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Interested in data center security and disaster recovery?

     Learn about the Security and DR track at the
     upcoming Fall 2012 Data Center World Conference at:

     www.datacenterworld.com.




This presentation was given during the Spring, 2012 Data Center World Conference and Expo.
Contents contained are owned by AFCOM and Data Center World and can only be reused with the
express permission of ACOM. Questions or for permission contact: jater@afcom.com.
Vito Arminio
Vito.arminio@lifespanrecycling.com
          858-729-0289
Bringing ‘Peace of Mind’ to IT
    Asset Retirement
• Reduce your Liability in 3
  Areas:



  – Environmental



  – Data              Privacy


  – Reputation


 Confidential – not for distribution without LifeSpan’s written consent.
Equipment Retirement -
   Issues
   • E-waste is the fastest growing portion of the entire
     waste stream, growing two to three times faster than
     any other waste stream. It is the largest single source
     of lead in municipal solid waste (about 30%).


    The United States faces a unique challenge regarding
    the disposal of obsolete computer equipment on a
    national and global scale.




Confidential – not for distribution without LifeSpan’s written consent.
Asset Retirement -
     Drivers

     • Increased focus on asset management  Must
       manage TCO
     • Environmental liability / data security  Detailed
       reporting and auditing
     • Multiple locations, distributed IT equipment  Complex
       and costly logistics
     • Greater corporate and environmental regulations 
       Increased scrutiny and accountability for tangible
       and intangible assets.




Confidential – – not for distribution without LifeSpan’s written consent.
 Confidential not for distribution without LifeSpan’s written consent.
IT Asset Management Process

                         Sources: Gartner, IDC
         Relative Cost




                                                                            Maintenance



                                         Procurement


                                                               Deployment                 Retirement
                          Requisition

                         Beginning of lifecycle                                     End of lifecycle




Confidential – not for distribution without LifeSpan’s written consent.
Why Can’t We Just Throw it
    Away?

• All E-Waste types
   – Computers & Monitors
   – Printers & Peripherals

   - Complex Circuitry Items
   – Materials Toxic to the Envt.
      • Lead
      • Mercury
      • Cadmium
      • Gallium Arsenide
      • Barium

 Confidential – not for distribution without LifeSpan’s written consent.
Bringing Peace of Mind…

• Department of Commerce report estimated that in
  2006, 50% - 70% of electronic waste was exported
  to developing countries




Confidential – not for distribution without LifeSpan’s written consent.
Environmental Risks

   • Comprehensive Environmental Response Compensation
     and Liability Act (CERCLA)
         –   a.k.a. “Superfund”
         –   Certificates of Recycling –”certification”
         –   Deep Pockets Ruling


   • State by State Regulations
         –   What’s legal in one state is illegal in another


   • A ‘Certificate of Recycling’ is meaningless

   • Ask for Pollution Liability Insurance - $5 Million


Confidential – not for distribution without LifeSpan’s written consent.
Environmental Liability:




Confidential – not for distribution without LifeSpan’s written consent.
Credit Card Log File




Confidential – not for distribution without LifeSpan’s written consent.
Point of Sale Log File – Credit Card Numbers




Confidential – not for distribution without LifeSpan’s written consent.
Outlook – Outlook.pst




Confidential – not for distribution without LifeSpan’s written consent.
Accounting System – Social Security Number




Confidential – not for distribution without LifeSpan’s written consent.
Data Destruction Dilemma
   Revenue or Neutral/Cost

   • Physical Data Destruction
         –   Crushing – HDC
         –   Shredding – Service / Equipment
         –   Visual verification


   • Sanitization
         –   Single Pass, Triple Pass, 7 pass, 29
             pass, zillion pass
         –   DBAN
         –   Active Killdisk
         –   Ontrack – Data Erasure
         –   Blancco


   • Degaussing
Confidential – not for distribution without LifeSpan’s written consent.
Degaussing




Confidential – not for distribution without LifeSpan’s written consent.
Profile Privacy Breaches
   • Identity Theft - On the rise
      – 22.4 Million Sensitive Records Breached in 2011
      – Costs $53 Billion annually
      – Costs $4,800 per individual
      – Costs public companies – 5% stock value


   • Sony
   • Epsilon
   • HealthNet




Confidential – not for distribution without LifeSpan’s written consent.
Confidential – not for distribution without LifeSpan’s written consent.
Bringing Peace of
                                         Mind to Data Privacy




   • Look for a NAID Certified Service Provider




Confidential – not for distribution without LifeSpan’s written consent.
Considerations for Process Enhancements
   • Chain of Custody
      – How long do drives sit around before destruction?
      – Where/How are they stored?
      – Can they accidentally be picked up for reuse?


