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Leadership Strategies
         For High Performance Contact Centres
Live Experiences




ā€¢   Lack of Personal Accountability
ā€¢   Boring IVRs
ā€¢   Redundant Technology
ā€¢   Customerā€™s Opportunity Lost
ā€¢   INEFFECTIVE LEADERSHIP
*Source:
   Some Important Facts                                                   ā€¢NASSCOM(National Association of Software
                                                                          and Services Company)
                                                                          ā€¢ Call Centre Outlook
ā–ŗ10.3 percent of all customer interactions can only be properly resolved by taking them outside the contact
center and need support from other departments across the enterprise

ā–ŗMore 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 or
transferring calls

ā–ŗIf a contact center can reduce the time per call by even one minute by fine-tuning or changing the
process 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 up
to a very substantial cost savings

ā–ŗAttrition levels as high as 30% p.a, ranges between 30% - 40% in Australia and Asia Pacific

ā–ŗAbsence runs between 7% - 10% p.a**

ā–ŗCall Centre Industry Involves high level of ā€žEmotional Labourā€Ÿ and hence People Engagement in non-
negotiable

ā–ŗThe outlook for fiscal year 2010-2011 (NASSCOM) states that India's IT-BPO exports are estimated to grow by
13 to 15%, whereas domestic IT-BPO is expected to gain by 15 to 17% during the fiscal year of 2011

ā–ŗThe strengthening economy is expected to drive India's domestic spend to over $70 billion US in fiscal
year 2011, and increase the size of the workforce by almost a quarter of a million

ā–ŗ Chairman Rajendra Pawar (NASSCOM) was recently quoted as saying, ā€œWe are coming back to growth
levels seen prior to the slowdown and in the near term we see lot of headroom to catapult this growthā€
Why Contact Centres Fail?

ļ± Lack of Empowerment and Decision
making at Lower Levels
ļ± Hygiene Factors ignoredā€“
Attendance, Absenteeism and Training
ļ± Company only believes in Sales
Mantra
ļ± Short-sightedness in Technology
Trends
ļ± Leadership believes in ā€˜Followingā€™
than ā€˜Leadingā€™
10 Years +- Horizon
S.No         Criteria               - 10 Years                   + 10 Years


 1     Growth Rate           By 20% each year           By 65% each year
 2     Technology            Basic ā€“ Traditional PBX,   Advanced ā€“ Unified
                             Distributed Components     Communication

 3     Mode of               WLL phones, Emails,        Virtual, Homecentres
       Communication         Paper

 4     Employee              Minimal                    Highly Important
       Engagement

 5     Customers             Didnā€Ÿt Care Too Much       Compare Services and
                                                        Move on

 6     Stakeholders          Outsourced or Off          Moving Shores
                             shored
 7     Leadership Strategy   Strategizing was           Strategy is the ā€žKEYā€Ÿ to
                             important                  SUCCESS
Ten Indispensable Leadership Strategies
10 ā€˜Iā€™ Commandments

1.  Get the Strategizing BASICS right
2.  Work with the RIGHT Technology
3.  Manage Operations Efficiently
4.  DEFINE KRAs that Matter to People and not Organization
   alone
5. ADOPT Quality as a non compromising tool
6. CAPTURE Customer, People, Stakeholder and Competition
   voice and Take Corrective actions
7. Cost Centre to Revenue Centre ā€“ Do it with Caution !
8. REVIEW your decision of maintaining In-house/ off shored
   /outsourced Contact Centre
9. DEVELOP Internal Champions to Lead the Team
10.Follow the ICE Approach
Commandment One:

Get the BASICS right
Get the BASICS Right !

