PRIYA* don’t quit … : BPO Retention Planning Tool Background

:
The young Business Process Outsourcing Industry in India has been struggling with high attrition rates right from the word go. The high cost of attrition in the established B.P.O. Organizations – whose major challenge is to ramp up & train the workforce quickly to translate the business opportunity into revenue Dollars – has already been felt & documented extensively in the media. Every BPO organization seems to be trying to reduce their attrition, percentage point by percentage point. There is a feeling, especially among HR Managers, that while there are market dynamics involved in the demand–supply gap, there certainly is a need to find better ways to retain the young & well trained workforce at the Agent level. PRIYA (Proactive Retention Interventions among Young Associates) is a conceptual model that has evolved from HR practices based on intuitive common sense. It works. While this author has thought through the Tool elaborated here, a lot of ideas and practices used in it owe their existence to various HR & Business Leaders across BPO organizations. Hence this is truly a piece of collaborative development and should therefore be shared freely for the benefit of this new growth space. Let us begin by reviewing the numerous innovative HR initiatives & interventions that are constantly being tried by most industry leaders today (Example: Tie up with distance learning MBA programmes, providing discotheques / ‘fun at work’, etc.). Somehow none of these interventions seem to work consistently across an organization, nor can they be said to be having a highly significant impact across the board on the attrition level in the targeted employee population in a BPO organization handling diverse variety of work. What works for one organization, seems to be an impossibility to even consider in another organization. While these HR interventions & initiatives certainly work in pockets, there are some limitations in their approach: Page 1 of 20 ________________________________________________________________________

1. Business Imperative: The current attrition management outlook assumes that the absolute attrition percentages are of utmost importance. Logically however, the Clients would be more worried about the organization’s ability to meet the SLAs (Service Level Agreement) consistently, and not the absolute attrition percentage levels. (Yes, lower attrition percentages help quite a lot in that!) 2. Cost–Benefit: The cost–benefit of these HR initiatives are very difficult to calculate at the design stage. (Usually the cost calculations do not capture the disproportionate amount of time the senior management spends in creating, validating, implementing & troubleshooting these initiatives – specially in terms of the opportunity cost due to time spent away from the business opportunity) 3. Effectiveness & Impact: The effectiveness of an initiative is very difficult to predict, and the actual impact is usually out of whack with the originally estimated level. The choice of initiatives is usually someone’s preference / gut feel – instead of a very rigorous business decision. (Since some of these initiatives work, there is a sort of organizational legitimacy granted to this “deciding by gut feel” when it comes to HR interventions related decision-making.) 4. Monitoring & Control: These initiatives / interventions tend to get out of control quite quickly, and it takes a Herculean effort for the organizational leadership to rein it in. The organizational leadership also does not have very clear decision-making data to choose between similar / overlapping interventions or to stop ineffective interventions. The ‘in-process’ monitoring of these initiatives / interventions is quite difficult given the biases of the implementers & their varying levels of buy-in. 5. Implementation: The success of most of these HR interventions is driven by the passion of the implementers, specially the first level managers. This does create a possibility of a less effective initiative being continued without knowing clearly that there was a better one available, and would have had a higher organizational impact, given the quality of involvement of the first level managers. 6. Focus: These initiatives / interventions are usually backward looking. They are typically driven by the data from exit interviews of the preceding month / quarter. Also given the fact that the reasons ‘why people leave’ are known to be different from ‘why people stay’, organizations might be aiming the interventions at the ‘wrong’ Page 2 of 20 ________________________________________________________________________