   • Quality Assurance on Sanitization
      – How are disks validated? (Every day, lot, each… never)
      – Forensics Software?
         • Encase
         • RTT Toolkit
      – Different types of interfaces – SCSI, FibreChannel


   • MOST IMPORTANT: Process and Controls – Its Usually Human
     Error


Confidential – not for distribution without LifeSpan’s written consent.
Considerations for Process
   Enhancements
   Where things go wrong:

   Physical Destruction
   • No timely destruction - they sit around
   • Mistakened for wiped drives –so not crushed
   • Inadvertent reuse

   Sanitization
   • Little or no QA/QC
   • False negatives from faulty hardware
   • Interfaces
   • Mistakened wipe drives
Confidential – not for distribution without LifeSpan’s written consent.
Considerations for Process
   Enhancements
   NAID (Preliminary)
   •Physical Destruction Process Outline:
         – IT,  Surplus or Vendor Team removes
             equipment from end user – transports
             and places in secure area
         – Equipment                           is cataloged
         – Drive               is removed and cataloged
         – Immediately                               crushed
         – Subsequent                              shredding for recycling


Confidential – not for distribution without LifeSpan’s written consent.
Considerations for Process
   Enhancements
   NAID (Preliminary)
   • Sanitization Process Outline
         –   IT, Surplus, or Vendor Team removes equipment from end
             user – transports and places in secure area
         –   Equipment is cataloged

         –   System is sanitized
         –   Forensics verification – manager, outside firm
         –   Labeled

         –   Drive is removed and cataloged
         –   System is sanitized
         –   Forensics verification – manager, outside firm
         –   Labeled
Confidential – not for distribution without LifeSpan’s written consent.
Solid State Hard Drive
   Technology




Confidential – not for distribution without LifeSpan’s written consent.
Solid State Hard Drives
   • Reverse Engineered to mimic                                          Magnetic HD
     Magnetic Architecture


   • Flash Translation Layer


   • Lack of G-List
                                                                          SSD HD


   • In the race to go to market,
     SSD manufacturers were
     inconsistent in their adherence                                                    FTL
     to the SATA standard.
   • This has rendered
     wiping/sanitization software
     unable to perform a conclusive
     validation.
Confidential – not for distribution without LifeSpan’s written consent.
Are You Protected in the Event of a
   Data Privacy Breach?
   • Do they have sufficient insurance? $1M Errors & Ommissions


   • Privacy Liability ($250,000)
         –   Notification/Credit Monitoring
         –   Public Relations Expenses


   • Bodily Injury Coverage
         –   For those who claim emotional distress & mental anguish


   • Hammer Clause (for frivolous suits)


   • You shouldn’t have to worry about if a claim will be paid

Confidential – not for distribution without LifeSpan’s written consent.
Data Privacy – Have You Considered…
   • Digital Copy Machines contain Hard Drives
         –   Capture image of every page copied


   • High-end Printers contain Hard Drives


   • Smartphones & Blackberries
         –   Should be treated just as carefully as loose hard drives
         –   Sanitize Data/Shred SIMM Card




Confidential – not for distribution without LifeSpan’s written consent.
Reputation Risk
   • Many nationwide companies rely on smaller local
     recyclers, creating inconsistent practices on how
     materials are retired from region to region.

   • Often “sham recyclers” simply cross dock and export E-
     waste to non OECD countries.

   • Invariably, companies are unaware that their E-waste
     has not been legitimately broken down and recycled,
     but merely exported to countries that are unequipped
     to process it properly.

