The Ideal Contact Center Location

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How to select the ideal contact center location.

How to select the ideal contact center location.

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  • 1. TELUS InternationalGlobal Outsourcing InsightsThe importance of location to contact center successWith customers today demanding exceptional customer service, multi-channel support and on-demand24/7 service availability, providing cost-effective customer contact strategies is a growing priority for mostcompanies. A well-run outsourced contact center can be a source of innovation and best practices whileproviding significant cost savings. But, in the effort to find the ideal outsourcing partner, how do you knowwhich countries and cities offer the best service delivery capabilities for your contact center business?What makes an ideal service 3. Costdelivery location? When outsourcing your contact center programs to offshore or nearshore destinations, a favorable cost structure isThere are many factors to consider when selecting a expected. The ideal outsourcing location will offer ancountry and city for your contact center operations. attractive cost structure to ensure that your programs canWe have identified characteristics that fit into four groups; be priced competitively. Cost considerations will includeeach group is important to evaluate when selecting cost of living, cost of doing business and agent wageyour outsourcing partner and location to do business. analyses. Also, ensuring that your outsourcing partner has negotiated the best real estate terms and economic1. Technology incentives in the region will translate into further cost savingsWhen selecting an offshore or nearshore partner, it is that can be passed along when pricing your programs.important to consider the technology infrastructure in termsof connectivity, accessibility and security. For example, do 4. Country Riskthe country and city have a strong telecom network with As a final grouping of characteristics to examine, it isreliable domestic and international connectivity? Is it well important to look at specific country risk. The ideal locationsupported with power, roads, airports, real estate, etc.? will offer good political stability. Examining other multi-Will it support the business continuity planning and disaster national companies located in the area is a good indicatorrecovery (BCP/DR) needs of your business? of stability and a favorable business climate. Geographic risk (such as earthquakes, typhoons, etc.), is also an2. Human Resources important consideration especially as it relates to businessWith people regarded as one of the most valuable assets, continuity and disaster recovery planning. Currency risk isfinding a location that supports skills availability and another factor to consider. Locating in a country where youagent retention is essential. The ideal location will have a and your provider can manage and hedge against currencygood resource mix including multi-language capabilities fluctuations will allow smoother operations when doingif required. In addition to labor pool quality, labor pool business in that area.availability will have to meet the growing needs of clientprograms. Therefore, the ideal location will have low contactcenter saturation rates to avoid escalating wages andemployee attrition.
  • 2. Sample Market Filters – considerationsRemove saturated markets Learn moreConsider Contact Center Saturation Index research that As a provider of contact center andevaluates the potential availability of call center employees business process outsourcing solutionsin relation to labor force size. Research has concluded that ourselves, we needed to expand andsaturation levels in excess of 3.0% are at greater risk ofescalating wage rates and employee attrition. diversify our offshore solutions to better meet client demands for multi-site,Exclude markets with very small labor pools multi-language English/Spanish programs.Consider excluding markets with smaller labor pools for a For more than a year, our mergers andnumber of reasons: acquisitions team analyzed locations■ Limited breadth of labor pool means staffing for multiple throughout the U.S. and Central and skills and higher-end work such as Help Desk could be Latin America. Using fact-based research, more difficult consulting firm analysis and on-the-■ Small markets are vulnerable to quick market saturation■ Potential public relations risk associated with being one ground perspectives, we investigated of the largest employers in a small city 42 cities throughout 25 U.S. states and a total of 104 sites throughout all ofConsider estimated starting wages Central and Latin America.Consider filtering cities with high starting Customer ServiceRepresentative salaries. In many cases, savings via wage After this substantive review, we knowarbitrage is expected, and it becomes essential to find the best onshore and nearshore locationsa competitive location and to limit the amount of financial to run today’s contact center operations.risk for outsourcing your programs. In addition, scaling We welcome the opportunity to discussin high cost markets is extremely difficult with local wageexpectations already established. this further.Evaluate short-listed cities against macro-economicand strategic considerationsGo back to your initial city criteria with emphasis on laborpool size, labor pool quality (percentage of high schoolgraduates or college education), population growthforecasts, historical unemployment rate, and for example,language capabilities. Remove cities that are deemedacceptable but not considered the best option for variousreasons (such as shrinking population or poor ability to Connect with us today for yourattract management talent). global outsourcing solutions. telusinternational.com information@telusinternational.com North America toll-free: 1.800.306.1586 © TELUS 2010. TELUS, the TELUS logo and the future is friendly are trademarks of TELUS Corporation, used under licence. 9_00509 (REV. 03/25/2010)