Sustainability - June 2022 by Energy Digital

June 2022 | sustainabilitymag.com

Diversity & Inclusion:

Smoke-free vision and employees’ wellbeing

Sustainable consultants

THERE’S NO

SUSTAINABLE SUPPLY CHAIN WITHOUT

BENCHMARKING FEATURING:

T-Mobile

eStruxture

Shell

23 - 24 JUNE 2022 STREAMED & IN PERSON TOBACCO DOCK, LONDON

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A BizClik Media Group Event:

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Join us at TECH LIVE LONDON Showcase your values, products and services to your partners and customers at TECH LIVE LONDON 2022. Brought to you by BizClik Media Group TECH LIVE LONDON, the hybrid event held between 23rd-24th June is broadcast live to the world and incorporates four zone areas of Technology & AI LIVE, Cloud & 5G LIVE, Cyber LIVE plus March8 LIVE in to one event. With a comprehensive content programme featuring senior industry leaders and expert analysts, this is an opportunity to put yourself and your brand in front of key industry decision makers.

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From keynote addresses to lively roundtables, fireside discussions to topical presentations, Q&A sessions to 1-2-1 networking, the 2-day hybrid show is an essential deep dive into issues impacting the future of each industry today. Global giants and innovative startups will all find the perfect platform with direct access to an engaged and active audience. You can’t afford to miss this opportunity. See you on:

23 - 24 June 2022

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The Sustainability Team EDITOR

TOM SWALLOW CHIEF CONTENT OFFICER

SCOTT BIRCH

PRODUCTION DIRECTORS

GEORGIA ALLEN DANIELA KIANICKOVÁ PRODUCTION MANAGERS

PHILLINE VICENTE JANE ARNETA ELLA CHADNEY

CREATIVE TEAM

OSCAR HATHAWAY SOPHIE-ANN PINNELL HECTOR PENROSE SAM HUBBARD MIMI GUNN JUSTIN SMITH REBEKAH BIRLESON JORDAN WOOD CALLUM HOOD VIDEO PRODUCTION MANAGERS

KIERAN WAITE

DIGITAL VIDEO PRODUCERS

EVELYN HUANG MARTA EUGENIO ERNEST DE NEVE THOMAS EASTERFORD DREW HARDMAN MOTION DESIGNER

TYLER LIVINGSTONE MARKETING MANAGER

EMILY COOK

PROJECT DIRECTORS

BEN WIGGER

MEDIA SALES DIRECTORS

LEWIS HAMMOND MANAGING DIRECTOR

LEWIS VAUGHAN

EXECUTIVE ASSITANT

JORDAN HUBBARD CHIEF OPERATIONS OFFICER

STACY NORMAN CEO

GLEN WHITE

FOREWORD

From smoke to sustainability – tightening ESG and provoking global impact ESG is driving global change as organisations commit to positive action against climate change and improving health, leveraging their global platforms to enact more short-term, impactful sustainable solutions.

“As this shift occurs, data is the not-sosecret weapon for reporting analyses to investors that are becoming more conscious of ESG”

Two events concluded at BizClik Media Group recently, and the main message from both surrounds the environmental, social and governance (ESG) expectations of businesses. The more insights we gain, the clearer it becomes that organisational growth requires sustainable change as well as the ability to benchmark that change. As this shift occurs, data is the not-so-secret weapon for reporting analyses to investors that are becoming more conscious of ESG. In this month’s issue, ESG is well and truly leading the pack as we look at how firms can accurately share their environmental impacts, an initiative from Philip Morris that takes the smoke out of smoking, and DuPont Sustainable Solutions putting the ‘G’ in governance. Sustainability Magazine also teases its first visit to the sustainability-conscious ABB FIA Formula E World Championship and presents exclusive interviews with some of the leaders in sustainable telecommunications, data centre operations, and fuel innovations.

SUSTAINABILITY MAGAZINE IS PUBLISHED BY

TOM SWALLOW

tom.swallow@bizclikmedia.com

sustainabilitymag.com

CONTENTS

Our Regular Upfront Section: 12 Big Picture 14 The Brief 16 Timeline: The ever-changing nature of global energy policies 18 Trailblazer: Tony Atti 22 Five Minutes With: Clarice Borges

58 ESG

Bringing in holistic sustainability transformation

T-Mobile

How T-MobIle embraces sustainability the Un-carrier way

eStruxture

Going full throttle in Canada

94 Shell

How Shell’s Source 2 Contract digitalisation and AI boosts productivity

112

Smoke-free vision and employees’ wellbeing

GMVK Procurement Group driving digital transformation

Diversity & Inclusion

118

Norwegian Data Centre Association

Promoting Norway’s DC credentials through members’ skills

Net Zero

138

Supply Chain

Supply chains must benchmark their sustainable initiatives

146

162 Top 10

Sustainability Consultants

Telehouse France

Puts Marseille on the global comms hub map

174

Master Power Technologies and Digital Parks Africa Transforming the Data Centre environment through data and regional development

188

Gulf Data Hub

Establishing sustainable data centres in the Middle East

202

DataCenter United Going beyond Belgium, with eyes on FLAP

218

230

Delves into an emissions reduction strategy

industrial-scale data centres, inspired by hyperscale

Ark Data Centres

Kao Data

7 - 8 SEPT 2022

STREAMED & IN PERSON

BUSINESS DESIGN CENTRE, LONDON

SHAPING THE BUSINESS OF SUSTAINABILITY 3,000+ Participants

Days

Zones

60+

Speakers

Get tickets

Sponsor opportunities

A BizClik Media Group Event:

Watch our 2022 Showreel

Join us at SUSTAINABILITY LIVE LONDON Showcase your values, products and services to your partners and customers at SUSTAINABILITY LIVE LONDON 2022. Brought to you by BizClik Media Group SUSTAINABILITY LIVE LONDON, the hybrid event held between 7th-8th September is broadcast live to the world and incorporates three zone areas of Sustainability LIVE, B-Corp LIVE plus March8 LIVE in to one event. With a comprehensive content programme featuring senior industry leaders and expert analysts, this is an opportunity to put yourself and your brand in front of key industry decision makers.

Get tickets

7 - 8 September 2022

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BIG PICTURE

Photo credit: Sam Bloxham

June 2022

Formula E showcases sustainability and the EV revolution Berlin, Germany

Sustainability Magazine attended Formula E in Berlin to gain insights into the ABB FIA Formula E World Championship and learn more about the motorsport event that showcases a major step in the sustainability and the automotive triumphs of embedding software and automation for EV performance. Racers lined up on the track in EVs that leverage cutting-edge technology, developed by ABB and we spoke to sustainability leaders and technical engineers to find out what makes Formula E a critical driver of sustainable mobility and technology. sustainabilitymag.com

THE BRIEF “If you look at our strategy at Shell, you will see one of the key elements is Powering Progress”

BY THE NUMBERS

Percentage of Gen-Z population that see gender equality as important compared to 65+

66% 51%

Sander Voorn

S2C Digital and Process Transformation Design Manager, Shell 

Gen Z

65+

“We are also looking at how we can get consistent and transparent reporting on climate factors” Bjorn Ronning

General Manager The Norwegian Data Center Industry  READ MORE

“By exploiting internet routes off the coast of France around Marseille, you can reduce this latency” Sami Slim

Deputy Director Telehouse France  READ MORE

June 2022

BrewDog relaunches its more inclusive, plant-based menu Working with TiNDLE – the producer of plant-based alternatives to chicken – the company is revamping its menu to be more inclusive. Find out more 

GENDER EQUALITY RISES IN IMPORTANCE AMONG ALL GENERATIONS Gender equality is an issue that many more individuals and businesses are incentivising, and it’s clear to see that both older and younger generations are taking this on board. But do they see the correlation with climate change? Climate change is a topic that is spread across the news, throughout businesses, and is one of the top three discussions among all generations. Edward Wageni, Global Head of HeForShe, says: "We as a global society are facing great challenges that we must address in an equitable and unified way.” “Perception matters, and what this study highlights are the differences in generational perspectives on the importance of gender equality and climate justice, and the promise younger generations hold in their regard of these issues."

 RYANAIR As travel picks up post-pandemic, Ryanair is reaching a steadier level of travel and can focus on its sustainability strategy—already reducing its carbon footprint through SAF implementation.  UNIVERSITY OF TEXAS Scientists from UoT have created an enzyme that can break down plastics that would otherwise take centuries to degrade.

 RUSSIA-UKRAINE Issues surrounding Russia and supply cuts continue, as energy is weaponised and the shortage of oil and gas supplies leaves prices higher than ever.  DISNEY Disney CEO navigates controversy during a political battle around inclusivity and diversity, following its response to controversial standards governing gender identity.

W I N N E R S JUN22

L O S E R S

sustainabilitymag.com

TIMELINE THE THE EVER EVER--CHANGING CHANGING

NATURE NATURE OF OF GLOBAL GLOBAL

ENERGY POLICIES Russia’s invasion of Ukraine has led to a major energy disaster, so we take a look back at some of the widespread policy changes from the past

1990

2008

2010

Swiss government rejects new power plant developments

UK Climate Change Act

Following the disaster at the Chernobyl nuclear power plant (NPP), Switzerland refused power plant developments – excluding the four that were already in the works. In 2017, the Swiss government doubled-down, cementing this legislation for the foreseeable future.

Ten years after the UK Climate Change Act was introduced in 2008, emissions’ reduction figures were huge, demonstrating a 43% decrease in emissions from 1990 levels.

Energiewende: a critical German energy policy

June 2022

‘Energiewende’ is the policy that defines energy policy in German. Released in 2010, it remains a significant part of the country’s energy governance to this day, with the policy increasing the use of renewables in electricity generation.

2022

SEC proposed climate-related declarations

Russia-Ukraine war provokes pipeline cut-offs

In the wake of environmental, social and governance (ESG) becoming a key metric for sustainability and investment, the Security and Exchange Commision (SEC) proposed legislation on the declaration of climate-related disclosures, including results, risks and financial metrics.

Russia’s invasion of Ukraine back in February has sparked widespread resistance and condemnation across Europe. In response, Russia cut off gas pipelines in late April 2022, including those to Poland and Bulgaria sustainabilitymag.com

TRAILBLAZER

T NY ATTI CO-FOUNDER AND CEO OF PHONONIC A former research scientist at NASA’s jet propulsion laboratory, Tony Atti helps cool down the planet in a much safer way with Phononic’s solid-state technology.

Photo credit: Forbes

June 2022

ony Atti is a co-founder and CEO of Phononic, a cooling solutions company whose solid-state technology is claimed to be safer and more economically viable compared to traditional cooling and heating. Holding a PhD in Organic Chemistry from the University of Southern California, Atti founded Phononic back in November 2008. Prior to founding Phononic, Atti was a research scientist at NASA’s jet propulsion technology from 1998 to 2001, after which he joined MHI Energy Partners as a Director of Technology in 2002. He then became an entrepreneur-in-residence and a Vice President for business development at INI Power Systems from 2006 to 2008. Last December, Atti was named Entrepreneur of the Year by the Research Triangle Cleantech Cluster (RTCC) at the 2021 Cleantech Innovation Awards. The Cleantech Innovation Awards is an annual event, held to honour people, organisations, and initiatives “driving cleantech innovation, creative deployment solutions, and workforce development”.

TRAILBLAZER

“I’m honoured to be recognised as an innovator in cleantech,” said Atti. “Cooling and refrigeration play a critical role in our quality of life, and Phononic’s solidstate innovation is an exciting way to reduce greenhouse gas emissions and support global climate goals, while also meeting the demanding performance needs of the market. “It’s a great honour to be recognised amongst this group of people and organisations who are all coming together for one common goal: to help our state and our world become a more sustainable place to live.” How Phononic’s cooling and heating systems are better Phononic offers semiconductor cooling solutions, claimed to be a sustainable technology that can transform refrigeration and cooling. Among the sectors that use Phononic’s thermoelectric chips and fully-integrated products are fibre optic communications, 5G, LiDAR, grocery retail, healthcare, food & beverage, and climate control. “We manufacture chips that support faster and more reliable 5G communications, which is highly critical for the rapidly-expanding remote workforce,” Atti wrote in a release. 20

June 2022

Photo credit: Forbes

“Our medical-grade refrigerators safeguard life-saving drugs and vaccines through partners like Thermo Fisher Scientific. Our merchandising solutions provide retailers fresh and frozen product options for grab-n-go customers proficiently using their time in the grocery store.” Unlike traditional cooling and refrigeration systems equipped with high Global Warming Potential (GWP) that reach the thousands due to their use of toxic hydrofluorocarbons (HFCs), Phononic’s solid-state solution has a GWP rating of only 1 – the lowest in the industry. Global use of traditional air conditioning units is projected to release 2.3 billion tons worth of CO2 into the atmosphere by 2050. Phononic’s solidstate technology does not use refrigerants such as toxic hydrofluorocarbons. Instead, it uses water and CO2. The technology also uses 30-40% less power compared to its traditional counterparts and reduces the need for a compressor, making refrigeration and cooling silent to reduce overall noise pollution, with the loudest sound produced being only 35 dB. "The historical refrigerants that had been used for vapour compression systems are both toxic and global warming contributors," said Atti. sustainabilitymag.com

55555 FIVE MINUTES WITH...

555555 CLARICE

BORGES

BREAKING THE STIGMA ASSOCIATED WITH CHRONIC PAIN, TOBETTERDAYS STANDS AT THE FOREFRONT OF DRUG-FREE MEDICAL PRODUCTS CREATED TO HELP THIS COMMUNITY Q. TELL US ABOUT YOURSELF, CLARICE?

» I started as a marketing trainee at

Unilever in Brazil, and then I ended up doing a career in Latin America for a while. I lived in Argentina, Mexico, and Chile before moving to Europe to head up their customer relationship management transformation programme for a couple of years. I ended up coming to London and went from sort of marketing to transformation, to operations, to technology. At that point — which was 2008 — I decided to do an MBA at London Business School.

Q. WHAT IS THE STORY BEHIND TOBETTERDAYS?

» I had been talking to a head-hunter

that I’ve known for many years and he kept saying, “You really need to meet this guy, his name's Adrian.” We finally did meet, and he told me about this idea for a business around a formulation that had been discovered in New Zealand by a doctor who specialises in sports injuries. sustainabilitymag.com

FIVE MINUTES WITH...

He had discovered a really interesting formulation based on vitamin D, which demonstrated that, when applied topically, actually has the capacity to work as an analgesic, soothing and supporting the damaged nerves.

Q. HOW DOES TOBETTERDAYS CHANGE ANYTHING?

» At that time, I wasn't really sure. I was

a bit like, “What is this? How does it work?” But the idea that we could offer something that was easy-to-use, drug-free and, in many ways, naturally working with the body to those people that have suffered from chronic pain for so many years and who haven't seen much of a change within the products available to them was really, really interesting and really inspiring.

Q. SO, HOW DO YOU DESIGN TOBETTERDAYS TO SET IT APART FROM ANY OTHER SIMILAR PRODUCTS IN THE MARKET??

» So, I worked to design this brand with the

view that it was a positive, forward-looking brand. The stuff that was out there was very, I suppose, masculine and aggressive. We also worked with the regulatory offices to understand what kind of product we could launch and we settled on a patch. So, what we have today is a drug-free transdermal product business. And we have patches for joints, migraine and new products in the pipeline coming soon. But always with the idea of being transdermal and drug-free.

Q. HOW CAN TOBETTERDAYS SET UP A POSITIVE INFLUENCE FOR PEOPLE?

» I really wanted to set up and work in a

business that was consistent with its values in everything — not only in how we treated our customers but also in how we operate and how we treat ourselves. I'm super proud 24

June 2022

55 55 55 “ REALLY WANTED TO SET UP IN A BUSINESS THAT WAS CONSISTENT WITH ITS VALUES IN EVERYTHING, NOT ONLY IN HOW WE TREATED OUR CUSTOMERS BUT ALSO HOW WE OPERATE AND HOW WE TREAT OURSELVES”

that we have a team that is passionate and committed to both the business and, in particular, to the chronic pain community. It's an interesting thing to talk about, because about 25 to 33% of us will suffer from chronic pain in our lifetime. This is a huge amount of all of us who will suffer from a chronic pain condition, be it arthritis or nerve damage, especially women who have not only suffered pain, but have many times been dismissed and ignored by the medical community, with their pain often assumed to be more of an emotional pain many times. And it takes years longer for women to receive treatment. And when they do, only 1 in 8 actually is happy with that, with that treatment that they receive

Q. WHAT ARE THE FUTURE PLANS FOR TOBETTERDAYS IN ONE OR TWO YEARS?

» We've got two products in the pipeline and

some other ideas, too. I think that is still under development. We are finalising the global patents of two products. I can't talk too much about them, but they are within the space of drug-free transdermal support. One of them is a cream that will work in a slightly different way to the patch. I mean, the patch works fantastically for acute pain — you put a patch on and it starts working within 30 minutes. The cream that we are launching is going to be great for just general stiffness for those areas that are kind of almost a slow burn.

Q. WHAT TRENDS DO YOU SEE HAPPENING IN PAIN AND IN HEALTHCARE IN GENERAL?

» COVID-19 and lockdowns have brought an enormous amount of self-awareness to all of us around the importance of our health and how important it is that we take care of our health, so I think self-care is a huge trend. sustainabilitymag.com

23 - 24 JUNE 2022 STREAMED & IN PERSON TOBACCO DOCK, LONDON

SHAPING THE BUSINESS OF TECHNOLOGY 3,000+

Participants

Days

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60+

Speakers

Get tickets

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A BizClik Media Group Event:

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23 - 24 June 2022

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HOW T-MOBILE EMBRACES SUSTAINABILITY

T - MOBILE

WRITTEN BY: BLAISE HOPE

PRODUCED BY: GLEN WHITE

sustainabilitymag.com

T - MOBILE

Telco giant T-Mobile sets ambitious goals while reaching 1.5 degree mark – before it was even established as a standard

he United States telco disrupter T-Mobile saw tremendous growth even before its merger with Sprint in 2020 and, according to Chad Wilkerson, Director of Sustainability and Infrastructure Sourcing for T-Mobile, an increased commitment to sustainability was another aspect of the company’s mission to do good. The idea of the “Un-carrier” first launched in 2013, aiming to make wireless communications simpler by eliminating pain points such as data overages and surprise fees. Although this is an integral part of T-Mobile’s customer strategy, customer retention goes hand-in-hand with robust productivity within the company – as demonstrated by its targetsetting aims. “I would say our approach to environmental sustainability has been growing alongside the company,” says Wilkerson. “Within that culture, there are pockets of intrinsic goodness, with employees that were already doing

June 2022

1999 Year founded

75k+

Number of employees

100%

T-Mobile sources 100% of its total electricity usage with renewable energy

2019

T-Mobile was one of the first 100 companies to have its Science Based Targets approved in 2019

Chad Wilkerson sustainabilitymag.com

Alicia Chidsey is Director of CBRE’s partnership with T-Mobile CBRE Director Alicia Chidsey, is the Alliance Director for CBRE’s T-Mobile account, and the first point-of-contact for their entire real -estate portfolio Alicia Chidsey is the Alliance Director for the T-Mobile account, a post which she’s held for the past five years. CBRE has some crucial Carbon Neutral goals. “We recently announced our commitment to achieve Net-Zero Carbon Emissions by 2040,” says Chidsey, “and that encompasses our emissions from our own operations - and the properties that we manage for investors and our occupiers - as well as our indirect supply chain emissions, (Scope 3). Since we are the largest manager of Commercial Real Estate Properties, CBRE has real commitment, real obligations and responsibilities to help everyone in the world address the challenges of global warming on our planet. We also have a very strong focus on helping many of our clients achieve similar goals.” CBRE has recently made large strides in their commitment to Diversity, Equity and Inclusion and has recently made a $1BN commitment that includes their employee resource groups,

and the commitment to resources for their employees, as well as a to the supplier diversity and the supply chain. Beyond these commitments, CBRE is also committed to Sustainability. 78% of their clients have carbon reduction goals, and 57% have Net-Zero or Carbon Neutrality commitments. Many of them are committed to science-based targets just as CBRE are, themselves. Furthermore, 49% of their clients have actual, finalised sustainability plans. “Sustainability is paramount to the services that we offer to our clients,” says Chidsey. “So it’s critical that CBRE is knowledgeable in this regard, so that we can, in turn, help our clients and serve them as they go along their own Sustainability journeys, which can take time and expertise to achieve.” Chidsey says: “Our central focus is to help T-Mobile achieve its ultimate goal, which is to be the number one telecommunications provider, through their uncarrier approach, which, boldly proclaimed, has been very successful so far.”

Learn more

T - MOBILE

environmental initiatives in one form or another. And so really, it was going out and seeing all these different groups of people doing the right thing and finding the thread that helped us as a company to kind of grow from there.” Establishing sustainability as part of the corporate culture means ingraining each environmental target in every aspect of the company's business processes and decision making. 34

June 2022

“Our ultimate goal is for it to be fully embedded in processes, as part of everything we're doing as a company. Every business decision would start with the question of ‘what impact does this have on our emissions?’ or ‘what is the sustainability impact of this decision?’,” he says. Achieving RE100 In 2018, T-Mobile set an industry first by joining the RE100 pledge and

T - MOBILE

“ I think joining RE100 really showed the commitment and seriousness with which we were taking these sorts of issues” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

by 95% and Scope 3 GHG emissions 15% per customer by 2025. T-Mobile was also one of the first 100 companies to have these goals approved by the Science Based Targets Initiative (SBTi). Further to this, the company has made some of the most advanced progress in approaching its emission reduction goals, bringing home several prestigious pieces of evidence to support this claim – such as being part of the CDP’s A List for Climate Change. T-Mobile was also recently recognised as an exemplary Green Partner by the EPA, ranking #3 just behind Microsoft and Google on the Top 100 list of companies leading the way in their use of renewable power. According to Wilkerson, the SBTi has a rigorous process and set of guidelines that primarily help to ensure that the

committing to sourcing 100% of its total electricity usage from renewable energy by the end of 2021. “I think joining RE100 really showed the commitment and the seriousness with which we were taking these sorts of issues,” says Wilkerson. “We wanted to source our electricity from 100% renewable sources and put a stake in the ground by doing so.” At the end of 2021, T-Mobile was able to meet this goal, even after a historic merger that significantly expanded its electricity needs. In addition, the company has established a standard of transparency in its robust reporting. Aligning SBTis with corporate culture In 2019, T-Mobile set an aspirational emission intensity target to reduce Scope 1 and Scope 2 GHG emissions sustainabilitymag.com

WE MAKE CRITICAL FACILITIES SUSTAINABLE.

