Unleashing the Enormous Power of Call Center KPIs. Call Center Best Practices Series
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1 Unleashing the Enormous Power of Call Center KPIs Call Center Best Practices Series
2 MetricNet at the Annual HDI Conference in Orlando Wednesday April 25 th : The Zen of Support The Path to Strategic Enlightenment Thursday April 26 th : Customer Satisfaction Breaking out of the Rearview Mirror Thursday April 26 th : Desktop/Service Desk Collaboration Case Studies in Successful Partnership 1
3 If You Need to Reach Us During the Presentation us at: Or Call us at:
4 Today s Agenda The Customer Contact Imperative: The Path to World-Class Performance! Research Methodology: Origins of KPI Best Practices A Model for KPI Best Practices: Measure, Diagnose, Prescribe, Implement A Call To Action: Your Opportunity to Excel! 3
5 The Customer Contact Imperative: The Path to World-Class Performance! 4
6 An Industry in Transition Every Company Faces Increasing Pressure from Numerous Sources Industry Consolidation Increased Regulatory Scrutiny (e.g. SOX) The emergence of virtual business Growing importance of customer contact! One-Stop Shopping Budgetary constraints Shareholder pressure Increasingly demanding customers Greater customer choice and leverage 5
7 Customer Contact: A Critical Interface! JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 8760 Hours Customer expectation is that you are available 24 X 7, and provide flawless service, on demand! Yet most companies have minimal direct contact with their customers Customer Contact 7-22 minutes/yr. Moment of Truth Opportunity! 6
8 Building a Service-Based Competitive Advantage! A Fundamental Shift OLD PARADIGM Call center is a support function Customer contact is a necessary evil Supplement to traditional bricks & mortar facilities Play catch up with customer needs and expectations reactive! Goal is customer satisfaction NEW PARADIGM Call center is a source of value creation Customer contact is a company and product differentiator Replacement for traditional brick & mortar facilities Stay ahead of customer needs and expectations proactive! Goal is customer enthusiasm, and product differentiation 7
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10 Call Centers Must Evolve to Survive Support Stage Transitional Stage Strategic Stage Progression along this dimension is critical to success Call centers that stay in one place too long risk obsolescence The most effective call centers continually strive to add more value by moving to the right along this axis World-class call centers also have specific plans for how they will continuously improve the quality of contact with their customers Customer needs and requirements are evolving too quickly Competitors can exploit any complacency marked by a call center s failure to evolve Staying ahead of customer needs and expectations Continuously differentiate the underlying products supported 9
11 How Far Has Your Call Center Evolved? 64% 31% 5% Support Stage Transitional Stage Strategic Stage Traditional customer contact paradigm The call center makes a shift from following the customer to leading the customer The call center operates in a non-traditional customer contact paradigm every transaction adds value! 10
12 Research Methodology: Origins of KPI Best Practices 11
13 Data for Best Practices is Global More than 1,900 Call Center Benchmarks Global Database 30 Key Performance Indicators Nearly 80 Industry Best Practices 12
14 Data Comes from a Variety of Call Centers More than 1,900 call centers worldwide From MetricNet s Call Center Benchmarks Industries include Banks and financial services Telecommunications Health Care Hospitality Insurance Manufacturing Retail Transportation Utilities Best practices are relatively independent of industry At least 80% commonality from industry to industry 13
15 Characteristics of a World-Class Call Center Call center consistently exceeds customer expectations regardless of the transaction type Result is high levels of customer satisfaction Call quality is consistently high Business value is managed at or above industry average levels Cost per contact is below industry average levels Revenue generated is above industry average levels Telemarketing and Telesales Debt collections Call Center follows industry best practices Industry best practices are defined and documented Call Center follows industry best practices Every transaction adds value A positive customer experience Improves customer loyalty Creates positive brand awareness and switching costs 14