Their alignment to the overall HR framework is therefore tenuous at best. One really does not know how many employees actually joined the organization next door instead of that MBA they said they wanted to join.population. The Retention Planning Tool: The concept of this tool is very simple: The ‘Value to Company-Probability of Leaving’ Matrix Probability of Leaving High High Q1 Q4 Q7 Medium Q2 Q5 Q8 Low Q3 Q6 Q9 Value to Company Medium Low Figure [1] • • Identify the individuals in each service delivery ‘team’ Plot the position of each of these agents (by the first level Reporting Manager & the Business HR) in this matrix based on the given parameters. Linkage & Alignment: These HR interventions usually do not provide any linkages to other HR & business processes in the organization & hence to that extent do not add value. if not also a significantly smaller one! Reliability of exit interview data is another issue. as call-back validation is typically not a standard practice. while being very simple to understand (almost intuitive) & easy to implement. if not completely out of sync. It is in this context that this Retention Planning Tool is extremely powerful. Page 3 of 20 ________________________________________________________________________ . 7.

2. Longer-term Value: Does this person being part of this process enhance my organization’s chance of getting more business (upstream / downstream processes) from the same Client? Does this individual possess relevant experience / qualification / aptitude for moving into higher value roles likely to emerge in the near future – even if for some other Client / team in the organization? Probability of Leaving: Page 4 of 20 ________________________________________________________________________ . even if the person is of ‘medium value to company’ from point 1 above. • Create this matrix for each ‘Service Delivery Team’ in the organization & add up the numbers for each quadrant to understand what is the most appropriate HR initiative / intervention that is required. stretch & ‘feel good characteristics’ in the team?). Criticality of the person to the process: is there a high chance of the Client migrating the process back / canceling the contract if this person leaves? Is this one person handling a critical sub process / language / front-end that no one else in the current team can handle? In such a case. Quality & ‘overall value to the Team’ (If this person leaves. 3. continuing or initiating new interventions. • Monitor & Review these matrixes periodically for any changes & to obtain decision-making data for discontinuing. he / she should be moved to the high value category. how much will it impact the motivation.• Prepare & implement specific action plans (by the first & second level Reporting Managers & the Business HR) for enhancing retention for each individual based on their position in this matrix. The mapping of each individual in the Service Delivery Team is based on the following Parameters: Value to Company: Every individual in each Service Delivery Team to be rated as High / Medium / Low based on: 1. Current Performance: Productivity. modifying.

Performance rank vs.) Page 5 of 20 ________________________________________________________________________ . b. A ‘High’ rating in even one parameter would result in a ‘high Probability of leaving’ individual. Gender Related: Male / Female a. there will always be some cases of hormonal overdrive!) 4. Marital Status: Has high correlation with attrition of women due to relocation because of marriage. A good diversity mix always helps. (Given the typical age profile. 1. There typically will be more team issues in an all female / male team. (There appears to be a higher than average number of disturbance in menstrual cycles & miscarriages for women working in the night shifts. Work timing: Day / night. especially with respect to gender). Also please note the correlations & dependencies within these factors. some of which have been pointed out. This evaluation assumes that the Business HR person & the 1st Level Reporting Manager possess a tacit understanding of each individual’s ‘Value System’1 (the person’s predisposition to act in a certain way in a specific situation according to the highest operating value that the person holds). salary position in the team: Is he / she getting paid the most in the team if he / she is the top performer? Individual salary & performance data is no secret as the team members share them with each other regardless of their appointment letter instructing them not to! 3. Workplace Location: Is this his / her hometown? What is the extent of his / her wanting to move back to his / her hometown? (Has high dependency with 5.Every individual in each Service Delivery Team to be rated as High / Medium / Low on probability of leaving based on the following 16 parameters. Working relationship with Reporting Manager: Good / indifferent / strained? 2. There is typically a lot of parental pressure on the unmarried woman working in the night shift to leave / shift job to the hometown) 5. Has high correlation with attrition of women due to health reasons. Behavioral and cultural fit in the team: Good / Bad / Ugly? (Shows high correlation with the team diversity mix.