    ā€œWe only did what was asked of us.ā€ ā€“ Attitude and Excuse

    Example of a Contact Centre that Failed for non intervention and investigation by
    Mid-level managers

Seven important tasks every LEADER must perform:
1. Be a part of formulating companyā€Ÿs mission statement, its philosophy and long
   term goals
2. Conduct an analysis that reflects companyā€™s internal conditions and capabilities
3. Assess companyā€Ÿs external and internal environment, including competition,
   economic, social, political, technological, Industry and operations
4. Analyze the companyā€Ÿs options by matching its resources with external
   environment
5. Develop annual objectives and short term strategies that are compatible with the
   selected set of long-term objectives and grand strategies
6. Implement the strategic choices by means of allocated budgets in which the
   matching of tasks, people, structures, technologies, and reward systems is
   emphasized
7. Evaluate the success of strategic process as an input for future decision making
Commandment Two:

Work with the Right Technology
Working with Right Technology

Self Service for Customers or Self Destruction ?

Human Interface Vs. Automated IVR. What is good ?

Be Tech ā€“ Savvy

Explore the Technology Market for Call Centre Solutions:

ā€¢   VOIP Web ā€“ Based Interactions
ā€¢   Web Based Self Service / Remote Access to Customerā€™s Computer
ā€¢   Voice Based Training and Performance Management
ā€¢   Home shoring and Homed Based CTI
ā€¢   Predictive Dialer
ā€¢   Debt Collection Software
ā€¢   IVR with AI ā€“ Voice Recognition ā€“ Text to Speech
ā€¢   Viewscast ā€“ Real Time Customer Feedback
ā€¢   Cloud Based Solutions
ā€¢   Virtual Assistance

-   Unified Solutions: Technology that Improves your processes, Makes life
    simple for a customer and Empowers employees !
Video
Unified Communication
Commandment Three:

Manage Operations Efficiently
Manage Operations Efficiently

        Five Steps to Setting Up Effective Operations


                                                            Ongoing
            Hire Right             Train Right            Performance
                                                          Management




                                   Succession
                                                             Retrain
                                      Plan

Uncompromising Aspects:
ļ± Skip Levels by Managers and Regular Interaction with the Employees
ļ± Daily Huddles
ļ± 360 Degree Feedbacks
ļ± Weekly Performance Report
ļ± Monthly ā€“ Quarterly ā€“ Yearly Appraisals
ļ± Quality Audit / Monitoring Team
ļ± Workforce Management Team
ļ± MIS Team
Manage Operations
   Efficiently
       De - Risking Your Process
Commandment Four:

Define KRAs That Matter To People
Define KRAs that Matter
Relationship between KRAs, Incentives, Employee Motivation:

Y = f(x) + x1 + x2 + ā€¦ā€¦ā€¦.
KRA = f(Incentives) + Employee Motivation

Rule 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
Define KRAs that Matter
Relationship between KRAs, Incentives, Employee Motivation:

Y = f(x) + x1 + x2 + ā€¦ā€¦ā€¦.
KRA = f(Incentives) + Employee Motivation

Rule of Incentive (contd):            Freakonomics:
          H
                                      ļ±Incentives can be damaging if
 Volume                               designed inappropriately
          M

                                      ļ±What are the triggers and
          L
                                      What are you trying to achieve?
              L    M       H
                                      ļ±Very Often, we fail to
                  Profit              measure the effectiveness
         Self Motivated Team -        derived out of existing incentive
      Herzbergā€™s Motivation Factors   system
Commandment Five:

Adopting Quality as a Non Compromising Tool
Adopting Quality as a Non
         Compromising Tool
-   How effectively are we monitoring our Quality aspect? Are our QAā€™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 todayā€™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
Adopting Quality as a Non
   Compromising Tool
    Criteria             Six Sigma                   Lean
   Principle         Reduce Variation           Remove Waste
Defect 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
Commandment Six:

Capture and Work on All Voices
Capture and Work on All Voices

Do we only assess the Voice Of Customer?

