BSBCUE604 Learner Guide

BSBCUE604 Develop and
maintain a service level

strategy – Learner
Resource
Learner Resource
Table of Contents
Application......................................................................................................................................3
Unit Mapping Information ........................................................................................................3
Unit Sector.......................................................................................................................................3
Elements and Performance Criteria .....................................................................................4
fOUNDATION SKILL .......................................................................................................................5
T O P I C 1 - A n a l y s e h i s t o r i c a l d a t a ...........................................................................7
Distinguish between contact-wait characteristics and service level data ..........7
Contact wait characteristics................................................................................................................7
Service level data................................................................................................................................7
Collect relevant and accurate service level data ..........................................................10
Collecting service level data..............................................................................................................10
Determine historical service levels for service level periods ................................13
Determining historical service levels.................................................................................................13
Collect relevant and accurate contact-wait time, abandonment rate and
customer survey data ................................................................................................................15
Collecting contact-wait time data.....................................................................................................15
Collecting abandonment rate data....................................................................................................15
Collecting customer survey data.......................................................................................................15
Determine historical contact-wait and abandon-time characteristics ...............17
Determining historical contact-wait and abandon time characteristics............................................17
T O P I C 2 - F o r m u l a t e a s e r v i c e l e v e l p o l i c y ................................................19
Describe the difference and impacts of providing the required service level
against the industry standard ...............................................................................................19
Service level and industry standard..................................................................................................19
Consult with relevant stakeholders on contact-wait characteristics and
service levels ................................................................................................................................20
Consulting with relevant stakeholders..............................................................................................20
Identify business needs related to service levels ........................................................22
Identifying business needs................................................................................................................22
BSBCUE604 Develop and maintain a service level strategy 1

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Review organisation’s contact-wait characteristics in relation to the

industry, the market and competition ...............................................................................24
Reviewing the organisation’s contact wait characteristics................................................................24
Formulate a comprehensive set of appropriate contact-wait characteristics . 26
Formulating contact-wait characteristics..........................................................................................26
Define and document an appropriate service level policy or target ....................28
Defining and documenting................................................................................................................28
Develop comprehensive contingency plans for loss of facilities or technology
............................................................................................................................................................30
Developing contingency plans...........................................................................................................30
Identify and document corresponding resource requirements ..............................33
Identifying and documenting resource requirements.......................................................................33
Communicate and justify service level policy to senior management and
stakeholders.................................................................................................................................34
Communicating and justifying service level policy............................................................................34
T O P I C 3 - M o n i t o r a n d m a i n t a i n s e r v i c e l e v e l s ......................................37
Identify measurement capabilities of existing technology ......................................37
Identifying measurement capabilities...............................................................................................37
Select diagnostic measures to monitor service levels ................................................39
Selecting diagnostic measures..........................................................................................................39
Collect and analyse service level data ...............................................................................41
Collecting service level data..............................................................................................................41
Identify under -performing service level periods .........................................................42
Identifying under-performing service level periods..........................................................................42
Analyse service level inputs and recommend corrections to maintain service
levels ................................................................................................................................................44
Analysing service level inputs and recommending corrections.........................................................44
Conduct benchmarking to compare performance to competitors and industry
best practice.................................................................................................................................46
Conducting benchmarking................................................................................................................46
A p p e n d i c e s ...............................................................................................................................48
Legal requirements ....................................................................................................................48
Privacy Act.........................................................................................................................................48
Telecommunications Act 1997..........................................................................................................48
Recorded telephone conversations...................................................................................................48

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The complaint process......................................................................................................................49

References............................................................................................................................................50

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APPLICATION
This unit describes the skills and knowledge required to establish, monitor and maintain a service level
strategy in a customer engagement environment.
It applies to individuals who analyse, design and execute judgements using wide-ranging technical,
creative, conceptual or managerial competencies and who are often accountable for group outcomes.
No licensing, legislative or certification requirements apply to this unit at the time of publication.
UNIT MAPPING INFORMATION
BSBCCO604B Develop and maintain a service-level strategy – Equivalent unit
UNIT SECTOR
Stakeholder relations – Customer engagement

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ELEMENT PERFORMANCE CRITERIA