Reward & Recognition: Have you found an excuse yet to reward & recognize this individual for what he / she does really well at work? 12. Living with in-laws: There is a 100% correlation of attrition for married women working in the night shift & living with in-laws. Training / mentoring / exposure for growth & learning : Adequate / inadequate 10. The in-laws expectations from the daughter-in-law (preparing breakfast & lunch. Grievances: Any unresolved / ongoing HR or organizational issues 11. housework – since she’s at home – irrespective of the fact that it is her peak sleeping time) will force the women to leave her job within about 2 months. Spouse’s work timings can further complicate her situation. has very high correlation with attrition due to health reasons for women) d. Aspiration& capability for Higher Education: Aspiration alone is a bad indicator. simply would not currently have the financial capability to take a break for preparation or a full time course. Most associates would either intuitively give up on the tough competition for opportunities in Premiere Business Schools that they really aspire for. likelihood of getting a higher position in another organization immediately. Promotion Prospects: Internal opportunity availability for vertical movement in the near future. 6. Is my organization growing fast? Is the new business it is getting similar to my current work? Do they believe in giving a chance to me rather than hiring someone above me from the outside? Is the process for promotion fair & does it happen with a high enough frequency (half yearly)? 8. social or personal compulsions to continue working. Spouse’s work timing: Same / different (If different. what are my realistic prospects for moving up compared to my peer group? 9.c. Are there any startups where I can ‘encash’ my experience today? If I stay. Need for the job: financial. 7. It is only after about 3 years of working that they would be willing to consider a distance learning option as the only feasible option. Time Required: Page 6 of 20 ________________________________________________________________________ . or. attending to the door / phone. Opportunity: Internal competition vs.

it typically takes about 3 to 5 hours of discussion between the 1st Level Reporting Manager & Business HR to consolidate the mapping of 10 to 15 people.The first time round. • If the Matrix Quadrants Q2. 8 & 9through Performance Management. 5 & 6 through Skills Training & Q1. By some happy accident your organization’s people processes work reasonably well & you are in a good position to initiate ‘interventions’ which will basically try to move people in the direction of the arrows & out from Q3 through promotions as illustrated below (Q7. Subsequent reviews take about 1 hour for a team of 10 to 15 people. Q3. Q4. Matrix Analysis: The distribution of the population in the various quadrants (Q1 to Q9) of the Matrix is an indication of the effectiveness of your Organization’s HR & Training Processes. Q5 & Q6 together contain 70 to 80 % of your population. you are extremely lucky. The time required to analyze the mapping & to chalk out a retention plan will depend completely on the actual details of the mapping as will be brought out below & in the case study. 2 & 3 through Developmental Training & engagement activities): Probability of Leaving High Q1 Q4 Q7 Medium Low Q2 Q3 Promotions Value to Company Medium Low High 70 to 80 % of the Team Q5 Q8 Q6 Q9 Figure [2] Page 7 of 20 ________________________________________________________________________ .

6. 8 & 9s’ come back from their skill up gradation training & the heat is turned on them to perform. 6. The Q1. while you will need to still have the above ‘interventions’ going.• If however the numbers are not so kind. you would be well advised to create ‘initiatives’ that will create people movement along the arrows as illustrated below. Examples: o Those most in need of training are in Q5. Hence ensuring Developmental Training for the next role to those in Q2 & 3 is imperative shortly after the Q 5. 8 & 9. • A lot of interesting dynamics emerges as you analyse the mapping. & 3s however resent these “uncommitted / still on the learning-curve” individuals being away from work ‘enjoying a good time in training’. Redeployed gainfully (depending on the Probability Factor identified) Probability of Leaving High High Q1 Q4 Q7 Medium Q2 Q5 Q8 Low Q3 Q6 Q9 Training intervention for skill up gradation Value to Company Medium Low From internal pool / bench PIP / Exit Figure [3] In other words. 2. Q1s’ need to be given all the high impact short term assignments (depending on the actual probability factor of course) which they will usually love to take up Page 8 of 20 ________________________________________________________________________ . you will need to create a well deliberated ‘Churn’ in the team to achieve the desired balance within a fixed timeframe (typically 30 to 45 days) in order to be able to manage the possible attrition much more proactively & effectively.