Important Components of a Survey:

                               Customer




              Competitors
                              SURVEY         Process
                            COMPONENTS




                              Stakeholders
Identifying Vendors for CSAT
                                                          For some industries,
Surveys                                                   reducing customer
What to look for in Vendors:                              defections by just
ā–ŗTake Customer Satisfaction measurement to the next
                                                          5% can double
level                                                     profits ā€“ ā€˜Harvard
ā–ŗIdentify your competitive advantage                      Business Reviewā€™.
ā–ŗUnderstand best practice and superior performance
ā–ŗTake a strategic look at your industry and / or region
      ā–ŗEfficiencies / competencies
      ā–ŗWeak Points
ā–ŗPinpoint the most important drivers of service
delight
ā–ŗKnow the link between satisfaction and operational
aspects of the call centre
Commandment Seven:

Convert from Cost Centre to Revenue Centre
Cost to Revenue Centre

GE CASE STUDY ā€“ Successful Revenue Center !



               Cross Selling   Up Selling


               Tie Ups with
                               Outbound
                  Other
                                Sales
                 Vendors


                        Process
                      Improvements
Cost to Revenue Centre-
    Be Cautious !
Caution Statements:

Persistent Outbound Impact ā€“

Ƙ    Wrong Timings
Ē¾   No Research of Customer Background
Ē¾   Lack Of Training
Ē¾   Sell and Forget
Ē¾   Intruding into Customerā€™s Privacy

         Make the Most when the Customer Calls You !
Commandment Eight:

Review Your Decisions
Ongoing Review

        Every Year do the following checks:


              ā€¢ Is the Contact Centre Model Sustainable?
      CHECK


              ā€¢ Can the Cost be Reduced?
      CHECK


              ā€¢ Does it help us achieve us mission
                statement?
      CHECK
Commandment Nine:

Develop Internal Champions
Employee Engagement

ļ± The ā€˜HELPā€™ Factor




    Level of Work
    Health Meter      =   Engagement   Loyalty   Performance
Employee Engagement

1. 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.
Commandment Ten:

Follow the ICE Approach
ICE Approach
                                                      1.   Internal
1.   Incremental
                                                           Stakeholders
     Innovation
                                                      2.   External
2.   Continuous
                                                           Vendors
     Improvement
                         Innovation    Coordination   3.   Customers
3.   Breakthrough
                                                      4.   Suppliers
     Innovation
                                                      5.   Competitors


                              Engagement



                    1.   Engagement by Top
                         management
                    2.   Employee contribution in
                         Change management
Video
Future Contact Centres
Leadership Strategies for High Performance Contact Centres

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Leadership Strategies for High Performance Contact Centres