At Automated Logic, critical facilities are part of our DNA. We designed and developed the industry-leading WebCTRL® building automation system, an intuitive, proven platform that provides real-time visibility and control of equipment, systems, and facilities – from anywhere in the world. The Automated Logic Strategic Accounts team delivers that innovation to telecommunications, data center, and industrial customers, installing the WebCTRL system with expertise and consistency around the world – bringing powerful, efficient, and sustainable critical facilities to life. Visit www.automatedlogic.com/datacenters to learn more. A Carrier Company. ©2022 Carrier. All Rights Reserved.

Automated Logic: Making Critical Facilities Sustainable Tyler Keller, Enterprise Account Executive for Automated Logic - Strategic Accounts, describes its winning approach in collaborating with T-Mobile Founded in 1977 and headquartered in Kennesaw, Georgia, Automated Logic (a Carrier company) is an expert in the design, manufacturing, and implementation of building management systems (BMS) and data center infrastructure management software (DCIM). Mission Critical Infrastructure is one of their fastest growing vertical segments. The company’s reputation for speed and reliability is partly rooted in the outstanding quality of its products. Automated Logic’s WebCTRL® building automation system (BAS) provides customers with a seamlessly integrated building system, incorporating air conditioning, heating, ventilation, electrical power management, and more – to create an efficient solution. SUPPLYING AUTOMATED SYSTEMS TO LEADING ORGANISATIONS According to Keller, the company has established expertise in the

telecommunications sector, with more than 8 years as the national building automation system contractor for T-Mobile, most recently providing them automation solutions for mission critical infrastructure. “We combine our powerful building automation products with a dedicated execution team to deploy our systems nationally for T-Mobile,” says Keller. This provides T-Mobile with a “single pane of glass” for centralised monitoring, trending, and alarming for their mechanical heating, ventilation, and air conditioning and electrical systems, leading to operational efficiencies which is achieved through the use of its WebCTRL system. Through their Strategic Accounts team, Automated Logic also provides T-Mobile with standardisation across their building management system portfolio, global scalability, consistency

across installations, and a 24x7x365 command centre for technical support. SUPPORTING FIRMS TO REDUCE EMISSIONS When it comes to sustainability, both organisations are aligned and, as a result, Keller says the company is “in an opportunistic position to enable our customers to be more energy efficient while running their facilities, helping them reduce their greenhouse gas emissions.” “Building Operators, Energy Managers, and Real-Estate Owners are becoming increasingly interested in what they can accomplish with the seemingly endless amounts of data they are receiving from their building systems. Through our advanced software, we partner with customers to effectively manage their building data so they can focus on what matters most.” LEARN MORE

T - MOBILE

“ We wanted to source our electricity from 100% renewable sources and put a stake in the ground to do just that” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

June 2022

goals being set align with companies’ actual impact, such as the volume of emissions they are producing. “You see more and more companies align to SBTi standards – especially with the new guidelines coming out last year in which SBTi and other organisations are starting to define parameters around

CHAD WILKERSON TITLE: DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING COMPANY: T-MOBILE US, INC.

claiming net-zero,” says Wilkerson. “So, more and more companies are moving towards adopting science-based targets to ensure they have increased rigour around their goals.” At that time, the criteria established surrounded the collective global aim to meet the two degrees mark, meant to restrict global warming to within two degrees above pre-industrial levels.

EXECUTIVE BIO

INDUSTRY: TELECOMMUNICATIONS Chad Wilkerson is an Executive Sustainability Leader and Global Enabling Sustainability Initiative board member with 20-plus years of experience. The Director of Sustainability and Infrastructure Sourcing for America’s Un-carrier, Chad has more than a decade of experience in energy markets and procurement, as well as the implementation of sustainable strategies that address unique challenges presented within the telecom sector. During 2021, Chad was named a “Top 10 Sustainability Leader in the Telecoms Industry” by Mobile magazine. With his leadership, T-Mobile became the first and only U.S. wireless provider to create – and, at the end of 2021, achieve – an ambitious plan to source 100% of its total electricity usage with renewable energy. Chad strives to positively impact our communities, environment, and society. He does this while achieving T-Mobile’s aggressive enterprise-wide sustainability goals and serving the wireless provider’s internal and external customers. He and his team are responsible for minimising costs, managing risk, and overseeing the procurement of energy, facility services, and construction across T-Mobile’s network and real estate portfolio.

GENERAC AND T-MOBILE TAKE BOLD STEPS TO BUILD A BETTER WORLD

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Over the 60 plus years of Generac’s history, we’ve been dedicated to energy innovation. From creating the home standby generator market category, to our current evolution into an energy technology solutions company focused on developing clean energy products and services, Generac has consistently devoted itself to new technologies and processes that deliver more resilient, efficient and sustainable energy solutions. Developing these new technologies has never been more important, given all the challenges that exist in delivering reliable and consistent power to homeowners and businesses. From catastrophic weather events that are exacerbated by the effects of climate change, to an aging and under-invested power grid, we are facing an unprecedented need and opportunity to revolutionize the way power is produced and delivered. Generac is at the leading edge of these investments, hyper focused on continuously innovating our ecosystem of products and solutions that deliver greater resilience while making significant contributions to the reduction of global greenhouse gas emissions.

Generac is proud to work with companies who are like-minded, where together we deliver innovative solutions that enable and protect wireless networks, along with, next-generation power, communications, transportation and other critical infrastructure. Generac and T-Mobile are dedicated to working together to find ways to maximize efficiencies while complementing our renewable energy efforts. The collaboration also allows for continued investment in network and operational redundancy along with hardening and improving the resiliency of the infrastructure, critical network sites and operations to ensure customers are connected when it matters most. Generac and T-Mobile are proud of the trust that customers, communities and business partners place in their providers. We are excited to continue to lead the evolution to more resilient, efficient and sustainable solutions.

Learn more

T - MOBILE

How T-Mobile embraces sustainability the Un-carrier way

“ More and more companies are moving towards adopting sciencebased targets to ensure they have increased rigour around their goals” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

June 2022

“T-Mobile set several emission reduction goals: reducing scope 1 and 2 emissions by 95%; and reducing scope 3 emissions by 15% per customer by 2025,” Wilkerson explains. “Our targets received third-party validation and insight, which helped us evolve them by working with SBTi and CDP. By the end of 2021, we not only achieved but beat these targets four years ahead of schedule.”

T-Mobile set and achieved targets to reduce scope 1 and 2 emissions by

95%

while reducing scope 3 emissions by

15%

per customer. By the end of 2021, the company reduced scope 1 and 2 emissions by

97%

and reduced scope 3 emissions’ intensity by

16%

per customer.

Wilkerson believes more and more companies will start taking steps to meaningfully reduce their emissions across their operations and ensure transparency with investors, governments and customers about their efforts and progress. Procurement and sustainability To maximise its efforts, T-Mobile has established a set of guidelines in the handling of its operations, including design

choices that can bring more efficiency to its energy usage. This extends to its supply chain group as well, from smaller things like minimising empty space on trucks as they're leaving the warehouse, to fuel usage and having fewer equipment truck runs. “We partner with an outside agency that helps us to evaluate our suppliers. Every time a contract goes through, there's a third-party risk group that's able to access that information. sustainabilitymag.com

HOW WILL YOU WALK YOUR ENERGY TALK…AND WHEN? From cost containment and risk mitigation to sustainability goals, Sable’s experienced, specialized team customizes energy strategies for each client’s unique business goals. Visit us at Sablepg.com where we focus our energy on you.

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So, in 2018 when T-Mobile announced its goal to be the first in the US wireless industry to achieve 100% renewable energy to power its business in just three years, they asked Sable to join their expanded sustainability team. Like all Sable clients, T-Mobile asked, “How can you contribute?” As the team member tasked with helping T-Mobile achieve its energy goals through its supplier management, Sable answered the call. The team applied a green filter to its hedging and de-risking strategies and energy contract analysis, which introduced new retail energy supply options to the company while helping manage the costs of going green. The Sable Power & Gas team is honored to have been part of this accomplishment and congratulates the T-Mobile sustainability team for its industry leadership as we all move forward together.

T - MOBILE

100% Renewable Energy | T-Mobile

June 2022

“Our targets received thirdparty validation and insight, which helped us evolve them by working with SBTi and CDP” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

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Our sourcing managers are able to access that information and it really allows them to evaluate a supplier across all aspects of the ESG spectrum. We're comparing suppliers on the front end who have the values that match those of our company,” says Wilkerson. “There's a series of questions that are embedded within the RFPs, allowing us to ask questions and get a good feel for what suppliers deem important or how they're performing. Going back to the selfassessment questionnaires through that third-party service actually then allows us to calculate a score for suppliers that offers us insights. We get an extensive report on each supplier that allows us to determine areas to focus on and it becomes a long-term partnership with them.” The company also expects these partners to improve their scores as time goes on.

“ T-Mobile set two core emission reduction goals: reducing scope 1 and 2 emissions by 95%; and reducing scope 3 emissions by 15% per customer by 2025” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE sustainabilitymag.com

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“ I think a lot of our success really is in working with the right partners – meaning companies that are aligned with our same values” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

“Because, of course, their scope one and two emissions are our scope three emissions. And that's one of the items that we're focusing on – if it helps them improve, it helps us improve,” he says. “It's not just at the beginning of a relationship. It's an ongoing collaborative effort that allows us to see their progress each year. Our Supplier Code of Conduct includes language that helps set expectations for what we're wanting to see from our supply chain.” This is also part of the job of the procurement and sustainability team: meeting with these suppliers directly to discuss the goals, best practices, and experiences in setting science-based targets. sustainabilitymag.com

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“At this point, the department for sustainability and infrastructure sourcing covers a variety of items, with energy as one area of focus, for example,” says Wilkerson. “Part of the strategy is that it is within procurement, which actually offers us a seat at the table to influence everything going on across company operations. It also allows us to work directly with our own category managers who are able to offer expert insights and work alongside procurement tenants,” says Wilkerson. “We can share guidelines or frameworks we're going to operate in with our suppliers. Doing so really allows us to extend beyond just what our company is doing, instead actually having an influence on what other companies operating in the wireless industry are doing and the impact throughout the value chain.”

“ We're surrounded by a lot of partners that are working towards their own goals, yet they really complement what T-Mobile's trying to do” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

The company also tracks its facility’s life cycle carefully, identifying solutions when something needs to be decommissioned. “We actually have several partners that help us decommission those sites. The materials are recycled or reused, or in some cases, we just ensure that we don't have a bunch of it going to municipal waste. We're reclaiming and utilising as much of that as possible,” Wilkerson says. “We actually are part of a working group with GSMA so we can take a more circular approach.” T-Mobile and its energy efficiency efforts As a tech company, energy usage has always been a top concern for T-Mobile when it comes to its overall sustainability efforts. “T-Mobile uses a lot of energy,” says Wilkerson. “Even though we're going to be talking about renewable energy, energy efficiency is also part of that programme." Wilkerson here refers to a classic saying: “The greenest energy is the energy you don't use” – words that the company most sustainabilitymag.com

T - MOBILE

“ We feel like there's an opportunity for us to be able to reduce energy, yet still serve the data needs and the speed needs that our customers have come to expect” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

certainly strives to live by. To that end, T-Mobile has entered into several virtual power purchase agreements with large utility-scale wind and solar farms. “That philosophy is actually pervasive in our thinking and one of the main levers in our renewable goal. As part of that, we wanted to make sure that, at the end of every year, we had enough renewable energy to match what our actual energy usage was.” To make sure that the company also has a positive impact on surrounding communities, the company works on community solar projects at a local level. Within its energy programme, T-Mobile incorporates its suppliers and other close partners. “There's even another layer that we're able to leverage within our renewable energy

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June 2022

portfolio. T-Mobile is a founding member of DiCE or Diversity in Clean Energy. So this also helps shape some of the criteria we are utilising to evaluate the suppliers or the other partners; we're using the space just to make sure that energy equity is available to everybody,“ says Wilkerson. "Along with companies like Microsoft, Duke Energy and General Motors, T-Mobile supports DiCE because there is a strong business case for diversity. Diversity is in our DNA and we know it creates smarter, better and more successful companies." “I think a lot of our success really is in working with the right partners – meaning companies that are aligned with our same values. We're surrounded by a lot of partners that are working towards their own goals,

yet they really complement what T-Mobile's trying to do. Most of the time, we are sitting down with a lot of our suppliers across energy, construction and operations, and maintenance companies. Those partners are important to us.” Even in light of all of these achievements, however, Wilkerson and his team still aim to sustainabilitymag.com

T - MOBILE

June 2022

“As we look to the future, we will continue adding Title of the video more renewable energy projects to our portfolio” CHAD WILKERSON

DIRECTOR OF SUSTAINABILITY AND INFRASTRUCTURE SOURCING, T-MOBILE

push further, particularly in terms of energy efficiency and renewable energy usage: “We feel like there's an opportunity for us to be able to further reduce energy consumption, yet still serve the data and speed needs that our customers have come to expect.” “As we look to the future, we will continue adding more renewable energy

projects to our portfolio to match future electricity usage, explore onsite solar infrastructure and invest in organisations delivering clean energy to more communities across the U.S.”

sustainabilitymag.com

ESG

BRINGING IN I

R T Y T I L I B A SUSTAIN

Sustainability consulting firm dss+ believes that transformation goes beyond the boardroom, down to the furthest chains of operations and suppliers WRITTEN BY: BLAISE HOPE 58

June 2022

tarting February 2022, global sustainability consulting firm DuPont Sustainable Solutions rebranded itself as dss+. It employs more than 1,000 professionals in 40 countries to serve its clients across various industries, from transportation, oil and gas to food and beverage. “The dss+ is the evolution of DuPont Sustainable solutions,” says Federico Magalini, Director of Sustainability Services for UK and Italy at dss+. “I think that is a nice transition into an independent company in 2019.”

N HOLISTIC IN ION

T A M R O F S N RA

S “ WE HELP COMPANIE UNDERSTAND THAT SN'T NEED SUSTAINABILITY DOE PART; IT TO BE SOMETHING A TED INTO CAN BE INCORPORA T THEY THE INITIATIVES THA ALREADY HAVE” ANA MUNDIM

EMEA OFFERINGS AND DSS+

SALES LEAD,

The firm was previously known as a subsidiary of DuPont until September 2019, a position it held for almost five decades. After its separation, the firm made a massive decision in 2021 to acquire KKS Advisors, a firm known for its expertise in sustainability strategy, impact investing, SDG implementation, corporate reporting and environment, social and governance management. “There’s a reason behind the plus,” says Magalini about the firm’s new name. “There are two definitions: one is of course that we are a legacy of DuPont and now we're sustainabilitymag.com

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something more, something else. I like to see the plus as a symbol that we can achieve much more.” The firm is known — as it was before its evolution — for its holistic and integrated approach toward sustainability. It aims not only to tackle technical barriers but also to infuse its consultancy into organisational cultures, further securing long-term results. “We have seen an incredible update on sustainability agendas in companies,

ARD “ ONE COMPANY’S BO DECISION CAN HAVE ECT ON A VERY POSITIVE EFF PANIES A NETWORK OF COM NSTREAM” UPSTREAM OR DOW FEDERICO MAGALINI

BILITY DIRECTOR OF SUSTAINA LY, DSS+ ITA D AN SERVICES FOR UK

and this is because of the pressure from investors and from the board, which is really representing the place of the company where decisions are taken,” says Magalini. “That's where I see the biggest potential because sustainability, in the past, was not that prominent in the company or on the board. And the reason is that now, sustainability has a clearer economic dimension that is visible to the world.” Holistic transformation Magalini sees the corporate-level attitude change toward sustainability as a big opportunity, particularly as companies start to ponder how they can produce better sustainable products, with a more sustainable service. “This is the turning point,” he says. “If we do all our activities sustainably and improve our sustainability, we manage to get a couple of points or credit value, and there’s a monetary value in that.” sustainabilitymag.com

ESG

“ IN THE END, THIS URE SUSTAINABILITY CULT ENTED NEEDS TO BE IMPLEM E SHOP BY THE PEOPLE ON TH LE ON FLOOR, BY THE PEOP OPLE WHO DELIVERY, BY THE PE MPANY” DEPEND ON THE CO FEDERICO MAGALINI

BILITY DIRECTOR OF SUSTAINA LY, DSS+ ITA D AN UK R SERVICES FO

One type of service that dss+ offers is to help companies understand how to integrate their ESG priorities into operations. “Most companies are now looking into these challenging questions around how to speed up the process,” says Ana Mundim, EMEA Offerings and Sales Lead at dss+. “We help companies to understand that sustainability doesn't need to be something apart; it can be incorporated into some of the initiatives they already have.” According to Magalini, when it comes to sustainability and its related transformation, one cannot see a company as only those sitting at board meeting tables. Instead, the transformation needs to be effected across every single part of the company, right down to the frontline. “A company, especially a big one, is not simply the board. A company is everything in the setup,” he says. “One of the key activities that we are always keen to do is bring the cultural transformation from the boardroom, where decisions are made, down to the very last employee. Because, in the end, this sustainability culture needs to be implemented by the people on the shop floor, by the people on delivery, by the people who depend on the company.” 62

June 2022

Magalini then differentiates sustainability transformation within a company into three different tiers. “So the worker, shareholders, and the board of investors are one. The next tier is the dissemination of this culture within the company,” he says. “Then, of course, the final tier is operational transformation, which sometimes requires you to change processes, change your production, change the technology. It might have different angles.” A shift in mindset There is another aspect in the journey toward sustainability that needs to be

considered, which is the coordination of governance that goes beyond the comfort of the company. “We’re talking about sustainable procurement or sourcing; we need to bring the discussion down to engaging the suppliers,” says Mundim. “It’s a challenge already for some organisations to work across functions within the boundaries of the organisation, but transformation means we need to engage with external stakeholders.” In this case, for Magalini, helping companies to shape a better governance model is also an important area of work. This includes how to better integrate the

sustainability dimension for sustainable and ethical procurement, or the use of ethical products into their own operation. “Now companies are realising that they are not alone, and most of the benefits they could achieve cannot be achieved in isolation. They can achieve it only by working with the entire supply chain in their ecosystem.” More and more companies are now getting the message, changing their mindsets to acknowledge that a single company decision is not enough to achieve sustainability and that such a company cannot be decoupled from its upstream and downstream suppliers. sustainabilitymag.com

June 2022

ESG

LREADY “ IT’S A CHALLENGE A ATIONS FOR SOME ORGANIS NCTIONS TO WORK ACROSS FU ARIES WITHIN THE BOUND ON, BUT OF THE ORGANISATI EANS TRANSFORMATION M E WITH WE NEED TO ENGAG LDERS” EXTERNAL STAKEHO ANA MUNDIM

EMEA OFFERINGS AND DSS+

SALES LEAD,

“We are realising this during discussions about net-zero scope 3 emissions, but also across the supply chain with the interconnectivity of us all,” Magalini says. “At the moment, we are in discussions with a company that has really ambitious plans around sustainability. We can achieve that only if the network of our suppliers is following our idea.” “Of course, it is not as simple as, ‘I am the client, you are the supplier, and you do what I tell you to do’. That's not going to work. So now we are working with the suppliers of our client to convince them and help them to undergo this journey,” he says. “I think this is really important, because one company’s board decisions can have a very positive effect on a network of companies, upstream or downstream.”

sustainabilitymag.com

June 2022

eSTRUXTURE

eStruxture Data Centers: GOING FULL THROT TLE IN CANADA WRITTEN BY: SAM STEERS PRODUCED BY: LEWIS VAUGHAN

sustainabilitymag.com

Todd Coleman Founder, President & CEO at eStruxture. Photo courtesy of The Concours Club

June 2022

eSTRUXTURE

Todd Coleman, CEO of eStruxture talks strategy, speed, risk, and becoming the frontrunning data centre operator in Canada in under five years

ave you ever had a front tire blow out at 178mph (286 kph) and then got back in the car to try it again a few minutes later? That’s what entrepreneurs seemingly do every day through trials and tribulations, successes and failures as they climb their way to the front of the competition. It’s not surprising that entrepreneurs who are calculated risk takers in the business world are often thrill seekers in their personal lives, in both cases understanding the riskreturn tradeoff, the sacrifices required, learning from theirs and others’ successes and failures, and constantly analysing data and trends with a strong sense of gut feel to push themselves to be the best. One of those calculated risk-taking entrepreneurs is Todd Coleman, Founder, President and CEO of eStruxture Data Centers. He founded eStruxture in 2017 and in less than five years drove it to become the single largest Canadian data centre platform. And, as it turns out, he is also an accomplished racecar driver. Which begs the question: is there a common thread between success at the track and success in business?

sustainabilitymag.com

eSTRUXTURE

“ It comes down to balancing speed and risk. From a speed perspective, I’m impatient. I like things to go fast” TODD COLEMAN

FOUNDER, PRESIDENT & CEO, ESTRUXTURE

Todd may spend the majority of his time leading his company, but when he’s not, you’ll find him racing in the Ferrari Challenge series in a Ferrari 488 70

June 2022

Challenge racecar or the GT America and GT4 America Championships in a Toyota GR Supra. It’s a passion fueled by risk and speed - two factors that, as we’re about to learn, relate to eStruxture’s accelerated Canadian expansion. “It comes down to balancing speed and risk,” he said. “From a speed perspective, I’m impatient. I like things to go fast. Even when I drive to the grocery store or a

TODD COLEMAN TITLE: FOUNDER, PRESIDENT AND CEO INDUSTRY: DATA CENTRES

friendly Sunday drive, I'm still in a hurry. And I think that describes what we've done in five years at eStruxture. We're always going to be pushing at full speed.” Then there’s the question of risk, explains Coleman: “It's not that unusual for an entrepreneur to have a personal risk profile that's different from others. I believe in calculated risks; investing in areas where a return might not be guaranteed, but the probability analysis weighs in our favour.”

EXECUTIVE BIO

LOCATION: DENVER, COLORADO, US Todd Coleman is the Founder, President and CEO of eStruxture. Todd brings over 25 years of experience in the IT, data center and telecommunications industries. Previously, Todd was the COO and Co-Founder of Cologix. He has also held several senior positions at Level 3 Communications, a global telecommunications company, including Senior Vice President of Data Centers, Senior Vice President of Media Operations, and President of Level 3 Communications Europe. Todd holds a juris doctorate and a bachelor’s degree in computer information systems. Todd is a sought-after industry speaker and an advocate for DE&I and sustainability in the digital infrastructure industry. At the same time, Todd is an accomplished race car driver, competing in the Ferrari Challenge and the GT America and GT4 America Championships.