a sponsored vs. the preparation of the Matrix is only the first step to an interesting journey. Be prepared for the ‘Churn’ much before it becomes imperative. a reimbursed one.and complete within timelines for the value it adds to their capabilities & CVs’ – for internal / external movement.g.3. • In effect. Once ready. the Matrix will instantly give you the numbers & impact of any planned intervention or initiative.: Is the ‘fun at work’ initiative likely to retain my high value employees or some others? How many people are likely to enroll for a sponsored MBA Programme. o What are the other processes on which this team can be cross-trained? Where else in the organization can the restive population from my team be moved in a planned manner? Which other teams should I keep an eye on to create cross-training for my process & backups for attrition / absenteeism / high volumes in my team.6)? Have these people had a one–on–one with HR / Reporting Managers (First Level & Skip Level) / Business & Quality Leaders within the last one month / quarter? Have those on PIP (Performance Improvement Plan) felt the heat directly from the skip level & HR? If not. I found that the prime reason why the targeted population would Page 9 of 20 ________________________________________________________________________ . o All attrition can be traced back to this matrix in order to understand whether that particular individual’s issues were understood / managed right.5. their value to the company and how many would choose not to join because of other factors as discovered while plotting the Probability of Leaving. there’s likely to be trouble ahead. E. or would my team’s best performers rather have deferred cash payments instead of the MBA programme? Which ‘Internal Job Posting’ is just right for my team member & I should inform & encourage her for the same? Example: The organization decided to implement a 3-year distance learning MBA programme on a conditional reimbursement model.2. o Are the people decision makers aware of the biggest contributors in the organization (Q 1. My Matrix clearly told me the realistic number of people likely to opt for it.

200 for the entrance test. they were likely to take pains to flunk the selection test! • The Matrix therefore gives a clear picture of the current health as well as the necessary interventions & initiatives required in the team.not join was due to cash flow constraints. there were 36 names identified who would write the entrance test & enroll. (Based on this same matrix. the data indicated that allocating the budgeted organizational expense to the performance based variable monthly income* would have been more effective in creating higher retention at that compensation level. After the ‘Yes Sir’. the final tally of people who did join was zero. I suspect that even if a few of these associates were cajoled into filling up the form & paying up the Rs. At Rs 7000 per month take home. the Matrix data flows up & creates a much better “mass – customized” approach for focusing clearly on the relevant issues & actions. sure enough. most of them were not in a position to spare Rs. Page 10 of 20 ________________________________________________________________________ . And sure enough. The ones who were in a position to spare the cash typically wanted to do a full time MBA from a premier institute for the earning opportunity & entry level / lateral managerial roles through the superior placement opportunities. 1500 per month for this ambitious project.) One of the Service Delivery Leaders however saw it as a simple matter of implementation and instructed his Operations AVPs & Managers that he needed 2% of the population to enroll. Instead of trying to force fit interventions & initiatives designed by someone high up.

11 Female. Value to Company High Name Performance PF1 H PM2 M PM3 M PM4 H PM5 H PF6 H PF7 H PF8 M PF9 M PM10 M PM11 M PF12 M PF13 M PM14 M PM15 M PF16 M PF17 M PM18 M PM19 M PM20 L PF21 L PM22 L PF23 L Medium Criticality L H L L H L L L L L L L L L L L L L L L L L L Low Future Need L L H M M L L L L L L L L L L L L L L L L L L Figure [4] Page 11 of 20 ________________________________________________________________________ . 12 Male.A Case Study: Let us consider a typical distribution matrix for a team of 23 agents.

