You Have No Idea How Well Something’s Performing – Until You Measure

Debbie Baxter, VP Corporate Sustainability & Facilities Management, LoyaltyOne
Posted on Thursday 14th January 2010

Measurement is very big these days. In our pay-for-performance, just-in-time world, we have a need to know what is happening on a minute-by-minute basis, and we adjust our behavior (dial up, dial down) based on this information.

For example, we download one song from an album on iTunes and Apple can then measure who likes what songs, and highlight the most popular, spurring more people to download that particular song.

There are also business examples, like factory efficiency studies that show productivity or safety measures directly to the people who control productivity or safety outcomes. Making this data available has a positive impact on the outcome because people are able to track progress. Same concept.

I recently enjoyed the exciting exercise of searching for a new family vehicle. From the plethora of makes and models on the market today, I was seeking the type of vehicle that could serve my family needs and still be as energy efficient as possible.

In the end I bought a Toyota Prius, not because it had the best fuel economy rating of all cars or a fold down back seat and would easily have the capacity to accommodate our life. It also was not because it has many cool features, including an electric engine that reducing gas consumption.

The reason I bought this car was simple – MEASUREMENT. I found the measurement and feedback capability of the Prius unmatched. As I drive, I can see how much fuel I am consuming. I can compare (in 5 minute increments) how efficiently I am utilizing my tank of gas. I can strive for better results with each trip and aim to have a lower mile per gallon rating each time I use the car.

This capability gives me the power to affect my own outcome.

We are utilizing this same concept at LoyaltyOne, where the gathering and reporting of metrics is our new eco-footprint reduction plan. We will report on energy used, carbon per associate, waste volume, recycling volume, data center efficiency statistics and paper usage per associate. We will share this data with the people who have an ability to make a difference in their impact, all of our staff.

One early success story emerged from this initiative. We did a waste audit and when our Facilities Team saw the breakdown of our total tons of garbage into organic, recycled, paper, etc., there were immediate opportunities for improvement evident from this audit. We are currently examining and piloting options that will work for our associates that will reduce these obvious issues, which will result in a lower volume of garbage when we do our next report.

Without our waste audit, without measuring our progress as a green institution, we’d have no idea of deficiencies or benchmark goals. In the end, what gets measured gets done — when you give people the information needed to control their own destiny.

About Debbie Baxter
In her role as VP Corporate Sustainability & Facilities Management, Debbie leads sustainability initiatives for LoyaltyOne as it becomes a business focused on carbon-reduction that takes the lead on environmental issues with customers, sponsors and the community at large.

Debbie also oversees a cross-functional team that is integrating Green Rewards into the AIR MILES Reward Program. Founded in 2007 as the world’s first environmentally focused loyalty program, Green Rewards is expanding the offering of certified green products and services from Canada’s premier loyalty coalition while exploring new avenues for interacting with increasingly eco-conscious AIR MILES Collectors.

Through more than 20 years of leadership roles with companies such as Oracle and Kronos, Debbie has helped drive growth and profitability in the marketing, workforce management and information technology sectors. Her firsthand experience is backed by a technology degree combined with the Certified Management designation. She is a volunteer advisor on sustainability and other issues with MaRS, the Toronto-based innovation centre that helps science, technology and social entrepreneurs create and grow new enterprises. In addition, she was trained by former US Vice President and Nobel laureate Al Gore to help raise public awareness about climate change.

About LoyaltyOne
LoyaltyOne works with more than 100 of North America’s leading brands in the retail, financial services, grocery, petroleum retail, travel, and hospitality industries to profitably change customer behavior. Through a team of businesses including Canada’s AIR MILES Reward Program, COLLOQUY, Precima, LoyaltyOne Consulting and Direct Antidote, LoyaltyOne designs, delivers, and manages a suite of loyalty marketing services -- consumer data, customer-centric retail strategies, direct-to-consumer marketing, loyalty consulting, and more. LoyaltyOne is part of the Alliance Data family of companies. For over 30 years, Alliance Data has helped its clients build more profitable, more loyal relationships with their customers. More information is available at www.loyalty.com.

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