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eSTRUXTURE

“ I believe in calculated risks; investing in areas where a return might not be guaranteed, but the probability analysis weighs in our favour” TODD COLEMAN

FOUNDER, PRESIDENT & CEO, ESTRUXTURE

“For example, we went into the Calgary market at a time when the Alberta economy was in a downturn. That was a risk as the Alberta market had been hit by weakness in the Canadian dollar and the low cost of oil. Jobs were leaving, mortgages were in default. However, that was a calculated risk. We had been studying the market for some time to determine which side of the economic downturn trough it was in – the beginning, the peak low or on its way back up,” Coleman said.

sustainabilitymag.com

eSTRUXTURE

Now, however, Calgary is starting to take off as a data centre market. eStruxture has already largely sold out at its first Calgary data centre (CAL-1) and is building out its second data centre with significant presales activity. Coleman revels in being one step ahead of the game. He said: “We've landed some strategic customers when no one else was there. I guarantee the competition is going to jump on that trend line, but they're 18 to 24 months behind. We love that position; that's an example of calculated risk.” Coleman relates his propensity to accept calculated risk in his business to experiences in a racecar. Coleman tells a story from when he last raced at Daytona International Speedway in Florida. He said: “I was on the road course and my right front tire blew out going into a corner at 178mph. I did five pirouettes missing walls on both sides and shot through from turn 1 to what is turn six. We were in a night time practice session and there were headlights coming towards me from on-coming cars, but I didn’t hit anything. Like in business, we quickly inspected the car and analysed data to understand what happened and why, replaced the tire and we were back out on the track within twenty minutes. That’s calculated risk.” 74

June 2022

“As a driver, just like a business leader, we find ourselves looking for and testing out new driving lines around the track looking for the slightest bit more grip and tire traction in hopes of getting back to full throttle just that fraction of a second ahead of the competition” TODD COLEMAN

FOUNDER, PRESIDENT & CEO, ESTRUXTURE

Coleman racing the Toyota GR Supra at the Firestone Grand Prix in St. Petersburg. sustainabilitymag.com

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eSTRUXTURE

It’s a team sport Much like racing, where a whole team of engineers, mechanics, and support crew come together to ensure the racing team’s success, evolving eStruxture into the Canadian market leader that it is today would not have been possible without the trust, loyalty, and support of customers, employees, investors, partners, and suppliers. To describe eStruxture’s growth journey, Coleman uses the metaphor of a hockey stick, with a small plateau turning into a steep rise in growth. Over the last five years, eStruxture has completed more than six acquisitions and has grown both organically and inorganically. “We’ve acquired real estate and built greenfield data centres; we’ve acquired competitors and driven market consolidation in Canada. Five years later, we are the single largest carrier-neutral, privately-held data centre company in Canada,” he said.

“ We are very loyal to those that saw something in us when we were just starting out. It's easy to bet on a winner when they are leading the race, but I don't forget those who believed in us when we weren't in the position where we are today” TODD COLEMAN

FOUNDER, PRESIDENT & CEO, ESTRUXTURE

Coleman says the company is rewarded by both the market in which it operates and the customers it serves, adding that “Canadians like doing business with Canadians.” The reason for this, according to Coleman, is that the company plays a “trusted advisor role” with deep localised knowledge. Since its inception in February 2017, eStruxture has completed a total of four separate funding rounds from largely the same investors who believe in and support the company’s vision. The company has also completed four bank lending agreements over the course of its five-year life span, the majority of which were with the same syndicate of banks. He’s also grateful for the support of the companies that helped eStruxture find its feet in the highly competitive data center market. “We are very loyal to those that saw sustainabilitymag.com

eSTRUXTURE

“ eStruxture is about creating a legacy that all those involved can be proud of, that has a positive impact on our social fabric and the communities that we are involved in” TODD COLEMAN

FOUNDER, PRESIDENT & CEO, ESTRUXTURE

something in us when we were just starting out. It's easy to bet on a winner when they are leading the race, but I don't forget those who believed in us when we weren't in the position we are in today.” eStruxture’s Canadian data center fleet Today, eStruxture has 15 data centres spread across Canada: 5 in Montreal, where the company is headquartered, 5 in Toronto, 3 in Vancouver, and 2 in Calgary. Sustainability is one of eStruxture’s fundamental, non-negotiable tenets and plays a vital role in its data centres. According to Coleman, none of their new data centre builds use any water for cooling as part of their standard basis of design. As Coleman states: "the only water we consume in our new data center builds is for sinks, toilets, and humidification.” Importantly, eStruxture also leverages the geographic distribution of their facilities in key regions with abundant renewable energy supplies, to further drive sustainability. “We’re also capable of offering power density at a rack level that is far higher than the average data centre,” said Coleman. “We 78

June 2022

Todd Coleman Founder, President & CEO at eStruxture. Photo courtesy of The Concours Club

sustainabilitymag.com

eSTRUXTURE

Coleman getting ready to go out onto the track at a recent race in Watkins Glen, NY

“ eStruxture’s employees live by the company’s core value: customers are at the heart of everything we do” TODD COLEMAN

FOUNDER, PRESIDENT & CEO, ESTRUXTURE

can offer up to 30kW per rack without doing anything Herculean with the mechanical engineering, and without stranding valuable white space within our facility,” he added. Due to the importance of power density and protecting the environment, eStruxture is also working with various customer industry segments, including high performance computing, AI, and cloud providers, to look at how it can sustainably increase power densities utilising submerged cooling technologies while making eStruxture’s facilities more efficient and producing a smaller carbon footprint.

Going the extra mile for the customers “It may sound a bit trite, but customers are everything to us. Even when we’re not selling to them, we are always looking for ways to support them. That may be as simple as making an introduction to another partner or supplier, for which we don’t take any economic advantage whatsoever. We fundamentally believe that if it’s good for our customer, it's good for us. And so, our relationship with our customers is essential,” says Coleman. “Customer centricity may sound like a simple strategy in theory, but taking the time to truly understand our customers’ particular needs, their business, growth plans, challenges and opportunities, takes time, effort, and the right kind of mindset. Which is why eStruxture’s employees live by the company’s core value: Customers are at the heart of everything we do.” sustainabilitymag.com

eSTRUXTURE

Driving forces Having built the business from the ground up in Canada, Coleman’s plan for the future is to continue to be a consolidator in the market as well as invest and deploy resources across the country. “We continue to be a job creator both directly because our facilities run 24/7 and require a level of expertise and thus create high paying jobs, but also indirectly because every one of our customers brings high paying high-tech jobs with it to the markets in which we operate. So, there's a certain level of pride for us in the level of job creation that we're ultimately responsible for,” said Coleman. 82

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Lastly, eStruxture will continue to focus on its tenets of sustainability and diversity, with the latter relating to its workforce. Coleman said: “57% of our workforce is considered diverse, with 29% being female. 40% of my executive team is also female. You won't find that in the broader telecommunications infrastructure industry, just because it attracts predominantly white males. And so, we want to change that. For me, eStruxture is about creating a legacy that all those involved can be proud of, that has a positive impact on the social fabric and the communities that we operate in.”

2017 Year founded

129 + Number of Employees

1.5k+

eStruxture provides access to an ecosystem of approximately 1,500 customers that trust and depend on eStruxture’s mission-critical infrastructure

Going full throttle in Canada

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eSTRUXTURE

Belden offers a Collaborative Approach to Colocation Data Center Solutions Watch how Belden helps eStruxture manage high ber density while saving space with the new DCX Optical Distribution Frame (ODF) System.

Speak to Sales

June 2022

“ Racing and business have a lot more in common than one would think, and I take learnings from both and apply them every day” TODD COLEMAN

FOUNDER, PRESIDENT & CEO, ESTRUXTURE

Coleman sums it all up this way: “Racing and business have a lot more in common than one would think, and I take learnings from both and apply them every day. Just like in business, we don’t simply re-invent the wheel every time we show up at a different race track. We analyse data, watch video of prior races, practise on simulators and do track walks, all to determine the best racing

line, and throttle and brake inputs with the ultimate goal of determining the fastest path around the track. And just like in business, we have to be prepared to blaze our own path when the race day environment changes. If, for example, we find ourselves racing in the rain, everything we knew and believed about that race track has changed and we need to quickly adjust our strategy in real time. As a driver, just like a business leader, we find ourselves looking for and testing out new driving lines in the wet around the track looking for the slightest bit more grip and tire traction in hopes of getting back to full throttle just a fraction of a second ahead of the competition.”

sustainabilitymag.com

SMOKE-FREE VISION AND EMPLOYEES’ WELLBEING

DIVERSITY

Tobacco giant Philip Morris announces near-future ambitions on smoke-free products, as well as employees' wellbeing and diversity WRITTEN BY: BLAISE HOPE

eading international tobacco company Philip Morris International’s Sustainability Materiality Report 2021, which was published this February 2022, divides the company’s social and environmental impacts into two distinct categories. They are those that derive from PMI’s products, including “product health impacts,” “sales, marketing, and consumer communications,” and “wellness and healthcare”, and those that derive from its business activities. PMI’s ultimate goal is centred around moving the world’s population away from cigarettes, permanently. The company performed a structured five-step assessment, starting with identifying ESG topics, gathering both internal and external stakeholder perspectives, assessing both the outward and then inward impacts, as well as defining the most material environmental, social, and governance (ESG) topics. According to the report, PMI’s “product health impact” has the biggest risks when it comes to reputation, regulation, and revenue growth; it does also, however, carries the greatest opportunities. Combined with “wellness and healthcare”, which was included as a new topic in the 2021 assessment, the two resulted in a new goal for the company. sustainabilitymag.com

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DIVERSITY

“ IN ORDER TO DRIVE THIS INNOVATION, YOU CLEARLY NEED PSYCHOLOGICAL SAFETY” SILKE MUENSTER

CHIEF DIVERSITY OFFICER, PHILLIP MORRIS

Aiming to transition into a broader lifestyle and consumer wellness company, PMI plans to generate revenues from tobacco-free or nicotine-free products. At the same time, the company also focuses on wellness and wellbeing from the inside. Breakthrough in wellness and health impact Yulia O'Mahony started her tenure as PMI’s Global Head of Health & Resilience just a year ago as the role was introduced in the middle of the pandemic. “It was a clear signal of the importance of health and wellbeing of employees at PMI for the future, which the COVID pandemic brought into sharp focus,” says O’Mahony. “One of three pillars of our inclusion and diversity strategy is to create an environment for sustainable high performance.” In terms of benefits, PMI has long been boasting of its reputation as a good employer. However, according to O’Mahony, the next imminent step is to understand what should be the balance of global versus local activities, because wellbeing is a lot more than just benefits.

Silke Muenster TITLE: CHIEF DIVERSITY OFFICER COMPANY: PHILLIP MORRIS More than two years ago, Muenster found the company struggling to recruit more women into its array of employees. The company then formulated the answer, which mainly revolved around creating accountability by setting individual objectives for leaders. To tackle this, the company pursued accreditation to ensure potential candidates and was able to leverage on the fact that PMI was the first company globally certified for equal salary certification in 2019. “Having this equal salary certification is helping us to recruit women,” says Muenster. “We have made huge progress when it comes to female representation. We had declared that we want to have women representing 40% of management roles by 2022, and we are super close. We then made 2 percentage points’ progress, just on last year, which was really huge.” The company also saw huge progress when it comes to senior women roles, which is currently above 25% after scoring 18% at the same time in 2020. Based on the current trend, Muenster is confident that the company will achieve 40% female representation in management roles this year.

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“We want to look at wellbeing in a very holistic way,” she says. “It includes how we work within the team, how we can build better relationships so that they can impact positively on people's wellbeing, and how we can support people to lead healthy lifestyles, and, ultimately, also provide opportunities for self-fulfilment.” O’Mahony adds that supporting mental health is an incredibly important pillar of wellbeing, as well as removing the stigma from conversations around mental health. “What we want to pilot this year is what we call mental health for all training. It's the education about mental health for everyone, providing a basic understanding of what mental health is, what the common problems are, how you can seek help, how you can look after yourself, your energy levels and resilience, but also how you can offer support,” she says.

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By setting these basics of psychological safety and mental health literacy, the company would be able to focus on a preventative approach. The solution to wellbeing challenges is not, however, a silver bullet. “It just depends on the cultural context, on what would resonate most,” says O’Mahony. “We have a genuine ambition to make the environment better for people. It's also the understanding of what the key drivers of wellbeing are so that we can focus on what would actually make a difference.” Based on the company’s survey across six markets to understand what the root causes of poor and good wellbeing were last year, it was found that one of the key drivers of wellbeing was workload. “Behind workload, though, is not the number of hours but the sense of control, the sense of people's agency and

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psychological safety. People who felt that their deadlines were manageable, they understood exactly what they needed to deliver when they felt in control of their diaries and had a much better wellbeing,” says O’Mahony. “Also, they felt that they had a reasonable balance between work and their commitments outside. So it wasn't about a kind of a rigid number of hours people spent, the number of emails they sent - it was the sense of control that made the biggest difference.” Inclusive workspace The sustainability materiality assessment, which was conducted in the second half of last year, identified that the “human capital development” topic is expected to gain momentum in the future despite being excluded from the list of most material topics, alongside “biodiversity” and “water”.

According to Silke Muenster, PMI’s Chief Diversity Officer, there are two steps in building and driving an exclusive culture in terms of human capital development. “Creating global employee resource groups, communities where people feel they have this psychologically safe environment for them to discuss their problems and raise concerns, is a very important element of our strategy going forward,” says Muenster. “The second one is leveraging talent diversity.” “Psychological safety is actually the basis to make a culture inclusive,” says Muenster. “You have to be careful when you measure inclusion that you cover the whole spectrum. You have these very individual elements about everybody being able to bring their uniqueness to work, but then you also have a more organisational area about collaboration and fairness, which you also need in order to create an inclusive environment.”

“ PSYCHOLOGICAL SAFETY IS ACTUALLY THE BASIS TO MAKING A CULTURE INCLUSIVE” SILKE MUENSTER

CHIEF DIVERSITY OFFICER, PHILLIP MORRIS sustainabilitymag.com

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“ EVERYBODY NEEDS TO GET INVOLVED. EVERYBODY NEEDS TO HAVE A MUCH BETTER UNDERSTANDING OF MENTAL HEALTH IN PARTICULAR. IT'S JUST MORE ABOUT CREATING A MUCH BETTER ENVIRONMENT AND IT'S NOT JUST FOR LINE MANAGERS” YULIA O'MAHONY

GLOBAL HEAD OF HEALTH & RESILIENCE, PHILLIP MORRIS

Muenster is adamant that teams with psychological safety are much more effective teams. The company is working towards its smoke-free vision, investing more than US$9bn to develop more smokefree products for adults on top of its existing portfolio, including heat-not-burn, vapour and oral nicotine products. In order to achieve the company’s transformation, more innovations need formulating. “In order to drive this innovation, you clearly need psychological safety. So there's a big push from our side currently to drive this psychological safety,” says Muenster. “We are currently piloting a way to measure inclusion. I think because inclusion is so broad, it's really difficult to capture all the different elements, but we are actually running a pilot with regards to inclusion.” O’Mahony believes that role modelling is part of the drive. According to her, in a team where the manager was effectively role modelling and showing good behaviours in terms of personal boundaries, recharging, and looking after themselves, both the engagement and wellbeing scores were much higher. “Having open conversations about mental health was very important as well,” says O’Mahony in building psychological safety at the corporate level. “Everybody needs to get involved. Everybody needs to have a much better understanding of mental health, not just line managers.” sustainabilitymag.com

HOW SHELL’S SOURCE 2 CONTRACT DIGITALISATION AND AI BOOSTS PRODUCTIVITY

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WRITTEN BY: ILKHAN OZSEVIM PRODUCED BY: CRAIG KILLINGBACK

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Through its digitalisation, automation and AI systems in procurement Shell is receiving global recognition for its productivity and growing ethical standards

eading a transformation to digitise and automate Shell’s S2C (Sourceto-Contract) and E2E (End-to-End) processes, Sander Voorn, the S2C Digital and Process Transformation Design Manager at Shell, discusses how the use of certain digital systems and tools have had a huge and measurable impact on their output. “My current role is really focused on looking at how we can digitalise,” he says, “and with that, largely automate these processes.” Voorn has been in procurement for the last 20 years, starting in an internal supply chain management consulting practice and within that role, helping to manage one of the company’s strategic supplier relationships — their technology partner for telecoms. From there, he was integral in centralising their procurement activities, moving into a role to digitalise their contingent workforce spend and activities. How digital tools fuel Shell’s procurement process Now at Shell, and describing the interplay of procurement structures and systems that brought this transformation about, Voorn says: “Each business has a procurement function, but they fall under one Executive Vice President, and my organisation supports all of these different businesses

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centrally. We have a few key tools to carry out this function. We have our Category Management and Contracting Process framework, which lays out the requirements that everybody needs to meet, which we incorporated into the system, SAP Ariba, which has embedded DocuSign. We also have Salesforce to complement this process, and a few other systems which together operate to manage the entire end-to-end (E2E) process.” With the rise of digital systems in business, and their inevitable impact on global procurement processes, the effects are considerable. Voorn says: “The biggest changes have been around centralisation, and a growing awareness of the importance and value of data, and the need to structure and standardise that data in order to extract value from it. The risk-management aspect of procurement has fluctuated a little, but in the last couple of years I’ve seen a growing awareness of its importance not only from a cost perspective, but also from a differentiator perspective. “The ability to identify viable organisations — that is, who from a risk and ESG perspective we want and do not want to be doing business with — is becoming increasingly important, and I think this trend will continue to grow.” Growing digitalisation has unmistakable global consequences, according to Voorn: “We are now able to connect the process End-To-End (E2E) that would not have been possible in the past.” “The key to E2E system and process optimisation and integration is to create Natural Working Teams (NWT) composed of all relevant disciplines. The core of these NWTs consists of the Process Architects from my team, our partners from IT and the 98

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“ MY CURRENT ROLE IS REALLY FOCUSED ON LOOKING AT HOW WE CAN DIGITALISE AND, WITH THAT, LARGELY AUTOMATE OUR SOURCE-TO-CONTRACT (S2C) PROCESS” SANDER VOORN

S2C DIGITAL &PROCESS TRANSFORMATION DESIGN MANAGER, SHELL

Data Analytics team. These experts make the digitalisation happen!” One of the main systems in Shell’s entire S2C process is SAP Ariba, where they now manage all of their spend. Describing the process, he says: “From my perspective, it begins with category management. We have categories like contingent workforce, rotating equipment or consulting, for example. These categories are managed by the Category Managers (CMs) who help collect market intelligence and are responsible for providing global steer to a group of buyers. “The CMs set up these category strategies that detail how we want to go to market. They typically create global framework agreements, which are then made available through SAP Ariba. The next step begins when our buyers are looking to identify demand for a specific contract. They come up with a sourcing strategy, tie this into the global category strategies and leverage the information from them.”

SANDER VOORN TITLE: S2C DIGITAL & PROCESS TRANSFORMATION DESIGN MANAGER INDUSTRY: ENERGY SUPPLIER

EXECUTIVE BIO

LOCATION: NETHERLANDS Sander Voorn is the Source to Contract Digital & Process Transformation design manager at Shell where he has led the S2C digital transformation over the past 4 years. During this time the S2C cycle-time was reduced by over 25%. Prior to this, he developed and implemented Shell’s Supplier Performance Management best practices for its Arctic operations. Ensuring safe and efficient performance throughout its supply chain. Sander’s first global digital transformation was in 2005 when he developed a global programme for the sourcing and management of Shell’s 10,000+ Contingent workforce. The transparency and control this enabled reduced Contingent Workforce cost by USD 60 Mln+ annually.

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Demand Forecasting: Improve on-shelf-availability and avoid out of stock conditions

Assortment and Inventory Optimization: Operate a competitive supply chain with a clear line of sight

Predictive Maintenance: Identify and address potential downtime before it arises

DISCOVER MORE

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We can already see how much of Shell’s procurement process is carried out within SAP Ariba. “We also review and approve them within SAP Ariba,” he says, “which provides the added benefit of being able to reuse and leverage existing or prior strategies, and we then use SAP Ariba to go to market, eSourcing either auctions or tenders. “We typically provide our suppliers during the tender with our fit-for-purpose contract proposal, in order for them to base their quote on. This draft, too, is created in SAP Ariba, which is done by leveraging

the metadata or the header data of the contract, which identify things like country, commodity, dates, contract value and so on to automatically assemble a fit for purpose contract for that unique situation.” This is where SAP Ariba’s Artificial Intelligence starts to play a greater role. How Artificial Intelligence and Automation lead to increased productivity “Contract Authoring was a time consuming and non-compliance risk area until we were able to use SAP Ariba Contract Authoring technology. There are about 50 key data points that the system uses to automatically assemble from around 4000 different elements of clauses, in order to determine the right contract for a specific situation. We have about 6 million possible combinations, sustainabilitymag.com

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and that's the draft that we give to our suppliers to base their bids on. Once we get the quotes back, we finalise the contract agreement, then use DocuSign to get a quick signature on those contracts.” Once contracts have been signed, they have an automated bot – referred to as an RPA (Robotic Process Automation) – that then releases the outline agreement of the contract on the SAP ERP system, from which the volume of spending for individual contacts is monitored. The sheer volume and complexity of data that is sifted through and analysed highlights the extraordinary productivity and efficiency that AI is able to achieve compared to its relative human elements. Shell also employs a selection of other (AI) systems to bolster and complete their operations. 102

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One of these is Microsoft Power BI (Business Intelligence), which is used in conjunction with SAP Ariba to allow procurement staff and stakeholders to easily follow contract journeys. A new Suite Dashboard for Shell’s Contract Management Teams (CMTs) is to be implemented into Salesforce, too, where they can see and collaborate on the contract relevant to each party. Digital contracts, the limitations of AI and the need for human intervention Voorn’s position is that, even as part of the Shell procurement process – widely recognised as one of the most effective in the world – it is not yet perfect. And this is, he believes, due to the fact much of it still requires a certain amount of human intervention: “Presently, from a workflow

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perspective, contracts are integrated and to a degree, automated. From an Artificial Intelligence (AI) perspective, however, most of the technology that I see is quite limited, and still needs a lot of human intervention. “AI, no doubt, is able to perform numerous activities, but in reality for many applications it only has around a 60-70% accuracy rate, which means that you still need to have a person double-checking its work, which kind of defeats the purpose.” He adds: “Truth be told, when people talk about Machine Learning, it's really about training the algorithm. We train the algorithm what is and what is not permitted, by embedding that training (or that learning) into our regular workflows.”