Probability of Leaving Name Relationship Performance with Rptg Vs. Salary Mgr Rank Team Fit Location Gender Related Marital Status Work Timing Spouse's Living with work timing in-laws Higher Education Promotion Prospects External Opportunity T&D High 'H' Grievances Medium 'M' Low 'L' Rewards & Financial Recognitions need for Job PF1 PM2 PM3 PM4 PM5 PF6 PF7 PF8 PF9 PM10 PM11 PF12 PF13 PM14 PM15 PF16 PF17 PM18 PM19 PM20 PF21 PM22 PF23 M H L L L L L L L H L M L L L L L L L L L M M L L M M L L L L L H L L M L L L L L L L L L L L L L L L L L H M H L M L M L L L L L M M L L L M L L L L L L L H L L L M L L L L L L M L L H L L L L L L L M L L M L L L L L L L L M L L L L L L L L L M M L L L M L M L L L L L L L L L L L L L L L L M L L L L L L L L L L L L L L L L L L L L L L H L L L L L L L L L L L L L L L L L L L L L M L L M L L L M L L L L H L L L M L M L L L L M L L H M L M M L L L L M M L L M M M M L L L M L L M L L L M L L L L M M L L M L L L L L L L L L M L L L L L L L L M M L L L L M M L L L L L H M L L L M L L L L M M M M L M L L L L L L L L M L L L M L L L L M M M M M M L L L L L M M L L M L L M L L L L H M L L Figure[5] Page 12 of 20 ________________________________________________________________________ .

has had Manager to resolve difference across the table. PF17. PM10. PF7 Value to Company Medium Q4 Q5 Q6 PF8. is expecting to get Manager & HR know of any developments on married within this year the marriage front. PF16. disagreements with Manager. Set clear opportunities. PF13. PM2 Medium Q2 PM3 PM4 Low Q3 PM5. PF6. was Skip level Manager to have one on one to give not nominated to the last comfort that her performance is recognized. HR Leadership Development to ensure nomination to the Leadership Training. PM14. PM11 PM15 PM18. PF1 Page 13 of 20 ________________________________________________________________________ . PF23 Low P stands for Person. family reasonably expectations on lead time to let the Ops well off. M/F for male / female Figure [6] Case Study: The typical outcome Name Brief Profile Plan Outstanding performer. PF12.Team Matrix: Risk of Leaving High High Q1 PF1. PF9. Conscious of external development & assertiveness training. PM19 Q7 PM20 Q8 PF21 Q9 PM22.

Salary needs rationalization. HR to leave last time as 2 team members proactively seek details of Processess at his hometown location operations & keep him were scheduled for process training & 2 for six sigma updated of future opportunities as well as introduce him / forward his CV to key decision training. PM5 PF6 Outstanding performer. Create healthy competition with P5. to be rationalized PM3 PM4 Outstanding performer. also critical for another sub process. HR to ensure immediate rationalization of his salary with performance. explaining the context of allow him to apply for an Internal the decisions. His father is not keeping condition that he would be ensuring a backup by well and wants him to return to training P6 & P7 for the critical sub process that hometown. makers for the same. interface with Clients. is also highly critical to another subprocess. Ideal person to be groomed for promotion to Team Leader / Manager in a structured manner. Encourage him to think experience in a higher end through & start creating collaterals. Manager denied him he alone is currently handling. stable. This would be subject to the process. stable. Good performer. & P6 but let all know that there is room for all three. Worried about HR & Skip Level Manager to ensure that the his prospects of growth within the transition expected later would have him team. Create engagement at work by providing additional responsibilities like involving in a Six Sigma Green Belt Project. internal functions & enhance situational exposure. Has capability & prior handling a meaty role.PM2 Good performer. Manager to start involving him in resolving people issues. stable.1 location as he had not completed year) for exploring his movement to his the stipulated 1 year in the hometown. PF7 Page 14 of 20 ________________________________________________________________________ . All three to commit to working Job Posting for his hometown out a solution in the medium term ( 6 months . has had a fight HR & Skip Level Manager to help Manager in with the Manager as he did not creating a dialogue. Shift Utilization initiative for the team etc. Process owner (client) always wants to speak to him directly & goes by his word. 3rd person to be groomed for promotion to Team Leader / Manager in a structured manner. Needs to be retained. 2nd person to be groomed for promotion to Team Leader / Manager in a structured manner. HR to ensure immediate salary in the next 6 months. communications. Outstanding performer. put him in downstream process project touch with the Transition Manager for this next which is likely to be transitioned project. Outstanding performer.