16 POLLING QUESTION 15
17 The World-Class Call Center Defined Higher A World-Class Call Center BEST-IN-CLASS PERFORMANCE CURVE AVERAGE PERFORMANCE CURVE Quality An Average Call Center Lower Cost per Contact Higher 16
18 A Model for KPI Best Practices: Measure, Diagnose, Prescribe, Implement! 17
19 The Premise Behind Call Center KPIs We ve all heard the expression If you re not measuring it, you re not managing it! But there s more to the story Lots more! 18
20 The Dilemma with Call Center KPIs Lots and Lots of data But not enough analysis Not enough Insight And not enough Action!! 19
21 Two Paradigms for Call Center KPIs The Historical Approach The Holistic Approach Action (2.5%) Prescription (7.5%) Analysis (15%) Measurement (75%) Increasing Value! Action (45%) Prescription (30%) Analysis (20%) Measurement (5%) 20
22 Unleashing the Enormous Power of Call Center KPIs Our central question today How do we turn Call Center KPIs into a Competitive Advantage? Better Faster Cheaper! 21
23 A Simple Model for Call Center KPI Best Practices 1 Measure Model Component Description 4 Implement 3 Customer Enthusiasm 2 Diagnose 1. Measure 2. Diagnose 3. Prescribe Measure performance on an ongoing basis Benchmark performance and conduct gap analysis Define actions to close the gap Prescribe 4. Implement Implement your action plan and improve performance 22
24 Measure Your Performance! 1 Measure Model Component Description 4 Implement 3 Customer Enthusiasm 2 Diagnose 1. Measure 2. Diagnose 3. Prescribe Measure performance on an ongoing basis Benchmark performance and conduct gap analysis Define actions to close the gap Prescribe 4. Implement Implement your action plan and improve performance 23
25 Measure Two Types of Call Center Metrics Operational Metrics Measures operational efficiency and effectiveness of the call center Internally focused Metrics include: Cost per Contact Customer Satisfaction Speed of Answer Agent Utilization Etc. Business Effectiveness Measures the call center s effectiveness in supporting the company s business mission Typically P&L or revenue related Externally focused Metrics include: Sales $ per Call Center FTE Collections $ per Call Center FTE Call Center Operating Expense as a % of Call Center revenue generated 24
26 Measure Some Common Operational Metrics Cost Cost per Contact Cost per Minute of Handle Time Agent Quality Customer Satisfaction Call Quality First Contact Resolution Rate Service Level Productivity Agent Utilization Contacts per Agent per Month Call Handling Agent Occupancy Agent Turnover Daily Absenteeism New Agent Training Hours Annual Agent Training Hours Agents as % of Total FTE s Schedule Adherence Agent Tenure Agent Job Satisfaction Average Speed of Answer (ASA) Call Abandonment Rate % Answered Within 30 Seconds Percent of Calls Blocked Call Handle Time After Call Work Time IVR Completion Rate Agent-less Completion Rate % of Calls Transferred And there are hundreds more!! 25
27 Measure Business Effectiveness Metrics Business effectiveness metrics are highly dependent upon the services you are offering No standard set of measures Generally related to product sales, customer retention, and revenue production and/or recovery Lots of room for creativity Business effectiveness often trumps operational effectiveness Reflects a focus on revenue growth and recovery Allows some sloppiness on the operational side if the call center Crossover Metrics Cover both operational and business effectiveness Operating cost as a % of revenue generated is common 26
28 Measure Some Common Business Effectiveness Metrics Credit Card Collections Cable TV Tech Support Lending Telecom Retirement Cross-sell/upsell conversion rate (%) Number of Payment plans established Average Balance Saved (ABS) Promises kept (%) Number of Appointments scheduled Product count for new accounts First Level Resolution Rate % Escalated Level 1 Resolvable Number of loans originated Average loan size and duration Percent of billing inquiries resolved Customer cross-sell/upsell percentage Rollover IRA conversion rate (%) Number of Variable annuity accounts opened 27
