Leadership Strategies for High Performance Contact Centres


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This Presentation was prepared & shared by me as a Guest Speaker at a Conference on 'Customer Experience and Service Quality Excellence', organised by Gripel (www.gripel.com), on 27 and 28 May 2011.

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Leadership Strategies for High Performance Contact Centres

  1. 1. Leadership Strategies For High Performance Contact Centres
  2. 2. Live Experiences• Lack of Personal Accountability• Boring IVRs• Redundant Technology• Customer’s Opportunity Lost• INEFFECTIVE LEADERSHIP
  3. 3. *Source: Some Important Facts •NASSCOM(National Association of Software and Services Company) • Call Centre Outlook►10.3 percent of all customer interactions can only be properly resolved by taking them outside the contactcenter and need support from other departments across the enterprise►More than 95. 4 million contacts a day require assistance from someone outside the contact center,which is approximately 238 million minutes each day that contact center personnel spend asking for help ortransferring calls►If a contact center can reduce the time per call by even one minute by fine-tuning or changing theprocess for leveraging a knowledge worker that could mean contact centers could reduce their cost per call by$2.013. When multiplying this across all of the calls handled by contact centers on a daily basis, this could add upto a very substantial cost savings►Attrition levels as high as 30% p.a, ranges between 30% - 40% in Australia and Asia Pacific►Absence runs between 7% - 10% p.a**►Call Centre Industry Involves high level of „Emotional Labour‟ and hence People Engagement in non-negotiable►The outlook for fiscal year 2010-2011 (NASSCOM) states that Indias IT-BPO exports are estimated to grow by13 to 15%, whereas domestic IT-BPO is expected to gain by 15 to 17% during the fiscal year of 2011►The strengthening economy is expected to drive Indias domestic spend to over $70 billion US in fiscalyear 2011, and increase the size of the workforce by almost a quarter of a million► Chairman Rajendra Pawar (NASSCOM) was recently quoted as saying, “We are coming back to growthlevels seen prior to the slowdown and in the near term we see lot of headroom to catapult this growth”
  4. 4. Why Contact Centres Fail? Lack of Empowerment and Decisionmaking at Lower Levels Hygiene Factors ignored–Attendance, Absenteeism and Training Company only believes in SalesMantra Short-sightedness in TechnologyTrends Leadership believes in ‘Following’than ‘Leading’
  5. 5. 10 Years +- HorizonS.No Criteria - 10 Years + 10 Years 1 Growth Rate By 20% each year By 65% each year 2 Technology Basic – Traditional PBX, Advanced – Unified Distributed Components Communication 3 Mode of WLL phones, Emails, Virtual, Homecentres Communication Paper 4 Employee Minimal Highly Important Engagement 5 Customers Didn‟t Care Too Much Compare Services and Move on 6 Stakeholders Outsourced or Off Moving Shores shored 7 Leadership Strategy Strategizing was Strategy is the „KEY‟ to important SUCCESS
  6. 6. Ten Indispensable Leadership Strategies
  7. 7. 10 ‘I’ Commandments1. Get the Strategizing BASICS right2. Work with the RIGHT Technology3. Manage Operations Efficiently4. DEFINE KRAs that Matter to People and not Organization alone5. ADOPT Quality as a non compromising tool6. CAPTURE Customer, People, Stakeholder and Competition voice and Take Corrective actions7. Cost Centre to Revenue Centre – Do it with Caution !8. REVIEW your decision of maintaining In-house/ off shored /outsourced Contact Centre9. DEVELOP Internal Champions to Lead the Team10.Follow the ICE Approach
  8. 8. Commandment One:Get the BASICS right
  9. 9. Get the BASICS Right ! “We only did what was asked of us.” – Attitude and Excuse Example of a Contact Centre that Failed for non intervention and investigation by Mid-level managersSeven important tasks every LEADER must perform:1. Be a part of formulating company‟s mission statement, its philosophy and long term goals2. Conduct an analysis that reflects company’s internal conditions and capabilities3. Assess company‟s external and internal environment, including competition, economic, social, political, technological, Industry and operations4. Analyze the company‟s options by matching its resources with external environment5. Develop annual objectives and short term strategies that are compatible with the selected set of long-term objectives and grand strategies6. Implement the strategic choices by means of allocated budgets in which the matching of tasks, people, structures, technologies, and reward systems is emphasized7. Evaluate the success of strategic process as an input for future decision making
  10. 10. Commandment Two:Work with the Right Technology
  11. 11. Working with Right TechnologySelf Service for Customers or Self Destruction ?Human Interface Vs. Automated IVR. What is good ?Be Tech – SavvyExplore the Technology Market for Call Centre Solutions:• VOIP Web – Based Interactions• Web Based Self Service / Remote Access to Customer’s Computer• Voice Based Training and Performance Management• Home shoring and Homed Based CTI• Predictive Dialer• Debt Collection Software• IVR with AI – Voice Recognition – Text to Speech• Viewscast – Real Time Customer Feedback• Cloud Based Solutions• Virtual Assistance- Unified Solutions: Technology that Improves your processes, Makes life simple for a customer and Empowers employees !
