The McKinsey Quarterly
The McKinsey Quarterly Chart Focus Newsletter
November 2005 | Member Edition


Improving call-center performance

Companies try to get the most from their call centers, among other ways, by ensuring that agents perform as well as possible. To do so, these companies must use metrics that shed light not only on total revenue but also on opportunities to generate revenue.



 
Companies hoping to expand the role of call centers and to make them substantial revenue generators—not merely places to field complaints and inquiries—must accurately measure the sales performance of agents. Sometimes, however, performance-management programs can encourage the wrong kinds of behavior. Relying on traditional metrics, such as total revenue per month, as a measure of sales performance, for example, can prompt agents to rush from one caller to the next in pursuit of easy sales. The result looks good if companies measure revenue against agents, but not so good if they consider revenue per caller. By the lights of the latter metric, an agent who takes more time with callers may be making the most of each customer interaction, even if it takes longer to do so. The company could probably boost its revenue by hiring more agents and encouraging them to sell more services during each call.

For more about ways to improve the performance of these facilities, read "Getting more from call centers."


Also of interest
"Steering customers to the right channels" (2004 Number 4) shows how companies can control their channel interactions by gently guiding customers to the most appropriate avenues. (Premium)

"Mobile's dissatisfied customers" (2004 Number 3) relates a cautionary tale about the damage mobile-phone carriers suffer as a result of inconsistent customer care.

"Ensuring India's offshoring future" (2005 special edition: Fulfilling India's promise) shows how India's policy makers can better prepare the country to meet the rising demand for its workers.

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