“ THE ABILITY TO IDENTIFY VIABLE ORGANISATIONS – THAT IS, WHO FROM A RISK AND ESG PERSPECTIVE WE WANT AND DO NOT WANT TO DO BUSINESS WITH – IS BECOMING INCREASINGLY IMPORTANT, AND I THINK THIS TREND WILL CONTINUE TO GROW” SANDER VOORN

S2C DIGITAL &PROCESS TRANSFORMATION DESIGN MANAGER, SHELL

How AI can help to drive creativity and ethical standards The AI aspect of Shell’s procurement systems is not only able to improve costeffectiveness and operational efficiency, but is also able to free up staff from certain laborious and time-consuming tasks, enabling them to work more creatively, as well as having an impact on ethical procurement. “If you look at our strategy at Shell ‘Powering Progress’,” says Voorn. “It consists of a number of elements, a key one being ‘Powering Lives’. This means that Shell is concerned with supporting inclusive societies, but it also means making sure that we only ever do business with ethical suppliers, and also that there is supplierdiversity, where we do a lot of supplier development which can take time. “So, thanks to the AI and automation process, we can free up staff to spend more time finding potentially viable suppliers and to look at how Shell can help these suppliers reduce their own carbon footprint.” sustainabilitymag.com

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When considering ethical procurement at Shell, the company takes time to develop actions and solutions to diversify their suppliers, as well as how to ensure that workers’ welfare rights and ethical standards are not only complied with, but substantially increased. Artificial Intelligence also plays a significant role in the quality of Shell’s health and safety standards, with Voorn saying: “As part of our process, we ask suppliers about their safety standards and worker-welfare policies. Some suppliers respond, some don't, or don’t do so quickly enough. In order to tackle this problem, we are building bots to ask these questions and to follow them up. “Once suppliers come back with their Health and Safety and Welfare Policy documents, they need, of course, to be fully read and digested. We typically know what kind of HSE (Health, Safety and Environmental) policy their documents should cover. With AI NLP (Natural Language processing) capabilities, we can see whether this document and their policy is up to a certain standard and whether it meets our thresholds, so we can then determine where there’s a safety risk for a specific category. Shell’s Scope 3 ambitions and data driven sustainability As an energy company, Shell is looking at its own CO2 emissions, as well as Scope 2 and 3 – which includes the CO2 footprint of their suppliers. One of Shell’s policies, implemented last year, surrounds the company’s drive to identify those suppliers who want to actively reduce their CO2 footprint, who can then register themselves in the Supplier Energy Transition Hub (a Shell-initiated programme), which Shell has made available as a public application 104

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Shell uses Whatfix to drive adoption of its S2P digital applications Shell transformed its contract management and procurement processes with SAP Ariba to keep up with the competitor landscape, streamline operations, cut supply chain costs, and meet evolving customer expectations. However, with a complex new application and outdated training practices, Shell struggled to meet its adoption goals, meaning longer process times, large amounts of support tickets, high training costs, and poor data quality. With Whatfix’s digital adoption platform (DAP), Shell created a simple application experience with in-app content providing personalized guidance for employees. With in-app elements like step-by-step flows, task lists, and tooltips, Shell provided its contract and procurement departments with engaging onboarding and training, in the flow of work.

“Whatfix provides a great way to store information where it’s most needed, reducing the number of users' questions, and simplifying training. It’s a great way to communicate changes - ‘just follow the Whatfix flow!’” With Whatfix, Shell launched its in-app digital assistant, SCAI, which embedded a knowledge base into SAP Ariba - allowing users to search for any applicationrelated questions. “Whatfix enabled SCAI, which answers the majority of questions related to our contract and procurement processes, hence we don’t have to answer each support question from the frontline! Users ask SCAI anything they need on the contracting process or tool, allowing my team to focus on more important activities.” With Whatfix, Shell created an intuitive SAP Ariba experience that supported its workforce through complex contract and procurement workflows. Whatfix provided an intuitive point-and-click digital adoption solution that accelerated its SAP Ariba adoption. Empower your workforce with better in-app experiences and on-demand support with Whatfix!

By the Numbers:

The Whatfix Difference • • •

20% reduction in SAP Ariba support queries & 30% reduction in time spent on application-related support tickets 100% change communication to all SAP Ariba end-users 20 minute reduction in end-to-end cycle time per contract

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to which any company can join. In turn, Shell then works with these companies to reduce their carbon footprint. “This is where you see a touch of symbiosis between our suppliers as customers, and our customers as suppliers; nobody can do this alone, what’s needed is collaboration.” Shell is currently upgrading one of its SAP Ariba modules, called Supplier Life Cycle and Performance Management (SLP). SLP will allow Shell to develop sophisticated supplier profiles, by being able to analyse the qualifications of a supplier’s performance data from a variety of different angles and lenses. Everything from safety to delivery methods, through to their pricing, quality – and even worker-welfare – will be considered. Voorn says: “I think that SLP capability is going to be critical in our ‘Powering Lives’ development, and as partof our Net-Zero ambitions.”

Electrifying energy: Shell’s strategy to move away from Fossil Fuels Shell has set out a strategy to accelerate the transition of our business to net-zero emissions. “Shell is working to provide more renewable and low-carbon energy options for customers through investments in wind, solar, electric vehicle charging, hydrogen, and more,” says Voorn. ‘For example, Shell is investing in lower-carbon options – from electric-vehicle charging points and solutions to fuels like hydrogen and biofuels.” Additionally, Shell recently announced that it plans to increase the number of charging points from 80,000 to 500,000 worldwide by 2025. “We've been recognised on a number of elements of our portfolio, from CIPS (Chartered Institute of Procurement & Supply) and others. With CIPS, it was for our end-to-end (E2E) process,” says Voorn. “Our source to contact (S2C) digitalisation sustainabilitymag.com

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“ I HAVE SEEN GREAT CHANGES IN PROCUREMENT OVER THE PAST 20 YEARS. THE BIGGEST HAVE BEEN AROUND CENTRALISATION, A GROWING AWARENESS OF THE IMPORTANCE AND VALUE OF DATA” SANDER VOORN

S2C DIGITAL &PROCESS TRANSFORMATION DESIGN MANAGER, SHELL

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strategy was recognised due to our global journey, but also due to our position moving forward. We have a fairly high percentage of sourcing that’s done through e-sourcing and e-auctions – when compared to the market standard – with around 88% of our contracts being signed through DocuSign. Just a few years ago, this was very uncommon. We encourage its use at Shell and, once you've used it, you know that it's a better way to go.” Unexpected Data-Synergies and Value from Artificial Intelligence For Voorn, the Salesforce programme that Shell uses has two primary functions: it acts as both a kind of dashboard where data from different sources can be directly

pulled, as well as having the ability to jump via embedded hyperlinks into SAP Ariba to a specific task or activity. Salesforce gives them the ability to collaborate, whereas most Source-toContract (S2C) tools have limited collaboration capabilities. It also allows them to collaborate on documents and pulls in documents and data from other systems, while also pushing these back into SAP Ariba via a systematic record–keeping function. The entire system is streamlined toward higher productivity. Voorn says: “A big surprise to me was that data analytics with Alteryx identified activities that were being done that didn’t require doing. We then saw the number of contracts that staff could manage increase and the time

it took to complete a contract decrease. The game changer in process optimisation through process mining was when we decided to use Alteryx. We fed the system all our SAP Ariba workflow data which we analysed to identify frictions points, waste and other inefficiencies. This generated very surprising insights that enabled us to close knowledge gaps with some of our users, take out process steps that were not needed, re-engage with key process participants that were ignoring their tasks in the system and were still using e-mail and implement many more improvements. All combined this led to a 25% shorter cycle time and very material reduction in effort by procurement staff and key stakeholders. sustainabilitymag.com

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“ONE OF THE MAIN SYSTEMS IN SHELL’S ENTIRE S2C PROCESS IS SAP ARIBA” SANDER VOORN

S2C DIGITAL &PROCESS TRANSFORMATION DESIGN MANAGER, SHELL

Another programme that Shell uses is Whatfix, which is a digital assistant that’s implemented inside SAP Ariba. Voorn says: “We have about 10 different features that Whatfix can do to help a user who’s, for example, using a feature that's never been used before. Or, if we change something in the system affecting a certain field, they will be notified of this change – and even explain the purpose of that field. Whatfix has enabled us to stop ‘classroom’ training and replaced this with short demos, guided tours, real time tips and similar features. So our users are much more comfortable trying new things because the system will support them. It will also detect in real-time any incongruent data, flag this to the user and guide the user to correct this, avoiding errors further down in the process. This again leads to increased productivity. The impact of these systems at Shell is palpable. Productivity has been increased and the company is able to react to geopolitical shifts through automation and raising ethical standards while increasing productivity. Sander Voorn predicts that these trends will continue to grow, serving as a perfect example of the essential nature of digitisation and automation in contributing to the success of any company aiming to thrive in an everexpanding digital landscape.

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GMVK PROCUR driving digital t Germany-based digital procurement company GMVK is committed to helping midsized companies reach digital transformation sustainably WRITTEN BY: BLAISE HOPE

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REMENT GROUP transformation G

MVK is a renowned Germanybased digital procurement company. It was founded in 2004 by Ulrich Rehrmann in Düsseldorf. The company was established to support businesses facing "the paradigm shift within communications", namely the shift from analogue to digital media, "by optimising internal processes and company communications". Originally focused on the sales and distribution side, GMVK has shifted to procurement. It shut down its sales and distribution division in 2012 when Thomas Mademann joined GMVK as managing partner. The company later developed the BI-software 4EBIT-Suite following the establishment of a joint venture with Detect Value.

The joint venture has now become a subsidiary of GMVK, with 95% of 4EBIT GmbH's shares being owned by GMVK and 5% by Detect Value, which remains a close cooperation partner of GMVK today. Together, GMVK Procurement Group and 4EBIT now provide procurement expertise, combined with modern BI-solutions, to help optimise the procurement of medium-sized businesses with respect to long-term economic and ecological viability. How GMVK helps companies drive digital transformation Fast forward to 2022, data scientist Tobias Löwenthal joined Ulrich Rehrmann and Thomas Mademann as a Managing Partner. For over ten years prior to joining the company, Löwenthal worked as a business intelligence consultant for different companies.

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“ THE REAL KEY PIECE FOR BUSINESS RESILIENCE AND VISIBILITY DOESN'T STOP AT GETTING THE DATA, BUT ALSO CREATING TRANSPARENCY” FELIX DALSTEIN

HEAD OF SUSTAINABILITY, GMVK

"GMVK is a consultancy company that helps their customers to drive digital transformation and reduce costs per procured unit of indirect," Löwenthal says. "What that means is the company helps their customers transform their procurement department, and in the transformation process, help reduce the cost for any indirect that the company spends money on. "Indirect is everything that doesn't necessarily go into the product but takes up a huge percentage of what a procurement department has to deal with on a daily basis. For example a car company needs aluminium as a direct material because it's needed in the product. Meanwhile. toilet paper or printing paper are examples of indirects.” According to Löwenthal, 4EBIT plays a huge role in the procurement process. He said the wing was established in 2020 after GMVK and its consultants realised that using commercially available software was "not really the most efficient way of analysing all the data necessary for the clients' procurement optimisation".

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"Basically, they were looking for a product that would help them increase efficiency," he says, adding that the establishment of 4EBIT helped them become more transparent to their customers. "A lot of people are not dependent on printed reports anymore, which was the way ten years ago," Löwenthal says. "Some companies have Excel files in which they report stuff, but this is also not up to date

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anymore. There is software that can help automate reports, software that help uncover and identify hidden potentials, as well as risks." "The software helps manage those risks, manage those potentials, and simply automates or does it in one concentrated entity as a service to companies. So there is a real big transformation going on with digitalisation. Companies now can focus

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“THE CHALLENGE IS NOT ABOUT AVAILABILITY OF INFORMATION, IT IS ABOUT MAKING SENSE OF THAT INFORMATION” TOBIAS LÖWENTHAL

MANAGING PARTNER, GMVK

on their core value and strategic tasks without being distracted. They only need to pay attention to all the things that they necessarily have to do." Challenges in digital transformation To achieve digital transformation sustainably, there are other aspects that come into play ecologically and socially. “We need to change as humanity in order to be able to live on this planet for the next years. And that has multiple perspectives,” says Löwenthal. "People need to change the way they approach things, which is something that they are reluctant to do.” Meanwhile, according to GMVK Head of Sustainability Felix Dalstein, the major challenge faced by companies that use GMVK's services is that they are "overwhelmed by the availability of options in this field". "There are countless companies working and getting into the field of sustainability, in terms of carbon footprint, in terms of supply chain visibility, in terms of compliance" he says. However, "we see a clear difficulty in defining company goals as well as a

systematic plan to reach those goals, especially in terms of sustainability". "It's really hard for companies to find and figure out the proper partner that matches its sustainability vision and goals. It is not just about choosing a flashy tool or a name because another company or a friend recommended it, you have to find the appropriate tool to make sense of your data to reach your specific sustainability goals in a transparent and systematic way." Dalstein added that GMVK helps its clients in reaching economic and sustainability transparency, combining this data to lay the foundation for sustainable company development. “The real key piece for business resilience and visibility doesn't stop at getting the data and creating transparency,” says Dalstein. “The goal shouldn't be to stop there. It should be to use this information to improve your procurement, to improve your entire supply chain and make those processes along the supply chain more sustainable along the way so that you, all your suppliers and the end customers get a more sustainable product out at the end.”

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PROMOTING NORWAY’S DC CREDENTIALS THROUGH MEMBERS’ SKILLS WRITTEN BY: SAM STEERS PRODUCED BY: LEWIS VAUGHAN

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NORWEGIAN DATA CENTRE INDUSTRY

Bjørn Rønning, General Manager of The Norwegian Data Center Industry, explains the company’s work in promoting the industry through its members

he Norwegian Data Center Industry is an association formed of seven data centre operators and power providers. Known as the ‘founding fathers’, these include Green Mountain, Stack Infrastructure, Lefdal Mine Datacenter, Bulk, Basefarm, Ringerikskraft and Statkraft. The association also noticed that there was significant interest from other areas of the ecosystem and today it consists of around 35 members – from power providers to hardware suppliers. Its aim is to promote the country’s data centre sector through its members and working groups. “What really made us pull this together was the joining of forces on addressing the tax barriers that kept us from being competitive with our neighbouring countries,” Bjørn Rønning, General Manager of The Norwegian Data Center Industry said. The need for an association like the Norwegian Data Centre Industry increased during the height of the pandemic, which accelerated the company’s growth further and allowed it to identify the main issues the Norwegian sector is experiencing and how best to tackle them. According to an analysis conducted by Implement Economics – part of the Implement Consulting Group – data centre capacity in Norway has increased by 17% per year since 2010. In 2020,

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NORWEGIAN DATA CENTRE INDUSTRY

Promoting Norway’s Data Centre Credentials

“ It’s essential for us to grow as an organisation, to recruit more members, and expand the already quite large ecosystem” BJØRN RØNNING

“I think one of the key themes here is the energy situation and the total cost of ownership – the TCO – of energy,” says Rønning. “It’s all about turning around the perception of Norway that it is, in inverted commas, ‘not open for business’. Norway is absolutely open for business. We have a very mature digital population; we have a government that’s really backing the data centre strategy; and we have a vibrant data centre ecosystem that is led by five large data centre operators.”

approximately 145 MW of capacity was installed, and this capacity is expected to grow sharply in the years to come. In the period 2019-2020, at least NOK 2.7bn (US$3.06bn) was invested in new data centres in Norway. The investments are driven by both Norwegian and international demand.

Working groups address key areas of the data centre sector In addition to reducing tax and improving framework conditions, the Data Center Industry association looks to advertise and promote the industry. It achieves this through its working groups. Based on requirements from the association’s members, there are four working groups categorised into Sustainability,

CEO, NORWEGIAN DATA CENTRE INDUSTRY

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centre industry in Norway today that is open for business to take in new clients who are looking for cost-effective and sustainable solutions,” Rønning says. Norway’s unique position as a sustainable data centre location Sustainability also plays an important part in the association’s strategy, as the industry Continues page 12 

BJØRN RØNNING TITLE: CEO INDUSTRY: DATA CENTRES LOCATION: OSLO, NORWAY Bjørn Rønning is the CEO of Norwegian Data Center Industry, a trade association, and the voice of the data center industry in Norway. Mr. Ronning is a telecom professional and has through his career worked as an advisor in the national and international digital infrastructure space, including terrestrial and subsea fiber optic networks, data centres and related digital infrastructure.

EXECUTIVE BIO

International Marketing, Power & Grid and Skills Development. Each of the groups is working on different projects. The Sustainability working group, for example, is focused on heat reuse projects. As the Norwegian operators already tick the box for renewable energy and worldleading power-efficiency, heat reuse is the next step on the road to carbon neutrality. “We are also looking at how we can get consistent and transparent reporting on climate factors, so we can compare apples with apples in terms of other markets or other countries,” Rønning explains. Rønning says that the global data centre industry is in short supply of personnel such as electricians and people who work with cooling and heating technology. Although the situation in Norway is not as critical, the Skills Development group aims to spur development of skilled resources to the DC industry. “We are actively working with schools to develop apprenticeship programmes to encourage more young people into the business,” he says. Then there’s what Rønning refers to as the working group for power-related issues. He wholeheartedly believes that Norway is equal to other countries when it comes to building grids, launching projects, and having on-site power availability. This is, however, cumbersome work as Rønning points out. “You’re working with large, monopolistic organisations like grid providers and so forth, and we are actively working to see how we make the permit processes for power grid construction more effective.” The last of the four groups is International Marketing, which aims to promote Norway as a sustainable data centre destination. “We have so many sites, so much renewable power and so much connectivity and competence to offer. We have a vibrant data

NORWEGIAN DATA CENTRE INDUSTRY

TAKING SUSTAINABILITY TO THE NEXT LEVEL WITH HEAT REUSE

SUSTAINABILITY...

In Norway, we are fortunate to have access to 100% renewable hydropower to operate and cool our data centres. This also means that we are in a good position to take sustainability to the next level, exploring new solutions to support the green shift. An area with huge potential is reuse of waste heat from data centres. Several operators in Norway have initiated pilot projects to address this challenge and, below, we present a few examples:

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1. Greenhouse plants – Bulk Data Centers has signed letters of intent on the recovery of heat across all its data centres, to ensure any excess is utilised in the district heating network. This will provide heat for several energy intensive processes and ventures, including Bulk’s first step to realise its circular industry cluster vision at its N01 campus in Kristiansand with Kristiansen Gartneri (Greenhouse Plant). In this instance, the heat provided will power Kristiansen Gartneri’s greenhouse vegetable operations – keeping vegetables sufficiently warm and reducing the greenhouse’s power needs – making food production more costeffective and sustainable.

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2. Land-based lobster farm – The company, Norwegian Lobster Farm, will use the waste heat from Green Mountain’s DC1 data centre. To grow optimally, the lobster needs a temperature of 20°C in the seawater. This is exactly the temperature of the seawater that has been used to cool the IT equipment. In a production facility adjacent to the data centre, this heated seawater can be used directly in the breeding of lobsters. As a result, the energy is reused, and Green Mountain is one step closer to making the facility climate positive. More info

3. Land-based trout farm - Hima Seafood is going to establish a land-based trout farm 800m from Green Mountain's DC2Telemark data centre. By connecting the two facilities together by a pipe system, we will deliver heated water to Hima. Heat exchange technology will then ensure that the Hima facility can use the energy from the water. The same water is subsequently returned to Green Mountain. The water now holds a lower temperature that can be used in the

NORWEGIAN DATA CENTRE INDUSTRY

cooling of the data centre. In other words, a truly circular project. The farm is estimated to be operational in 2023. More info 4. Smolt production – Lefdal Mine Datacenter cooperates with Sjomatstaden, a future-oriented seafood centre nearby their facility. They will use the waste heat from the data centre to produce smolt (a young salmon ready to live in saltwater.) Production with heated water is twice as fast, compared to using original ocean temperature. Estimated production in phase 1 is 6 million smolts/year, which in turn will result in 15.000 tonnes of salmon annually. This will also save the seafood centre an annual power capacity equal to 12MW. More info

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DATA CENTRES IN NORWAY SUSTAINABILITY WITH A COST BENEFIT Electricity Generation in Norway

Thermal power - 11.9% Wind power - 1.0%

From 4 cent / kWh Incl.

grid fee

Hydro power - 87.1% Source: SSB

Lowest Energy Prices in Europe Lowest electricity prices in Europe Competitive grid fees Lowest energy tax in Europe

Green Energy Electricity production in Norway is 98,9% renewable Consecutive annual energy surplus

• •

• • •

Read more on TCO on p.06

Source: government.no

Sustainability to the next level Heat Reuse projects Average PUE: < 1.2 Cold and wet climate

Carbon footprint of electricity: Norway average: 34.02 gCO2eq/kWh

• • •

• • F LAP-D average: 260.35 gCO2eq/kWh

Source: PUE numbers from operators

Source: Average in 2021 Electricity Map.org

Carbon Intensity - Europe 2021 Germany: 329.70 gCO2eq/kWh France: 59.03 gCO2eq/kWh United Kingdom: 246.55 gCO2eq/kWh Ireland: 363.42 gCO2eq/kWh Netherlands: 329.7 gCO2eq/kWh Denmark: 190.36 gCO2eq/kWh Norway: 34.02 gCO2eq/kWh 400

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300

200

100

EXCELLENT CONNECTIVITY Fibre Routes Recent investments in subsea fibre infrastructure have improved Norway’s connectivity. List of routes:

< 15ms

• Skagenfiber West • Skagerak 4 • Havsil

< 20ms

• Havfrue/AEC-2 • NO-UK Cable • Celtic Norse • Leif Erikson • Tampnet

< 30ms

Latency Examples from Oslo, the Norwegian capital and Stavanger, on the west coast of Norway. RTD IN MS

FRANKFURT

LONDON

AMSTERDAM

PARIS

DUBLIN

OSLO

14.4

14.9

12.6

19.9

18.2

STAVANGER

14.1

11.6

16.3

17.4

12.1

Source: Invest in Norway

STRONG ECO SYSTEM Digital mature and skilled workforce High competence, independence, high efficiency Flat hierarchies

• •

Political Commitment The Norwegian Government issued the world’s first data centre strategy in 2018 and updated it in 2021. This is a strong political commitment to continuously work to improve the framework conditions (taxes, energy, fibre) for the data centre ecosystem.

Norwegian Datacenter Industry Members of the association represent the whole data centre ecosystem, form site developers, designers, builders, suppliers, fibre operation, power providers to data centre operators. Currently there are 30+ members, the number is steadily growing. Member of the European Single Market Norway is fully integrated in the European Single Market through the EEA and Schengen Agreement.