  12. 12. VideoUnified Communication
  13. 13. Commandment Three:Manage Operations Efficiently
  14. 14. Manage Operations Efficiently Five Steps to Setting Up Effective Operations Ongoing Hire Right Train Right Performance Management Succession Retrain PlanUncompromising Aspects: Skip Levels by Managers and Regular Interaction with the Employees Daily Huddles 360 Degree Feedbacks Weekly Performance Report Monthly – Quarterly – Yearly Appraisals Quality Audit / Monitoring Team Workforce Management Team MIS Team
  15. 15. Manage Operations Efficiently De - Risking Your Process
  16. 16. Commandment Four:Define KRAs That Matter To People
  17. 17. Define KRAs that MatterRelationship between KRAs, Incentives, Employee Motivation:Y = f(x) + x1 + x2 + ……….KRA = f(Incentives) + Employee MotivationRule of Incentive: H H Volume M Volume M L L L M H L M H Profit Profit Hygiene Matters - Monetary Promotional Incentive Attached Incentives Attached
  18. 18. Define KRAs that MatterRelationship between KRAs, Incentives, Employee Motivation:Y = f(x) + x1 + x2 + ……….KRA = f(Incentives) + Employee MotivationRule of Incentive (contd): Freakonomics: H Incentives can be damaging if Volume designed inappropriately M What are the triggers and L What are you trying to achieve? L M H Very Often, we fail to Profit measure the effectiveness Self Motivated Team - derived out of existing incentive Herzberg’s Motivation Factors system
  19. 19. Commandment Five:Adopting Quality as a Non Compromising Tool
  20. 20. Adopting Quality as a Non Compromising Tool- How effectively are we monitoring our Quality aspect? Are our QA’s efficient?- Assess issues like-- Calibration- Quality form reflects customer expectations- Quality form sets standards for the service we wish to provide- Is something more needed apart from generic Quality team and to survive in today’s competitive environment?- Research shows that tools like Six Sigma and Lean management has helped various companies achieve the following:- Yield Improvement- Productivity enhancement- TAT reduction- Reduction in wastes / defects- Improved Customer satisfaction
  21. 21. Adopting Quality as a Non Compromising Tool Criteria Six Sigma Lean Principle Reduce Variation Remove WasteDefect Reduction Focuses on producing Focuses on elimination of 99.99966% defect free waste and creating value products for customers Steps Involved 1. Define 1. Identify Value 2. Measure 2. Identify Value Stream 3. Analyze 3. Flow 4. Improve 4. Pull 5. Control 5. Perfection Focus Problem Focused Flow Focused Primary effect Stable Process Output Improved TAT
  22. 22. Commandment Six:Capture and Work on All Voices
  23. 23. Capture and Work on All VoicesDo we only assess the Voice Of Customer?Important Components of a Survey: Customer Competitors SURVEY Process COMPONENTS Stakeholders
  24. 24. Identifying Vendors for CSAT For some industries,Surveys reducing customerWhat to look for in Vendors: defections by just►Take Customer Satisfaction measurement to the next 5% can doublelevel profits – ‘Harvard►Identify your competitive advantage Business Review’.►Understand best practice and superior performance►Take a strategic look at your industry and / or region ►Efficiencies / competencies ►Weak Points►Pinpoint the most important drivers of servicedelight►Know the link between satisfaction and operationalaspects of the call centre
  25. 25. Commandment Seven:Convert from Cost Centre to Revenue Centre
  26. 26. Cost to Revenue CentreGE CASE STUDY – Successful Revenue Center ! Cross Selling Up Selling Tie Ups with Outbound Other Sales Vendors Process Improvements
  27. 27. Cost to Revenue Centre- Be Cautious !Caution Statements:Persistent Outbound Impact –Ø Wrong TimingsǾ No Research of Customer BackgroundǾ Lack Of TrainingǾ Sell and ForgetǾ Intruding into Customer’s Privacy Make the Most when the Customer Calls You !
  28. 28. Commandment Eight:Review Your Decisions
  29. 29. Ongoing Review Every Year do the following checks: • Is the Contact Centre Model Sustainable? CHECK • Can the Cost be Reduced? CHECK • Does it help us achieve us mission statement? CHECK
  30. 30. Commandment Nine:Develop Internal Champions
  31. 31. Employee Engagement The ‘HELP’ Factor Level of Work Health Meter = Engagement Loyalty Performance
  32. 32. Employee Engagement1. Measure the strength of the relationship between Work Aspects, Employee Engagement, Loyalty and Performance for individual employees as well as the whole centre.2. Identify areas of low performance compared to industry benchmarks.3. Through multiple regression analysis derive the significant drivers of Engagement, Loyalty and Performance.4. Recommend key areas to focus on to improve employee Engagement, Loyalty and Performance at individual and centre level.
  33. 33. Commandment Ten:Follow the ICE Approach
  34. 34. ICE Approach 1. Internal1. Incremental Stakeholders Innovation 2. External2. Continuous Vendors Improvement Innovation Coordination 3. Customers3. Breakthrough 4. Suppliers Innovation 5. Competitors Engagement 1. Engagement by Top management 2. Employee contribution in Change management
  35. 35. VideoFuture Contact Centres