Dr. Marcus Trapp Dr. Matthias Naab 02.02.2022 | OOP

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© Fraunhofer IESE 4 https://www.nytimes.com/interactive/2021/09/03/climate/bitcoin-carbon-footprint-electricity.html

© Fraunhofer IESE 5 https://www.theregister.com/2020/11/04/gpt3_carbon_footprint_estimate/

© Fraunhofer IESE 6 https://www.wired.co.uk/article/netflix-carbon-footprint

© Fraunhofer IESE 7 https://physicsworld.com/a/powering-the-beast-why-we-shouldnt-worry-about-the-internets-rising-electricity-consumption/

© Fraunhofer IESE 8 https://www.businessgreen.com/blog-post/1810555/it-polluting-airline-industry

© Fraunhofer IESE 9 https://www.ericsson.com/en/reports-and-papers/industrylab/reports/a-quick-guide-to-your-digital-carbon-footprint

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© Fraunhofer IESE 11 https://www.iwm.fraunhofer.de/en/why-fraunhofer-iwm/core-competencies-technical-possibilities/material-modeling-and-simulation.html

© Fraunhofer IESE 12 https://www.lhsystems.com/solutions-services/operations-solutions/lidoflightplanning/lidoflight4D

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© Fraunhofer IESE 15 https://de.planetly.com/

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© Fraunhofer IESE 17 https://www.infiniteenergy.com.au/tracking-your-energy-usage

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© Fraunhofer IESE 20 Sustainable IT ◼ ICT solutions are no end-in-itself → serve a purpose ◼ Development and use / operation of IT always consumes energy ◼ Energy consumption causes CO2 emissions (depending on the origin of the energy) ◼ Energy consumption causes costs ◼ Development and use / operation of IT requires hardware ◼ Hardware needs raw materials ◼ Hardware production needs energy ◼ Use of hardware can also be minimized / designed efficiently ◼ Decisions in software development have impact on energy consumption and hardware usage ◼ Balance between ecological / economic / social fairness ◼ Consideration over the lifetime of IT systems

© Fraunhofer IESE 21 Sustainable-By-IT ◼ Impact on sustainability is main purpose or partial purpose of the IT solution ◼ E.g. solution for optimal route planning of airplanes to minimize kerosene consumption ◼ Potential impact of IT solutions on sustainability ◼ Better understanding of contexts / analysis ◼ Creation of transparency ◼ Influencing behavior / enabling behavior (of companies and people) ◼ Influencing the characteristics of products and processes (consumption of gasoline ...) ◼ During development ◼ During operation ◼ Balance between ecological / economic / social fairness ◼ There must be a motivation for using the IT solution ◼ Somewhere the money for the IT solution has to come from and in some form there has to be economic efficiency (government, B2B, B2C, ...) ◼ Sensible choice of the considered scope is necessary: scope has to be defined actively (which companies / people / activities / ...) ◼ Consideration over meaningful time periods is necessary

© Fraunhofer IESE 22 Scope Focus Impact

© Fraunhofer IESE 23 Organizations Embedded in their Context Organization in Focus Suppliers B2B- and B2C Customers Own Sustainability Sustainability Impact of Suppliers Impact on Sustainability of Customers Sustainability always needs a certain scope for consideration

© Fraunhofer IESE 24 Our Focus for the Talk FOCUS: ◼ Sustainability in relationship to IT / software: ◼ Sustainability by IT ◼ Sustainable IT ◼ Companies developing software ◼ Core business is software development ◼ Core business is other business

© Fraunhofer IESE 27 Organization in Focus: Develops Software! Suppliers B2B- und B2C Customers Sustainable IT Sustainable-By-IT Legislator Laws Laws 2 Improve customer’s core business‘s sustainability by IT 5 Improve customer’s IT’s sustainability 3 Select supplier that improves own core business‘s sustainability by IT 6 Select supplier that improves own IT’s sustainability Big Picture & Focus from an IT Perspective 1 Improve own core business‘s sustainability by IT 4 Improve own IT’s sustainability

© Fraunhofer IESE 28 Organization in Focus: Develops Software! Suppliers B2B- und B2C Customers Sustainable IT Sustainable-By-IT Legislator Laws Laws 3 Select supplier that improves own core business‘s sustainability by IT Buy a telematics solution to be mounted in vehicles training drivers for optimal fuel-saving behavior 6 Select supplier that improves own IT’s sustainability Move effort- intensive calculation to highly-specialized hardware of a cloud provider Big Picture & Focus from an IT Perspective Example 1 - Company: Feige & Hammer - Core Business: Logistics 1 Improve own core business‘s sustainability by IT Write Software to reduce miles driven and fuel consumed by a highly efficient route planning 4 Improve own IT’s sustainability Improve the software architecture of the route planning to reduce calculation needs and save machines

© Fraunhofer IESE 29 Organization in Focus: Develops Software! Suppliers B2B- und B2C Customers Sustainable IT Sustainable-By-IT Legislator Laws Laws 2 Improve customer’s core business‘s sustainability by IT Reduce amount of returned shippings by better fitting clothes 5 Improve customer’s IT’s sustainability Replace on-premise software by multi- tenant SaaS software 3 Select supplier that improves own core business‘s sustainability by IT Select a software component provider for accurate body scans with Phone 6 Select supplier that improves own IT’s sustainability Move self-hosted SaaS to a specialized Cloud provider Big Picture & Focus from an IT Perspective Example 2 - Company: SizeSoft - Core Business: Clothes-fitting Software 1 Improve own core business‘s sustainability by IT Write a simulation software that replaces real-world tests of clothes- fitting with software-based tests. 4 Improve own IT’s sustainability Improve algorithms of software for more efficiency