  • 1. Leadership Strategies For High Performance Contact Centres
  • 2. Live Experiences ā€¢ Lack of Personal Accountability ā€¢ Boring IVRs ā€¢ Redundant Technology ā€¢ Customerā€™s Opportunity Lost ā€¢ INEFFECTIVE LEADERSHIP
  • 3. *Source: Some Important Facts ā€¢NASSCOM(National Association of Software and Services Company) ā€¢ Call Centre Outlook ā–ŗ10.3 percent of all customer interactions can only be properly resolved by taking them outside the contact center and need support from other departments across the enterprise ā–ŗMore 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 or transferring calls ā–ŗIf a contact center can reduce the time per call by even one minute by fine-tuning or changing the process 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 up to a very substantial cost savings ā–ŗAttrition levels as high as 30% p.a, ranges between 30% - 40% in Australia and Asia Pacific ā–ŗAbsence runs between 7% - 10% p.a** ā–ŗCall Centre Industry Involves high level of ā€žEmotional Labourā€Ÿ and hence People Engagement in non- negotiable ā–ŗThe outlook for fiscal year 2010-2011 (NASSCOM) states that India's IT-BPO exports are estimated to grow by 13 to 15%, whereas domestic IT-BPO is expected to gain by 15 to 17% during the fiscal year of 2011 ā–ŗThe strengthening economy is expected to drive India's domestic spend to over $70 billion US in fiscal year 2011, and increase the size of the workforce by almost a quarter of a million ā–ŗ Chairman Rajendra Pawar (NASSCOM) was recently quoted as saying, ā€œWe are coming back to growth levels seen prior to the slowdown and in the near term we see lot of headroom to catapult this growthā€
  • 4. Why Contact Centres Fail? ļ± Lack of Empowerment and Decision making at Lower Levels ļ± Hygiene Factors ignoredā€“ Attendance, Absenteeism and Training ļ± Company only believes in Sales Mantra ļ± Short-sightedness in Technology Trends ļ± Leadership believes in ā€˜Followingā€™ than ā€˜Leadingā€™
  • 5. 10 Years +- Horizon S.No Criteria - 10 Years + 10 Years 1 Growth Rate By 20% each year By 65% each year 2 Technology Basic ā€“ Traditional PBX, Advanced ā€“ Unified Distributed Components Communication 3 Mode of WLL phones, Emails, Virtual, Homecentres Communication Paper 4 Employee Minimal Highly Important Engagement 5 Customers Didnā€Ÿt Care Too Much Compare Services and Move on 6 Stakeholders Outsourced or Off Moving Shores shored 7 Leadership Strategy Strategizing was Strategy is the ā€žKEYā€Ÿ to important SUCCESS
  • 7. 10 ā€˜Iā€™ Commandments 1. Get the Strategizing BASICS right 2. Work with the RIGHT Technology 3. Manage Operations Efficiently 4. DEFINE KRAs that Matter to People and not Organization alone 5. ADOPT Quality as a non compromising tool 6. CAPTURE Customer, People, Stakeholder and Competition voice and Take Corrective actions 7. Cost Centre to Revenue Centre ā€“ Do it with Caution ! 8. REVIEW your decision of maintaining In-house/ off shored /outsourced Contact Centre 9. DEVELOP Internal Champions to Lead the Team 10.Follow the ICE Approach
  • 9. Get the BASICS Right ! ā€œWe only did what was asked of us.ā€ ā€“ Attitude and Excuse Example of a Contact Centre that Failed for non intervention and investigation by Mid-level managers Seven important tasks every LEADER must perform: 1. Be a part of formulating companyā€Ÿs mission statement, its philosophy and long term goals 2. Conduct an analysis that reflects companyā€™s internal conditions and capabilities 3. Assess companyā€Ÿs external and internal environment, including competition, economic, social, political, technological, Industry and operations 4. Analyze the companyā€Ÿs options by matching its resources with external environment 5. Develop annual objectives and short term strategies that are compatible with the selected set of long-term objectives and grand strategies 6. Implement the strategic choices by means of allocated budgets in which the matching of tasks, people, structures, technologies, and reward systems is emphasized 7. Evaluate the success of strategic process as an input for future decision making
  • 10. Commandment Two: Work with the Right Technology