PF9 Has joined team later as a Counsel. high expectation. Peers. Tech. has been having health problems due to night shift Only married person. Average performer. Provide additional responsibilities to P16. Ensure P5. Be ready to backfill. 6 & backfill. counsel team fit issues / Exit 30 day Performance Improvement Plan (PIP) / redeployment / exit in that order as there seem to be no other major issues. peer group does not like her behavior.Communicate to P5.PF8 Average performer. PF21 PM22 Unmotivated Unmotivated PF23 Page 15 of 20 ________________________________________________________________________ . Buddy with P5. team fit issues. Train for & create & communicate for higher performance on the job. More keen on Counsel & help in delivering better performance PM11 moving up the ladder than in the on the job. Training. Encourage exit after counseling. team members. PF12 PF13 PM14 PM15 PF16 PF17 PM18 PM19 Ensure hygiene issues are taken care of. does not HR to immediately try for internal movement to participate in team activities or another day process. is keen to wind up quickly & reach home. High expectations. attitude Counsel. Average performers. 17. MIS etc. 6 & 7 PM10 that they will need to stretch additionally if this person leaves without notice. 7 get evaluated on how they handle this case & Salary. adjust. and there is a gap before the backfill is allocated. 18 & 19 for SPOCs (Single Point of Contact) for the team's HR. Issues with Manager. current job. Explore redeployment to home location. higher education aspiration. Logistics. does PM20 not need the job Uncommitted. Location.Be ready to backfill at short extend help & support to other notice. be ready to backfill problems. 6 & 7. Unable to give them active coaching in handling it right.

this tool would be more useful in creating the organization’s HR strategy for People Development.Conclusion: While this paper recommends using this Matrix for the BPO space at the Agent level. please ensure the following: 1. Do address the legitimate business need without compromising on the organization’s values & ethical practices. assignments. Caution: Every powerful tool has the possibility of bringing harm due to misuse. each individual is different and is not necessarily likely to behave in a fashion as brought out by correlations in historical data) Value System: a person’s predisposition to act in a certain way in a specific situation according to the highest relevant operating value that the person holds). Please remember. hiring etc. amongst two candidates. (Example: if your organization practices the value of being an equal opportunity employer. Ensure absolute privacy of the data: Share this data internally strictly on a need to know basis. Respect individual merit & right to self-determination: Do not let this data unduly influence your decision-making in terms of recommendations for promotions. I however think that for industries / levels where attrition percentages are less than 10% and the attrition impact is not so critical or immediate in meeting customer expectations. When using the Matrix. you certainly cannot discriminate by not hiring one person because she is an unmarried female working away from her hometown. 2. Page 16 of 20 ________________________________________________________________________ . & wherever necessary provide the complete context to each individual & not just the one or two factors that can be vividly recalled. Even stricter privacy to be maintained to prevent this data becoming known to the team members. the model is sufficiently robust to be used across levels and across different types of industries – simply by modifying the parameters appropriately.

