Customer & Enterprise facing Integrated BPO Services for a US-Based Retail Chain

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1 Customer & Enterprise facing Integrated BPO Services for a US-Based Retail Chain Client Profile The Client is a US-based leading pet specialty retailer providing a comprehensive range of pet-care products, and services with over 1000 locations in the United States and 22, 000 employees.. Performance Highlights: Customer Experience: C-Sat Actual 88% vs. goal of 80%/Improved BBB Rating from F to B+ E-commerce: Web generated orders exceed $2 million per quarter Inbound Sales: Average order value 25% higher than web order (indicating up-selling effectiveness) IT Help Desk: Cost of Support reduced by 50% and increase resolution rate and top box (Very Satisfied) of employee satisfaction by 100% Since 2009, Sutherland has provided a suite of integrated BPO services spanning Back and Front Office with multiple external (i.e. customer- facing ) and internal (enterprise-facing) touch points Business/Operational Challenges The Client was new to outsourcing and off-shoring. As the selected Service Provider, Sutherland therefore had to address the triple challenge of: 1. Exposing the Client to a new geography (Philippines) 2. Managing and tuning the expectations of multiple groups of Client stakeholders each with differing perceptions of risk and rewards. 3. Establishing the paradigm and parameters of engagement governance to ensure alignment of deliverables to Client expectations. The Client s primary driver for outsourcing was not cost reduction but the need to effectively scale their customer service operation in sync with their business growth At the inception of the engagement, the Client was addressing three key challenges. Challenge One: Customer Relations & Perception Customer perception required urgent improvement, evident from a large volume of complaints and poor BBB ratings. The requirement was to improve service level performance and overall customer experience in order to drive loyalty.. 1

2 (challenges continued) Challenge Two: Website Traffic & Sales The Client needed to maximize revenue generation opportunities and the average order value through the e-commerce channel. Not having a separate sales team to support online shoppers was resulting in lower order values, cancelled orders and customer dissatisfaction. Hiring Sutherland was the best decision we ever made. Vice President IT and CIO Client Company Challenge Three: Internal IT Help Desk The company faced growing problems with their internal IT Help Desk that provided support to retail locations, corporate offices and remote employees. The average resolution time was significantly higher than the industry norm resulting in low Employee satisfaction. The support pressure on internal IT resources was also adversely impacting completion of critical IT goals and tasks. Sutherland was assigned the responsibility of managing the IT Help Desk with the following targets: Increase first call resolution (>80%) Reduce escalations to Tier 2 support Improve end-user productivity Reduce overall costs Partner Selection Given the Client situation and challenges the Partner selection criteria were both stringent and specific: Creative customer experience management solution design and delivery The flexibility to scale proactively aligned to the growth of the business The expertise provide best-practices to improve the customer experience, The track-record of consistently delivering service performance that increased customer loyalty. IT Helpdesk management and Store technology support expertise Expertise in track record in Analytics, System/Data integrtation and process improvements Proven capability in seamless and on-time transition and technology implementation 2

3 Sutherland Solutions Engagement Profile Customer-facing Services Customer Relations Management BBB Complaints Management & Resolution Sales (inbound e-commerce sales support) Loyalty Program Support Enterprise-facing Services IT Help Desk (HW/SW; Telecommunications and Connectivity: P.O.S Terminals; Kiosk HW/SW) Back Office/Administrative Support Store Use Procurement Fraud Filter Management Market Expansion Assessments Solution 1: Customer Relations & Perception A dedicated team was created to deal with issues related to both the store and web experience. Sutherland designed and deployed policies and processes to track and frame the issues negatively impacting customer perception. Specific strategies and responses were designed to resolve the recurring issues and improve customer perception. This team was accessible to customers via phone, and chat in order to maximize issue resolution. The team was customer issue resolution-empowered to while focusing on identifying and correcting root cause issues. All main drivers for customer dissatisfaction were tracked and corrective strategies collaboratively enabled with the Client. Solution 2: Website Traffic & Sales Sutherland worked with the Client to create a dedicated sales team to support web customers and strengthen the performance of the channel. The team was trained in all product offerings and special attention was spent on creating up sell paths for the products with the highest demand. This created a process where the team could focus on increasing the average order value and customer satisfaction. Solution 3: Internal IT Help Desk Sutherland worked with the retailer to centralize the IT Help Desk. The Tier 1 Help Desk supports the National Support Center (Headquarters) and 1,000+ store locations 24x7. The scope of the solution included IVR credit card processing, gift card IVR automation, phone/ support, dedicated retail/store solutions lab and off-hours operations support for key events such as store polling, batch job processing, etc. Headquarter office technology supported: Desktop hardware and software Applications and telecommunications Connectivity issues Store technology supported: Point of sale, back-office and kiosk hardware and software issues Store servers, routers and scanners Telecommunications and connectivity issues Network monitoring 3

4 (solutions continued) A dedicated team focused on resolving issues during the first contact, streamlining processes to reduce average time to resolve and increasing employee satisfaction. Sutherland implemented a Store Health & Wellness Check, consisting of: We are very happy with our Sutherland relationship and results. In fact, Sutherland is the high standard to which we compare our other outsourcing relationships. -CEO Client Company Preventive calls to stores with the highest percentage of tickets to reduce potential problems, Identify trends and root causes and ensure tickets are closed to the store manager s satisfaction. Proactive monitoring of store systems and devices, corporate servers, exchange servers and file transfers to prevent downtime and to get ahead of situations causing outages. Results/Benefits Delivered Result 1: Customer Relations & Perception Sutherland rapidly turned customer satisfaction around and mitigated loyalty/rewards challenges associated with reduced membership benefits and sub-standard processes to deliver high overall CSAT (88%+ vs. goal of 80%). CSAT goals for both satisfied and highly satisfied are met 100% of the time. The customer relations team significantly improved the BBB rating from an F to B+ Results 2: Website Traffic & Sales Total revenue generation from the website is more than $1 million per quarter. The inbound sales team consistently delivers an average order value that is 25% higher than website-only orders, indicating that customers are receptive to up-selling (generating over $300K per month in placed orders). Sales associates have also conducted win back campaigns during idle time that have generated in excess of $30,000 from customers who haven t purchased in over one year. Results 3: IT Help Desk Sutherland unified the store and corporate IT support for process standardization, improved service management, increased efficiency and reduced the cost of labor by >50%. The front line Help Desk closes 85% of the cases it receives, compared to less than 40% internally. Employee satisfaction with the Help Desk has also increased significantly and both goals are being achieved: Highly satisfied from less than 30% to over 60% Total satisfied from less than 70% to over 80% (goal of 80%) 4

5 Business Transformation Services Knowledge Services Business Process Outsourcing Technology Enabled Services Bulgaria Canada Colombia Egypt India Mexico Philippines United Arab Emirates United Kingdom United States For more Information: To learn more about Sutherland Global Services, please contact us: Toll-Free: x Website: About Sutherland Global Services Established in 1986, Sutherland Global Services is a global BPO services enterprise providing integrated Platform-based and Analytics enabled business-cycle support solutions for major Industry Verticals and global industry leaders. Sutherland collaborates with clients to help them excel in their industry while maximizing their customers lifetime value. Sutherland is Certified as a Minority Business Enterprise by NMSDC Sutherland Global Services CS-RETAIL

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