ELEMENTS DESCRIBE THE PERFORMANCE CRITERIA DESCRIBE THE PERFORMANCE NEEDED TO
ESSENTIAL OUTCOMES. DEMONSTRATE ACHIEVEMENT OF THE ELEMENT.
1. Analyse historical data 1.1 Distinguish between contact-wait characteristics and service level
data
1.2 Collect relevant and accurate service level data
1.3 Determine historical service levels for service level periods
1.4 Collect relevant and accurate contact-wait time, abandonment
rate and customer survey data
1.5 Determine historical contact-wait and abandon-time
characteristics
2. Formulate a service
level policy 2.1 Describe the difference and impacts of providing the required
service level against the industry standard
2.2 Consult with relevant stakeholders on contact-wait
characteristics and service levels
2.3 Identify business needs related to service levels
2.4 Review organisation’s contact-wait characteristics in relation
to the industry, the market and competition
2.5 Formulate a comprehensive set of appropriate contact-wait
characteristics
2.6 Define and document an appropriate service level policy or
target
2.7 Develop comprehensive contingency plans for loss of
facilities or technology
2.8 Identify and document corresponding resource requirements
2.9 Communicate and justify service level policy to senior
management and stakeholders
3. Monitor and maintain 3.1 Identify measurement capabilities of existing technology

service levels 3.2 Select diagnostic measures to monitor service levels
3.3 Collect and analyse service level data
3.4 Identify under performing service level periods
3.5 Analyse service level inputs and recommend corrections to maintain
service levels
3.6 Conduct benchmarking to compare performance to competitors and
industry best practice
ELEMENTS AND PERFORMANCE CRITERIA

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FOUNDATION SKILL
Skill Performance Description

Criteria
Reading 1.1, 3.6  Recognises and evaluates complex texts to determine
key information according to stakeholder requirements
and industry best practice
Writing 2.2, 2.5, 2.6, 2.7,

2.8, 2.9, 3.4, 3.6  Prepares information which incorporates specialised
language in a designated format and style appropriate
to audience and purpose
 Prepares specific information which conveys an

understanding of outcomes and alternatives and uses
terminology appropriate to context and audience
Oral 2.2, 2.9  Presents information to a range of audiences using

Communication appropriate language and structure
 Uses questioning and active listening to clarify or
confirm understanding.
Numeracy 1.1, 1.3, 1.4, 1.5,

 Extracts, evaluates and compares numerical
2.1, 2.4, 2.6, 3.2, 3.3
information
 Applies mathematical methodologies and
calculations to analyse, test and interpret data and
draw conclusions.
Interact with 2.2, 2.9  Participates in complex stakeholder

others
consultations, initiating and taking the lead where
appropriate
 Tailors communication to achieve its purpose,
demonstrating a sophisticated understanding of the
needs, interests, issues and priorities of stakeholder and
senior management audiences.
THIS SECTION DESCRIBES LANGUAGE, LITERACY, NUMERACY AND EMPLOYMENT SKILLS
INCORPORATED IN THE PERFORMANCE CRITERIA THAT ARE REQUIRED FOR COMPETENT
PERFORMANCE

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Get the work 1.1, 1.2, 1.4  Sequences and schedules complex activities,
done
monitors implementation and manages relevant
communication when formulating policy
 Uses systematic, analytical processes when
analysing data and formulating policy, setting goals,
gathering relevant information, and identifying and
evaluating options against agreed criteria
 Uses digital tools to access, analyse and
organise complex data.

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TOPIC 1- ANALYSE HISTORICAL DATA
DISTINGUISH BETWEEN CONTACT-WAIT CHARACTERISTICS AND

SERVICE LEVEL DATA
Contact wait characteristics

It will be important for you to have a good understanding of the difference between contact-wait
characteristics and service level data in the context of customer engagement. It is expected that you will
distinguish between the two in relation to the work conducted within your call centre.
Abandonment rates
Abandonment rates are based upon the percentage of inbound calls to the call centre/service desk
which are abandoned by the customer prior to speaking with an agent. The abandonment rate
calculation involves dividing the total number of abandoned calls by the number of customer calls that
are made. The global metric for abandonment rate in a call centre is between 5% and 8%.
Breakdown of waiting times

It should be possible to conduct a breakdown of the amounts of time that
customers are having to wait for access to call centre services. As an example,
there may be a difference in the average amount of time that customers
are having to wait in order to speak to customer service representatives
regarding payment for products and technical issues. Call centre monitoring
software may be referred to for such purposes.
Related indicators of caller responses to waiting periods

