of equipment that enter our facilities, less than one percent eventually enters the waste stream, and it is 100 percent free of contaminants when it leaves," he says. "Our objective: Zero waste."

How important is a strategic plan for my business?

It is the bedrock of successful organizations. Many business owners are mired in operating their business day to day. They work more hours, add staff, hire consultants, etc...

CRS has trained assessment teams that review the materials and recommend that they be reused in their present form, de-manufactured for components or recycled. In de-manufacturing, reusable components are disassembled and then resold on the secondary market.

Yob says that the asset management division, a key focus for future growth, grew in excess of 120 percent over the last two years. While providing value and eliminating waste, CRS over its 11-year history has grown from five employees in a 13,000-square-foot warehouse to more than 50 employees in seven locations throughout Florida and Georgia, including Tampa, Atlanta, Miami and Tallahassee. It recently opened a 40,000- square-foot facility in east Tampa to house its asset management/remarketing division. Each new expansion requires at least seven new employees within the first 30 days. "New facilities usually add to the bottom line within the first year," he says.

While he is not giving out actual revenues, Yob says that he thinks the company could be at "critical mass" in two to three years. "At that time we would be in a good position to go public, or do a strategic partnership with a public company." Critical mass, he says, is $25- $30 million in revenues.

 

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