Environmental, Social and Governance (ESG) & Data Security Report
Security. Sustainability. Stewardship.
S3 Recycling Solutions’ 2023 Environmental, Social and Governance Report is presented to all stakeholders, and demonstrates the driving force behind our operational strategy and organizational behavior. Our credibility and commitment to address global e-waste matters continue to progress and be recognized on the national stage.
A Message from the CEO
It is my pleasure to present S3’s 2023 ESG report on behalf of an amazing team of talented technology and business professionals. Together, we completed another year of accomplishments that continue to solidify our role as a leader in the IT asset disposition and medical equipment disposal industries.
When S3 has a successful year, it means we’re delivering on our mission to provide environmental solutions to our customers and our community. In 2023, we processed more than 5M pounds of electronics and technology devices, and our activities prevented more than 22,581 metric tons of carbon dioxide (CO2) from entering the atmosphere. We also decreased the idling time of our trucks, contributing to an overall 8 percent reduction of our carbon footprint. And most notably, we continued to help our clients meet their sustainability goals, processing their electronics and technology devices at R2v3 and e-Steward certified facilities.
Other “wins” for our team in 2023 included: adding 78,000 square feet of warehouse space to our real estate portfolio; being named, again, to Inc. Magazine’s list of fastest-growing private companies in America; and on a personal note, I was named Chairman Elect of the Nashville Technology Council.
S3 is expanding its capabilities across the nation. We recently completed our first acquisition, purchasing a California-based company that increased our employee headcount by approximately 17 percent, and increases annual revenue by 10 percent.
Our sustained growth is the manifestation of our team’s daily hard work and dedication to excellent customer service. I am grateful for the opportunity to provide clients across the nation with a hassle-free option for managing excess technology assets, and I’m honored to provide sustainable business solutions for the national economy as a whole.
Rod McDaniel , CEO
Core Competencies and Core Values
Vision: Be the leading global provider of electronic asset reuse solutions, ensuring the highest level of safety and security in the world by creating a sustainable future.
Mission: Provide hassle-free, eco-friendly, and globally accessible e-waste solutions to individuals and businesses, while prioritizing the protection of our environment and promoting sustainable practices.
CORE COMPETENCIES
Information Technology Asset Disposition (ITAD)
S3 creates client-specific e-waste solutions to help organizations dispose of surplus equipment in a safe and environmentally responsible manner.
Data Destruction
As a member of the National Association for Information Destruction (NAID), S3 sanitizes or completely destroys all media in accordance with NIST guidelines, and provides each client with a certificate of destruction.
Logistics
S3 securely transports e-waste materials throughout the country with efficient logistics solutions. Our trucks are secured with GPS tracking, and our Over The Road drivers have decades of long-haul experience.
CORE VALUES
Sustainability
We are doing our part to protect the environment from harm with trustworthy and secure processes. Businesses across all industries depend on S3 to properly dispose of e-waste.
Integrity
E-recycling is an inherently private business, and integrity is vital to building authentic client relationships. We maintain transparency in our commitment to protect client data.
Medical Equipment Disposal
S3’s medical equipment disposal processes and procedures are fully Health Insurance Portability and Accountability Act (HIPPA) compliant, as we serve many of the largest healthcare companies in the nation.
End-of-Life Electronics Recycling
Equipment that has no resale value, is antiquated or beyond repair is demanufactured in accordance to local, state and federal laws and regulations. S3 has a ZeroLandfill policy on all electronic equipment we acquire.
Mobility Management
Corporations undergoing technology upgrades can benefit from S3’s cell phone buy back and recycling services which many times is cost neutral, offsetting the expense of purchasing new equipment.
Dependability
Our clients trust us to always handle their e-waste securely and efficiently. We maintain the highest professional, technical, and environmental standards in the e-waste industry.
Community
Serving the broader community is an immovable component of our business. We are eager to give back to local, national and international communities and expand our capacity to do so.
Data Security
Stringent physical security controls are in place for all unwiped or undestroyed data storage devices. When a data destruction project requires offsite processes, clients can be sure that S3’s multilevel security protects their sensitive data. S3 maintains a strict chain of custody during the relocation of clients’ datacontaining devices, and our facilities are monitored 24/7. On top of constant CCTV monitoring, our facilities have armed guards on both shifts, RFID badge access to data-sensitive areas, third party monitoring, and security gates on dock doors.