There are a wide variety of indicators associated with caller responses to waiting
periods. Customers who become frustrated at having to wait for long periods
may choose to completely abandon their phone calls. Alternatively, they
might make complaints when speaking with the customer service
representatives. There might also be a low rate of return calling.
It is worth bearing in mind that customers may remain relatively calm and relaxed if music is played
while they are kept on hold. Pop music has been found to be particularly effective in minimising the
levels of frustration. However, you should consider the types of music that are likely to appeal and
engage people who call your service.
Service level data

The service level is the percentage of calls answered within a predefined timeframe. The global metric
for service level in the call centre is 80% of calls answered within 20 seconds. It is a key measurement in

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terms of service quality and call-centre performance. The service level may be considered in terms of an
objective relating to the maximum number of customers that should have to wait for their calls to be
answered by a customer service representative.

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Abandonment rates
Abandonment rates are likely to vary in accordance with the customer’s expectations regarding the
provision of call-centre service. As previously mentioned, customers may choose to abandon the calls
due to frustration at having to wait long periods for their calls to be answered. They may also abandon
the calls because they feel that customer service representatives aren’t providing the necessary level of
assistance.
Average speed of answer

This relates to the average amount of time that it takes to answer customer calls during specified
periods of time. There may be differences in the amounts of time that customers have to wait during
defined times of the day or week. The speed of answer should account for the amount of time that
customers have to spend on hold in queues and the time that it takes for customer service
representatives to pick up the phone.
Contact escalation policy

This is the policy that the organisation should have in relation to the escalation of customer complaints
to senior staff members. There are likely to be some complaints and issues that are beyond the scope of
the call centre staff in terms of resolution. Customers who make calls and refer to such complaints and
issues may be passed on to Managing Directors or other senior staff members. The contact escalation
procedures should be clearly documented and agreed by relevant stakeholders.
Percentage of calls answered within a defined waiting period

You may choose to monitor the percentage of calls which are answered within defined waiting periods.
Factors such as the number of calls being made and the availability of customer service representatives
are likely to have a bearing.

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COLLECT RELEVANT AND ACCURATE SERVICE LEVEL DATA
Collecting service level data

You should be aware that the service level relates to the services that the call centre representative or
network provider provides the customer with over a defined amount of time. This may be considered in
terms of the accessibility to customers and ability of the company to plan for changes in call volume and
execution of employment strategy.
The service level may refer specifically to the number of calls taken and dealt with over specified
timeframes. As an example, there will be a service level of 80% if eight out of every ten calls are
answered before the end of the specified period.
Service levels may be determined in relation to:

 Missed opportunities (counted against the service level)
 Ignored (unavoidable and a part of doing business)
 Completed (where the caller would have been serviced properly without a
premature abandonment of the call when the wait time is reasonably short).
Source – ‘Service level’ TechTarget:
http://whatis.techtarget.com/definition/service-level
The service level data may be considered in relation to objectives that are set by management. Such
objectives should be based upon the number of calls that will ideally be answered within defined
amounts of time. The achievement of such objectives may be monitored through the use of call
monitoring software and digital dashboards.

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Source – ‘Everything you need to know about call center service level’ Talkdesk:
https://d3kjp0zrek7zit.cloudfront.net/uploads/attachment/file/11721/uploads_2F0b747a33-e9dc-4445-
913e-861fd4384686_2FEbook_CallCenterServiceLevel_new.pdf
Using an information management system

It is expected that you will use an information management system for the purpose of
collecting and organising service level data for review. The technology should allow
for the compilation of data in a format that personnel can easily read and
understand. Such a system should facilitate decision making regarding the possible
improvement of service-levels. It should also be possible to create reports,
outlining the key information that has been collected through the use of
information management systems.
Measuring the call abandonment rate

You should be aware that the call abandonment rate may be expressed as a
percentage which may be calculated as follows:
 Establishing the total number of calls offered
 Subtracting the number of calls handled divided by the total number of calls
offered
 Multiplying by 100.
You may choose to ignore those calls which are abandoned after only a few seconds. These types of
calls may have been made by customers who quickly realised that they had dialled the wrong number.
Alternatively, they might have been abandoned because the customers thought that they had dialled
the wrong number. Such customers may subsequently realise that the number is correct and redial. The
call abandonment rate will ideally be somewhere in the region of 2% to 5%. If it is above this, then there
may be problems associated with the call centre service.
Calculating the average speed of answer