   • Environmental watchdog groups are producing exposes
     in order to make an example out of abhorrent
     companies.
Confidential – not for distribution without LifeSpan’s written consent.
Free E-Waste “Recycling”




        Source: Basel Action Network
        BAN.org




Confidential – not for distribution without LifeSpan’s written consent.
Environmental - Global “Recycling”


                                                                          Processing Residue along Lianjiang River




    Hydrochloric / Nitric Acid Baths



        Source: Basel Action Network
        BAN.org




Confidential – not for distribution without LifeSpan’s written consent.
Reputation Liability:
   E-Waste ‘Sting’ Operations
            60 Minutes Nov 9, 2008




                                                                          Frontline, June 23 2009




Confidential – not for distribution without LifeSpan’s written consent.
Confidential – not for distribution without LifeSpan’s written consent.
Look for a Nationwide ‘Footprint’




              Recycling
              Recycling / Sorting
              Sort / Audit




Confidential – not for distribution without LifeSpan’s written consent.   9/24/03
Asset Retirement Program–
   Elements to Consider

                                                         1 time pickup                                 Weekly
   • Frequency                                           once per year
                                                                                 Quarterly
                                                                                                       Monthly


                                                        0 to 1 Pallets or     2 to 4 Pallets or
   • Space                                                E cycle Box           E cycle Box
                                                                                                  ½ to Full Truckload


                                                                                                  Coastal, Regional,
   • Location                                           Single Location          Campus
                                                                                                      National


                                                     Plenty of Resources     Need Resources       Packing materials
   • Packing Resources                                     to Pack             Sometimes           Inside Removal


   • Data Security                                   Plenty of Resources
                                                      Strategic In-house
                                                                               Do In-House
                                                                              Need to Check
                                                                                                  SW and/or Physical
                                                                                                     Destruction

                                                     Plenty of Resources       Do In-House         Barcode serial #s
   • Audit                                            Strategic In House      Need to Check           Asset tags


   • Recycle                                          Transfer ownership
                                                                             Recycle Domestic
                                                                            Global Reman/Reuse
                                                                                                      No Reuse
                                                                                                    Domestic Only


Confidential – not for distribution without LifeSpan’s written consent.
Asset Retirement Program –
   Development of Continuum




                   i ng                                            up                    on            ng
                dit er                 ta   n                  ick                rt at i         y cli        se
              u
           t A umb                 Da uctio                 e P i ng            po tics          c           eu l e
         se N                          tr                 id k                s               Re            R sa
       As rial t Ta
                        g           es                I ns P ac             an is                            Re
                                  D                                       Tr Log
        Se sse
            A




                                                  Sample LifeSpan
                                                  Service Programs

Confidential – not for distribution without LifeSpan’s written consent.
Bringing ‘Peace of Mind’ to IT
    Asset Retirement
• Reduce your Liability in 3
  Areas:



  – Environmental



  – Data              Privacy


  – Reputation


 Confidential – not for distribution without LifeSpan’s written consent.
Vito Arminio
Vito.arminio@lifespanrecycling.com
          858-729-0289
Interested in data center security and disaster recovery?

     Learn about the Security and DR track at the
     upcoming Fall 2012 Data Center World Conference at:

     www.datacenterworld.com.




This presentation was given during the Spring, 2012 Data Center World Conference and Expo.
Contents contained are owned by AFCOM and Data Center World and can only be reused with the
express permission of ACOM. Questions or for permission contact: jater@afcom.com.

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Best Practices To Mitigate Risks When Retiring IT Assets