Source: government.no sustainabilitymag.com

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itself has always been beleaguered by the difficulties sustainability poses. “I think that the data centre industry has always been challenged on the sustainability issue. That has, however, also led us to be in the forefront of developing and integrating sustainable solutions in the data centre industry,” Rønning says.

“We are also looking at how we can get consistent and transparent reporting on climate factors so we can compare apples with apples in terms of other markets or other countries” BJØRN RØNNING

CEO, NORWEGIAN DATA CENTRE INDUSTRY

In short, the long-term strategy for the Norwegian Data Centre Industry is quite simple, according to Rønning. “It's promoting the existing data centre industry in Norway, which is welcoming all kinds of business because we have ample space and ample access to power. In addition, we have a fantastic connectivity infrastructure that had a heavy uplift during the last five, six years.” A partner ecosystem represented by its members The Norwegian Data Centre Industry’s partner ecosystem within the association is represented by its members. Our current members include Norwegian and international data centre operators, the MEP supplier industry, construction companies, HW/SW suppliers, communications sustainabilitymag.com

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AUTOMOTIVE DATA GOING NORTH Automotive data going north The focus on the Nordics as the ideal data centre location has increased over the last few years, especially in light of the region's plentiful access to renewable power and beneficial climate for efficient cooling. An industry that has certainly set its eyes on the Nordics is the automotive industry. Their HighPerformance Computing (HPC) workloads are a perfect fit for colocation providers in Norway.

The automotive industry is going through a massive transition. Electrical vehicles, autonomous driving, new business models and the race towards carbon neutrality are driving this industry through massive changes. This also means that automotive companies are having to store and process enormous amounts of data to make this transition. An increasing share of this data now finds its way to Norway. Here are two examples of international automotive companies who have made the move to the Nordics.

Crash Tests Using the Power of Water In 2019, Volkswagen group moved its HPC operations to Green Mountain’s data center in Rjukan, Telemark. Two new data halls were constructed on the Green Mountain premises in only six months. These halls are supplied with up to 2,75 MW of power – that generates plenty of computing capability that Volkswagen and Audi will apply to run HPC projects like simulated crash tests and virtual wind tunnel trials. In comparison to a conventionally operated computer center, the facility in Rjukan saves Volkswagen Group more than 5,800 tons of CO2 annually. Read full story Photo credit: Volkswagen Group

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Photo credit: Lefdal Mine

Lefdal Mine Datacenter welcomes MercedesBenz to its underground facilities In 2021, Lefdal cooperated with Infosys to sign a large data center agreement with MercedesBenz. The company moved its High-Performance Computing (HPC) cluster to Lefdal Mine Datacenter and was then one step closer to becoming a carbon-neutral company. MercedesBenz uses the global IT giant Infosys to operate its IT infrastructure. Infosys delivers “Green Data Center as a Service” to Mercedes-Benz from the facility in Nordfjord. Read full story

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“ You’re working with large, monopolistic organisations like grid providers and so forth, and we are actively working to see how we make the permit processes for power grid construction more effective” BJØRN RØNNING

CEO, NORWEGIAN DATA CENTRE INDUSTRY

operators, power companies, and companies in the consulting industry. “If you start at the very bottom of the ecosystem, you have the site providers. You have several companies also owned by local municipalities that offer sites for data centre projects. “We are working with them to really adapt the site to be even more attractive for new data centre projects,” Rønning says. The company also works with both designers and suppliers of plumbing, mechanical, and electrical equipment, as well as operators and their subcontractors. “The ecosystem is complete, in terms of covering the entire value chain.” Rønning also adds that the Norwegian Datacenter Industry also welcomes new data centre operators to Norway. 132

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“Our well established supply chain network can assist foreign data centre operators wanting to establish new data centre operations in Norway.” Discussing the working relationship with the ecosystem, he says: “My organisation is created by my members and it's basically meant to serve my members. So, I think that one of my most important tasks is to listen to my members, hear them out, understand what their concerns are and the opportunities they want to develop, and that's why we have established these four working groups.”

- The Norwegian Data Centre Industry was founded to provide solutions to challenges faced in the data centre sector and to promote the country of Norway as an attractive market. - It was founded in 2021.

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DC BYTE...

INTERVIEW WITH DC BYTE ON THE NORWEGIAN DC MARKET 1. In your view, what are the growth projections for the Nordic market? And what are the drivers behind this growth? The data centre market in the Nordics is 5 times the size it was a decade ago. With over 1.3GW of total capacity added between 2016 to 2021 and average yearly growth of 17.5%, it has the potential to grow by more than 60% of its current live capacity rate over the next 3-5 years. The region has become a relatively attractive location for hyperscale public cloud operators, with around 58% of the live capacity in the region coming from selfbuilt public cloud deployments. The key drivers for the popularity of the Nordics

Jovita Januskeviciute

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are the area’s cool climate, an established infrastructure, good network connections and a plentiful supply of renewable energy. 2. Does Norway stand out in any way compared to the other Nordic countries? Each of the countries within the Nordic region has unique features. Some factors are more common across the region, whilst others are country-specific. Increasing global concern about climate change and the signing of the Paris Agreement is driving businesses to look for more environmentally sustainable ways in which to operate. As an industry that

NORWEGIAN DATA CENTRE INDUSTRY

is heavily reliant on power, data centre operators are continually seeking more sustainable and efficient solutions. Norway has great potential in this regard due to an abundant supply of green energy. Almost all electricity produced by the country emanates from green energy sources. In addition, Norway has an industry-supportive government that favourably impacts national industry growth. In the last 4-year period, Oslo’s data centre market has grown at an average of 42% annually. In 2021, planned capacity in Norway alone doubled the 2020 figure, representing the second largest planned capacity across the Nordics after Denmark. 3. How do you think the Nordic market will develop compared to the FLAP-Ds? Will

there be a “migration up north” movement in the market? Especially in light of the energy situation in Europe, would this expedite any migration projects? Nordic national markets are on an upwards growth trajectory. The increase of technological integration in recent years, particularly during the pandemic, led to a significant rise in IT capacity of newly built facilities. This resulted in power constraints, particularly in the larger markets such as London, Amsterdam and Dublin. Whilst it is too early to say which particular markets will become more dominant, considering what the region has on immediate offer, the Nordics are well-placed to be potential front runners in attracting foreign investment and development.

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HOW TO ESTABLISH A DATA CENTRE IN NORWAY

INNOVATION NORWAY...

Interview with Benedicte Fasmer Waaler from Invest in Norway

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Q: Norway is one of the few countries with its own data centre strategy. How important is this for the industry and potential clients? A: A national data centre strategy shows an overall commitment from the government to develop and promote the data centre industry. Our experience is that this is appreciated – both by investors and players in the data centre industry – at home and abroad. The existence of a data centre strategy is a strong signal that there is a will to establish and maintain a favourable business climate, including a stable regulatory landscape for the industry, in the years to come. This stability is important both from an investment and from an operational perspective. The new government continues to support the previous government’s strategy. Q: What are the different entry strategies when looking to move your data centre capacity to Norway? A: The Norwegian data centre market offers different solutions to suit different requirements. Whether it means leasing capacity from the Norwegian data centre operators, setting up your own data centre as a service, build-to-suit, ready-to-build,

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or even build your own data centre. The Norwegian government is committed to making this process as smooth as possible and has provided an introduction guide with references to more detailed resources when needed. More Info Q: How does Invest in Norway cooperate with The Norwegian Datacenter Industry? A: We welcomed the formation of the business association Norwegian Data Center Industry in June last year and are pleased to see that it already represents the voice of the industry towards the public authorities and the market as such. In our view, it is valuable that the association rooms the whole data centre ecosystem, from site developers, power providers, communication service providers, and equipment suppliers to the data centre operators themselves. We cooperate with the association in the international marketing of Norway as a favourable and sustainable data centre nation, either by sponsoring marketing activities or by joint marketing efforts towards an international market. We also work with the association to identify and market beneficial locations in Norway for developing new and energy intensive data centre projects.

NORWEGIAN DATA CENTRE INDUSTRY

Monitoring the international market and industry trends The Norwegian Data Center Industry has several plans lined up for the next 12 to 18 months. According to Rønning, “the most important of these is to closely monitor the international market to determine how it can benefit the data centre operators already located in Norway. It’s also to see if it can create opportunities for new projects to commit to the Norwegian Market,” Rønning says. “It’s essential to grow as an organisation, to recruit more members, and expand the already quite large ecosystem.” Moving forward, his goal is to be the voice of the Norwegian data centre sector that public authorities listen to. Looking toward future trends in the industry, Rønning highlighted one in particular: energy efficiency. “I would expect to see many technical solutions that would address this issue. That would include everything from exploring liquid cooling to having a more effective solution for heat reuse. In rural areas, the DC operators are already working actively with projects like heating greenhouses and fish farming projects. We would see huge developments on the sustainability side in terms of embedding it in the total project how you operate sustainably throughout the data centre’s whole lifecycle. Rønning also expects to see growth in hyperscale installation, both in Norway and other Nordic countries. “I think you will see even more energy-efficient technology and even larger installations because we need to digitalise more, which, in the end, is the key to becoming more sustainable.”

ABOUT THE ASSOCIATION Norwegian Data Center Industry is a neutral business association and the voice of the industry towards the market and public authorities. We provide the most prominent meeting place for the industry to network, influence and promote the members of the association. We are passionate on spearheading sustainability and low TCO among the key reasons why you should establish your data centre or move your workloads to Norway. Our members represent the whole range of players in the data centre ecosystem, from site developers, builders, designers, power providers, communication service providers, equipment providers and data centre operators. Links to resources: National Data Center Strategy How to establish a data center in Norway How Norway produces hydropower with a minimal carbon footprint Data Centers in Norway (in Norwegian) Connectivity in Norway Contact info: Bjørn Rønning Norwegian Data Center Industry Oscarsgate 20, 0352 Oslo Norway Mobile: +4792242657 Mail: bjorn@datasenterindustrien.no

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SUPPLY CHAIN

SUPPLY CHAINS MUST BENCHMARK THEIR SUSTAINABLE

INITIATIVES

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As supply chain exposure rises and sustainability becomes the target, organisations must benchmark their progress to prove their ESG action to stakeholders WRITTEN BY: TOM SWALLOW

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CREATING BUSINESS VALUE THROUGH SUSTAINABLE ENERGY Ensuring you have the best partner at your side.

enelgreenpower.com

SUPPLY CHAIN

evising a workable sustainability strategy is a process that requires a significant amount of planning; without it, meeting the net-zero target will be substantially more difficult. After witnessing the effects of the COVID-19 pandemic — which gave society some much-needed time of reflection to ponder the state of the world and the way they see it — organisations are now cycling through the sustainability motions, with supply chains a core area of focus. Many of these organisation are now in the process of determining what their businesses can achieve when it comes to setting supply chain goals and how they will set about doing so. As witnessed during coronavirus and other unprecedented events of late, the supply chain is one of the most fragile components of business, so companies must monitor and protect it. Organisations in the supply chain space are already benchmarking their operations to determine the pitfalls of their processes, develop leaner yet more lucrative distribution networks, and source more responsible goods and services.

“ ORGANISATIONS ARE GOING THROUGH THE SUSTAINABILITY MOTIONS AFTER WITNESSING THE EFFECTS OF THE CORONAVIRUS PANDEMIC”

CARBON DISCLOSURE PROJECT Founded by Paul Dickinson in 2000, the Carbon Disclosure Project is an international non-profit organisation (NGO) with a global presence. Headquartered in London, UK, the organisation also operates from elsewhere in Europe, Asia, and the Americas, with offices in the US, Germany, Japan, India, and China. The NGO’s primary vision is to create a thriving economy that supports people while providing long-term protection to the planet. The group is committed to achieving this through company, city, government and investor engagement, as well as measuring economic sustainability through data transparency — encouraging organisations to reduce their environmental impacts. In 2021, suppliers that used CDP reported great results, including the reduction of emissions by 1.8 billion tonnes of CO2 equivalent (tCO2e) and savings of more than US$29bn.

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SUPPLY CHAIN

ISEAL ALLIANCE The ISEAL Alliance is committed to tackling the biggest sustainability challenges through its global network to encourage responsible practices and drive market change. The organisation works to: • Define the most credible practices for sustainability based on data from its global network • Provide collaborative spaces to share experiences and encourage group developments • Deliver ESG training and knowledge • Facilitate more sustainable innovation and strengthen current initiatives ISEAL is working in support of various ESG issues relating to the climate emergency — the increasing climate temperature due to emissions and biodiversity loss, as well as the related social concerns of human rights breaches and poverty. In line with the UN Sustainable Development Goal (SDGs), ISEAL empowers organisations with thought leadership and ideas for effective climate solutions.

Supply chain benchmarking is not only critical for developing organisations, but it also encourages transparency while providing actionable sustainability data that will drive changes across industries. In January this year, the fashion sector witnessed a significant development that could alter the way companies account for sustainability. Although currently in the proposal stage in New York, The Fashion Sustainability and Accountability Act could provoke organisations in the industry to present more detailed sourcing data in future. As more supply chains turn their attention to decarbonisation, waste management and other sustainability metrics, there are more things to consider when benchmarking operations against other sources of data. Firms are looking at ways to not only measure their performance in these areas, but to take and report actions to meet the

“ INVESTORS ARE BECOMING INCREASINGLY MORE OCCUPIED BY ESG DATA” net-zero target — which also pays dividends in terms of stakeholder engagement. Supply chain benchmarking creates ESG transparency Transparency is a word now commonly used in business, often being the catalyst for stakeholder interest and investor decision-making, and one that could relate to any aspect of environmental, social and governance (ESG) criteria.

When carrying out supply chain benchmarking against ESG criteria, organisations must consider the different stages in which they will need to gather and analyse data, find reliable sources of information on organisational or industry performance, identify the differences, and set out a strategy to improve upon those areas. Assessing supply chain sustainability performance Data holds the key to supply chain transparency. The most important stage for any organisation when benchmarking their performance is to look at the facts and how the firm currently performs in regards to criteria like emissions and material sourcing. According to the Carbon Disclosure Project (CDP), the analysis of this data can provide a competitive advantage in the eyes of both customers and investors, uncover sustainabilitymag.com

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potential sustainability risks within the supply chain, and determine where the opportunities are for further reductions and improvements. Metrics measured by supply chain organisations One of the main challenges that companies face when disclosing sustainability data is the ability to analyse it based on a specific standard or metric. As a fairly new disclosure concept, ESG data requires a standardised approach to present and action it effectively. But where does that data come from? Investors are becoming increasingly more occupied by ESG data when it comes to making decisions, so efforts to report this information are rising, making more data widely available on a constant basis. This is where digital tools come in. Companies like Benchmark ESG provide a dedicated software platform that allows supply chains to manage operational risks and compliance, sustainability credentials, product stewardship, and efforts to responsibly source across global applications. While there are some legislative pieces in place for sustainability, it is a very young concept for many organisations. Without formalising laws to enforce sustainability, 144

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SUPPLY CHAIN

“FIRMS ARE LOOKING AT WAYS TO NOT ONLY MEASURE THEIR PERFORMANCE IN THESE AREAS, BUT TO TAKE AND REPORT ACTIONS” businesses turn to respected bodies for industry standards or to organisations such as the ISEAL Alliance for insights and best practice. Sustainability transparency eliminates potential greenwashing Sentiments around brands are changing, including those that retain loyal customers worldwide. As more consumers become invested in the sustainability of their favourite providers, ESG has become a competitive advantage for businesses. Many brands have the power to make sustainability commitments, but without the necessary data to back them, it can leave them prone to greenwashing claims. Sustainability benchmarking is a useful tool for helping supply chains discover more about each process and implement the necessary strategies to achieve ESG compliance. It also shows the consumers — whose mindsets are adapting to sustainability agendas — that business practices are compliant with ESG trends. sustainabilitymag.com

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TELEHOUSE FRANCE

MARSEILLE ON THE GLOBAL

PUTS

COMMS HUB MAP WRITTEN BY: SIMON HOWSON-GREEN PRODUCED BY: LEWIS VAUGHAN

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TELEHOUSE FRANCE

datacentremagazine.com sustainabilitymag.com

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Sami Slim CEO of Telehouse France explains the business case behind the company's new strategic implementation as digital migration surges and prices increase

he surge in digital migration across the globe in the aftermath of the pandemic comes at a price, as well as a benefit. Sami Slim, CEO of Telehouse France, explains the business case behind his company’s new data centre in Marseille and why close collaboration with its partner, Elco Systems, will mitigate its risks and exploit its benefits. Data centres are blossoming across the globe; where you plant those blooms is vital. It’s all about location, so you must get it right. Here’s why: Let’s assume you are a software designer for a Munich-based German engineering company, and you need to send information to a client in Brazil about its mining operation in the middle of a remote quarry miles from anywhere. That information will travel across the internet hubs in - let's say - Frankfurt, then up to the U.S., down through Miami and then to Sao Paulo. So far, so good. That little packet of data left home and arrived at its destination faster than your eye moved from one word to the next in this sentence. But… every little packet of data costs money. That round trip from Bavaria to Southwestern Brazil. It would probably have more than 250 milliseconds of latency. It arrived late. That latency, according to Sami Slim, CEO of Telehouse France, makes the software those two companies are using “less useful and less powerful”. sustainabilitymag.com

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TELEHOUSE FRANCE

“However,” says Sami, “By exploiting internet routes off the coast of France around Marseille, you can reduce this latency. Opening up this route means you can have a latency between Frankfurt and Sao Paulo, for example, of fewer than one hundred milliseconds — which is half the existing speed from the U.S.” The faster the speed of travelling data, the more cost savings to your bottom line. Sami has another compelling example he uses to define the cost savings made when connectivity is sped up – even by mere milliseconds. “Today, if you're an African enterprise placed, let's say, in Ghana or Nigeria and you need some cloud usage, you will go to those high-profile hubs serving Africa, such as London, Frankfurt or Paris. That comes at a cost. “But if you bring that location closer – to Marseille – you will be saving 15% simply because you are localising your cloud traffic

Telehouse France puts Marseille on the global comms hub map

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SAMI SLIM TITLE: CEO INDUSTRY: TELECOMMUNICATIONS/ DATA CENTRES/HUBS

and bypassing that journey to those cities in Northern Europe.” Sami stresses that all businesses know how expensive it is to move data across the cloud. He claims some companies could even have their data carriage costs once Marseille comes on stream. According to Sami, the potential unlocked by those saved milliseconds changes the way we use the internet. More online trading, video, OTT streaming, gaming and real-time

EXECUTIVE BIO

LOCATION: FRANCE Engineer, graduate of Telecom SudParis and the University of Michigan, Sami joined Telehouse in 2010 as a technical sales engineer. For 3 years, he was at the heart of Telehouse's data centre and connectivity growth in France, before joining the Telehouse Europe Strategy Department in 2013. In 2014, he became head of the sales department in France before being appointed CEO in 2022. In this role, his mission is to accelerate Telehouse's growth, helping the Group's customers and prospects to improve their interconnection capabilities. Sami Slim brings to Telehouse a passion for a free, neutral and open Internet. His deep knowledge of the IT market and his proximity to the Internet players contribute to consolidate Telehouse's results, and to earn him the renewal of the Group's confidence.

DATA CENTER MONITORING Gain real-time insights about your data center environment! Learn more

Data Center Monitoring redefined by Elco and Telehouse Small is beautiful and far more effective. This philosophy from Telehouse France is driving its partnership programme. Elco Solutions is one of its most favoured collaborators.

Telehouse France and the German based Elco Solutions have joined forces to design and develop a new data centre hub in Paris, France. Both companies say this will be a ‘game changer’ in terms of global connectivity. The ‘Leon Frot’ Data Centre in the capital is the latest collaboration between Telehouse France and Elco. Elco Solutions is an innovator in the Data Centre Vendor and Integration space. Elco is also in the process of upgrading the existing Telehouse France infrastructure at its hubs. This partnership will allow Elco Solutions to provide its specially adapted power and environmental monitoring solution for Telehouse France. “Our focus alongside Telehouse France is all about data centre co-location and data centre management,’ says Wajdi Darmoul, Founder and Managing Director of Elco Solutions. “This collaboration helped us tremendously to improve the way we work together, the way we develop high quality software – especially customer specific software for monitoring all aspects of a data centre. We developed a system that will help the data centre managers to monitor their infrastructure in real time. With this software we can instantly aggregate data across

several dimensions in the data centre. This provides real time insights into power monitoring systems, power efficiency, temperature, and humidity and so on. “This allows us to quickly access the status of the data centre. This is vital as it allows all the stakeholders to see that the data centre is moving towards its optimum operational efficiency. According to Sami Slim, Director at Telehouse France the two companies have been working closely together since 2020 and the arrangement is at the ‘sharp end’ of Tele House France’s declared intention to work with smaller, nimbler technology partners in its expansion programme. “Elco fits the requirement perfectly,” says Slim. “With its focus on high-quality measurement equipment, compact branch circuits monitoring systems and intuitive customer specific user interface, Elco Solutions is a reliable partner to meet the challenges in a rapidly changing and dynamic data centre market,” says Darmoul.

Learn more

data transfer, VR, AI — all become more plausible to a greater number of people and businesses. “When you bridge that gap, reduce that distance, you unlock new visitors that are creating value, creating jobs and creating companies,” says Sami. This is why Telehouse France is building its latest data centre in collaboration 154

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with partners such as Elco Systems in Marseille. Sami says that Telehouse France, which already has a significant presence in Marseille, sees the city as one of the most important data hubs in Europe, in terms of location and its business infrastructure. This, the company predicts, will grow in importance over the next five-to-ten years.

TELEHOUSE FRANCE

“ BY EXPLOITING INTERNET ROUTES OFF THE COAST OF FRANCE AROUND MARSEILLE YOU CAN REDUCE THIS LATENCY” SAMI SLIM

CEO, TELEHOUSE FRANCE

Why the South of France? So, why is Marseille so well placed as a data hub to spread out North, East, South and West? “Marseille is one of the fastest-growing cities. Our mission is to build a new platform that will open up access between countries in Africa and the Middle East, and between Asia and Europe.