It will be important to have a good idea of what the average speed of answer is and how it can be
measured. As previously mentioned, the average speed of answer equates to the average amount of
time that it takes for calls to be answered by call centre staff during specific time periods. This includes
the amount of time that the customers have to spend on hold while other calls are dealt with. However,
it doesn’t account for the amount of time that callers spend navigating automatic menu systems.
The average speed of answer may be calculated as follows:

 Average speed of answer = total waiting time for answered calls/total number
of answered calls.
Establishing the effectiveness of the contact escalation policy

There are a number of methods that can be used in order to establish the effectiveness of the contact
escalation policy. You may refer to customer feedback in order to establish the level of satisfaction
related to calls that have been escalated. Metrics such as the percentage of resolved escalation

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processes and level of escalation reached before customer issues have been resolved should also be
taken into account.
Calculating the percentage of calls answered within a defined waiting period

It will be necessary to implement a system of continuous call monitoring in order to establish the
percentage of calls answered within a defined waiting period. You will need to account for the number
of calls answered as a percentage of all the calls that have been made over the time-frame that you are
analysing.

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DETERMINE HISTORICAL SERVICE LEVELS FOR SERVICE LEVEL

PERIODS
Determining historical service levels

It is expected that you will conduct continuous monitoring in relation to the service levels within your
call centre. However, you are also advised to refer to data regarding activity over defined periods of
service in the past. This should enable you to gauge the ways in which service levels have fluctuated
over time. The historical service levels may be assessed via digital dashboards. Reports may also have
been printed and kept in paper-based format on your business premises. If you need any assistance
with regards to accessing the historical data, then it would be worth asking a supervisor or other senior
staff member.
It is likely that historical reports will be available which relate to the activity in your call centre. Such
reports should provide information regarding fluctuations in service level over defined periods. They
may provide you with a good idea of key performance indicators which relate to call centre service over
time and in accordance with established objectives. As an example, you may have a key performance
indicator which relates to the amount of calls taken during a defined period of time. If there have been
increases in the amounts of time taken to answer calls, then you may identify the need for follow-up
action.
Service level periods may include:

 Calculating service levels at varying periods of time, such as:
o half hourly
o hourly
o daily
o weekly
o monthly
o yearly.
Abandonment rates
Abandonment rates are one of the key aspects of service level data that may be referred to. You can
establish such rates by subtracting the number of calls handled by personnel during specific periods of
time from the total number of calls taken during that period. It will then be necessary to divide the
calculated figure by the total number of calls received. Finally, you should multiply the resulting figure
by 100 in order to establish the percentage of calls that have been abandoned. You shouldn’t include
calls that have been abandoned in periods under ten seconds in your abandonment rate calculations.

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As previously mentioned, the average speed of answer equates to the average
amount of time that it takes for calls to be taken by call centre personnel within
specific timeframes. You should account for the periods of time that customers have
spent on hold and the time that it has taken for call centre personnel to pick up the
phone after it has started ringing. However, time spent navigating the IVR shouldn’t
be taken into consideration. You can compare the average speed of answer over
different time periods in order to establish the level of service and need for change
within your call centre.
Contact escalation
Data regarding contact escalation within your call centre is likely to be available if
monitoring technology has been integrated. It should be possible to establish the
reasons why calls have been escalated and whether any associated issues have been
successfully resolved. Ideally, there will be a decrease in the amount of calls that
are escalated over defined periods of time. However, fluctuations in the rate of
contact escalation may alert you to the need for additional staff training or
technical support.
Percentage of calls answered within a defined waiting period

This calculation accounts for the periods of time that customers have to wait before their calls are
answered. There is likely to be some variation in associated waiting periods, depending upon the times
of day and week. If you have call monitoring technology integrated, then it should be possible to draw
comparisons and identify the need for change within your call centre. The waiting period may be
defined as anywhere from 20 seconds to 1 minute. Factors such as the services that customers are
phoning about and the availability of call centre staff will have a direct bearing. You should establish the
percentage of calls answered within the waiting period in relation to all of the calls that have been
received.