S3’s overwriting, or wiping, software procedures
perform multiple-pass wipes and replacement of the previously stored data on magnetic media with predefined meaningless data. S3 only utilizes software that meets the industry’s accepted standard. Data sanitization processes are reviewed and validated by an independent party on a periodic basis. The independent reviews are also used to monitor the quality controls of the process. Quality controls include competency evaluations of employees, attempts at data recovery from sanitized devices, verification of calibration schedules (where applicable) and verification of data sanitization records.
S3 is DOTmed certified, which indicates that we use the best practices for safe and secure disposal of unwanted medical equipment. We have certified bio-med techs on staff and we surpass all data-wiping standards and privacy laws. Comprehensive reporting and aroundthe-clock security at S3 facilities keep us accountable to clients and ourselves.
The S3 Six-Step Recycling Process
All material is processed in the continental U.S., and S3 and its downstream partners have a zero-landfill policy on electronic devices.
STEP 1 — Receive
have a zero-landfill policy on electronic devices. S3 sanitizes or completely destroys all media with data in accordance with the National Institute of Standards and Technology Guidelines for Media Sanitization, and provides a certificate of destruction to every customer as proof of successful erasure and non-recoverability.
STEP 3 — Test
All items are tested for power and basic functionality. If an item doesn’t meet our basic testing standards, then items are de-manufactured and sent downstream for further recycling using a R2-certified partner.
STEP 4 — Remarket/Resale
Re-marketed items are given a second life by our inhouse light refurbishing process. Items are assessed a value and marketed through our various selling channels. Re-use is the truest form of recycling.
STEP 5 — Storage Environment
The S3 staff coordinates all logistics to schedule pick-ups from our clients. Material is transported to our secure facility via S3 trucks or by freight, both of which are equipped with padlock security and GPS tracking.
STEP 2 — Deidentify, Sort, Data Destruction and Process
All devices received by S3 are de-identified; any asset tags are removed and are sent back to the customer upon request. Items that have resale value are tested, where we perform light refurbishing. Items that do not have resale value are sent downstream for further recycling by an R2-certified partner. All material is processed in the continental U.S., and S3 and its downstream partners
All material is stored at S3’s secure facility. Accessibility to the office, warehouse and data security areas vary based on job responsibility. All devices that contain data are stored in our data security area. Other items are palletized, wrapped, and stored with customer ID until further processed. S3’s facility is monitored with numerous security cameras to the exterior and interior 24 hours a day, 7 days a week. Recordings are made from all cameras and retained for a period of 90 days.
STEP 6 — End-of-Life Material
All devices that do no meet our testing standards are sent downstream to a R2-certified partner in the US for further processing. All commodities are recycled and/or smelted for use in new devices.
S3 Recycling Solutions
Client Locations
S3 Recycling Solutions
Facilities
• S3 recently acquired Californiabased iGlobal Asset Management
• S3 bought a 78,000 sqft. warehouse in Springfield, TN in June 2023 —
• S3 Facilities: 3
• Countries Served: 3
• Client Count: 454
• North American Client Locations: 1,503 in 43 states
Service Areas Across North America
Scan this code for locations not pictured
Emissions Reduction
One of the most important pillars of the electronics recycling industry is the ability to make a positive and lasting impact on the environment. In 2023, S3 processed more than 5M pounds of electronics and technology devices, and the company’s recycling and reuse activity prevented more than 22,581 metric tons of carbon dioxide (CO2) from entering the atmosphere. In the same year, S3’s energy efficiency improvements included decreased idling of the trucks that are used to pick up excess electronics and technology assets from customer sites, which contributed to an overall 8 percent reduction of our carbon footprint.
In 2023, S3 Recycling Solutions processed 5M pounds of electronics and technology devices.
This is equivalent to greenhouse gas emissions avoided by:
This is equivalent to CO2 emissions from:
11,005,134 gallons of gasoline consumed
6,456,604,872 number of smartphones charged 33,959 tons of waste recycled instead of landfilled
4,248,143 trash bags of waste recycled instead of landfilled
2,309,941 incandescent lamps switched to LEDs
12,754 homes’ energy use for one year
19,302 homes’ electricity use for one year
This is equivalent to greenhouse gas emissions from:
250,136,814 miles driven by an average gasoline-powered passenger vehicle
In June 2024, Ernst & Young LLP (EY US) named S3 CEO Rod McDaniel an Entrepreneur of the Year® 2024 Southeast Award winner. Entrepreneur of the Year is the preeminent competitive awards program for entrepreneurs and leaders of high-growth companies. Rod was selected by an independent judging panel made up of previous award winners, leading CEOs and other business leaders. Candidates were evaluated based on their ability to create long-term value through entrepreneurial spirit, commitment to their purpose and the demonstration of growth and substantial impact, among other key indicators.
