¶ … CIO's concern with going green is that is an efficient process that utilizes available resources and conserves energy (and associated expenses) all throughout the IT function. This can involved creating new energy-efficient data centers, simplified infrastructures by consolidating servers or using virtualization options and/or implementing cooling solutions in data centers already in place. From an agency theory perspective, the CIO's concern is to identify the "governance mechanism" by which the conflict between agent and principal can be reduced (Eisenhardt, 1989, p. 59). In terms of going green, the self-servicing principal of the agent is reduced by energy conservation efforts that promote cost-saving benefits for the company and which also help to save the planet (Martin, Kemper, 2012). The benefits of going green are that doing so can increase shareholder value by reducing operational costs. As energy prices rise, so too does operational expense, and by conserving energy through green tech, companies can cut expenses, which leaves more money for shareholders or other avenues. Savings can be quite large considering that data centers can eat up nearly half of a company's energy bill.

Another benefit is that going green can give a company a good reputation as a corporation that cares about CSR (corporate social responsibility). CSR shows that a firm is dedicating to reducing waste, caring about the environment, and doing its part to benefit humanity. In other words, it is a firm that shows that it puts people and the planet before profits. Such a reputation can go a long way in helping the firm to grow in popularity among consumers who appreciate a scaled back approach to protecting the earth and not wasting energy. As Betancourt and Farrell (2011) point out, Green IT actually does...

Those that are environmentally-conscious will not support corporations that do not share their values. So there is the added value to implementing Green IT -- it helps to grow a distinct consumer base that is likely to grow in the coming future as more and more environmentally-friendly platforms are promoted around the world.
Thus, the benefits can be said to outweigh the costs of implementing green tech to reduce energy usage and costs over time. Saving the planet does not have to be the main goal of the company, as Martin and Kemper (2012) note. It can be both about reducing energy costs and consumption and exercising an innovative approach to taking the company into the next generation of growth via Green IT. Telework, virtualization, and consolidating shipments are all aspects of adopting a Green IT infrastructure -- and they are as much about conservation as they are about reducing unnecessary costs; the Digital Age has allowed for practices like telework to become commonplace and effective; virtualization is also a technology that is growing and viewed not only as efficient but also as highly practical. Consolidation of shipments, too, is a pragmatic approach to running a business and shows foresight, restraint, and awareness. These are all common sense approaches to helping the company to go green; the company's owners would appreciate it over the long-term; the customers would appreciate it because savings can be passed on to them; and the public would appreciate it because of the sound CSR practices and principles that…