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COLLECT RELEVANT AND ACCURATE CONTACT-WAIT TIME,

ABANDONMENT RATE AND CUSTOMER SURVEY DATA
Collecting contact-wait time data

A system of call monitoring will need to be implemented in order to establish relevant contact-wait time
data. Such a system might monitor the amounts of time that customers have to spend on hold during
specific periods of the day. The amounts of time that it takes to transfer calls may also be taken into
account. Such data may be displayed on a digital dashboard, so that staff members can gain an idea of
the fluctuations in service level.
Collecting abandonment rate data

As has been mentioned, abandoned calls are those which involve the caller hanging up before they are
transferred and begin speaking with a customer service representative. The rate may be determined by
dividing the total number of abandoned calls by the total number of calls to the service desk. It may be
established through the use of an automatic call distributor (ACD), which is used for the purpose of
managing inbound calls and handling.
A low abandonment rate is generally seen as being desirable. However, it should be emphasised that a
low abandonment rate doesn’t necessarily equate to low levels of customer satisfaction. Customers
may remain loyal and relatively high levels of satisfaction may be maintained despite the abandonment
of calls. Customers may be short of time and make the decision to phone back later. Alternatively, they
may choose to access your business website and other platforms in order to deal with issues and
enquiries.
Collecting customer survey data

Customer survey data may be collected for the purposes of gauging the responses of customers to
contact-wait times and decisions to abandon calls. The surveys may be carried out during the course of
customer service calls. There may also be the option of sending surveys by mail or asking the customers
to complete them on the business website. An increasing number of organisations are sending out
questions via text to establish the levels of customer satisfaction.
The option of conducting surveys by telephone is clearly the most effective and efficient for call centres.
However, the customers might be frustrated and rush their answers to survey questions posed over the
phone. They may also be reluctant to share personal information due to concerns about identity theft
and other issues.

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The following table gives an overview of the survey questions that might be posed:
1 2 3 4 5
Very Un- Un- Neutral Satisfied Very
satisfied satisfied Satisfied
Q1) Were you

happy with
the way your
call was
answered?
Q2) Were you

happy with
the speed
with which
your call was
answered?
Q3) Was the

agent able to
answer your
query?
Q4) Was the

information
accurate?
Q5) How
would you
rate the call
overall?

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DETERMINE HISTORICAL CONTACT-WAIT AND ABANDON-TIME

CHARACTERISTICS
Determining historical contact-wait and abandon time characteristics

The process of determining historical contact-wait characteristics may involve referencing call centre
reports. It is likely that you will identify differences in the amounts of time that customers have been
kept on hold in accordance with the shift patterns of different employees. There may differences in
terms the level of efficiency in dealing with customer issues. You may also consider the correlation
between waiting times and levels of call abandonment.
You should consider historical data in relation to the times that customers have had to wait for
connection with call centre personnel. There are likely to be differences in terms of time spent waiting
for telephone discussions regarding particular services. Differences in terms of waiting periods may also
be associated with the staffing levels and relevant skills/knowledge of employees who have been
expected to take calls.
You may also draw upon information in relation to the customer’s responses to specific waiting periods.
This might involve reference to caller responses that have been established using call centre monitoring
software. There may be differences in terms of the amounts of time that customers have proved willing
to hold on before completely abandoning their calls. You may also identify differences in terms of the
responses to dealing with particular call centre personnel.
Call centre reports may detail the calls that were abandoned after specific amounts of time. As an
example, 0.5% of total calls may have been abandoned after 20 seconds. There are also likely to be
differences in the abandonment rates specific to different times of the day and week. There might be a
high proportion of calls abandoned by customers who have been transferred for discussions regarding
specific services.
Specific abandon-time characteristics may include:

 The percentage of calls abandoned after specific
amounts of time
 The percentage/number of calls abandoned prior

to completion of the entrance message
 The percentage/number of calls abandoned after

to completion of the entrance message
 The longest amounts of time taken before

customers have abandoned their calls.
The following types of technology may be used in the determination of historical

contact wait and abandon-time characteristics:

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 ACD systems – these types of systems are integrated into the vast majority of
call centres and are used for the purpose of routing customer calls to holding queues.
The ACD system is also likely to have functionality in relation to call screening, routing,
queuing, and answering. The ACD may be monitored and relevant information
transferred to an MIS reporting system
 Call centre management system – this type of system may be integrated for the
control of call and customer information. It may be used for the collection and
organisation of data including call waiting time and abandonment rate.