“We see Marseille as being uniquely positioned in Europe to attract traffic between Europe and a huge area of the rest of the world.” Telehouse France deemed Marseille as the best-placed location to complement the data traffic already running through cities such as Frankfurt, London, Paris and Amsterdam. Sami explains it in very simple and logical terms: “The position of Marseille offers it direct access to some key undersea systems coming not only from Asia and Africa, but also from Latin America,” he says, referring to these underwater ‘pipes’ as “submarine systems”. "The most important thing is that this location is opening up channels between Europe and the rest of the world, offering the region new routes that didn't previously exist," he says."And, of course, the benefits of these new channels of communications are two-way.” “These routes are now the backbone of the internet for billions of people because of Marseille. 4.5 billion people connected with faster and more reliable internet through Marseille via fifteen submarine cables.” Sami is very keen to make sure we all understand that, when we speak of the cloud and data storage, what we really mean sustainabilitymag.com

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“ WHEN YOU BRIDGE THAT GAP, REDUCE THAT DISTANCE, YOU UNLOCK NEW VISITORS THAT ARE CREATING VALUE, CREATING JOBS AND CREATING COMPANIES” SAMI SLIM

CEO, TELEHOUSE FRANCE

is physical buildings and cables — which are very definitely earthbound. “What most of us are missing is that 99% of the Internet today is not in the cloud. It is under the sea. This is what we call the submarine system that is powering the Internet today. “Our traffic is in there, and most of the Internet routes are deep in the ocean. This is where cities such as Marseille have a great geographic advantage in attracting that traffic, with ‘breeding’ hubs to bring content and users closer to each other.” Put even more simply, this was an opportunity Telehouse France could not let slip through its fingers. Monetising with a difference Sami is keen to stress that the opportunities for Telehouse France in this venture are in no small part down to the way his company is monetising its data centres in Marseille. Although location is a huge factor in Telehouse France’s strategy, property acquisition is not. “The difference between Telehouse France and the rest of the big players in this industry is our approach. We are not monetising our data centre based on the number of square metres. 156

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TELEHOUSE FRANCE

“We are monetising our business based on the value we create for our customers within their traffic strategy, and ensuring they get close to their users and to their customers with our technology. That's a fundamental difference, we are not a real-estate player, we are a connectivity player.” And this, says Sami, is the blueprint for the future when it comes to data centre development. Telehouse France was already reshaping the data centre and connectivity business back in the 1990s. It established large data hubs in Paris and in London’s famous Docklands. “This created data hubs that attracted the most traffic, the largest number of cables and the widest variety of ecosystems,’ Sami says. This is what he calls the company’s ‘Connectivity Strategy’: “It is making those data centres really prominent on the map of the internet today.” “Today, London Docklands is the most connected data centre in the world, and Paris Voltaire is the fourth most connected hub on the planet, routing more than 50% of all the internet traffic in the country. “This is our connectivity strategy – to make our centres the heart of the telecoms world.” Sami says his company is fundamentally convinced that Europe will be the backbone of the global Internet. “Europe is in a perfect position,” he says. “Geographically, for hosting both the Southern hemisphere and the northern hemisphere junction in terms of data. Europe can connect the Nordic countries, the US, Russia, China in the north, Africa, the Middle East, and the countries of Latin America from the south. “That value can happen with a ‘backbone’ coming from Marseille, going up to Paris and then diverting with two branches, East and sustainabilitymag.com

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“ THE DIFFERENCE BETWEEN TELEHOUSE FRANCE AND THE REST OF THE BIG PLAYERS IN THIS INDUSTRY IS OUR APPROACH. WE ARE NOT A REAL-ESTATE PLAYER. WE ARE NOT MONETISING OUR DATA CENTRE BASED ON THE NUMBER OF SQUARE METRES” SAMI SLIM

CEO, TELEHOUSE FRANCE

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West: one to London and the other one to Frankfurt. “That is the map of the future of the Internet, and that’s why we think Europe will be fundamental for the future of the Internet, and that is also why we're investing heavily.” Data Centres are a hot topic However, things have been moving fast since Telehouse France first built its data centres in the 1990s. Data traffic grows exponentially day-by-day and, with that explosion in usage,

comes potential risks and consequences that need to be monitored and managed. This is where Telehouse France’s strong partnership with the German-based Elco Systems comes in. Sami says he is committed to working with smaller, nimbler, and highlyresponsive partners; Elco more than met those requirements. “We are determined to remove our dependency on large vendors in our strategy. Using a range of smaller vendors means we sustainabilitymag.com

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have far greater control over the end-user or customer experience. This is important to us. Elco is a perfect example of this,” says Sami. “Elco is exactly the kind of vendor we like to have around us when we build our data centres. In designing our European business, we wanted European players around us.

Why? Because that gives our company and our customers a sense of security that we will deliver. “Elco hardware and software business. This allows us to be far more modular in terms of choice and that gives us the control over the customer experience.”

TELEHOUSE FRANCE

“Elco is an innovative solution that enables our data centre managers to monitor the health and energy of each branch circuit, gaining gain real-time insights about our data centre environment conditions,” says Sami. Elco monitors the way Telehouse France’s data centres are running. In these worrying

times, when cyber-attack is a greater threat than ever, anticipating unusual activity is vital. There is, however, another byproduct of powerful data centres that Elco monitors for Telehouse France, which also explains why the Telehouse team is so keen on working with Elco. “Data storage, data traffic, data transfer … all these processes equal heat.” Sami explains: “So, usually, when you choose an electrical or cooling component of a data centre, it comes with its own measurement and efficiency control through hardware and software. The downside is that it locks you in with that particular vendor, preventing you from developing your own customer experience in terms of portal or usage. “The great gain, when we chose Elco, is that we got the liberty of having our own software for a customer experience on the one side, but also we could choose any type of hardware on the downside of the chain. Elco sits neatly into the more open option for us,” Sami says choosing Elco was not just about its technology. It also needed to be a cultural fit. “We are in the business of ‘speed to market’,” says Sami. “So, the faster you can get the data centre up and running, the better off you are. To do that, you need to build a team with your vendor. So the spirit, the culture, the way they work with your own team is a key component in which vendor you choose. “Elco has been excellent with us in our teams. They have joined forces with us and have understood all of our constraints country by country. This is so valuable.”

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TOP 10

SUSTAINABILITY SUSTAINABILITY CONSULTANTS CONSULTANTS Bringing top-level advocacy and lasting results across large businesses, these top sustainability consultants help companies drive their ESG goals WRITTEN BY: BLAISE HOPE

ustainability consultants help businesses to incorporate more responsible approaches in their operations so they can achieve their sustainability goals more efficiently. With current climate conditions, partnering with a good sustainability consultancy firm is becoming more important. Here are the top 10 leading sustainability consultancy firms in the world.

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TOP 10

10 10 dss+

DuPont Sustainable Solutions, now known as dss+, employs more than 1000 professionals in 40 countries to serve their clients across a wide range of industries — from food and beverage to transportation, oil and gas. The firm rebranded itself in February 2022 to mark a new journey, after almost five decades of operating as a subsidiary of DuPont. The firm is known for its holistic and integrated approach that tackles not only technical barriers, but also infuses its consultancy into organisational cultures, further securing longterm results.

09 09

Accenture

Employing more than 624,000 people in more than 200 cities located in 50 countries, Accenture is strategically placed between business and technology. It provides a wide range of services, providing solutions in strategy, consulting, and operations. Its expertise spans more than 40 industries and all business functions, with more than 3 decades of experience. The firm helps clients to implement their ESG strategies, operating models, processes, and technologies so that their business can create a more sustainable impact. To further expand its reach and scope of expertise, the firm has been making aggressive strides by acquiring other sustainability consultancies, such as Avieco and Greenfish.

TOP 10

08 08

WSP & Golder Utilising strong in-house expertise and digital tools, WSP stands out as a market-leading provider of sustainability consulting services. The global firm started more than 130 years ago as a local firm. With its recent acquisition of earth sciences and environmental consulting firm Golder, WSP has approximately 14,000 of its 55,000 professionals dedicated to catering to clients’ sustainability needs. Throughout 2019-2021, it acquired more than 14 different firms — including Golder — along with their expertise, widening the range of its market reach and competitive offerings.

07 07

Bain & Company One of the world's leading management consulting firms, Bain & Company has been in the industry for more than four decades. It offers uniquely tailored, pragmatic, holistic, and enduring solutions for each of its clients on their most critical issues, including strategy, operations, and technology. Bain & Company has provided sustainability solutions for more than 600 client projects in the past two years. It has also shown efforts in tackling critical environmental challenges by providing pro-bono consulting to leading nonprofits as part of its 10-year, $1.1bn commitment, which also includes a multi-year partnership with The Nature Conservancy. sustainabilitymag.com

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Environmental Resources Management, better known as ERM, is one of the largest global pure-play sustainability consultancies. Armed with more than fifty years of experience, accrued since 1971, ERM helps clients to reach their sustainability ambitions, including low carbon future transition and building business resilience. Its technical expertise spans various issues, including environmental and social issues, providing a comprehensive service model to develop strategic and technical solutions specially catered to its clients. Its holistic approach is trusted by clients across various industries, including energy, technology, and healthcare.

05 05 Deloitte

Deloitte Touche Tohmatsu Limited — a UK private company better known as Deloitte — is an umbrella brand for several global independent firms with tens of thousands of dedicated professionals specialising in audit, consulting, financial advisory, and tax. One of the Big Four accounting organisations, Deloitte has accumulated extensive experience in financial accounting and regulatory services — resulting in top-notch integrated reporting. With its expansive expertise, the firm also provides the services of sustainability assurance, environment, social impact, and sustainable finance. sustainabilitymag.com

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04 04 KPMG

Probably one of the most recognised names in global business, KPMG is a network of multinational professional firms best known for its audit, tax and advisory services. Its expertise spans strategy and operations, analytics, integrated business planning, and transformation. Its global network enables KPMG to acquire an in-depth understanding of the economic, political, environmental and social landscapes of each client based on their geographical locations. It offers results-driven and future-fit business strategies, deep insights, practical business responses, and an integrated multi-disciplinary team to achieve the sustainability goals of its clients.

03 03

Boston Consulting Group Global management consulting firm Boston Consulting Group is known as a global leader in business strategy consultancy. Founded in 1963, BCG now operates in more than 45 countries and is represented by more than 80 offices. It offers a customised approach for each client based on deep insights into both the company’s and markets’ dynamics, securing long-term results, sustainable advantages, and organisational growth. To further support its clients, the group established the BCG Center for Climate & Sustainability, which brings together more than 550 experts in a wide range of topics, including circular economy and transition financing.

TOP 10

McKinsey & Company

Another celebrity in the industry, the global consultancy juggernaut McKinsey & Company has handled more than 1,700 sustainability-related projects in the past 3 years. The management consulting firm was founded in 1976 and has been the trusted advisor to many global businesses, governments, and institutions ever since. It offers integrated endto-end solutions on sustainability, climate, energy transition, and ESG, allowing clients to achieve growth while safeguarding the planet. It offers net-zero and ESG strategy, net-zero financial institutions, and sustainable investing services, to name a few. It has also established the McKinsey Platform for Climate Technologies to further help clients with its climate ambitions.

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EY Together with Deloitte, KPMG and PwC, Ernst & Young is one of the global ‘Big Four’, best known for its audit, tax, business risk, and human capital services. It has a presence in over 700 offices in more than 150 countries, with 312,250 employees around the world. For its Climate Change and Sustainability Services (CCaSS), EY deploys multidisciplinary teams to help companies understand the sustainability, environmental, health and safety risks, while simultaneously recognising the opportunities behind such issues. EY’s CCaSS offers environment, health and safety services, as well as enhanced corporate reporting and accounting.

MASTER POWER TECHNOLOGIES AND DIGITAL PARKS AFRICA AD FEATURE WRITTEN BY: İLKHAN ÖZSEVIM PRODUCED BY: LEWIS VAUGHAN

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MASTER POWER TECHNOLOGIES

Master Power Technologies (Africa) and Digital Parks Africa (South Africa) are transforming the Data Centre environment through data and regional development.

here is something important happening in the Africa Data Centre world. “We are the biggest Data Centre (DC) support company in Africa for overall turnkey solutions,” establishes Menno Parsons, CEO of Master Power Technologies. “No other company on the African continent offers what we do in such a true turnkey fashion. Our offerings range from UPS, generators, boards, automation, modular DCs, monitoring & control systems and their hardware, Tier III & IV DCs and all their support services (such as site engineers and technicians) in one business service offering. “This is why we’re successful; this is why our clients stay with us.” Menno Parsons studied Electrical Engineering at the University of Port Elizabeth and worked for Siemens before establishing Master Power Technologies (MPT) in 1999. Since then, he has created and been at the helm of MPT — a company recognised for its effective, comprehensive DC services across the entire African continent. MPT is “in Africa, for Africa”. As one of the most extensive and most successful turnkey DC providers on the continent specialising in design, build and managed services, MPT believes that data drives the digital economy and that access to data should be a basic human right.

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We do UPTIME

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Originally, MPT began as a UPS company that grew into a complete DC solutions provider. They intend to play a key role in enabling African economies through scalable DC solutions, where data can be economically distributed to drive sustainable growth. They have already won four Frost & Sullivan awards, demonstrating their ability to provide industryleading solutions to the African continent.

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“Besides just generating local revenue, we are committed to local skills development. For this reason, when we build a DC in any African country, we incorporate and empower as many locals as possible throughout the journey, which may potentially lead to permanent employment of local content,” says Rory Reid, Head of Department for Data Centres at MPT. “Our DC handover extends

MASTER POWER TECHNOLOGIES

MENNO PARSONS TITLE: CEO INDUSTRY:TECHNOLOGY SERVICES

EXECUTIVE BIO

LOCATION: SOUTH AFRICA Menno Parsons founded Master Power Technologies in 1999, a critical power and Data Centre solutions provider that brings innovative and quality solutions to the market. Menno has led the company to evolve from an entity selling solely UPS systems to the largest turnkey Data Centre solutions provider on the continent. Master Power Technologies has a footprint in 16 African countries and provides critical infrastructure remote monitoring solutions to over 150 sites. The company received 4 Frost and Sullivan Data Centre Leadership Awards, a testimony of its excellence in Africa's Data Centre market. Menno has a deep understanding of client’s often harsh working environments and matches those conditions to world leading products to give customers the competitive edge needed to succeed in their markets. He is Proudly South African and dedicated to developing the continent with local content and resources. In addition, he is known for his passion for empowering and developing young individuals and professionals.

MASTER POWER TECHNOLOGIES

beyond delivering only a site; we continue to support our clients in areas such as operations, maintenance, remote monitoring or whatever it may be, for that DC.” Reid has a lengthy electrical industry background where he has witnessed the invariable link between economic growth and data. He now leads the DC business as Head of Department to support the massive increase in demand on the continent. MPT provides brick-and-mortar, modular, and prefabricated data centre solutions. They are a trusted, true turnkey provider, supplying clients with the best-in-class solutions to suit their needs and environments. MPT is not a one-size-fits-all operation; their priority is to work closely with clients and ensure that they are provided with the best, redundant and most reliable

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solutions explicitly catered to their unique requirements. In addition, MPT has forged strong partnerships with the big critical power OEMs (Original Equipment Manufacturers) and is the sole supplier for many in the region. “We do not just deliver a site and then disappear,” says MPT’s Parsons. “We provide exceptional after-sales support, particularly because we intimately understand the particular challenges of the DC environments in Africa. Many global players adapt and design their DCs specifically to the environments they are accustomed to, but that which works for one environment doesn’t necessarily translate into being fit for another. It’s a question of familiarity and expertise.” says MPT’s Reid. “With over 20 years of experience in the region, we understand the issues distinctive to

MASTER POWER TECHNOLOGIES

OUR DC HANDOVER EXTENDS BEYOND DELIVERING ONLY A SITE RORY REID TITLE: HOD: DATA CENTRES INDUSTRY:TECHNOLOGY SERVICES

EXECUTIVE BIO

LOCATION: SOUTH AFRICA Rory Reid joined Master Power Technologies in 2014 as the Sales and Marketing Manager and has over 7 years' experience in the Data Centre industry. Rory delivers best-in-class data centre solutions to a portfolio of global clients and is involved with site audits to assist clients to identify improvements which could be made around reliability, efficiency, and redundancy of the complete system. Prior to joining Master Power Technologies, Rory spent over 16 years leading sales and project management teams within the electrical and power industry. He successfully completed his Uptime Institute Tier Designer Accreditation in December 2020.

DIGITAL PARKS AFRICA

JACQUES DE JAGER TITLE: CHIEF OPERATIONS OFFICER INDUSTRY: IT SERVICES LOCATION: SOUTH AFRICA

EXECUTIVE BIO

Jacques has a strong technical background and is currently responsible for all Data Centre operation at Digital Parks Africa. Prior to joining Digital Parks Africa, Jacques spent nine years in IT management for the electrical engineering and telecommunications industries. Armed with over a decade of Enterprise Networking, Information Technology Security, and Data Centre Infrastructure Management experience, Jacques successfully fulfils the role of Chief Information Officer at Digital Parks Africa.

AFRICA CAN’T GROW WITHOUT DC TECHNOLOGY

Africa and the environment. We treat each client on a case-by-case basis, making for successful projects and satisfied clients.” Alongside providing end-to-end solutions from site inspection to planning, design and construction to onsite-commissioning, remote monitoring, and after-delivery services, MPT probably has the largest Uptime accredited team on the continent, including 10 Uptime Accredited Tier Design engineers — of which their CEO, Menno Parsons, is one. In terms of their reach, MPT is building and providing turnkey data centres solutions across the entire continent — including in South Africa, Nigeria, Ethiopia, Djibouti, Madagascar, Somalia, Kenya, Tanzania, Malawi, Zambia, Mozambique, Zimbabwe, Botswana, Senegal, Ghana, Congo, DRC, Angola, and Namibia to name a few. The Data Centre market in Africa is snowballing, and the necessity of reliable and resilient DC services and solutions has become critical to the continent’s digital development. MPT supports the evergrowing demands and is the most prominent DC builder in Africa. One of its most recent projects was designing and building Africa’s largest modular DC, Digital Parks Africa (DPA). DPA is one of South Africa’s most resilient, carrier-neutral hyperscale DCs, that targets colocation, enterprise and hyperscale clients. It provides world-class DC services

with unrestricted interconnection between clients, thus, offering better value, lower latency, and higher resilience DC solutions. MPT and DPA are two distinct companies that work in close collaboration to meet the growing demands for large-scale data services, hosting, and DC operations. Both are effective operators in the DC world, and they contend with similar considerations and have common problems for which to offer solutions, albeit in different ways. When most clients hear the term ‘DC Flexibility’, they tend to only think about redundancy and tier classifications, but true flexibility should also be reflected in a business model strategy. True business flexibility is a holistic attribute, and Menno Parsons clearly has it in abundance and is recognised for it across Africa and beyond its borders. On this very point, Parsons says: “For some of our projects across Africa, our Telco clients noted that they would rather operationalise some of their expenses than investing further Capex. This was a big turning point and marked the establishment of Digital Parks Africa.” “In a developed world, you don’t notice the massive impact of technology challenges,” says Jacques de Jager, Chief Operations Officer at Digital Parks Africa (DPA). “Nevertheless, Africa has its challenges, and sustainabilitymag.com

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DIGITAL PARKS AFRICA

they are not all, obviously technology-related.” Speaking from DPA, de Jager says: “Unfortunately, many parts in South Africa are underdeveloped, leading to various challenges such as increased cost of living, unusual power outages and transportation issues. Luckily, the digital world’s empowerment through connectivity solves many of these problems. “At DPA, digitally, we are on the move, and our goal is to bring content to and educate consumers at high speeds. We are involved in many social development programs, as the link between development and data, is inseparable. I believe that this will be a big differentiator for the African continent. We want to make an impact in South Africa, both technologically and socio-economically, and we are already well on our way — living our slogan ‘The Digital Heartbeat of Africa’.” Jacques de Jager‘s career started in the

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WE ARE IN AFRICA, FOR AFRICA MENNO PARSONS

CEO, MASTER POWER TECHNOLOGIES & DIGITAL PARKS AFRICA

information and communications field, focusing on Enterprise and IT-space type deployments and management thereof. He moved on to work for enterprise companies, managing their IT environments in the DC space. De Jager is currently Chief Operations Officer at Digital Parks Africa (DPA) which is now one of South Africa’s fastest growing DCs. MPT and DPA play very important roles in

developing and connecting Africa. “There’s a lot of talent in Africa,” says DPA’s de Jager. “I think that DPA can play a big role in developing both the local regions and the community and providing opportunities to share insights and visions while adding value to the industry.” De Jager believes that “Africa can’t grow without DC technology”. Simply stated, digitisation directly translates into economic growth, and the more digital services and operations that are channelled towards this goal, the more likely it is to be achieved. DPA might be the new kid on the block, but it brings about a scalable environment and a bona fide ability to grow alongside rapid technological changes and advancements. With reliable infrastructure in place, it is no surprise that DPA is already one of the most resilient DCs on the continent. Offering a remarkable, secure, and sustainable ecosystem for data-hungry technologies and ICT infrastructure, DPA provides flexible, high-power-density, ranging from 3-15kW per rack - which is phenomenal for South Africa. DPA is the perfect solution for companies who want to convert their Capex into OPEX (Operating Expense). The facility is Uptime Tier III Design (level 1) Certified and offers concurrent maintainability and fault tolerance, with 2(N+1) redundancy. sustainabilitymag.com

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99.999% Uptime and our capacity Utility is

24MVA 186

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DPA is currently undergoing Uptime Tier IV construct certification for its first of three phases (in Level 3) to guarantee the highest level of reliability. DPA is built around best business practices, compliance, and maintains an internationally certified infrastructure. Certifications include ISO 9001:2015, ISO 27001:2013, PCI-DSS and data privacy compliance. Furthermore, DPA is equipped with armed guards, 24/7 CCTV coverage, biometric access, vehicle trap, on-andoffsite Network Operating Centre managed

MASTER POWER TECHNOLOGIES

WE ARE THE BIGGEST DATA CENTRE (DC) SUPPORT COMPANY IN AFRICA FOR OVERALL TURNKEY SOLUTIONS MENNO PARSONS

CEO, MASTER POWER TECHNOLOGIES & DIGITAL PARKS AFRICA

to provide clients with enhanced security and reliability. “DPA adopts modern technologies and energy-efficient backup power infrastructure that guarantees an uptime of 99.999%. The facility, which has a Utility capacity of 24MVA, has been purposedesigned to quickly scale up to meet customer demands, in line with its commitment to grow the South Africa Data Centre market. Besides the obvious needs of the digital economy, Industry 4.0 also requires a robust technological

communications infrastructure, which DPA can provide,” concludes de Jager. “DPA is a proudly South African company, backed by an exceptional team of experts, including six Uptime Accredited Operations Specialists. We are privileged to play a part in the digital economy enabling companies to succeed in their digital transformation programmes," says Menno Parsons.