Awards and Certifications
As an R2v3-certified electronics recycler, S3 has gained local, regional, and national recognition for its success in the information technology asset disposition (ITAD) industry. We’re proud to be named by Inc. Magazine as one of the fastest-growing private companies in America for three consecutive years. And we’re honored that we’ve built a company culture that has resulted in S3 being named a Best Place to Work by the Nashville Business Journal.
We’re committed to creating a great workplace that fosters a culture of growth and happiness, and we believe that is an essential factor in why we deliver great work to our customers. Check out a few big wins from 2023
Community Events
S3 routinely conducts community service activities to inform the local community about the benefits of recycling. We frequently partner with local organizations to host free, data security and e-waste drop-off events that are open to the public. Participants are guaranteed that any data on their devices is destroyed. S3 is committed to our role as a corporate citizen, and we’re determined to continually invest in multiple activities to uphold our social responsibilities. We believe it is important to provide access to convenient e-waste collection opportunities so that community members can securely and responsibly dispose of their electronic devices.
It is our goal to contribute to local and global endeavors to combat our planet’s e-waste epidemic, as well as educate the public about sustainable living practices. Our team consistently encourages the community to engage in the recycling process, and we take great pleasure in promoting the idea that individual participation in sustainability efforts makes a difference.
Materials received at S3 e-waste collection events are reused in some capacity, whether they are recycled or sold for scrap. Most importantly, nothing ends up in a landfill. S3 offers these services in conjunction with government agencies, Chambers of Commerce, non-profit organizations, businesses and other entities.
Charitable Contributions
S3’s core values are more than just words; they’ve been the driving force behind our actions. As a result, we’ve lived out our commitment to generosity in our work and our community. Fortunately, we’ve been able to channel our success into meaningful contributions.
In 2023, S3 donated more than 5,000 desktops, laptops, tablets, and medical devices to organizations globally. Beyond the boardroom, our commitment to community extends to the heartwarming tradition of shopping for 40 families during the Christmas season. We are honored to share our successes with our neighbors in our surrounding communities.
Whether it’s supporting local and national organizations in baseball, football, soccer, or tech, we are grateful for the opportunity to make a difference in our community.
S3’s 2023 charitable contributions totaled: $799,050
This includes cash and in-kind contributions, as well as desktop, laptop, and tablet donations.
S3 Board
Brian Moyer Chairman Founder & CEO
The Innovation Studio
Ray Guzman CEO and Co-Founder SwitchPoint Ventures
Rod McDaniel President and CEO S3 Recycling Solutions
Wanda Lyle President & CEO Center for Non-Profit Management
Myra Herring CEO Capri Brand, LLC
James Crumlin, Jr. Equity Partner
Spencer Fane LLP
Richard Pinson Entrepreneur/Investor Crescent Holdings
S3 Professional Team
Nathan Freeman Director of Business Development
Stacy Muth Chief of Staff
Beth Delaney Account Manager
Jarquis Hendricks Director of Warehouse Operations Greg Welch Chief Financial Officer
Amber Martocci Account Manager
Rayna Bosemer Director of Logistics
S3’s growth and leadership in the electronics recycling industry has made it an attractive workplace for top talent. We are honored to be consistently named among Middle Tennessee’s “Best Places to Work” which recognizes companies with positive work environments, leadership that inspires their teams, and places where employees can have fun while being successful in business.
S3 leadership makes it a priority to ensure that team members are happy and healthy. To that end, S3 offers competitive wages and benefits, professional development for employees, and opportunities for long-term career paths.
Benefits provided to the S3 Workforce:
• 100 percent coverage of medical, dental, vision, and life insurance for employees
• Holiday pay and paid time off for salaried and hourly employees
• Short-term and long-term disability
• Employee Assistance Program providing help with costs for therapy and counseling
• Work programs for students with Autism
One of S3’s greatest attributes is that it is a culturally diverse team. We’ve curated a professional team and Board of Directors with varied backgrounds and extensive experience. Our global footprint and skilled, experienced professional team remain at the forefront of our success, underscoring our dedication to sustainability and data security. We understand that in order to have the most talented team, we must make the organization a welcoming place for everyone regardless of gender, ethnic background, religious affiliation, disabilities, or other areas of diversity. S3 is certified nationally and by the State of Tennessee as a minority-owned business.