29 Measure Some Common Operational Metrics Cost Cost per Contact Cost per Minute of Handle Time Agent Quality Customer Satisfaction Call Quality First Contact Resolution Rate Service Level Productivity Agent Utilization Contacts per Agent per Month Call Handling Agent Occupancy Agent Turnover Daily Absenteeism New Agent Training Hours Annual Agent Training Hours Agents as % of Total FTE s Schedule Adherence Agent Tenure Agent Job Satisfaction Average Speed of Answer (ASA) Call Abandonment Rate % Answered Within 30 Seconds Percent of Calls Blocked Call Handle Time After Call Work Time IVR Completion Rate Agent-less Completion Rate % of Calls Transferred And there are hundreds more!! 28
30 Measure Operational Metrics: Which Ones Really Matter? Cost Cost per Contact Quality Productivity Call Handling Customer Satisfaction Agent Utilization First Contact Resolution Rate (or other driver of Customer Satisfaction) Agent Agent Job Satisfaction Aggregate Balanced Scorecard Read MetricNet s whitepaper on Call Center Performance Metrics. Go to to get your copy! 29
31 Measure Controllable vs. Non-Controllable KPIs Macro Measures Drivers Cost and Quality are the Macro Measures The Macro Measures tell the story of your performance They are good for communicating the performance of the Call Center But you cannot control them directly Quality, Productivity, Service Level, Agent, and Call Handling are the underlying drivers of performance These are the metrics that drive your performance You can control these metrics directly It is through these metrics that you can influence the Macro Measures, and improve your performance Causal Factors The Causal Factors influence the volume and mix of work performed by the Call Center The Call Center has very little control over the Causal Factors They are a function of your business environment 30
32 Measure The Foundation Metrics: Cost and Quality Cost Cost per Contact Quality Productivity Call Handling Customer Satisfaction Agent Utilization First Contact Resolution Rate (or other driver of Customer Satisfaction) Agent Agent Job Satisfaction Aggregate Balanced Scorecard 31
33 Measure Cost vs. Quality Higher Quality Middle Quartiles Effective but not Efficient Top Quartile Efficient and Effective Quality (Effectiveness) Your Call Center Peer Group Lower Quality Lower Quartile Middle Quartiles Efficient but not Effective Higher Cost Cost (Efficiency) Lower Cost 32
34 Measure Operational Metrics: The Balanced Scorecard Cost Cost per Contact Quality Productivity Call Handling Customer Satisfaction Agent Utilization First Contact Resolution Rate (or other driver of Customer Satisfaction) Agent Agent Job Satisfaction Aggregate Balanced Scorecard 33
35 Measure Aggregate Metrics: The Balanced Scorecard Metric Benchmark Performance Range Your Actual Metric Balanced Performance Metric Weighting Worst Case Best Case Performance Score Score Cost/Contact 25.0% $35.00 $6.00 $ % 14.3% Customer Satisfaction 25.0% 60.0% 97.0% 73.2% 35.7% 8.9% Agent Utilization 10.0% 30.0% 85.0% 51.7% 39.5% 3.9% First Contact Resolution Rate 15.0% 25.0% 95.0% 68.3% 61.9% 9.3% Agent Satisfaction 20.0% 34.6% 88.3% 74.0% 73.4% 14.7% Average Speed of Answer (sec) 5.0% % 3.4% Total 100.0% N/A N/A N/A N/A 54.5% Step 1 Six critical performance metrics have been selected for the scorecard Step 2 Step 3 For each performance metric, the highest and lowest performance levels in the benchmark are recorded Step 4 Step 5 Your score for each metric is then calculated: (worst case actual performance) / (worst case best case) X 100 Your actual Each metric has been performance for Step 6 weighted according to its each metric is relative importance Your balanced score for each recorded in this metric is calculated: metric column 34 score X weighting 34
36 Measure 100.0% Balanced Scorecard Benchmark* Key Statistics Call Center Balanced Scores 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% Call Center Scores High 87.5% Average % Median 49.6% Low 12.6% Your Score 54.5% 20.0% 10.0% 0.0% *The scores shown in the chart are based upon the performance metrics, weightings, and data ranges shown on the previous page. 35