© Fraunhofer IESE 30 Organization in Focus: Develops Software! Suppliers B2B- und B2C Customers Sustainable IT Sustainable-By-IT Legislator Laws Laws 5 Improve customer’s IT’s sustainability Use more efficient graphics library reducing the energy consumption on the user’s device (PC, console) 3 Select supplier that improves own core business‘s sustainability by IT Buy a software component reducing the overall number of tests with AI-based test strategy optimization 6 Select supplier that improves own IT’s sustainability Train the AI models for the game on highly specialized hardware of a cloud provider Big Picture & Focus from an IT Perspective Example 3 - Company: SprintSoft - Core Business: Jump & Run Games 1 Improve own core business‘s sustainability by IT Write a software system that optimally assigns development tasks to avoid interference of work 4 Improve own IT’s sustainability Replace own server hardware by more energy-efficient alternatives

© Fraunhofer IESE 31 Organization in Focus: Develops Software! Suppliers B2B- und B2C Customers Sustainable IT Sustainable-By-IT Legislator Laws Laws 2 Improve customer’s core business‘s sustainability by IT 5 Improve customer’s IT’s sustainability 3 Select supplier that improves own core business‘s sustainability by IT 6 Select supplier that improves own IT’s sustainability Big Picture & Focus from an IT Perspective 1 Improve own core business‘s sustainability by IT 4 Improve own IT’s sustainability

© Fraunhofer IESE 32 Need to Understand: Motivations to Invest into Sustainability Mix is possible and probable ◼ Economic advantage (from a certain perspective) ◼ Solution is more sustainable and cheaper (e.g. the route optimization for aviation) ◼ Solution is more attractive for customers (e.g. better overall user experience) ◼ More customers ◼ Better prices and higher earnings ◼ Adherence to mandatory regulations and Laws ◼ Intrinsic motivation ◼ Invest → requires to know not only the advantages but also the cost!

© Fraunhofer IESE 33 Proportionality & Impact Proportionality: ◼ Selection of a meaningful overall scope! ◼ Where are the real levers? ◼ How much does IT consume compared to what is saved by IT? ◼ Where does a lot of energy really go into IT? ◼ Transparency is absolutely central, otherwise everyone optimizes in the wrong place ◼ Macro-economic vs. from the perspective of an individual company Impact: ◼ How much impact does a company want to have in terms of sustainability? ◼ How can a company increase its impact on sustainability? ◼ Highest possible reach of the offer ◼ Quantity of customers / people influenced is central ◼ E.g., as initiator of a digital ecosystem, focus on strong growth ◼ Achieve the greatest possible impact on individual companies / people ◼ What impact can the state have through regulations?

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© Fraunhofer IESE 35 Innovation, Systems- und Software-Engineering for „Sustainable-By-IT“ ◼ Focus not only on software, but on overall system to be impacted ◼ → Selection of a meaningful scope ◼ Digital (Innovation) Design ◼ Origin of innovative solutions for sustainable-by-IT ◼ Needs creativity ◼ Needs to tackle motivations, find business models ◼ Careful balance of ecologic, social, economic aspects ◼ → needs more specific guidance, patterns, … ◼ All other software engineering disciplines needed in the “usual fashion” to build great systems ◼ By addressing only this dimension, you can have a large impact ◼ However, by considering “Sustainable IT” in addition, your impact can be even larger

© Fraunhofer IESE 36 Systems- and Software-Engineering for „Sustainable IT“ ◼ Consider energy consumption as a quality attribute ◼ Cross-cutting ◼ Might be subject to regulations in the future ◼ 1 quality attribute among many ◼ Potentially in conflict with other quality attributes ◼ The same applies to hardware consumption ◼ Besides the other quality attributes, the cost consideration is central ◼ Energy costs over the lifetime of the software ◼ Costs for use / operation / development ◼ Energy consumption must / can be considered through all SE activities ◼ Digital Design / RE ◼ Architecture / Implementation / Test ◼ Data Science / Model Training ◼ Overarching consideration of all activities necessary ◼ Integrated consideration of runtime and devtime necessary

© Fraunhofer IESE 37 Systems- and Software-Engineering for „Sustainable IT“ ◼ Guidance for software engineering (there are first things, but it is by no means established yet) ◼ Transparency: Where does how much energy actually go in? Measurability! ◼ Principles and guidance for all disciplines in SE and across disciplines ◼ Selection of infrastructure / hardware / technology platforms is central ◼ Have predefined characteristics regarding energy consumption ◼ Must be used appropriately ◼ Are often not completely transparent, especially in IaaS and PaaS offerings ◼ Much optimization for better energy consumption is also possible in the technology platforms (by their providers) ◼ Of course, again with certain tradeoffs!

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Dr. Marcus Trapp Dr. Matthias Naab 02.02.2022 | OOP