  • 11. Working with Right Technology Self Service for Customers or Self Destruction ? Human Interface Vs. Automated IVR. What is good ? Be Tech ā€“ Savvy Explore the Technology Market for Call Centre Solutions: ā€¢ VOIP Web ā€“ Based Interactions ā€¢ Web Based Self Service / Remote Access to Customerā€™s Computer ā€¢ Voice Based Training and Performance Management ā€¢ Home shoring and Homed Based CTI ā€¢ Predictive Dialer ā€¢ Debt Collection Software ā€¢ IVR with AI ā€“ Voice Recognition ā€“ Text to Speech ā€¢ Viewscast ā€“ Real Time Customer Feedback ā€¢ Cloud Based Solutions ā€¢ Virtual Assistance - Unified Solutions: Technology that Improves your processes, Makes life simple for a customer and Empowers employees !
  • 14. Manage Operations Efficiently Five Steps to Setting Up Effective Operations Ongoing Hire Right Train Right Performance Management Succession Retrain Plan Uncompromising Aspects: ļ± Skip Levels by Managers and Regular Interaction with the Employees ļ± Daily Huddles ļ± 360 Degree Feedbacks ļ± Weekly Performance Report ļ± Monthly ā€“ Quarterly ā€“ Yearly Appraisals ļ± Quality Audit / Monitoring Team ļ± Workforce Management Team ļ± MIS Team
  • 15. Manage Operations Efficiently De - Risking Your Process
  • 16. Commandment Four: Define KRAs That Matter To People
  • 17. Define KRAs that Matter Relationship between KRAs, Incentives, Employee Motivation: Y = f(x) + x1 + x2 + ā€¦ā€¦ā€¦. KRA = f(Incentives) + Employee Motivation Rule 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. Define KRAs that Matter Relationship between KRAs, Incentives, Employee Motivation: Y = f(x) + x1 + x2 + ā€¦ā€¦ā€¦. KRA = f(Incentives) + Employee Motivation Rule of Incentive (contd): Freakonomics: H ļ±Incentives can be damaging if Volume designed inappropriately M ļ±What are the triggers and L What are you trying to achieve? L M H ļ±Very Often, we fail to Profit measure the effectiveness Self Motivated Team - derived out of existing incentive Herzbergā€™s Motivation Factors system
  • 19. Commandment Five: Adopting Quality as a Non Compromising Tool
  • 20. Adopting Quality as a Non Compromising Tool - How effectively are we monitoring our Quality aspect? Are our QAā€™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 todayā€™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. Adopting Quality as a Non Compromising Tool Criteria Six Sigma Lean Principle Reduce Variation Remove Waste Defect 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. Commandment Six: Capture and Work on All Voices
  • 23. Capture and Work on All Voices Do we only assess the Voice Of Customer? Important Components of a Survey: Customer Competitors SURVEY Process COMPONENTS Stakeholders
  • 24. Identifying Vendors for CSAT For some industries, Surveys reducing customer What to look for in Vendors: defections by just ā–ŗTake Customer Satisfaction measurement to the next 5% can double level profits ā€“ ā€˜Harvard ā–ŗIdentify your competitive advantage Business Reviewā€™. ā–ŗUnderstand best practice and superior performance ā–ŗTake a strategic look at your industry and / or region ā–ŗEfficiencies / competencies ā–ŗWeak Points ā–ŗPinpoint the most important drivers of service delight ā–ŗKnow the link between satisfaction and operational aspects of the call centre
  • 25. Commandment Seven: Convert from Cost Centre to Revenue Centre
  • 26. Cost to Revenue Centre GE CASE STUDY ā€“ Successful Revenue Center ! Cross Selling Up Selling Tie Ups with Outbound Other Sales Vendors Process Improvements
  • 27. Cost to Revenue Centre- Be Cautious ! Caution Statements: Persistent Outbound Impact ā€“ Ƙ Wrong Timings Ē¾ No Research of Customer Background Ē¾ Lack Of Training Ē¾ Sell and Forget Ē¾ Intruding into Customerā€™s Privacy Make the Most when the Customer Calls You !
  • 29. Ongoing Review Every Year do the following checks: ā€¢ Is the Contact Centre Model Sustainable? CHECK ā€¢ Can the Cost be Reduced? CHECK ā€¢ Does it help us achieve us mission statement? CHECK
  • 31. Employee Engagement ļ± The ā€˜HELPā€™ Factor Level of Work Health Meter = Engagement Loyalty Performance
  • 32. Employee Engagement 1. 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.
  • 34. ICE Approach 1. Internal 1. Incremental Stakeholders Innovation 2. External 2. Continuous Vendors Improvement Innovation Coordination 3. Customers 3. Breakthrough 4. Suppliers Innovation 5. Competitors Engagement 1. Engagement by Top management 2. Employee contribution in Change management