37 Measure Overall Call Center Scorecard Trend 85% 80% Call Center Balanced Score 75% 70% 65% 60% 55% 50% 45% 40% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 12 Month Average Monthly Score 36
38 Measure Now, Track and Trend Your Performance COST PER CONTACT CUSTOMER SATISFACTION 90% $17.00 J F M A M J J A J F M A M J J A 65% AGENT UTILIZATION 80% FIRST CALL BALANCED RESOLUTION SCORE RATE J F M A M J J A J F M A M J J A AGENT FIRST CONTACT SATISFACTION RESOLUTION CALL CALL ABANDONMENT ABANDONMENT RATE 80% 5% J F M A M J J A J F M A M J J A 37
39 Diagnose Your Performance! 1 Measure Model Component Description 4 Implement 3 Customer Enthusiasm 2 Diagnose 1. Measure 2. Diagnose 3. Prescribe Measure performance on an ongoing basis Benchmark performance and conduct gap analysis Define actions to close the gap Prescribe 4. Implement Implement your action plan and improve performance 38
40 Diagnose Operational Metrics: Which Ones Really Matter? Cost Cost per Contact Quality Productivity Call Handling Customer Satisfaction Agent Utilization First Contact Resolution Rate (or other driver of Customer Satisfaction) Agent Agent Job Satisfaction Aggregate Balanced Scorecard Read MetricNet s whitepaper on Call Center Performance Metrics. Go to to get your copy! 39
41 The Benchmarking Methodology Diagnose Your Call Center Performance COMPARE Performance of Benchmarking Peer Group Determine How Best in Class Achieve Superiority Adopt Selected Practices of Best in Class Build a Sustainable Competitive Advantage The ultimate objective of benchmarking Read MetricNet s whitepaper on Call Center Benchmarking. Go to to receive your copy! 40
42 POLLING QUESTION 41
43 POLLING QUESTION 42
44 Diagnose The Goal of Benchmarking Higher AFTER BENCHMARKING BEST-IN-CLASS PERFORMANCE CURVE AVERAGE PERFORMANCE CURVE Quality STARTING POINT: BEFORE BENCHMARKING Lower Cost per Contact Higher 43
45 Diagnose Benchmarking Performance Summary Sample Data Only! Not Intended for Benchmarking Purposes! Metric Type Cost Productivity Service Level Quality Agent Call Handling Key Performance Indicator (KPI) Your Score Peer Group Average Min Median Max Cost/Contact $28.17 $22.96 $6.59 $22.56 $38.44 First Level Resolution Rate 59.0% 81.0% 59.0% 83.0% 88.0% Contacts/Agent-Month Agent Utilization 46.7% 53.1% 25.9% 53.9% 71.1% Average Speed of Answer (ASA) in seconds Percent Answered in 30 Seconds or Less 86.6% 72.1% 36.5% 71.3% 100.0% Call Abandonment Rate 2.9% 8.1% 1.4% 7.6% 25.2% Call Quality 68.4% 79.9% 43.8% 75.8% 94.5% Customer Satisfaction 63.0% 79.0% 41.9% 75.5% 96.6% Annual Agent Turnover 29.5% 31.7% 1.7% 26.4% 94.0% Daily Absenteeism 19.2% 13.2% 0.1% 13.0% 29.8% New Agent Training Hours Ongoing Agent Annual Training Hours Agent Satisfaction (% satisfied or very satisfied) 71.0% 75.4% 33.8% 70.1% 94.5% Agents as a Percent of Total FTE's 77.9% 70.5% 57.1% 69.3% 88.4% Contact Handle Time (min:sec) 12:41 11:18 2:47 9:34 19:55 First Contct Resolution Rate 51.3% 71.2% 45.4% 67.8% 94.1% IVR Completion Rate 6.7% 22.0% 0.0% 18.9% 44.8% Read MetricNet s whitepaper on Benchmarking Peer Group Selection. Go to to get your copy! 44
46 Diagnose The Foundation Metrics: Cost and Quality Cost/Contact (Efficiency) Customer Satisfaction (Effectiveness) 45
47 Diagnose Agent Utilization and First Contact Resolution Rate Cost/Contact Customer Satisfaction Agent Utilization First Contact Resolution 46
48 Diagnose Agent Utilization Drives Cost per Contact $45 $40 Cost per Contact $35 $30 $25 $20 $15 $10 $5 $0 20% 30% 40% 50% 60% 70% 80% Agent Utilization 47
49 Diagnose Agent Utilization Defined Agent Utilization = ((Average number of inbound calls handled by an agent in a month) X (Average inbound handle time in minutes) + (Average number of outbound calls handled by an agent in a month) X (Average outbound handle time in minutes)) (Average number of days worked in a month) X (Number of work hours in a day) X (60 minutes/hr) Agent Utilization is a measure of actual time worked by agents in a month, divided by total time at work during the month It takes into account both inbound and outbound contacts handled by the agents But it does not make adjustments for sick days, holidays, training time, project time, or idle time 48
50 Diagnose First Contact Resolution Drives Customer Satisfaction 100% Customer Satisfaction 80% 60% 40% 20% 20% 40% 60% 80% 100% First Contact Resolution 49