MASTER POWER TECHNOLOGIES DIGITAL PARKS AFRICA

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WRITTEN BY: CATHERINE GRAY PRODUCED BY: LEWIS VAUGHAN

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GULF DATA HUB

Establishing sustainable data centres in the Middle East sustainabilitymag.com

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Himmath Mohammed Head of Sales and Strategies, Gulf Data Hub

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GULF DATA HUB

As the data centre market continues to grow in the Middle East, Himmath Mohammed explains how GDH are leading the way for colocation providers

ffering first-of-its-kind Data Centres in the Middle East, Gulf Data Hub (GDH) is looking to transform the region with innovative data hubs as the market continues going from strength-to-strength. Expanding its worldwide presence, GDH provides purposefully built centres that offer customers a resilient environment from hosting, disaster and workplace recovery, cloud platforms, and connectivity to its core colocation. In the eight years since its founding, GDH has grown massively, competing with some of the largest names and biggest brands in the industry. Himmath Mohammed, who is Head of Sales and Strategies, as well as being a key member of the company, is dedicated to ensuring that customers know GDH offer best-in-class services. “We assure customers as they know their data is 100% protected. There will be no downtime, the equipment will be always taken care of with the utmost care, with all power cooling and all international standards of connectivity. Since 2014 until today GDH has 100% SLA compliance which itself is a major achievement.” Differing from the data centre market in the West, the Middle East is not as large or mature as its Western counterpart. Mohammed explains that, as GDH looks to lead the market while it continues to

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GULF DATA HUB

Establishing sustainable data Titleinof the video East centres the Middle

East, you have only one source and one grid. So, you have to optimise your operations in such a way as to compensate for these shortfalls of availability; you have to compensate with your design, with your operations so that they should not interfere in the provision of your services.” “After maturing into eight years in this field and in this market, we see that there are a lot of shortfalls in the different ecosystems of data centres. One of the major challenges is international connectivity and exchange hubs, which are not available in the way they are in the mature markets,” he adds. With this lack of resources, GDH could potentially have its capital expenditure affected, but Mohammed outlines the innovative ways GDH looks to avoid this, while also providing its customers with the

“ WE ASSURE CUSTOMERS, AS THEY KNOW THEIR DATA IS 100% PROTECTED. THERE WILL BE NO DOWNTIME, THE EQUIPMENT WILL BE ALWAYS TAKEN CARE OF WITH THE UTMOST CARE, WITH ALL POWER COOLING AND ALL INTERNATIONAL STANDARDS OF CONNECTIVITY” HIMMATH MOHAMMED

HEAD OF SALES & STRATEGIES, GULF DATA HUB

grow, there are a number of obstacles that the organisation faces – particularly as the resources are more limited: “The major challenges are around measuring the performance of data centres, ensuring that the data centre uptime is always available, and complying with the SLAs of our customers. These are the major challenges we foresee, especially as this region isn't as mature as Europe or the US. In the Middle 192

June 2022

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GULF DATA HUB

TAREK AL ASHRAM TITLE: CEO COMPANY: GULF DATA HUB INDUSTRY: DATA CENTRES LOCATION: INDIANA, UNITED STATES

EXECUTIVE BIO

Tarek is the pioneer of launching and introducing Interactive TV services across MENA way back in 2002. Tarek has launched leading Media and voice over services for many TV channel productions. Self-made and self-funded, he has launched many innovative services in Middle East . As a man of vision he foresaw the Data Center Market in 2012 and launched Gulf Data Hub which has todate delivered world class services in Middle East Market.

“OUR GOAL IS TO PROVIDE A WORLD CLASS CARRIER AND VENDOR-NEUTRAL DATA CENTRE IN THE MIDDLE EAST. MAINTAINING NEUTRALITY WILL INCREASE THE CUSTOMER SPECTRUM, ALLOWING GULF DATA HUB TO BECOME THE REGION’S FIRST-CHOICE FACILITY TO STORE COMPANIES’ MISSION CRITICAL EQUIPMENT” TAREK AL ASHRAM

CEO, GULF DATA HUB

solutions they need: “We have to be prepared at a design level and the MEP/Operations level. Even though there isn't a dual power supply, in-house we have prime generators, with both diesel and fuel available so that our generators – even if there is downtime from a utility – are capable of operating 24/7, 365 days. So, we have built such a system that we are not dependent on one source. Now, we provide a one-stop-shop where customers can host and interconnect their primary and DR sites or any multiple locations, giving them connectivity within the region and across the globe.” Driving forward sustainable data centres in the Middle East Not only is GDH innovating in a less developed market to ensure it provides the best possible colocation services, but it is also exploring the world of renewable energy to align itself with global sustainability targets. Mohammed explains: “Especially with international regulations of carbon footprints and net-zero coming into law, everybody's looking for sustainable alternatives – this is even one of the requirements from some of our major customers, who ask, ‘How are you planning for sustainable data centres?’ So, we always look for new opportunities. Yes, renewable energy is still in the initial stages in the Middle East. Yes, there are solar and other renewable energy plants coming up but they are not yet available for commercial use. GDH always explore innovative energy solutions like immersion cooling. All that stuff is being discussed but is not yet available in the market on a commercial level.” On top of the exploration into renewables with sources such as solar and nuclear power, GHD also looks to implement low-level sustainable solutions, which is already part of the company’s portfolio. sustainabilitymag.com

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GULF DATA HUB

“ NOW, WE PROVIDE A ONESTOP-SHOP WHERE CUSTOMERS CAN HOST AND THEY CAN INTERCONNECT THEIR PRIMARY AND DR SITES OR ANY MULTIPLE LOCATIONS, WHICH GIVES THEM CONNECTIVITY WITHIN THE REGION AND ACROSS THE GLOBE” HIMMATH MOHAMMED

HEAD OF SALES & STRATEGIES, GULF DATA HUB

One solution that GDH is pushing to become commercially viable is immersion cooling, which would result in a significant reduction in energy consumption, with some predicting it will account for a 25% overall reduction in a data centre's carbon footprint. By redesigning data centre air management, GDH will be able to prevent re-circulation of hot air from IT systems. “This is still in the testing phase in the region; it's not commercially rolled out. So,

immersion cooling is for sure coming in to stay here, and it will drastically change power consumption and dependency on fossil fuels in the data centre business,” adds the Head of Sales and Strategies. Another key solution GDH are looking into is artificial intelligence (AI), which will support the organisation with the cooling solutions it is keen to put in place, as Mohammed explains: “We want to create effective cooling methods that use the air outside. This reduces energy costs by 40 percent! Maybe unknowingly, we are cooling certain equipment that doesn’t require much cooling, but AI can identify this for us. So this AI system, once deployed in our data centres, will give us a lot of data where we can efficiently manage our power consumption and can efficiently manage our cooling systems, which will help our overall efficiency.” sustainabilitymag.com

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Aiming to implement this at different levels, GDH is looking to AI to support the company with preventive and corrective maintenance. Using data collected from its centres and machinery, GDH will be able to be more proactive with its maintenance activities, ultimately reducing expenditure. “On top of that, we are looking towards AI that can give you the failure rate of certain equipment. We hope this will help us predict if and when there will be a failure in our chiller or a failure in our transformer. There are a lot of different ways data will help us in optimising facility management,” says Mohammed. GDH’s ambitious expansion plans Not only do GDH have ambitious technological and sustainability goals, 198

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but the company is also embarking upon a significant expansion plan. There’s no doubt that the pandemic caused a rapid uptake in the need for data centre facilities. Data centre growth has been driven by increased company awareness of the benefits that cloud services can provide and increased pressure from the boards to provide more secure, robust IT environments, along with the setup of local data centres across the world. According to Deloitte, the need for colocation facilities will only grow as more and more companies look to bolster their IT capabilities; for GDH, the uptake was more than ten times what it predicted.

“ WE ARE LOOKING TOWARDS AI THAT CAN GIVE YOU THE FAILURE RATE OF CERTAIN EQUIPMENT. WE HOPE THIS WILL ENABLE US TO PREDICT IF AND WHEN THERE WILL BE A FAILURE IN OUR CHILLER OR A FAILURE IN OUR TRANSFORMER” HIMMATH MOHAMMED

“High availability of IT is required for the businesses to keep on running. So obviously, it can't be on-prem because if it is on-prem, the IT team has to be there, they have to monitor. So, everybody is going colocation or on the cloud. And again, the cloud has to reside somewhere, which is often in the data centre. All the cloud platforms, whether it's Microsoft or AWS or Google, have to reside somewhere in a facility. That's what we provide,” says Mohammed.

EXECUTIVE BIO

HEAD OF SALES & STRATEGIES, GULF DATA HUB

HIMMATH MOHAMMED TITLE: HEAD OF SALES & STRATEGIES COMPANY: GULF DATA HUB INDUSTRY: DATA CENTRES LOCATION: UNITED ARAB EMIRATES Himmath Mohammed is a versatile and comprehensive leader with experience in managing and delivering ICT solutions. Throughout his career, Mohammed has delivered sustainable revenue gains in emerging and mature business markets. The Head of Sales and Strategy has demonstrated success in managing, planning, programme leadership, product strategies, and alliances. Mohammed has hands-on experience in a full range of business operations, including: sales, marketing, engineering, quality assurance, training and support. He has also established strategy, methodologies, product, support, & service offerings. Mohammed is an enthusiastic team professional with a passion and dedication for customer care, identifying trends and solving business opportunities through bespoke solutions and strategic partnerships.

GULF DATA HUB

“ OUR PLAN IN THE NEXT 12 TO 18 MONTHS IS TO AT LEAST MULTIPLY OUR CAPACITIES BY THREE- OR FOUR-FOLD, WHICH IS ALREADY IN THE PIPELINE. WE ARE ROLLING OUT IN BAHRAIN, WE ARE ROLLING OUT MULTIPLE DATA CENTRES IN SAUDI, KUWAIT, MOROCCO AND EGYPT” HIMMATH MOHAMMED

HEAD OF SALES & STRATEGIES, GULF DATA HUB

“This has driven a lot of push, especially with government entities releasing a law stating that, whatever data of any company, their data should reside within the country. So earlier, the data was being hosted on the cloud and the cloud was in a different country. Now, though, the push is to bring back that data into each country – which means, if such data is coming back into this country, then all these business entities bringing back their data need to host it in a purpose-built data centre. This means there is a huge demand to build infrastructure in the coming few years in an advanced manner,” he adds. 200

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With these new regulations and the high demand for data centres, GDH recognises the need to grow both quickly and sustainably. To deal with this short timeline, the company has signed a framework agreement with its vendors and partners to ensure it has a commitment from its supply chain, in terms of the delivery of equipment to facilitate this expansion. Concluding, Mohammed explains how the future for GDH is heavily focused on this expansion: “Our plan is to invest US$1bn in the the next 12 to 18 months to multiply our capacities three- or fourfold, which is already in the pipeline. We

are rolling out in Bahrain, we are rolling out multiple data centres in Saudi, Kuwait, Morocco and Egypt. We are implementing this because there is a huge demand, especially with artificial intelligence, automated cars, augmented reality, and gaming platforms coming in, which are driving huge data centre requirements. We see there is a lot of demand coming in the future, so we are trying to multiply our operations and projects four-fold.”

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Going beyond Belgium, with eyes on FLAP WRITTEN BY: İLKHAN ÖZSEVIM PRODUCED BY: LEWIS VAUGHAN

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Friso Haringsma, Managing Director of DataCenter United, talks DC expansion, work culture and why local problems require local solutions

ith the recent acquisition of another three data centres (DCs) across several regions, DataCenter United (DCU) – based in Antwerp, Belgium – is growing at an increasingly rapid pace. “We want a country-wide network of well-connected, well-established, highquality and efficient DCs that offer multiple services to our customers,” says Friso Haringsma, Managing Director of DCU. Haringsma originally gained experience of the DC world through being a customer at a previous IT company, the workings of which allowed him the insight and expertise to establish DCU down the line. A further, and critical insight into the GC market needs came from his discernment of a disparity in demand and supply. Haringsma says: “DCU was founded in 2010 with our first Antwerp DC, after we noticed that engineers were always travelling to other regions and countries because there were simply no solutions in the local area. So we recognised a gap in the market, saw an opportunity due to the high demand and short supply of such services, and so established DCU – only, it wasn’t called DCU back then. The ‘united’ designation came about after our expansions, establishing interconnectivity between our web of DCs, which were then united, digitally-speaking.” 204

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In the past, it was common for customers to bring their services to the physical DC itself, after which it was up to them to cope with the travel times and expenses. “But our vision was different,” says Haringsma. “We wanted to bring our services directly to the customer, and the eventual development and expansion of DCU flowed from this.” DCU then continued acquiring DCs – including another 3 this year alone – bringing up their numbers to a total of six. The chronology of DCU’s growth looks like this: its first DC was established in Antwerp in 2010; in 2012, it acquired a DC in Brussels; in 2016, it acquired another in Antwerp; and, this year, it acquired 3 more, with one in Bruges, one 206

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in Ghent and another in Southern Antwerp, effectively doubling its numbers. As stated on the company website, DCU now possesses ‘6 Belgian state-of-the-art, carrier-neutral data centres’ – “and we are not finished yet,” says Haringsma. “We are quite ambitious to get more market-share and present ourselves to the wider European DC market as a viable, cost-effective alternative to giant DC providers.” DCU also recently became Tier IV DC certified, being recognised for its design, operations and build sustainability. “We also have flexible and transparent ways of working that are embedded into our culture,” says Haringsma.

“We want a countrywide network of well-connected, wellestablished, high-quality and efficient DCs that offer multiple services to our customers” FRISO HARINGSMA

MANAGING DIRECTOR, DATACENTER UNITED

EXECUTIVE BIO FRISO HARINGSMA TITLE: MANAGING DIRECTOR LOCATION: ANTWERP, BELGIUM Friso Haringsma is an expert on the topics data management, data centre and server infrastructure services & cloud computing. Friso has a broad knowledge of management and strategy, gaining experience at several IT companies before he founded Datacenter United in 2010. He is still CEO there. Thanks to his experience with both indirect and direct channels in B2C and B2B, Friso

Haringsma is a true all-rounder. Under Friso's leadership Datacenter United grew into a top player in the field of datacenter and cloud services. As the foundation of the digital economy the company provides an ideal environment to run private, hybrid and public cloud services. The participation in 2020 of the publicly listed company TINC in the company underlines the long-term vision and the great confidence in the company.

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Expanding on DCU’s organisational vision, he continues: “Edge and Proximity have always been a part of our organisational nature, and that was a further driving force to acquire more local DCs. Transparency is not just an abstract principle at DCU, but is embedded in all aspects of our operations, whether it be in terms of our numbers, the temperatures of the centres themselves, atmospheric humidity, energy consumption and so on.” DCU established a portal back in 2010, allowing customers to keep an eye on all aspects of these services. Haringsma says: “It is important for us to not be a black box, and so communication and dialogue with our customers is absolutely key to us.” Tier IV and DCU’s Culture There was a myth that, in Belgium, it was impossible to achieve a Tier IV DC. “Some journalists even said they had consulted with their experts,” says Haringsma, “and I said ‘these are clearly the wrong experts’.” Asked about DCU’s Tier IV certification in relation to its culture, Harigsma says: “If you look at the Belgium DC landscape, you see large companies are driving the business – big names with big money, and unfortunately, mainly big real estate companies who are buying and selling real estate for profits. In other words, they create value for themselves but not for the local communities.” This insight emphasises DCU’s determination to balance social values with its DC business interests. “DCU on the other hand,” says Haringsma, “is a way of waving the flag and showing our customers that we can add a lot of value to the market by offering really high-quality services, with a great culture to boot. 208

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“Tier IV is internationally known as the highest quality DC available. The knowledge and perception of DCs is incorrect most of the time, as everybody claims to have a certain quality of DCs, with most assuming that, if it looks good, then it must be good – but if you look under the bonnet you can see that it isn't. You can't claim to be a certain quality without certification – the devil’s in the details. “So from a certain perspective, Tier IV isn't difficult to achieve, but in actuality, you need full certification to have credibility. Our team was instrumental in designing and building our DCs, which in turn built

“ We wanted to bring our services directly to the customer, and the eventual development and expansion of DCU flowed from this” FRISO HARINGSMA

MANAGING DIRECTOR, DATACENTER UNITED

trust, and they have very good knowledge of the techniques and a mastery of the operations involved.” DCU concentrates a lot of its energies on competing as a smaller DC, demonstrating that data services should be orientated around people and communities. “A smaller partner can be a reliable partner,” he says, “and can offer pricing as well as a high quality of service. The initial investment may cost more, but it isn't affecting the operational part.” DCU offers Migration Services that are fully managed in-house. Haringsma says: “We were active in seven DCs at one time, sustainabilitymag.com

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WHAT IF THE POWER FAILS? Elinex supplied the emergency power supply to the new Antwerp DC

Belgium has its first TIER IV Data Center. Antwerp DC, one of the Data Centers of Datacenter United, has been officially certified as TIER IV by the UPTIME institute since February. The emergency power installations designed and supplied by Elinex are an essential component Elinex designs, builds and maintains entire emergency power installations, brand independent, within the Benelux. With more than 35 years of experience, they a partner for many Data Centers. Together with Huawei, Elinex has been providing modular Data Center solutions to its customers since 2014. This goes beyond just emergency power solutions.

Maintenance while maintaining all redundancies Jo Van Den Langenbergh, Operational Director DC United clarifies: "Maintenance can be carried out while maintaining all redundancies. In order to be Tier IV certified, the emergency power supply must also be designed to maintain redundancy during maintenance. Elinex created and implemented this design. They also supplied the racks and distributors, consisting of synchronization boards and main distribution. The UPS solution concerns the high

efficiency (+97%) modular Huawei 5000 UPS. As a result, expansion in power is easy to realize at any time.”

Single Fault Tolerance Jo states: "It's not just about the data, but also about the building itself. A Single Fault Tolerance applies to everything, including the BMS. Every error must come into the picture, even if that is a problem with the climate system, for example. So we have a double redundancy on everything.”

TIER IV important for specific sectors Friso Haringsma, Managing Director DC United: "For the majority of customers, TIER III is sufficient, but for heavy e-commerce companies, governments, pharma companies and companies that handle privacy-sensitive data, TIER IV is almost a must. We are pleased with Elinex's efforts, which fit seamlessly with the requirements and wishes we had for Antwerp DC. In addition to their expertise that came in very handy in this project, they are of special value because they are 'independant', just like us. We have a maintenance contract with them based on response time of 4 hours. This not only benefits Datacenter United, but especially our customers."

Learn more

“DCU was founded in 2010 with our first Antwerp DC, after we noticed that engineers were always travelling to other regions and countries because there were simply no solutions in the local area" FRISO HARINGSMA

MANAGING DIRECTOR, DATACENTER UNITED

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installing equipment, moving things around and of course, engineers and technicians can be expensive. So it was natural for me to concentrate on customers through migration services and moving DC’s inter-location. “You can't always build-out at a new location; a lot of the time you need to migrate, and this needs to be done with minimal downtime and constraints, and without issues for the local team.”

Edge Location Services and The Question of Sustainability There are certain global-to-local trends that Haringsma sees impacting the Belgium market. “In Belgium,” he says, “we are seeing a lot of movement to cloud services and many DCs reevaluating their businesses and their real estate. For many DCs however, it isn't their primary business, so in the end, it isn't their cup of tea. DCs are always either too sustainabilitymag.com

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big or too small, or running bottle-necks that are way too costly. These problems require solutions. That is why we try to bring our services to our customers through multiple DCs, over an area of about 75-100 km (about a one hour drive in either direction). “Some companies don't do everything themselves. They use IT partners, but if you can bring the DCs to your customers yourselves, it’s added-value. So we want to accelerate bringing our DCs to our customers in the future, and provide On-Net and Off-Net options over multiple DCs.” DCU’s biggest driver is for proximity DCs. “5G means decentralised data, compute, network ability and storage,” Haringsma says, “and so the services we provide are requirements for this development.” For many DCs, sustainability is an afterthought. The centres are built with the explicit – and sometimes sole purpose – of data provision, thus sustainability considerations come later. “We are trying to be sustainable by nature, being as efficient as possible,” says Haringsma. “But it must be remembered that there are multiple drivers. By affecting all the variables that we have under our control, we are able to lower costs and achieve higher sustainability. However, it must be said that service-continuity is always the primary focus, and then comes sustainability. “Nevertheless, we reuse water, utilise solar panels and have heat exchange systems that redirect waste heat to reheat our warehouses, for example. We try to do our best in handling those things.” Haringsma alludes to the fact that most talk of sustainability in the DC world is not entirely honest. After all, a DC’s primary output is energy, not data. “We could change the loads of machines,” says Haringsma, “but this is the responsibility of 214

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LOCAL EMPLOYMENT Local employment (both direct or indirect) equates to around 15 or 16 people employed per rack or server, and every one euro attached to DCs creates multiple times its value for the local economy.

our customers, including things like killing zombie DCs and so on. We make sure they have a more efficient server infrastructure, but there are further constraints on sustainability for private DCs in general, because they are not being controlled by the government.” On-Prem Legacy DCs that are converted into commercial DCs have an even higher PUE (Power usage effectiveness). “We are 1.3, 1.4 or 1.5, where some private DCs have a PUE of 4 or even 5. We are hundreds of percentage points more efficient and sustainable,” he says. “We can't change the fact that a server and digital infrastrastructure needs energy, and we do need to raise more awareness about this. The clouds run on machines, and a lot of people don't have a clue about this, so we need to fight against this lack of understanding and educate them. Further, why should we pay for an upgrade of the grid, when Mr. Facebook and Mr. Amazon are using up all of our energy for the next 2-3 years?” Local DCs add local value to local banks, insurance companies, accounting firms, IT and Logistics companies – and DCU directly adds value to the local economy through these connections. Haringsma points out that local employment (both direct and indirect) equates to around 15 or 16 people employed per rack or server, and every one euro attached to DCs creates multiple times its value for the local economy. “A local company also pays local taxes and serves the local community, but this is not the case with an international DC,” he says. Haringsma believes that in the future, every town and village should have its own DC, and must give back to society, in energy that should all eventually be recyclable. sustainabilitymag.com

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“ We are quite ambitious to get more marketshare and present ourselves to the wider European DC market as a viable, costeffective alternative to giant DC providers” FRISO HARINGSMA

MANAGING DIRECTOR, DATACENTER UNITED

DCU’s Partner Ecosystem In terms of its current energy needs, one of DCU’s partners is Elinex, “who are very good partners”. “They provide us with many benefits, but one thing is they have a good culture and vision, and organise to build certain solutions. They are also really hands-on and are a good fit for us,” says Haringsma. “They also know what they're talking about. We have around 10 or 15 UPS (Uninterruptible Power Supply) brands, and it's hard to keep track of what they're all doing in the market and their constant evolution. Elinex can take us directly to brands, and they really help us provide solutions while also providing the right information to allow us to be an effective provider.” “We also partner with Huawei, whose equipment – according to my technicians – is really well-designed and allows us to be more efficient in our DC provisions,” he says. Belgium is in the middle of the FLAP (Frankfurt, London, Amsterdam and Paris) region, which makes up the primary DC market. DCU has high hopes that the

Belgian market will grow even more than it already has in the past few years. As for future trends, Haringsma says: “I see consolidation in the market. There is a lot of money involved, and it seems that everyone wants a piece of the pie when they hear the words ‘digital infrastructure’. When they say ‘5G’, I say, ‘ok show me’. A lot of bubbles are created by those who don't know how DCs actually work. “Transparency will also be a central theme, but as complexity accelerates, there will be too many applications that can potentially break down, so diverse solutions will be needed. Most importantly, the customer has to be able to focus on their own business, and more partnerships will be able to make this happen.” Ever-expanding, DCU has just received approval for the expansion of their current Antwerp Datacenter flagship location, adding another 6000 sqm of IT space, bringing it up to become a 20 MW facility.

