Intelligent CXO Issue 22 | Page 14

TECH TRENDS

Refurbished vs remanufactured : what ’ s the difference and why does it matter ?

Businesses continue to update their sustainability goals as consumers become more conscious of how their choices impact the climate crisis . One area which businesses can explore is buying second-hand when it comes to tech . Steve Haskew , Head of Sustainability at Circular Computing , explains the difference between refurbished and remanufactured technology and how one is superior to the other .
Steve Haskew , Head of Sustainability at Circular Computing

Second-hand products have seen a surge in popularity of late as businesses and consumers alike look to save money and live more sustainably . The technology industry hasn ’ t been without its own mini revolution , seeing refurbished goods flood the market as online marketplaces and new business models disrupt the industry . And this trend is only set to continue with on-going supply chain issues , the cost of living crisis rumbling on and the ever-growing pressures to become more sustainable . Due to these tensions , finding cost-effective tech that does not drain the planet ’ s resources can lead you down two paths : refurbishing or remanufacturing .

In the B2C and SME space , refurbishing has been the popular choice for the last few years as consumers look to save money in comparison to the price of new tech , while also doing their bit for the planet . However , it ’ s not a robust solution . Remanufacturing on the other hand , while a less widely known term , is now a viable alternative to new . But what ’ s the difference between the two and why should businesses especially reconsider their options when looking at purchasing tech ?
Refurbishing : where ’ s the flaw ?
There is no denying that refurbishing has made a considerable impact on the technology industry over recent years . It ' s made second-life technology widely available to consumers ensuring that some products that would otherwise go to waste are reused as commercially attractive options . They are cheaper , cosmetically close-enough-to-new and many run to a good standard for consumers to use for everyday activities . These benefits sound good on paper and have been a shortterm solution to minimise the growing pile of global e-waste , but there is a catch . Refurbishing is like covering a leak with tape ; it will do the job initially , but eventually , over time , it ' s likely to fail .
Even though it feels like you are helping the environment by buying refurbished goods , and you are through minimising global order for new , you are simply delaying the time when the product will inevitably reach the end of its life cycle and go to waste .
The issues become more apparent however on a commercial level . For businesses looking to become more sustainable and cut costs , refurbished is not often considered as a viable option – and there are many reasons for this . Traditionally , there has been a variance in operational performance alongside cosmetics , and historically it has been hard to attain high refurbished volumes of the same model . This has led to a common view that relying on refurbished products runs the risk of being disruptive to operational practices and performance , as well as potentially a long-term drain on your finances . The supply issues and risks have been exacerbated further since the pandemic , with large swathes of business IT
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