51 Diagnose Service Levels: ASA and Abandonment Rate Cost/Contact Customer Satisfaction Agent Utilization First Contact Resolution Scheduling Efficiency Service Levels: ASA and AR 50
52 Diagnose ASA Drives Cost per Contact $40.00 $35.00 Cost per Contact $30.00 $25.00 $20.00 $15.00 $10.00 $5.00 $ Average Speed of Answer (sec) 51
53 Diagnose Call Abandonment Rate Also Drives Cost per Contact $45.00 $40.00 Cost per Contact $35.00 $30.00 $25.00 $20.00 $15.00 $10.00 $5.00 $ % 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% Call Abandonment Rate 52
54 Diagnose ASA vs. Customer Satisfaction Customer Satisfaction 100.0% 80.0% 60.0% 40.0% 20.0% 0.0% 0 5% 10% 15% 20% ASA as a % of Total Handle Time 53
55 Diagnose Call Abandonment Rate vs. Customer Sat 100.0% Customer Satisfaction 80.0% 60.0% 40.0% 20.0% 0.0% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% Call Abandonment Rate 54
56 Diagnose Training Hours Impact First Contact Resolution Rate Cost/Contact Customer Satisfaction Agent Utilization First Contact Resolution Scheduling Efficiency Service Levels: ASA and AR Training Hours 55
57 Diagnose New Agent Training Hours vs. First Contact Resolution First Contact Resolution Rate 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% New Agent Training Hours 56
58 Diagnose Veteran Agent Training vs. First Contact Resolution First Contact Resolution Rate 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Veteran Agent Training Hours 57
59 Diagnose Agent Satisfaction Cost/Contact Customer Satisfaction Agent Utilization First Contact Resolution Scheduling Efficiency Service Levels: ASA and AR Absenteeism/ Turnover Agent Satisfaction 58
60 Diagnose Agent Satisfaction Drives Agent Turnover 90% 80% 70% Annual Turnover 60% 50% 40% 30% 20% 10% 0% 50% 55% 60% 65% 70% 75% 80% 85% 90% 95% 100% Agent Satisfaction 59
61 Diagnose Agent Satisfaction Impacts Customer Satisfaction 100% 90% Customer Satisfaction 80% 70% 60% 50% 40% 30% 20% 50% 55% 60% 65% 70% 75% 80% 85% 90% 95% 100% Agent Satisfaction 60
62 Diagnose Cause and Effect of Primary KPIs Cost/Contact Customer Satisfaction Agent Utilization First Contact Resolution Scheduling Efficiency Service Levels: ASA and AR Absenteeism/ Turnover Agent Satisfaction Training Hours 61
63 Diagnose Training Hours Drive Agent Satisfaction 100% 90% Agent Satisfaction 80% 70% 60% 50% 40% Veteran Agent Training Hours 62
64 Diagnose Benchmarking Performance Summary Sample Data Only! Not Intended for Benchmarking Purposes! Metric Type Cost Productivity Service Level Quality Agent Call Handling Key Performance Indicator (KPI) Your Score Peer Group Average Min Median Max Cost/Contact $28.17 $22.96 $6.59 $22.56 $38.44 First Level Resolution Rate 59.0% 81.0% 59.0% 83.0% 88.0% Contacts/Agent-Month Agent Utilization 46.7% 53.1% 25.9% 53.9% 71.1% Average Speed of Answer (ASA) in seconds Percent Answered in 30 Seconds or Less 86.6% 72.1% 36.5% 71.3% 100.0% Call Abandonment Rate 2.9% 8.1% 1.4% 7.6% 25.2% Call Quality 68.4% 79.9% 43.8% 75.8% 94.5% Customer Satisfaction 63.0% 79.0% 41.9% 75.5% 96.6% Annual Agent Turnover 29.5% 31.7% 1.7% 26.4% 94.0% Daily Absenteeism 19.2% 13.2% 0.1% 13.0% 29.8% New Agent Training Hours Ongoing Agent Annual Training Hours Agent Satisfaction (% satisfied or very satisfied) 71.0% 75.4% 33.8% 70.1% 94.5% Agents as a Percent of Total FTE's 77.9% 70.5% 57.1% 69.3% 88.4% Contact Handle Time (min:sec) 12:41 11:18 2:47 9:34 19:55 First Contct Resolution Rate 51.3% 71.2% 45.4% 67.8% 94.1% IVR Completion Rate 6.7% 22.0% 0.0% 18.9% 44.8% Read MetricNet s whitepaper on Benchmarking Peer Group Selection. Go to to get your copy! 63
65 Diagnose Summary of Operational KPI Correlations Cost per Contact Customer Satisfaction Agent Utilization First Contact Resolution Scheduling Efficiency Service Levels: ASA and AR Agents/ Total FTE s Absenteeism/ Turnover First Level Resolution Handle Time Call Quality Agent Satisfaction Coaching Career Path Training Hours 64
66 Diagnose Agent Salary vs. Average Balance Saved (ABS) Collections: Average Balance Saved (ABS) 100% 80% 60% 40% 20% $20,000 $30,000 $40,000 $50,000 $60,000 Annual Agent Compensation 65
