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The Dimension Data Global Contact Centre Benchmarking Report celebrates its 10th anniversary with the publication of the 2008 edition.
Comparing key data points from 1997 to those of 2008 highlights some interesting trends.
There is no doubt that customer's demands are increasing, the level of their queries has become far more complex and yet the time that organisations spend coaching and developing staff has not increased. One answer could lie in the relevant improvement in technology and the assumption that more advanced knowledge based applications can be more helpful to the agent. And whilst, this may be true, the reality is that wide-spread and effective implementation for these types of knowledge bases has not really happened. It would appear therefore, that the expectation of agents to deliver appropriate levels of service against more complex queries has simply increased. Is it any wonder then, that customers are less satisfied than ever before?
If the pressure on agents has essentially increased without increased levels of training, it is rather obvious that levels of attrition are likely to go up - and they have! Attrition has grown significantly with this year's report showing the average attrition rate for agents at 27% globally, peaking at 31% in the Asia Pacific Region. 10 years ago attrition rates were around the 14% mark. With absenteeism levels at around 11%, management are having to spend too much time managing the symptoms rather than the cause. Trainers are constantly training new staff, leaving little time for developmental programmes which can actually improve attrition and absenteeism.
Interesting to note that average attrition rates at supervisor and management level run at between 7 and 9%. What this means, is that if agent to supervisor levels run at approx 12:1 in a 250 seat contact centre, there are only 2-3 opportunities that arise for promotion in any one year. With low levels of promotional opportunities, it is no wonder that agents are moving out of the business and probably out of the industry entirely.
The reality is that offering meaningful levels of promotion within the contact centre is not generally possible. So what other factors should businesses take into account when managing for continuity? Having a structured, transparent and meaningful employee development programme that allows an individual to develop their capabilities, improve their performance and be recognised for it, are critical to business performance and the overall wellbeing of the organisation.
The employee of today - and especially the young employee of today - wants to be developed. Whilst financial and social benefits are obviously a factor, an organisation that can deliver significant personal growth is the organisation that is likely to outperform their competitors. Managed and channelled correctly, an organisation with a robust employee development programme will attract and retain employees above industry trends.
Given that the 2008 figure for agent tenure is just over 12 months, appropriate management structures and philosophies are critical.
As a business, you need to be sure that your managers are able to perform in a way that engenders success. So, what do you need?
Does your management team know their roles and what is expected of them?
Most managers have at some point been an advisor, but a great agent does not necessarily make a great manager. What is your selection criteria for your managers, have you given them the necessary training to allow them to manage for success? Do you have a knowledge framework that will assist them to provide the right answers, implement the correct procedures and deliver a level of management continuity throughout the contact centre? If your managers know what they are doing, then the agents feel more guided - overall contributing to improved levels of effective staff management, reduced levels of attrition and a corresponding increase in tenure.
Specialists deserve more
As mentioned earlier, customers demands are increasing and their queries are becoming increasingly more complicated. In many environments, the concept of "pay to stay" is frowned upon but we believe it has a place. With the cost of recruitment, the impact that new agents have on quality scores, the ongoing loss of knowledge and the corresponding need to be in product training, we believe that paying people to stay in their roles has its place. Not every agent necessarily wants to move up into other roles but out of necessity, promotion and alternative career paths can become the only option if their salaries are capped to a point where staying is not an option. Tied into this should be effective competency frameworks which provide staff with clear progression paths, recognition and opportunities to increase salary. This should be a mix of job specific and generic or life skills.
Coaching and Feedback
Why does coaching tend to be focused at the agent level? Everyone needs feedback! Contact centre management should be coached and developed, giving them the right mentoring with sound input can have a direct and positive impact on their direct reports and the overall atmosphere within the contact centre. We do not see much evidence of coaching for contact centre managers and this is clearly an area for improvement.
Troubleshooting and dealing with difficult situations?
Contact centres by their very nature, are environments that have large numbers of people working closely together generally under demanding and stressful conditions. Difficult situations frequently arise and have to be dealt with. In order to have an environment that is effective and delivers against the required performance levels, the ability to quickly and effectively deal with challenging situations is critical. Whilst this appears to be Management 101, so many organisations fail to implement and support an environment that requires a consistent, yet firm approach to personnel and performance issues. We believe most contact centres should review their troubleshooting procedures to ensure they are effective and relevant.
Do you know how to talk to people and do you know how to listen?
Knowing how to talk to, listen to and acknowledge staff is the cornerstone of having a successful contact centre operation. Communicating well and frequently is a manager's key focus and yet more and more manager's sit off the floor of the contact centre and hide behind their computer screens. In the 2008 report, Communication Skills comes in 4th on the training priorities list and yet communication is what a contact centre is all about! Much of the coaching that is provided today, is done using remote solutions. A very different scenario to that of 10 years ago, when coaching was done side by side and the relationship, understanding and guidance was delivered with far more personal insight.
Overall, it is a manager's responsibility to be an effective communicator - to brief, to coach and to set goals appropriately.
Life skills
Whether you call this life skills, soft skills, employee development programmes, or something else, we believe that training is not just about product training. At Merchants, we have seen the success of Life Skills training and the positive affects on the likes of attrition and absenteeism as we have implemented programmes that ensure our people are developed both personally and for the benefit of the company. It becomes a winning formula but does require focus.
Overall, the key findings in the 2008 Global Contact Centre Benchmarking Report shows that the contact centre industry has not been too successful in retaining staff and developing careers. As we recruit and employ from a generation that values development and learning more than anything else, it seems that we are all missing a trick. We have lost touch with people and the need to focus on people development at all levels - building a foundation for great agents and managers alike.
Those organisations that get people development right, will surely be the winners. Makes you think, doesn't it?
So how can Merchants help you? As well as being able to design and develop both agent and management induction and training programs, coaching and communication skills training, Merchants offers organisations a holistic view of what effective people management in a contact centre should look like. Whether you need guidance on defining your people development initiative or are looking for an outsource solution that allows us to work with you to deliver this on your behalf, Merchants has a track record in helping business's effectively balance cost, risk and performance.
For more information on our solutions, please contact Hamish Cliff on +44 (0)7812 009 524 or email him on hamish.cliff@merchants.co.uk
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