Contact Centres: Improving Performance and managing costs Presented by: Vivin Acharya Public Sector Forum 26th May 2004 www.masoncom.com
A couple of quotes.. something to remember remember Gordon Ramsey,having a customer focus. Don t let your mistakes leave the kitchen They cause unnecessary customer interactions Measure what matters.. Its like a finger pointing to the moon, don t concentrate on the finger or you will miss the heavenly glory Bruce Lee. KPIs sometimes mean nothing gauging the experience counts -2-
Key learnings for you from Mr. Ramsey Whatever part of the Journey you are in, base line the services you provide as a pre cursor for change You need to clarify how the customer drivers impact on specific processes, Customer experience is king, but expectations need to be managed! You need Staff and Organisational Development in a new customer focused organisation- empowerment, skills, training and change management- Invest to save! Evaluate the existing processes- to provide insights into where processes can be segregated, prioritise these as there are many! Don t be embarrassed to go for quick wins, from small acorns Establish current service levels! You have something to evaluate for return on investment purposes and can then justify your actions.. Ditch complex KPI portfolios use the ones that matter! -3-
Key Issues: Public Access and Interaction Management Key drivers for Public Sector Interaction Management Programmes: Improve customer focus & be inclusive Fulfil or resolve enquiries at first point of contact Realise Cultural Change throughout the organisation Provide easy access services and information for the whole community that is Rapid Accurate Consistent Empower front office staff via knowledge transfer Continuous improvement of service levels year-onyear on baseline Improve customer satisfaction put citizens and customers first Assure investment in quality systems and processes end-to-end Empowering staff and users with knowledge and resources Having the right partner to support you throughout. -4-
Managing costs-where do we start www.masoncom.com
Lets start at Set Up Costs Don t spend Prematurely here Software and system integration Telephone switch 10% 8% 5% 30% Process mapping and project management Accommodation fit out 22% 25% Hardware Invest here, Leverage legacy to the hilt However review the Value of detail BPR Staff recruitment and training -6-
Running Costs Use professional Contract negotiation here 1 4% Invest to save: Empower &Train Develop Retain Optimise Staff Software maintenance and support Office expenses Accommodation 13% 6% 6% 60% Recharges from support functions Asset Rental Clearly staff costs are a point of focus, this doesn t mean job losses necessarily -7-
Performance Optimisation www.masoncom.com
Where do we start Baseline and Benchmark Comparative Benchmarking Operational Benchmarking Oxford CC Footprint (Registration) Industry Ave Registration Lower Manager / Agent Ratio 2 Lower Agent Absenteeism High Level Of Training Lower Admin / Agent Ratio Better Actual % Calls Abandoned Better % Calls Abandoned Target 1.5 1 0.5 0 More Products Per Agent Larger Number Of Paid Leave Days Higher Than Average Salary Performance Improvement Better Actual % Calls Ans In Time Extensive Opening Hours Better % Calls Ans In Time Target Lots Of Standard Technology Used Shorter Call Duration Lower Agent Turnover Lots Of Advanced Technology Used -9-
Framework for Optimisation Overall Performance Optimisation Efficiency (in use of resource) Effectiveness (outcomes) Reduce Workload Maximise Productivity Accurate Resource Planning & Management Maximise Organisational Capacity Greater Customer Focus People Levers Process Levers Technology Levers Strategic Management Enablers -10-
There are four main mechanisms for contact centre optimisation easy? Demand Reduce Total Workload Capacity Call Avoidance Modify Demand Demand Work Excess Demand Time of Day Demand Excess Capacity Capacity Service and Efficiency Improvement Strategies Shift W ork out of Peaks Better Allocate Resources to Match Demand Demand Capacity Capacity Peak lopping Smarter Resource Management Modify Capacity Increase Ability to Deal W ith Work Capacity AHT reduction Demand -11-
Just look how complex it might be.. Maximise Operational Efficiency Reduce Workload Maximise Resource Utilisation Call Avoidance Optimise Call Duration I n c r e a s e Accuracy of Forecasting and Scheduling M a x i m i s e Organisational C a p a c i t y Substitute Commodity Calls Via Self Service Reduce Misrouted Calls (calls for other business units) Reduce Repeat Chaseup Calls Reduce Transfers Minimise "Preamble" Customer ID and Reason for Call Automate High Volume Core Functions Minimise Wrap and After Call Work Automate Transfers Minimise the Need for Agent Support Develop Specialist Expertise and Tools Measure Forecasting Accuracy Maximise Shift Efficiency Increase Coaching by Supervisors and Coaches Ensure Agents are Queue Conscious Introduce "Swing Groups" for Periods of High Demand Multi-Site Queuing - Virtual CC Maximise Economies of Scale Optimise non- Productive Time Develop Best Practice Role Models Develop Ongoing Performance Optimisation Framework Information Retrieval "How do I do?" Status of Work in Progress Optimise One and Done Rate Contract with Customer to set Expectations Active Monitoring of Service Levels for Work in Progress Access to Customer Details Formal Contact Call History & Structures Current Status Talk and Type Skills Automated Fulfilment and Next Actions "Workflow" On-line Help Multi- Skilled Agents Ongoing Coaching and Development Training in Workload Dynamics Outbound Restriction s Provision of Real Time MI -12-
