Why ITAD is Important in the Context of Manufacturing

Why ITAD is Important in the Context of Manufacturing

In various manufacturing industries, cultivating a consistent and positive image for your business is a vital part of growing and maintaining a successful brand identity. In order to protect your manufacturing company’s image and reputation, partnering with a professional and experienced IT Asset Disposition (ITAD) company is essential.

One unfortunate reality of manufacturing is that companies occasionally over-produce and wind up with a surplus of the products coming off their lines. Additionally, recalls on products or obsolescence due to the introduction of newer models to the market landscape may also result in surpluses.

Whatever the cause, in the case of surplus products or prototypes, manufacturers will need to ensure that the superfluous merchandise is disposed of in a secure and reliable fashion.

There are many reasons that professional ITAD is important in the context of manufacturing, especially when facing a manufacturing surplus:

Eliminating the Cost of Storing Surplus Items 

When dealing with a manufacturing surplus, companies may end up having to arrange large storage areas or warehouses in order to hold excess products and keep them secure. This decreases a business’s ROI by funneling costs toward storing products that are unlikely to result in any return.

Employing a professional ITAD company will free up storage space, decrease storage costs, and ensure that the surplus is disposed of appropriately.

Safeguard Against the Gray Market Sale of Products

Another potential problem when left with a surplus of products is the possibility of your company’s products filtering into a less regulated marketplace. This can sometimes force manufacturing companies to compete with their own products at lower prices, when filtered through unregulated distribution channels. If this happens, it can potentially damage the brand image and reputation that your business has worked hard to develop. It is vital to ensure that all products that find their way into the marketplace accurately represent the range and value of the products approved for sale by your company.

Additionally, surplus items that are lost or stolen before they are properly disposed of may be used in illegal activity, potentially resulting in a range of undesirable consequences.

Disposing of Items in Compliance with Regulations

When disposing of products or manufacturing materials, it is important to do so in compliance with any federal, state, and local regulations. These regulations often safeguard against environmentally damaging or excessive electronics waste. Improper disposal of electronics and technological products, for example, can result in a variety of regulatory problems for any company engaged in such practices.

Choosing a Certified ITAD Vendor

In order to guard against regulatory violations, decrease the cost of surplus storage, and ensure that your company’s brand is under your control by keeping items out of gray markets, it is essential to partner with a qualified ITAD Vendor.

SEAM provides manufacturers with a broad range of professional ITAD solutions in the Sioux Falls, SD area and also across North Dakota. We are highly certified and offer the best in secure IT Asset Disposition. For more information about our services or to request a quote, contact SEAM at 605-274-7326 (SEAM) or online today.