By Sam Maniar
I was recently reading Adrienne Fox’s “The Ins and Outs of Customer Contact Centers” in the March, 2010 issue of HR Magazine. Ms. Fox does a great job of discussing the importance of considering people issues before making the decision to outsource call centers. Clearly, there are many costs associated with outsourcing that are not always considered, such as the negative impact on brand, loss of control, etc.
In the article, Jared Fletcher, VP of Strategic Sourcing, recommends that call centers ask outsourcers about several areas, such as their ability to identify fit with the customer’s unique culture and their retention rate. Below, I’d like to elaborate on these two areas.
Whether you outsource your call center or not, it is extremely important to identify fit with your specific culture. When PRADCO developed the Call Center Index (CCI) last year, we found that there were many similarities as far as what most call centers said they wanted in their applicants: dependability and punctuality, service to customers, ability to articulate thoughts and listen to customers, and attention to detail. However, we often find different or contradictory evidence when we compare top and bottom performers in a given organization. For example, though we were told that Service and Communication were two of the most important behaviors to identify, in some centers, high scores on these dimensions are also correlated with fewer calls, longer hold time, and lower results. In many call centers, that would drastically hurt the bottom line.
Thus, we tried to take all of our survey and statistical findings into account when creating the CCI. We ended up with 16 key behaviors that are assessed, but the most important behaviors differ from one organization to another. The same candidate may be a great fit for one call center and a poor fit for another.
If you have an objective system in place that helps you hire people based on fit, then retention numbers should naturally improve. Yet it is still common to hear of annualized turnover rates of 100% – 200% in some call centers! Some call centers tell me that the cost of assessment is too high. Yet, what are the costs of turnover rates this high, and how much would be saved by reducing turnover? Are you willing to pay a few dollars up front in order to significantly reduce your turnover and improve your productivity?
So whether you outsource your call center or not, remember all the costs involved. But also keep in mind the cost of objectively evaluating your candidates versus not doing so. If you outsource, many outsourcers will include an objective assessment as part of their process. If you keep your call center internal, make sure you are using a valid and objective pre-hire assessment. Though this may cost you additional money upfront, it can save you thousands or more in the long run.
Posted by PRADCO