  • 1. Interested in data center security and disaster recovery? Learn about the Security and DR track at the upcoming Fall 2012 Data Center World Conference at: www.datacenterworld.com. This presentation was given during the Spring, 2012 Data Center World Conference and Expo. Contents contained are owned by AFCOM and Data Center World and can only be reused with the express permission of ACOM. Questions or for permission contact: jater@afcom.com.
  • 3. Bringing ‘Peace of Mind’ to IT Asset Retirement • Reduce your Liability in 3 Areas: – Environmental – Data Privacy – Reputation Confidential – not for distribution without LifeSpan’s written consent.
  • 4. Equipment Retirement - Issues • E-waste is the fastest growing portion of the entire waste stream, growing two to three times faster than any other waste stream. It is the largest single source of lead in municipal solid waste (about 30%).  The United States faces a unique challenge regarding the disposal of obsolete computer equipment on a national and global scale. Confidential – not for distribution without LifeSpan’s written consent.
  • 5. Asset Retirement - Drivers • Increased focus on asset management  Must manage TCO • Environmental liability / data security  Detailed reporting and auditing • Multiple locations, distributed IT equipment  Complex and costly logistics • Greater corporate and environmental regulations  Increased scrutiny and accountability for tangible and intangible assets. Confidential – – not for distribution without LifeSpan’s written consent. Confidential not for distribution without LifeSpan’s written consent.
  • 6. IT Asset Management Process Sources: Gartner, IDC Relative Cost Maintenance Procurement Deployment Retirement Requisition Beginning of lifecycle End of lifecycle Confidential – not for distribution without LifeSpan’s written consent.
  • 7. Why Can’t We Just Throw it Away? • All E-Waste types – Computers & Monitors – Printers & Peripherals - Complex Circuitry Items – Materials Toxic to the Envt. • Lead • Mercury • Cadmium • Gallium Arsenide • Barium Confidential – not for distribution without LifeSpan’s written consent.
  • 8. Bringing Peace of Mind… • Department of Commerce report estimated that in 2006, 50% - 70% of electronic waste was exported to developing countries Confidential – not for distribution without LifeSpan’s written consent.
  • 9. Environmental Risks • Comprehensive Environmental Response Compensation and Liability Act (CERCLA) – a.k.a. “Superfund” – Certificates of Recycling –”certification” – Deep Pockets Ruling • State by State Regulations – What’s legal in one state is illegal in another • A ‘Certificate of Recycling’ is meaningless • Ask for Pollution Liability Insurance - $5 Million Confidential – not for distribution without LifeSpan’s written consent.
  • 10. Environmental Liability: Confidential – not for distribution without LifeSpan’s written consent.
  • 11. Credit Card Log File Confidential – not for distribution without LifeSpan’s written consent.
  • 12. Point of Sale Log File – Credit Card Numbers Confidential – not for distribution without LifeSpan’s written consent.
  • 13. Outlook – Outlook.pst Confidential – not for distribution without LifeSpan’s written consent.
  • 14. Accounting System – Social Security Number Confidential – not for distribution without LifeSpan’s written consent.
  • 15. Data Destruction Dilemma Revenue or Neutral/Cost • Physical Data Destruction – Crushing – HDC – Shredding – Service / Equipment – Visual verification • Sanitization – Single Pass, Triple Pass, 7 pass, 29 pass, zillion pass – DBAN – Active Killdisk – Ontrack – Data Erasure – Blancco • Degaussing Confidential – not for distribution without LifeSpan’s written consent.
  • 16. Degaussing Confidential – not for distribution without LifeSpan’s written consent.
  • 17. Profile Privacy Breaches • Identity Theft - On the rise – 22.4 Million Sensitive Records Breached in 2011 – Costs $53 Billion annually – Costs $4,800 per individual – Costs public companies – 5% stock value • Sony • Epsilon • HealthNet Confidential – not for distribution without LifeSpan’s written consent.
  • 18. Confidential – not for distribution without LifeSpan’s written consent.
  • 19. Bringing Peace of Mind to Data Privacy • Look for a NAID Certified Service Provider Confidential – not for distribution without LifeSpan’s written consent.
  • 20. Considerations for Process Enhancements • Chain of Custody – How long do drives sit around before destruction? – Where/How are they stored? – Can they accidentally be picked up for reuse? • Quality Assurance on Sanitization – How are disks validated? (Every day, lot, each… never) – Forensics Software? • Encase • RTT Toolkit – Different types of interfaces – SCSI, FibreChannel • MOST IMPORTANT: Process and Controls – Its Usually Human Error Confidential – not for distribution without LifeSpan’s written consent.
  • 21. Considerations for Process Enhancements Where things go wrong: Physical Destruction • No timely destruction - they sit around • Mistakened for wiped drives –so not crushed • Inadvertent reuse Sanitization • Little or no QA/QC • False negatives from faulty hardware • Interfaces • Mistakened wipe drives Confidential – not for distribution without LifeSpan’s written consent.
