Workforce Productivity in BPO


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I recently spoke at the BPO India Forum event on the topic of Workforce productivity & the role of services workforce in BPOs in driving end consumer experience. I have suggested an approach for organizations to achieve significant improvements in service delivery while keeping costs constant, thereby allowing the BPO to achieve non-linear growth.

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  • C-Sat as a function of Expectations – ATMs score highest in terms of c-sat while Call Center scores third behind Branch channel (for similar service requests); indicating that the “human factor” is playing a decisive role in shaping c-sat.Customers are most likely to consider good customer service as the main factor for choosing a bank, cited by over 2/3rd of the respondentsCustomer Expectations for services is constantly rising. (FICCI quotes this to be no.1 challenge facing banks in India)Call Center is still behind Branches & ATMs as preferred channel (both urban & rural)Research showed that more than 50% existing BFSI consumers DO NOT consider the call center as capable of satisfying their needs!More than 38% feel Branch channel to be MORE convenient to get serviced rather than the Call Center
  • Workforce Productivity in BPO

    1. 1. Transforming the Services WorkforceDeriving maximum returns from the biggest cost heads of Customer Service Najmuddin Jabalpurwala Note: Any re-production or re-use of any of the frameworks/models mentioned in this document must be done only after prior approval from the author
    2. 2. Contents A brief history of Indian BPOs & the evolution of Workforce practices Impact of Customer Service on overall Customer Experience Issues in managing workforce productivity to derive maximum throughput Workforce as a catalyst to drive better Customer Experiences Role of I.T. in improving workforce related processes
    3. 3. The evolution of Indian BPOs & their Workforce practices• Large/Stand • Multiple Client • Process • Customized • Process Focus Alone model processes Excellence Offerings • Move Off-shore• Basic Care / • Focus on Back- • Entire Front & • Analytics driven • Global Delivery Telemarketing Office Back-Office insights Late Early Mid Current The Future: 90’s: 2000’s: 2000’s: Scene: True Market Move OPEX is Insights “On-Demand” Frenzy OffShore KING & Value• Frenzied Staff • Quality • Schedule Mgt. • Increased • Optimized Hiring Monitoring • Multi-Skilling focus on Costs Workforce• Focus on inc. • Focus on SL • Capacity • Focus on • Standardized Capacity only management Planning Productivity KPIs across levels
    4. 4. Outsourcing Service Providers going up the Value Chain • Analytics & Research Value Chain • KPOs TRANSFORMATIONAL • CRM Competitive Advantage “Make Me Money” • F&A • Healthcare ENHANCEMENTS • Legal Effectiveness-Focused “Make It Better”• Data Entry• Payroll/HR UTILITY• Basic Customer Efficiency-Focused Care (Voice) “Make It Cheaper”
    5. 5. What consumers expect from their interactions with the organization… Accessibility SpeedQuality of Service Knowledgeable Staff
    6. 6. Managing the disconnect between Clients & BPOs What BPO’s What Client’s demand… deliver… • Progressively reducing• Seamless End-Customer Handle Times satisfaction • Inadequate visibility of• End-to-end process operational metrics handling • Limited visibility of customer• Lower Costs interactions across channels• Flexible business models • Inconsistent staff knowledge• Strict SLA adherence & across different product reporting types 6 ©2012 Aspect Software, Inc. All rights reserved.
    7. 7. The role of the Services Workforce in delivering Customer Experience Contact Volume Service Sales Marketing 100% 90% 80% Customer Experience 70% across lifecycle stages 60% 50% 40% 30% 20% 10% 0%Search/Explore Select/Buy Use & Pay Support Re-purchase Customer Lifecycle stagesThe Services Workforce plays a Invest in improving the Frontlinecrucial role in shaping customer Workforce to deliver better experiences across the Customer Experiences! 7 lifecycle… ©2012 Aspect Software, Inc. All rights reserved.
    8. 8. Transforming the Workforce to achieve Differentiation HIGH Basic Customer Differentiated Care Processes Service Experience 1 Modify Employee / Process behavior 1 4 2 Prioritize AgentAbility to Deliver Capability/Skill alignment Complex End to End Business Customer 3 Invest in process Processes improvement initiatives lifecycle Management 2 3 4 Ensure sustainability of customer centric culture LOW LOW Increase in Customer’s Experience HIGH 8 ©2012 Aspect Software, Inc. All rights reserved.
    9. 9. Productivity is understood &measured differently across thehierarchy CENTER • Overall Costs of Operations HEAD • Conforming to SLA target values • Aggregated values of team leaders TEAM • Staff Attrition MANAGER • Process Compliance TEAM • Aggregated values of agents in the team LEAD • Escalations handled / Agent Coaching time • Average Talk Time (Voice based) AGENT • No set definition (Non Voice) • Training time9 ©2012 Aspect Software, Inc. All rights reserved.
    10. 10. Path to better Customer Experiencealong with your Workforce Initiatives to drive Measurable Increase Observe tangible Efficiency in in Workforce improvement in Operations Productivity Customer ExperienceUndertake Efficiency improvement Continuously monitor progress & Enable the Workforce to improve projects across functions take corrective actions the customer’s experience ▲ First Call Resolution ▲ Productivity ▲ Employee Satisfaction ▲ Quality ▲ Coaching Effectiveness ▲ Customer Satisfaction ▼ Cost to Hire ▲ Process Efficiency ▲ Issue Resolution ▼ Time to Proficiency ▼ Cost per transaction ▼ Fewer, but customer- centric KPIs ▼ Average Handle Time ▼ Reduced cross-channel process redundancy ▼ Number of Silos for information availability PEOPLE PROCESS TECHNOLOGY 10 ©2012 Aspect Software, Inc. All
    11. 11. Information can be leveraged to driveimprovement CFO VP.Ops CC Mgr Team Ldr Agents Margin/P&L Performance Exceptions Commissions 3 Inform and alert across the operation 2 Analyze across complex business dimensions 4 Act and improve in a closed loop MEASURE CORRELATE AGGREGATE REVIEW COACH UPSELL WITH By Group By agent Hold time By Supervisor By prod line Handle time By Location By vendor Res time By Month Answer speed By Quarter By QOS PLAN TRAINING Customer-centric Cost-centric Information Information 1 Quality CRM ERP ACD IVR WFM Unify all relevant information ©2012 Aspect Software, Inc. All rights reserved.
    12. 12. Key Take-away: The F.A.S.T Approach Focus on Productivity at process / business unit level instead of just at associate’s level. Analyze on complex workforce dimensions ranging across workforce lifecycle stages Standardize Service Workforce related processes across front-line (voice) and back-office (non-voice) to maximize productivity & achieve cost optimization. Transform the Service Workforce from being a cost liability to a revenue contributing asset. 12 ©2012 Aspect Software, Inc. All rights reserved.