Staff Optimisation-effective resource management Eastern Shift_Six (1) Staff Optimisation provides detailed models for the number of contact handlers needed to staff a contact centre at a given service level. Optimising break patterns Optimises shift overlaps and agent utilisation Provide multiple organisational scenarios, to display the relative merits and risks of each. Shift_Six (1) Shift_Five (3) Shift_Four (2) Shift_Three (2) Shift_Two (1) Shift_One (3) 1100 1600 2100 0200 0700 Shift Name Break Name From To No.Agents Shift_One 07:00 17:00 5 Lunch 11:00 2 Lunch 12:00 2 Lunch 13:00 1 Shift_Three 11:00 21:00 2 Lunch 16:00 2 Shift_Four 17:00 03:00 3 Lunch 22:00 2 Lunch 23:00 1 Shift_Five 21:00 07:00 3 Lunch 01:00 2 Lunch 02:00 1-13-
Many contacts are inappropriate or due to service failure Core sales opportunity calls account for only 47% of all calls 28% of calls were not meant for the call centres 12% of calls were chase-ups Re- Schedual Appointment Re- Mortgages 1 Tele Service Enquiry 2% Branch Call Enquiry Switcher 4% Chase Up 12% Complaint Existing Cust. Rate Change 3% FPS- Life Cover FPS- Pensions FPS- Savings & Investment 3% FTB 12% Non Dept Query 28% Home Imp. Loan 6% Home Movers 14% -14-
How are calls structured- look for un productive time 44% time is not spent on calls only 4 of time is spent speaking with customers 7% of time the system is updating 30 min per day for a 7 hr shift = 6 calls WrapUp 18% Unavailable HangUp 9% 0% Ready 17% Greet CustKnown 2% ReasonKnown 5% 18% in Wrap Transfer 2% Hold 6% AppSelectn 7% 8% in Hold & Transfer CallBody 33% -15-
Why are customers put on hold? 50% of hold time is spent consulting with other agents or supervisors Supervisor System Delay Consultation Admin 2% 7% 4% Back Office Consultation 3% The majority of hold occurrences required agents to leave their desks Average time spent on hold at any one time was 75 sec Other 17% MA (in team) 3% MA (another team) 6% FPA (in team) 7% FPA (another team) 19% Data Retrieval 24% Expert Consultation 8% -16-
AHT management- complexity analysis Registration Reason for Call by number of Calls Appt to Register a Birth Make Appt for Marriage App to Register a Death General Marriage Enquiry General Birth Enquiry Make Appt for Notice of Marriage Make Appt for NOM/Marriage General Death Reg Enquiry Check App Time/venue/Dates for Marriage Cancel Death Reg Appt Birth Reg advice Copy of Birth Certificate Check Process for Marriage Appt to Correct an Death Entry Appt to add/amend Name Marriage Discussion Apps Info on add/amend Names Foreign Country Marriage Registration Copy of Death certificate Checking of Coroners Paperwork Check Availability Marriage Change Marriage Apps Change an Marriage Apps Change an Death Apps Change an Birth Appointment Cancellation of Marriage Apps 3% 3% 3% 2% 2% 2% 2% 2% 2% 2% 6% 10% 15% 15% 23% Identify FAQs and take a view on complexity of calls ( 80 /20 rule. Helps establish demarcation & Training needs -17-
Conclusions and Case study www.masoncom.com
A Case in Point A lot has happened in Four years.. Volumes and staff levels have doubled for example Baselining and a non partisan review gets to the bottom of their service issues. This was far reaching people, processes and technology. The DVLA didn t know what they didn t know Baselining provides insights.. Timescales demonstrate that change takes time Staffing: Who should provide the service? Do existing staff have the right skill sets? If not DVLA has made it so. Change management get the enthusiasm and skills correct Helped them answer questions such as what is the level customer demand for: Specific services Media channels Opening hours IVR usage Discovery enables Design and Deployment of change. -19-
Some things we could be getting on with right now An analysis of the As is processes in order to establish the potential for improvements and benefits from both a citizen and organisational perspective Documentation of the To be processes and associated benefits Validate the operational model that underpins the Business Process Models Validate the technical model that underpin the Business Process Models- Don t go an buy technology without a case for it. Validate (and where necessary define and describe the Key Performance Indicator(s) associated with the Business Processes, depending on your maturity level Transfer of Business Process Modelling skills to operations staff offer career development in areas such as Business Improvement and Business Change Management -20-
Conclusions and some actions Customer focus requires a balance between People, Process and Technology Optimisation is the key Prioritise the (say) top three issues, and focus on them to drive benefits, reduce cost or release latency Integrated service level management is not managed well today and will remain a challenge in the short to medium term. Efficiency and Effectiveness can be dramatically improved through review of the contact life cycle and streamlining process end-to-end- you don t need to have a contact centre to do this! Start with Effectiveness! Develop a channel management strategy based on the unique needs of your Citizens Demographic. It enables choice and provides opportunity for savings e.g. self-help. The best service propositions and products are meaningless without Employee satisfaction, retention and productivity being a focus for the business as it supports the delivery of the value proposition -21-