67 Diagnose Agent Salary vs. Operating Cost/Revenue 120% Operating Cost / Revenue 90% 60% 30% 0% $20,000 $30,000 $40,000 $50,000 $60,000 Annual Agent Compensation 66
68 Diagnose CSR Lead Referrals 120 Monthly Leads Referred $0 $5 $10 $15 $20 $25 $30 Incentive Dollars per Referral Lead referrals are strongly influenced by incentive dollars 67
69 Diagnose Direct Channel Sales Incentive Number of Unit Sales per Month % 10% 20% 30% 40% 50% 60% 70% 80% Incentive Comp as % of Total Incentive Compensation is strongly linked to sales consultant productivity 68
70 Question & Answer 69
71 Prescribe Actions to Close the Gap! 1 Measure Model Component Description 4 Implement 3 Customer Enthusiasm 2 Diagnose 1. Measure 2. Diagnose 3. Prescribe Measure performance on an ongoing basis Benchmark performance and conduct gap analysis Define actions to close the gap and improve performance Prescribe 4. Implement Implement your action plan 70
72 Prescribe Best Practices: Performance Measurement Affected KPIs Performance Measurement: Best Demonstrated Practices Cost per Call Customer Sat Agent Utilization First Call Res Call Quality Handle Time Agent Turnover Business Effectiveness Metrics, goals, diagnosis and accountability Performance metrics and goals drive individual accountability and facilitate diagnosis of performance strengths, issues, gaps and call quality improvements. Cost and customer satisfaction Cost and customer satisfaction results measure efficiency and effectiveness, and are two critical indicators for call center operations. Formal measurements & performance compliance Balanced scorecard Management Reporting Performance measurement is a rigorous discipline assigned to a particular individual or individuals in the call center to ensure service level compliance and consistency in the delivery of customer service. A balanced scorecard provides an aggregate measure of call center performance. Reporting is targeted and timed to have maximum impact on key individuals and stakeholder groups in the company. 71
73 Prescribe Best Practices: Human Resources Affected KPIs Human Resources: Best Demonstrated Practices Cost per Call Customer Sat Agent Utilization First Call Res Call Quality Handle Time Agent Turnover Business Effectiveness Recruitment Recruiting is a rigorous and holistic process that measures specific agent competencies, and matches those competencies to the needs of the call center. Training Career Pathing Retention Coaching and Feedback Performance Standards Rigorous and formalized training is available for both new and seasoned agents. Training is customized to meet the needs of each agent, and is designed to meet the strategic goals of the call center. Career paths have been formalized and documented, and often include vertical as well as lateral promotion opportunities. Performance levels required for advancement are clearly articulated. Agents are encouraged to take charge of their own career and skills development. Formal strategies are employed to maximize employee retention. These strategies are designed to improve employee job satisfaction and loyalty, thereby maximizing agent morale and minimizing turnover. Call center management demonstrates commitment to continuous improvement by conducting frequent, one-on-one coaching to each agent, and by providing specific suggestions for improvement and setting attainable goals. Call center agents are held accountable for minimum performance standards with incentives for surpassing, and disincentives for falling short of the standard. Performance goals cover both quality and productivity. 72
74 Prescribe Best Practices: Call Handling Processes Affected KPIs Call Handling Processes: Best Demonstrated Practices Cost per Call Customer Sat Agent Utilization First Call Res Call Quality Handle Time Agent Turnover Business Effectiveness Standardization Call Volume Management Measurement Management Continuous Improvement Customer- Centricity Call handling processes are repeatable and standardized, while still allowing for agent judgment and experience. Call handling strategies, such as call reduction through Load Shedding, call Channeling, forecasting and aggressive staffing strategies are utilized to predict and proactively handle the variance in call volumes. Call centers must aggressively pursue and identify meaningful performance indicators, measure and report against them and analyze the results for significant trend analysis. Call center has a true culture of excellence through continuous improvement in the delivery of customer services. Improved customer satisfaction, accessibility and usability are the primary design drivers in the call center. 73