Remember the scene in the movie “Deewar” where young Amitabh tries to unsuccessfully steal a loaf of bread? On being caught & thrashed. Page 17 of 20 ________________________________________________________________________ . the higher operating value forced him to. However the order in which these values operate within each person (The higher or lower weightage a person assigns to each value) could be very different. but he could simply not watch his ill mother & younger brother go hungry. The actual order however could be: Person 1 [1] Fairplay [2] Money [3] Status Person 2 [1] Status [2] Money [3] Fairplay To an external opportunity. he / she is likely to actively look out for an external opportunity. both these individuals are likely to respond very differently: If Person 1 has had reason to feel unfairly treated in the current organization. he tries to explain that he was not a thief. and will move if the money is better even if it is at the same level. Person 2 however is likely to consider opportunities only at a higher designation. Hence under the circumstance. fairplay & status. People with similar social & economic backgrounds tend to have the same or very similar set of values. Example: Person 1 & Person 2 could have the same top 3 work related operating values of financial betterment (money). and might move for a higher designation even if the money is not significantly higher. Their evaluation of each associate’s probability of leaving therefore would be only as accurate as their understanding of each of their associates’ value system. though he did not want to steal. What it tells us about the young Amitabh’s character in terms of his value system is that his operating value of ‘being unable to see his family members in distress’ is higher than his operating value of ‘not stealing’. *Performance based variable monthly income: A typical scenario: • Budget : X % of Team CTC#. The PRIYA model assumes that the Ops Manager & Business HR have a fairly accurate understanding of each team member’s value system based on their interactions & past behaviors.

the slab below can be for Customer Satisfaction (or Overall Engagement Effectiveness) between 80 to 90 %. Example. • Applicability : Revenue generating process which has ‘stabilized’ (is meeting customer specifications consistently for at least two consecutive monthly reviews). almost 90% will get paid. even if only once in the year. Volume: To be eligible. • Working : Based on Volume & Accuracy.• • Payout : Monthly. Over the long term. an individual needs to perform at an output which is at-least Above the team median for last month OR Above the current month’s customer required / baseline volume average for the team – whichever is higher (y1). (x1) Slabs: Different slabs can be created with higher monetary rewards for higher levels of customer satisfaction. month. Accuracy: Above customer specified baseline accuracy. Page 18 of 20 ________________________________________________________________________ . specially when the volumes fluctuate. Coverage: 50% of the population every. even if a small amount. a higher payout can be designed along similar lines for 91 to 95% & so on.

500 x2 (x2>x1) Accuracy Figure [B] Rs.750 Rs.750 x3 (x3>>x1) (#With the above distribution in Figure [B]. 2P on Volume y3 (y3>>y1) Volume y2 (y2>y1) y1 Rs.1250 Rs.1250 Rs. 1000 per agent per month.250 x1 Rs.y3 (y3>>y1) Volume y2 (y2>y1) y1 5P 3P P x1 6P 4P 2P x2 (x2>x1) Accuracy Figure [A] 7P 5P 3P x3 (x3>>x1) • Sample Values Min Amount: P = Rs.1000 Rs.250 Step Function: Additional amount of P on Accuracy.1500 Rs. annual payout can be budgeted @ Rs. based on actual experience. approximately 15% of CTC) Page 19 of 20 ________________________________________________________________________ .1750 Rs.

. This will need to be made known to the agents at the beginning of the month along with the payouts for the last month. higher volume. This can reduce attrition due to the time consuming process typically required in making any salary corrections. *Above sample values will drive higher volume The actual values for volume & accuracy have to be specified by the Operations Manager for the Process based on previous month’s results & current month’s imperatives / forecast. higher Customer Satisfaction or all).this design can be used to create a customized performance based incentive system using “Goal – seek” iterations for bringing the total take home (Salary-Rank) of an associate in alignment with his / her Performance-Rank immediately. The minimum amount & step function can be changed on a monthly basis as per the situation in the team for driving required behavior* (i. higher accuracy. (The payout period will need to align with payroll cut-off date.e. step function (can be kept constant or can be varied) & the incremental values for higher customer satisfaction / engagement effectiveness index. Page 20 of 20 ________________________________________________________________________ . or will need to use projected data).• Options: The following can be appropriately chosen for achieving desirable team behavioral outcomes: Min amount (P). In case of teams having issues with salaries .

Sign up to vote on this title
UsefulNot useful