Mike Keough, CEO of E-Structors,
described the company as “a
comprehensive destruction company”
that can recycle a large variety
of electronics, including CRTs,
desktop computers, servers
and peripherals. To make it
even more convenient for customers,
E-Structors also has a document
destruction line that can handle
mixed media so the customers
can have “one company for the
entire waste stream.”
Keough, like many in the recycling
industry, followed in family
footsteps. His father had worked
for BFI and later founded one
of the first document shredding
companies in the country. Keough
said he “took a lot of those
experiences in document shredding
into electronics.”
Besides destroying outdated
or nonfunctioning electronic
equipment, E-Structors also
resells useful computer components.
Keough called his process reverse
manufacturing, where usable
components are wholesaled to
companies that rebuild the
computers and resell them as
working systems. However, none
of those wholesaled units have
hard drives or operating systems
included, so customer data
is never compromised.
Keough said that the wholesaling
came about as a direct result
of customer requests. “We ask
customers how we can service
them better,” he said, and
E-Structors was missing the
opportunity to handle newer
equipment that still had a
useful life.
Out of all the material that
comes in to the plant, Keough
estimated that only about one
percent is landfilled, and
that comes largely from the
laminated wood cabinets from
console televisions. The rest
of the materials find homes
as recycled materials.
Keough said many electronics
recyclers operated on a business
model where all of the work
was done by hand, which isn’t
cost effective. In order to
stay in business, he estimated
that a company needed to process
about 1.5 million pounds of
material per month, which would
be nearly impossible to do
entirely by hand.
“You can’t just shred electronics,”
Keough said. “You have to touch
everything.” While there is
a very large manual component
to his processes, it is done
quickly and efficiently, and
that much of it is “very much
automated” including the shredding
and baling of the materials.
Figuring out how to best process
materials – the “operations
challenge” as Keough called
it – is one of the things he
enjoys most about his job.
Keough said that customers
want to make sure the material
is being handled responsibly,
and that it isn’t being shipped
overseas. “The days of making
an easy dollar are gone,” he
said of competitors who often
took the easy route to recycling.
E-Structors operates under
one roof, in a new facility
opened in September 2008, replacing
the original space of about
21,000 square feet. Having
everything in one building
helps maintain security for
the government, corporate and
municipal customers who want
their data safely destroyed.
Keough said that there has
been a tightening of policies
regarding the safeguarding
of data on computer hard drives.
In the past, it was sufficient
to “wipe” the drives using
software that securely erased
the data. Now, physically shredding
the hard drives is becoming
the preferred method.
While E-Structors processes
a large volume of materials,
they don’t require large volumes
from customers. Keough said
the “bread and butter” of his
business are the small customers
with just a few computers to
be picked up at an office.
But large is okay, too. Not
long ago, E-Structors was responsible
for recycling the JumboTrons
and other electronic equipment
from Camden Yards Stadium in
Baltimore.
The company continues to expand
and grow. Over time, the electronics
destruction business has grown
to include cardboard and paper
shredding, and has become a
regional processor of glass.
Now, Keough said he would like
to expand to include more industry
segments including government
Department of Defense and healthcare.
For Keough, it’s not all about
electronics and recycling.
He said that when he started
the business, he and his wife
made it a priority “to give
back in the community.” He
provides a number of entry-level
jobs and offers on-the-job
training so the employees improve
their skills.
The company also partners with
a school for autistic students,
giving those students and others
with special needs an opportunity
to work. Keough said that elsewhere
these job opportunities “are
few and far between,” but that
E-Structors will continue to
provide these jobs and to help
all of his employees better
themselves.