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ARK DATA CENTRES DELVES INTO AN EMISSIONS REDUCTION STRATEGY

AD FEATURE WRITTEN BY: TOM SWALLOW PRODUCED BY: LEWIS VAUGHAN

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Head of Sustainability at Ark Data Centres, Pip Squire talks carbon reduction and overcoming challenges as the industry pushes for net-zero operations

he sustainability discussion comes with controversial views and misconceptions on how responsible organisations actually are. When using the word ‘sustainable’ or anything that relates to the subject, most industries will be subject to the spotlight from either consumers, partners or their boards. The data centre industry is one that has received a lot of attention in this area and since the data centre became a staple for daily life – supporting many aspects of digital transformation – organisations have been working on more efficient and less carbon-intensive methods of operation. As both businesses and individuals become reliant on digital ecosystems, data storage is a major contributor to the challenge data centres have in becoming sustainable. An example of how consumers negatively contribute, is the increased number of photos and files backed up to clouds, which are reliant on data centres — and their energy consumption — to retain them. For businesses, this is similar as they digitise their filing systems and carry out all processes on decentralised systems. One of the organisations in charge of storing and making this data available is Ark Data Centres, a supplier of unique data centre solutions in a multi campus environment with diverse fibre connectivity. The company began its first development

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“I'M PLEASED TO SAY THAT OUR INVESTORS FULLY SUPPORT OUR SUSTAINABILITY AMBITIONS”

in 2008, following the was headhunted by an acquisition of land for its American Design and first data centre facility. Build contractor, and he It has been steadily spent 10 years working expanding ever since. on the design and Its Head of Energy construction of power and Sustainability Pip plants, with a focus Squire is an advocate on renewable energy for sustainable datasystems. Power and centre operations and renewable energy led to even took to the stage the data centre industry PIP SQUIRE at Sustainability LIVE which has been his focus HEAD OF ENERGY AND SUSTAINABILITY, to explain more about for the last 15 years. ARK DATA CENTRES the company’s efforts to make digital solutions efficient while Energy purchasing is critical, but challenging providing a service that requires constant As companies decarbonise their data centre attention and energy supply. operations, the development of new sites and With more than 40 years in the facilities only tackles part of the issue. Firms construction industry, Squire spent 17 of must look at ways to reduce emissions across them working in civil engineering and worked existing sites and this can be achieved through on a broad range of projects, focusing in purchasing, but it’s not a clean-cut process. As the end on power, power supplies and Head of Energy this is an area of the business power generation. Following this, Squire that Squire holds a significant stake in. 222

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“At the moment, buying energy is quite tricky given where the energy market is, but it's not just about buying sustainable and renewable energy. It's also about how we make sure that the energy is used as efficiently as possible, and how we also report and share that with our customers,” says Squire. “As part of sustainability and energy efficiency, it will move away from just energy efficiency to water efficiency, to heat reuse, to asking how we begin to report under the greenhouse gas protocols.”

95%

of Ark Data Centre facilities are totally recyclable at end of life

TITLE: HEAD OF ENERGY AND SUSTAINABILITY INDUSTRY: DATA CENTRES LOCATION: CORSHAM, WILTSHIRE

EXECUTIVE BIO

Increasing emissions demand efficiency systems With continuous improvement and sustainability embedded in the company’s DNA, the firm is working on ways to mitigate unnecessary emissions and push further efficiencies across its facilities. Systems are put in place to not only to prolong the lives of data centres—cooling as an example—but to make operations more efficient. These solutions are important for reducing the environmental impacts of data centres, but Squire believes there are current limitations on emissions reduction, which will require further means of action. To put it simply: “what are we going to do for offsetting?,” asks Squire. “Because at some point we'll have minimised our energy demand to a point where we can't cut it down anymore. CO2 will be down at the very limit, but to get to net zero, we're going to have to offset it.”

PIP SQUIRE

Pip Squire obtained his Geology Degree from Oxford University in 1979, followed by three years of exploration in southern Africa. In 1982, he returned to Imperial College where he gained an MSc in Engineering Geology with Distinction. With a foundation degree in earth sciences, sustainability has been at the core of Squire’s career and echoes across design and operations at Ark data centres and campuses. Squire moved from engineering geology and foundation design on large hydro-electric projects around the world, to nuclear waste management, airport engineering and into the power industry in 1996. From 1999 to 2008, he led the European renewable energy team for a large US Construction Company, with a particular focus on hydro, marine and tidal power systems. By combining the company’s power and telecom expertise he broadened the company offering to data centres. He moved to Ark and a full time career in data centres from 2008, first as Engineering and Projects Director, then Head of Design and Build, through Head of Design, Energy & Innovation to his current position as Head of Energy and Sustainability. Over the last 14 years, Pip has led the successful planning, design and construction of over 100MW(IT) of tier three data halls in 12 data centres across three data centre campuses.

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Carbon offsets are not for all industries, but Squire advocates their importance in the company’s ability to reach its emissions reduction target of net zero by 2030. The only way to mitigate emissions is to look deeper into their sources, which is challenging. Squire says that due to the nature of Scope 3, “you don't have any real control over it. And we started last year looking at our Scope 3 emission and looking at the ones that we thought we could directly impact or have the most chance of impacting in our day to day operations.” “There's been quite a significant change. COVID-19 has done a lot for meetings over the internet, but you can't substitute key meetings with a zoom call. So there will be an increase in our business travel in 2022 compared to 2020 and 2021, but it's going to be nothing as big, I hope, as it was in 2019.” The company is also very active in seeking changes beyond the data centre and employee commuting is an important one to consider. Based on the 2019 figures – as the unprecedented events in 2020 and 2021 saw increased homeworking – the company was able to analyse and report on the greenhouse gas (GHG) emissions involved in employee commuting. “We have reports on greenhouse gas emissions for 2019 and 2020 based on questionnaires from our staff and from our mileage records and in parallel to that, we've started sharing our data,” says Squire. The firm is also encouraging its employees to make the switch to alternative energy sources for travel through the installation of electric vehicle charging points across its sites. Squire says: “All our data centre campuses now have electric vehicle charging points to promote electric vehicles on our sites and their use by those who have been sold on the idea of going electric.” 224

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“ WE CAN'T BE VERY MUCH MORE CO2 EFFICIENT BECAUSE WE HAVE PUSHED THE LAWS OF PHYSICS TO THE POINT WHERE YOU CAN'T CHANGE PHYSICS” PIP SQUIRE

HEAD OF ENERGY AND SUSTAINABILITY, ARK DATA CENTRES

Sustainable data centres require supply chain visibility But can you implement some level of control over Scope 3 emissions? This is the future that Ark is working towards as it strives for visibility of its entire value chain. Larger suppliers are more likely to implement their own ESG strategies and work with their customers to

achieve the same goal, but the difficulties lie within Ark’s smaller supplier-base. Squire says: “If it's a small niche company, we have got to take them on that journey to be able to get them to comply with our reporting requirements, and that I think is going to be our biggest challenge over the coming 18 months.” Beyond emissions, the firm is looking towards the future – the end-of-life procedure – of its data centres. Knowing where energy and components arrive from, represents a percentage of its supply chain visibility efforts, with another being its waste portfolio. What does it do with its data centre facilities when they reach ‘end-of-life’? Ark has carried out a lot of work measuring the embedded carbon of its facilities and implementing modular construction systems, which have been sustainabilitymag.com

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instrumental in the company’s ability to not only reduce its carbon, but to deliver new units in response to the increasing demand for data centre capacity. “95% of our facilities are totally recyclable at end of life, which is rather more than if we had a traditional concrete style building,” Squire says, before explaining how the

“WE SHOULD BE ALLOWED TO OPERATE AT HIGHER TEMPERATURES, WHICH MANY PEOPLE ARE BEGINNING TO ALLOW US TO DO” PIP SQUIRE

HEAD OF ENERGY AND SUSTAINABILITY, ARK DATA CENTRES

organisation achieves this, and the supply chain itself is a critical area to be measured. “It's the question of, how do you define the boundaries of where the limit of your steel CO2 emissions are? If it's UK based, as the bulk of Ark steel is, we know associated emissions. If the steel comes from China, it's a different number, all of that sort of stuff, but there are standard methods and we're working through that, particularly on the new builds.” Seeing sustainability from both angles Sustainability may be on the lips of major organisations and governing bodies across the board, but in the words of Pip Squire: “You're beginning to see it in the major corporates coming through now.” “I'm pleased to say our investors fully support our sustainability ambitions. So we've now got ourselves into a position sustainabilitymag.com

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“IF WE DON'T NEED DX COOLING, WE ELIMINATE THE NEED FOR REFRIGERANT GASES (FGAS), WHICH IN THEMSELVES ARE MORE HARMFUL THAN CO2” PIP SQUIRE

HEAD OF ENERGY AND SUSTAINABILITY, ARK DATA CENTRES

where they are giving us credit for sustainable targets and hitting sustainable targets on a year on year basis.” “And this means in the long term, that financial institutions are now driving development for companies like us to be more sustainable in terms of their delivery with sustainable goals, which need to be measured and reported on annually.” Squire highlights the reality of data centres at present, which are restricted by the current research around clean energy implementation. Squire believes that Ark “can't be very much more CO2 efficient because we have pushed the laws of physics to their limit, and you can't change physics.”

In the interest of corporations as well as customers, Ark is exercising transparency across its operations and is forthcoming with its limitations. Meanwhile, consumer behaviour plays a significant role in its ability to be sustainable. The more data storage is consumed unnecessarily – files that are kept but not used – the more data centre capacity is required, which has major ripple effects for energy footprints across the globe. “Do you need to keep all data stored for all time?” Squire asks. “Because if you don’t, then we need to start finding ways of getting stuff off of the internet. If you think about it, the internet also, through the way it's managed, looks at what's in your profile and what is most attractive to you, and it then sends you to that particular link. People have to be educated on the massive potential consequences of their seemingly trivial data usages. We all have a part to play.

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INDUSTRIAL-SCALE DATA CENTRES, INSPIRED BY HYPERSCALE

AD FEATURE WRITTEN BY: JESS GIBSON PRODUCED BY: LEWIS VAUGHAN

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KAO DATA

Kao Data’s CCO, Spencer Lamb, tells us about the company’s evolution, its ambitions, and its underlying sustainability ethos

he steep rise in digitalisation over the past decade has spurred an intensive period of evolution and maturation in the data centre industry, and the global COVID19 pandemic succeeded in accelerating this trend further. However, as the world becomes more dependent on data centres and the digital infrastructure landscape, many businesses have been faced with an intriguing dichotomy between the need to meet traditional demands for resilience and to reduce their environmental impact in the face of net zero. Kao Data is a unique hybrid, with feet placed firmly in both camps. Located across three campuses in East and West London, and catering to a wide range of customers, from enterprise and cloud to HPC and AI, it sets itself apart by being the UK’s leading operator of industrial-scale data centres designed to house the most demanding customer workloads. In many respects, this means that the company recognises the merits of investing in sustainable infrastructure that serves many traditional businesses, from financial services to retail and enterprise to cloud, as well as in optimising its campus and facility developments to support customers within high-touch areas such as life sciences, artificial intelligence (AI) and research supercomputing.

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Moreover, it does so with an ethos for ultra-efficient and sustainable operations, supporting today’s businesses with green digital infrastructure that can meet demands for a reduced carbon footprint and industryleading uptime. Traditionalism vs revolutionary, sustainable change With the proliferation of digitalisation driving a rapid pace of change across all industries, it appears that many data centre stakeholders are prepared for any sign of shifting trends. According to Kao Data’s chief commercial officer (COO), Spencer Lamb, this forwardthinking data centre operator is more than ready for the technological challenges that lay ahead. “Over the last two-to-three years, against the backdrop of COVID-19, we've seen the data centre market mature faster than ever,” explains Lamb. “We've also seen investor appetite for the industry get more and more prolific, as investors that have previously sought ‘safe’, traditional investments have shifted their focus towards ESG and digital technologies.” “Data centres have also become the critical infrastructure where business is facilitated. Advanced facilities such as our high-performance KLON-01 data centre in Harlow have become one of many crucial pillars in the UK digital economy,” he adds. The decline of the modern retail high street due to the rise of ecommerce platforms is one example of an industry that has embraced digital transformation and has seen an increased need for data centres that can cater to a wide range of data requirements. However, with a complex array of new technologies impacting both data centre designs and computing infrastructures, today’s colocation operators need to push the envelope to meet demands for both performance and sustainability. 234

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“ What we're trying to do is make sure that our data centres are intricately designed to drive operational and energy efficiency, no matter the type of deployment” SPENCER LAMB

CHIEF COMMERCIAL OFFICER, KAO DATA

KAO DATA

SPENCER LAMB TITLE: CHIEF COMMERCIAL OFFICER LOCATION: LONDON, ENGLAND, UNITED KINGDOM

EXECUTIVE BIO

In this vein, then, sits the organisation that is Kao Data, providing a range of hyperscale-inspired data centres to support compute-intensive workloads and the latest in cutting edge technological innovation. Key differentiators for the company include its Built-to-Suit services, supporting cloud and enterprise providers to fund, design, build and operate ultra-sustainable data centres that underpin UK capacity demands; a scalable and advanced HPC architecture capable of supporting highdensity forms of AI and machine learning; and its award-winning technical team, who are responsible for delivering high performance colocation services built upon a combined expertise formed over decades.

Spencer Lamb is the Chief Commercial Officer (CCO) at Kao Data. Having held previous positions at data centre companies – Infinity SDC and Verne Global – Spencer brings over 25 years of experience in data centres, HPC, AI, cloud and telco to the business. As an influential industry thought leader with a reputation for multi-million pound revenue creation across finance, hyperscale, life sciences, research and education, Spencer leads the sales, marketing and commercial teams in executing the company’s go-to-market strategy, which will drive new customer acquisitions furthering the expansion of its £230m, 40 MW Kao Data campus and grow the portfolio’s platform.

KAO DATA

Meeting ‘mission-critical’ market needs As well as the swift move towards online, there’s also been a significant rise in high performance computing (HPC), AI, machine learning, and supercomputing – especially in the UK Innovation Corridor, where the Kao Data brand was formed. This is due to the expansion of the market for GPU/CPU-intensive computing, the demand for low-latency connectivity, and the massive increase in the size of datasets required by said HPC and AI applications. To effectively meet these requirements, Kao Data has defined a dedicated data centre road map, with the flexibility to deliver bespoke, high performance architectures, while maintaining a reputation for being one of the most sustainable data centre operators in the UK. “We're in the process of building the second of four data centres on our Harlow campus,” says Lamb. “And demand is accelerating. We're in the final stages of

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“ Data centres have become the critical infrastructure where business is facilitated. Advanced facilities such as our high-performance KLON-01 data centre in Harlow have become one of many crucial pillars in the UK digital economy” SPENCER LAMB

CHIEF COMMERCIAL OFFICER, KAO DATA

KAO DATA

completing the fourth data hall in KLON-01 and have already commenced the building of KLON-02. The facility will provide further high performance and energy efficient, mission-critical services by next year.” The most notable achievement of Kao Data’s expansion is the challenging backdrop it has been completed against. This includes rapidly changing market dynamics that have affected global supply chains, industry skills shortages, and Russia’s invasion of Ukraine impacting energy supply and cost. Not least to mention an industry accelerated by the COVID-19 pandemic. “We're seeing a big uptick in customer demand, and, because of our Harlow location, situated between London and Cambridge in what is known as the UK Innovation Corridor, there's over 50 science parks on our doorstep. Furthermore, there are numerous world-leading universities north and south of us in Cambridge and London, as well as other traditional large-

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scale research institutions utilising HPC on an industrial-scale – meaning Kao Data is perfectly placed to support them.” Kao Data’s proximity to such innovative thinkers in the research and start-up communities, as well as its own technical expertise, makes it the perfect home for the UK’s most powerful supercomputer – NVIDIA’s Cambridge-1 – a prestigious title to hold, particularly when surrounded by an abundance of data centres in London. In fact, it’s the concentration of data centres in West London that has inspired Kao Data’s build strategy: ensuring a competitive presence in Slough with a new 16 MW data centre to support cloud and enterprise businesses, while also creating a dedicated high performance campus that houses a series of 10 MW, carrier-neutral data centres in Harlow – perfectly placed for the north and east of London. “By being more located around the capital, we are able to address a wider marketplace 238

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“ The foundational blueprint of the design has been predicated on a very energy efficient approach, which has enabled us to achieve a market-leading low PUE of 1.2, which we’re contractually committed to” SPENCER LAMB

CHIEF COMMERCIAL OFFICER, KAO DATA

NVIDIA Cambridge-1, the UK’s fastest and most powerful supercomputer

and therefore provide a fairly unique niche compared to the traditional sites in West London,” says Lamb. “This means our organisation is well-placed to support cloud and enterprise, while being technically advanced enough to support emerging innovations within HPC, supercomputing and even quantum computing.” Customer colllaboration and the road to net zero With customer-centricity and sustainability at the heart of its business, Kao Data has created facilities that both meet the needs of many different businesses while helping to minimise their environmental impact. Part of this dedication was creating an innovative infrastructure platform that has the flexibility to provide industry-leading energy efficiency capabilities and support its customers’ compute requirement sustainably, regardless of size or scale. “What we're trying to do is make sure that our data centres – the base infrastructure that sits behind the data hall – are intricately designed to drive operational and energy efficiency, no matter the type of deployment. The reason for that is twofold: firstly, it makes things far more efficient from a power and cooling perspective; secondly, from an operational viewpoint, it means it's much simpler to install, build and manage. This makes it more cost-effective, meaning we can reduce the cost to our customers by being more energy efficient, powered by renewables, and optimised to offer them a lower TCO – a key point of discussion in the current climate.” Lamb continues: “When we look at things like cooling, we can complement our design quite simply with a direct cooling configuration that will sit easily within what we've deployed to date. We're not seeking sustainabilitymag.com

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to reinvent the wheel or come up with a cunning new plan for a data centre every week. Ultimately, the more complexity you take out of a data centre’s design, the more efficient it is, therefore, the lower the cost will be and the simpler it'll be to operate.” “The Kao Data business premise is to ensure operational reliability and minimise our customers’ risk of downtime, while helping them minimise their environmental impact. We run our customers’ IT infrastructure 24/7, 365 without any interruption, but we also have to think about the roles that sustainability and energy demands play.” This pragmatic approach is directly inspired by Kao Data’s COO Paul Finch and CTO Gérard Thibault, two of the industry’s leading data centre developers and operators. Their commitment to customers is based around a focus on providing the basis for future technological advancements, while directly supporting sustainability requirements. “Paul and Gérard have really driven that mindset at Kao Data. Their pragmatic approach ensures that what they're doing will deliver something bespoke and highly effective for the customer, and is exactly what they need,” Lamb says with a smile, acknowledging the tendency of many data centre operators to instil a “bellsand-whistles” approach that can be both costly and inefficient. At Kao Data, the company chooses instead to address the industry challenges head on, and push the boundaries when it comes to sustainability, efficiency, and uptime. Strategic investments and future expansion Environmental, social and governance (ESG) have also become key focuses for investors considering the recent rapid enlightenment to climate change and its effect across the 240

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globe. Sustainability is therefore an essential consideration for data centre operators, which is particularly salient when considering the rise of HPC, AI and machine learning. The continuation of digital transformation will potentially lead to huge proportions of data being created and transferred to data centres, which will, in turn, require more energy per server and generate more heat. To resolve this conundrum, as well as many other sustainability concerns, Kao Data is actively using 100% renewable energy and embracing alternative renewable fuels such as hydro-treated vegetable oil (HVO), which removes 90% of carbon dioxide from its backup provision. It also models and tests its

“ The Kao Data business premise is to ensure operational reliability and minimise our customers risk of downtime, while helping them minimise their environmental impact” SPENCER LAMB

CHIEF COMMERCIAL OFFICER, KAO DATA

facilities using digital twins, ensuring its data centre platform is designed around an ethos of energy efficiency. “The foundational blueprint of the design has been predicated on a very energy efficient approach, which has enabled us to achieve a market-leading low PUE of 1.2, which we’re contractually committed to. We use ultra-efficient cooling units to cool the IT infrastructure,” explains Lamb, before outlining the company’s other sustainability considerations. “This approach enables us to marry technically advanced deployments with a very low PUE,” he continues. “We've taken our own sustainability commitments a sustainabilitymag.com

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“ We run our customer's IT infrastructure 24/7, 365 without any interruption, but we have to think about the roles that sustainability and energy demands play” SPENCER LAMB

CHIEF COMMERCIAL OFFICER, KAO DATA

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step further by being the first data centre operator in Europe to transition all our backup power generators to HVO. This effectively removes all fossil fuel diesel from site, reducing 90% of harmful emissions immediately, and is the same process we’ll follow for all our future data centres.” Interestingly, Kao Data has embraced key aspects of the Open Compute Project design methodology and was Europe’s first colocation provider to become OCPReady™. The company is also NVIDIA

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DGX Data Centre Certified, meaning if a customer chooses to deploy preconfigured, high-density racks – those that can weigh a tonne or more – the system can be wheeled into the facility and into the data hall without encountering any obstacles. Lamb says that, in instances like this, “customers can have HPC racks delivered, deployed, and powered-up in as little as 20 minutes”. Looking forward, Kao Data is in the enviable position of easily adapting its high

performance infrastructure platform to meet customer and sustainability requirements, while eyeing the rise of new technological advancements. Importantly, it’s putting provisions in place to meet accelerated customer demands – something of significant importance as the UK fights to reinforce its position as a leader in the wider technological landscape.

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