  • 22. Considerations for Process Enhancements NAID (Preliminary) •Physical Destruction Process Outline: – IT, Surplus or Vendor Team removes equipment from end user – transports and places in secure area – Equipment is cataloged – Drive is removed and cataloged – Immediately crushed – Subsequent shredding for recycling Confidential – not for distribution without LifeSpan’s written consent.
  • 23. Considerations for Process Enhancements NAID (Preliminary) • Sanitization Process Outline – IT, Surplus, or Vendor Team removes equipment from end user – transports and places in secure area – Equipment is cataloged – System is sanitized – Forensics verification – manager, outside firm – Labeled – Drive is removed and cataloged – System is sanitized – Forensics verification – manager, outside firm – Labeled Confidential – not for distribution without LifeSpan’s written consent.
  • 24. Solid State Hard Drive Technology Confidential – not for distribution without LifeSpan’s written consent.
  • 25. Solid State Hard Drives • Reverse Engineered to mimic Magnetic HD Magnetic Architecture • Flash Translation Layer • Lack of G-List SSD HD • In the race to go to market, SSD manufacturers were inconsistent in their adherence FTL to the SATA standard. • This has rendered wiping/sanitization software unable to perform a conclusive validation. Confidential – not for distribution without LifeSpan’s written consent.
  • 26. Are You Protected in the Event of a Data Privacy Breach? • Do they have sufficient insurance? $1M Errors & Ommissions • Privacy Liability ($250,000) – Notification/Credit Monitoring – Public Relations Expenses • Bodily Injury Coverage – For those who claim emotional distress & mental anguish • Hammer Clause (for frivolous suits) • You shouldn’t have to worry about if a claim will be paid Confidential – not for distribution without LifeSpan’s written consent.
  • 27. Data Privacy – Have You Considered… • Digital Copy Machines contain Hard Drives – Capture image of every page copied • High-end Printers contain Hard Drives • Smartphones & Blackberries – Should be treated just as carefully as loose hard drives – Sanitize Data/Shred SIMM Card Confidential – not for distribution without LifeSpan’s written consent.
  • 28. Reputation Risk • Many nationwide companies rely on smaller local recyclers, creating inconsistent practices on how materials are retired from region to region. • Often “sham recyclers” simply cross dock and export E- waste to non OECD countries. • Invariably, companies are unaware that their E-waste has not been legitimately broken down and recycled, but merely exported to countries that are unequipped to process it properly. • Environmental watchdog groups are producing exposes in order to make an example out of abhorrent companies. Confidential – not for distribution without LifeSpan’s written consent.
  • 29. Free E-Waste “Recycling” Source: Basel Action Network BAN.org Confidential – not for distribution without LifeSpan’s written consent.
  • 30. Environmental - Global “Recycling” Processing Residue along Lianjiang River Hydrochloric / Nitric Acid Baths Source: Basel Action Network BAN.org Confidential – not for distribution without LifeSpan’s written consent.
  • 31. Reputation Liability: E-Waste ‘Sting’ Operations 60 Minutes Nov 9, 2008 Frontline, June 23 2009 Confidential – not for distribution without LifeSpan’s written consent.
  • 32. Confidential – not for distribution without LifeSpan’s written consent.
  • 33. Look for a Nationwide ‘Footprint’ Recycling Recycling / Sorting Sort / Audit Confidential – not for distribution without LifeSpan’s written consent. 9/24/03
  • 34. Asset Retirement Program– Elements to Consider 1 time pickup Weekly • Frequency once per year Quarterly Monthly 0 to 1 Pallets or 2 to 4 Pallets or • Space E cycle Box E cycle Box ½ to Full Truckload Coastal, Regional, • Location Single Location Campus National Plenty of Resources Need Resources Packing materials • Packing Resources to Pack Sometimes Inside Removal • Data Security Plenty of Resources Strategic In-house Do In-House Need to Check SW and/or Physical Destruction Plenty of Resources Do In-House Barcode serial #s • Audit Strategic In House Need to Check Asset tags • Recycle Transfer ownership Recycle Domestic Global Reman/Reuse No Reuse Domestic Only Confidential – not for distribution without LifeSpan’s written consent.
  • 35. Asset Retirement Program – Development of Continuum i ng up on ng dit er ta n ick rt at i y cli se u t A umb Da uctio e P i ng po tics c eu l e se N tr id k s Re R sa As rial t Ta g es I ns P ac an is Re D Tr Log Se sse A Sample LifeSpan Service Programs Confidential – not for distribution without LifeSpan’s written consent.
  • 36. Bringing ‘Peace of Mind’ to IT Asset Retirement • Reduce your Liability in 3 Areas: – Environmental – Data Privacy – Reputation Confidential – not for distribution without LifeSpan’s written consent.
  • 38. Interested in data center security and disaster recovery? Learn about the Security and DR track at the upcoming Fall 2012 Data Center World Conference at: www.datacenterworld.com. This presentation was given during the Spring, 2012 Data Center World Conference and Expo. Contents contained are owned by AFCOM and Data Center World and can only be reused with the express permission of ACOM. Questions or for permission contact: jater@afcom.com.

Notas del editor

  1. We audit our Denver facility every quarter. Other DAM’s are once a year for insurance and ECHO