75 Prescribe Best Practices: Technology Affected KPIs Technology: Best Demonstrated Practices Cost per Call Customer Sat Agent Utilization First Call Res Call Quality Handle Time Agent Turnover Business Effectiveness Technology Hierarchy Technology enhances the speed and quality of each transaction. It supplements people and process, but does not replace them. Strategic Alignment of Technology Call center technology is consistent with, and supports the strategies of the call center and the enterprise overall. Vendor Management Vendors are actively managed to ensure the adoption of appropriate technology, and good value in technology purchases. The buyer drives the vendor relationship. Call Management Customer Tools The call center and its agents have access to real-time tools that optimize call flow management, call logging and tracking to achieve resolution. Knowledge Management Knowledge capture and customer history are used to enhance the value of each customer interaction. 74
76 Prescribe Closing the Cost Gap KPI Performance Target Key Drivers Performance Target Best Practice Prescription Reduce headcount if appropriate Agent Utilization 60% Improve workforce scheduling practices Establish agent utilization goal Eliminate back shift if appropriate Cost per Contact Varies Average Speed of Answer Call Abandon Rate 45 sec Increase ASA service level target if appropriate 6% Increase Call Abandon target if appropriate Ratio of Agents to Total FTE s 85% Reduce indirect headcount, and bring Agent to Total Headcount ratio into alignment with industry average 75
77 Prescribe Closing the Customer Satisfaction Gap KPI Performance Target Key Drivers Performance Target Best Practice Prescription First Contact Resolution Rate 80% Establish an FCR goal Provide additional agent training Establish FCR as a key objective in the call center Customer Satisfaction 90% Call Quality Call Handle Time 90+% Varies Establish a Call Quality target Provide additional agent training Establish a handle time target Provide additional agent training Customer Service Soft Skills Varies Provide additional agent training 76
78 Prescribe Closing the Agent Utilization Gap KPI Performance Target Key Drivers Performance Target Best Practice Prescription Improve workforce scheduling practices Headcount Varies Establish agent utilization goal Eliminate back shift if appropriate Rightsize to achieve desired utilization Agent Utilization 60% Contacts Handled per Agent per Month Average Speed of Answer Varies 45 seconds Establish an agent contact volume goal Increase ASA service level target if appropriate Occupancy 90+% Establish an agent occupancy target Improve workforce scheduling practices Schedule Adherence 90+% Establish a Schedule Adherence target Improve workforce scheduling practices 77
79 Prescribe Closing the First Contact Resolution Gap KPI Performance Target Key Drivers Performance Target Best Practice Prescription New Agent Training Hours 200+ hours Establish an FCR target Provide additional agent training Establish FCR as a key objective First Contact Resolution Rate 80% Veteran Agent Training Hours Call Quality 100+ hours 90+% Establish an FCR target Provide additional agent training Establish FCR as a key objective Establish a Call Quality target Provide additional agent training Knowledge Mgmt. Varies Maintain a solutions knowledgebase 78
80 Prescribe Closing the Agent Satisfaction Gap KPI Performance Target Key Drivers Performance Target Best Practice Prescription New Agent Training Hours 200+ hours Provide additional training opportunities for new agents Agent Satisfaction 85% Veteran Agent Training Hours Career Path 100+ hours Varies Provide additional training opportunities for veteran agents Document agent career path alternatives Coaching/ Feedback Monthly Provide monthly, one-on-one coaching Rewards & Incentives Monthly Offer monthly rewards and incentives Monetary as well as non-monetary 79
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