Call centre

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A call centre (Commonwealth English) or call center (AmE) is a centralised office of a company that answers incoming telephone calls from customers or that makes outgoing telephone calls to customers (telemarketing). Such an office may also responds to letters, faxes, e-mails and similar written correspondence. However the term contact centre (Commonwealth English) or contact center (AmE) is often applied when such multiple functions are blended in one office.

Call centres are generally set up as large rooms, with work stations that include a computer, a telephone set (or headset) hooked into a large telecom switch and one or more supervisor stations. It may stand by itself or be linked with other centres. It may also be linked to a corporate data network, including main frames, microcomputers and LANs. Increasingly, the voice and data pathways into the centre are linked through a set of new technologies called computer telephony integration (CTI).

Most major businesses use call centres to interact with their customers. Examples include utility companies, mail order catalogue firms, and customer support for computer hardware and software. Some businesses even service internal functions though call centres. Examples include help desks and sales support.

Mathematical theory

Queuing theory mathematics can be used to demonstrate that a single large call centre is more effective at answering calls than several smaller centres. The most dramatic improvements come when a large number of offices are centralised.

The mathematical problems encountered in a call centre are generally statistical in nature and revolve around the probability that an arriving call will be answered by an available and appropriately trained person. Forecasting the call arrival rates and then scheduling the number of staff required on duty at particular times of the day are challenging problems faced by most call centre managers.

Accommodation

The centralised approach aims to rationalise the company's operations and reduce costs, whilst producing a standard, branded, front to the world. The approach naturally lends itself to large companies with a large, distributed customer base. Owing to the size of companies and their customer bases, these offices are often very large, such as converted warehouses.

Personnel Management

Centralised offices means that large numbers of workers can be managed and controlled by a relatively small number of managers and support staff. They are often supported by computer technology that manages, measures and monitors the performance and activities of the workers. Call centre staff are some of the most heavily monitored and tracked groups of workers in the world.

Reporting and monitoring in a call centre can be broken down into four major categories. These are real time reporting, historical reporting, quality monitoring and work force management. The types of information collected for a group of call centre agents are inclusive of: agents logged in, agents ready to take calls, agents available to take calls, agents in wrap up mode, average call duration, average call durtion including wrap-up time, longest duration agent available, longest duration call in queue, number of calls in queue, number of calls offered, number of calls abanadoned, average speed to answer, average speed to abandoned and service level (the percentage of calls answered in under a certain time period).

Many call centres use work force management software, which is software that uses historical information coupled with projected need to generate automated schedules that will provide the correct mixture of staff with the correct skills necessary to service customers.

Normally, personnel costs are the most significant expense of a call centre operation and even seemingly small inefficiencies can have significant cost issues. This is one of the major driving factors of outsourcing in the call centre industry.

Inadequate computer systems can mean staff take one or two seconds longer than necessary to process a transaction. This can often be quantified in staff cost terms. This is often used as a driving factor in any business case to justify a complete system upgrade or replacement. For several factors, including the effeciency of the call centre, level of computer and telecom support that may be adequate for staff in a typical branch office may prove totally inadequate in a call centre.

Technology

Call centres have been aided by a range of telecommunications and computer technologies, including automatic call distribution (ACD), interactive voice response (IVR), computer telephony integration (CTI), which allows the actions of the computer to be synchronised with what is happening on the phone. In addition, early customer relationship management (CRM) technologies, such as Siebel, Clarify, Vantive and PeopleSoft, and other database systems, have been heavily employed in call centres. The latest internet technologies allow "virtual" call centres to be established across a company's telecommunications network without physically putting all the people in one office. These often employ VoIP technology.

Call Centre Dynamics

Types of calls are often divided into outbound and inbound. Inbound calls are calls that are initiated by the customer to obtain information, report a malfunction or ask for help. This is substantially different from outbound calls where the agent initiates the call to a customer mostly with the aim to sell a product or a service to that customer.

The staff of the call centre that is focused on support of a product is often organized into a mult-tier support model, with the first tier being largely unskilled workers who are trained to resolve issues using a simple script. If the first tier is unable to resolve an issue the issue is escalated to a more highly skilled second tier. In some cases, there may be third or higher tiers of support. Typically the third tier of support are the engineers or developers of the product.

Call centres have their critics as well. Some critics argue that the work atmosphere in such an environment is de-humanising. Others point to the low rates of pay and restrictive working practices of some employers. There has been much controversy over such things as restricting the amount of time that an employee can spend in the toilet. Furthermore, call centers have been the subject of complaints by callers who find the staff of the call centers often do not have enough skill or authority to resolve problems.

Owing to the highly technological nature of the operations in such offices, the close monitoring of staff activities is easy and widespread. This can be argued to be beneficial, to enable the company to better plan the workload and time of its employees. Some people have argued that such close monitoring breaches human rights to privacy. Yet another argument is that close monitoring and measurement by quantitative metrics can be counterproductive in that it can lead to poor customer service and a poor image of the company.

Many call centres in the UK have been built in areas that are depressed economically. This means that the companies get cheap land and labour, and can often benefit from grants to encourage them to improve employment in a given area. There has also been a trend to move call centres to India, where there is a large pool of cheap English-speaking labour. This phenomenon has led to media reports of poor telephone connections and operators with insufficient local knowledge to do their job. But the fact remains that these call centres in India are much professionally managed than their counterparts elsewhere in the world. This is possible due to the fact, that whereas a typical call center employee in the developed world would be a high school drop out, the typical employee in an Indian call centre is a graduate.

Canada is also a popular call centre site, with the relatively low Canadian dollar and low telecommunication rates. SITEL Corporation, which operates call centres in Ottawa and St. Catharines, Ontario is one such company.

Around the world there are a number of professional organisations forming to develop and promote call center best practice management and operation, to overcome the negative aspects of a call centre.

Useful Call Centre Resources

General

Call centre discussion

Outsourcers

Equipment

Software

Consulting

See also

Call centre news

  • Support Insight News site for the Support Industry, with subsite dedicated to international call center news