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TOPIC 2 - FORMULATE A SERVICE

LEVEL POLICY
DESCRIBE THE DIFFERENCE AND IMPACTS OF PROVIDING THE

REQUIRED SERVICE LEVEL AGAINST THE INDUSTRY STANDARD
Service level and industry standard

The most widely recognised industry standard is 80/20. This equates to 80% of calls being answered
within a 20-second time-span. However, it has been suggested that there is no industry standard which
may be compared against the required service level. This may be down to differences in terms of the
call volume and service level in relation to aspects such as product stability, marketing, and customer
profiles.
There are numerous aspects that should be taken into consideration in relation to your organisational
service level and the industry standard. The capacity of your organisation will have a direct bearing on
the prospects of taking calls and keeping abandonment rates to a minimum. This relates to the
availability of staff members within your organisation and the time that they are able to dedicate to
customer calls. The skills and knowledge of such staff members should also be taken into account.
Organisational objectives and financial resources should be considered in relation to the service level. It
will be necessary to allocate significant amounts of money in order to achieve a position of leadership
when it comes to the provision of customer service. However, organisations without such financial
capacity may have to set levels according to call centre capabilities. It will be particularly important to
compare service levels with those delivered by the competition and make arrangements accordingly.
You should aim to achieve service levels which are better than those achieved by the competition.
Best practice service level

The best practice service level relates to the quality of customer service and call handling by the leading
organisations within your industry. There are numerous examples of best practices that may be
compared with the processes undertaken by your organisation. One example may relate to the
percentage of calls which are answered during a defined time frame. There may be an expectation for a
set proportion of calls to be answered within a limited period. There might also be an expectation
regarding the number of calls that may reasonably be expected to be abandoned.
Regulated service level requirement

These types of requirements will be specified by the regulators within your particular industry. They will
relate to the different aspects of call centre service and the targets that should be achieved. There may
be requirements regarding the maximum amounts of time that customers may be kept on hold or that
it may take to resolve their issues. Your organisation may also set service levels which all employees are
expected to fulfil.

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CONSULT WITH RELEVANT STAKEHOLDERS ON CONTACT-WAIT

CHARACTERISTICS AND SERVICE LEVELS
Consulting with relevant stakeholders

It is expected that you will engage in formal consultation with stakeholders regarding contact-wait
characteristics and service levels. The stakeholders may be engaged in consultation in various ways
including email, telephone discussions, and arranged meetings. They should be actively encouraged to
review the service level policy and make suggestions regarding possible amendments and
improvements. It is expected that you will share relevant information and ensure that the
communication process is open/inclusive.
Additional methods of consultation may include:

 Face to face meetings
 Video conferencing
 Intranet
 Notice board
 Organisation newsletters
 Letters.
The consultation of stakeholders should be conducted in accordance with relevant organisational

policies and procedures. All of the relevant stakeholders should be involved and you should make it
clear that their contributions will be taken into serious consideration. It will be necessary to initiate and
take the lead where appropriate in consultation processes.
Stakeholders may include:
 Finance
 Human resources
 Market research
 Workplace health and safety
 Sales and marketing
 Senior customer service and executive staff.

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You should consider the interests and roles of stakeholders outlined in this table:
Source – ‘Benchmarking and definitions within contact centres’ Scottish government:
http://www.gov.scot/Publications/2003/11/18554/29360

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IDENTIFY BUSINESS NEEDS RELATED TO SERVICE LEVELS
Identifying business needs

Abandonment rate
There are a variety of business needs associated with the achievement of established service levels
within the call centre. First of all, you are advised to consider appropriate methods for the minimisation
of abandonment rates. This may be achieved by minimising or completely eliminating the need for
customers to wait for their calls to be answered. The best way of doing this would be to ensure that
there are enough call centre staff on hand to answer the customer calls. This may mean employing
additional staff members or rearranging working patterns in accordance with particularly busy periods.
Alternatively, it might be possible to minimise the average call handling time.
Another option that may be considered in relation to the minimisation of abandonment rates would be
to change the automated messages that customers are played and which prompt them to hold. You
may consider the option of playing music instead of such automated messages. If you’re unsure of
which music to play, then you should have a read of comments made on social media platforms such as
Twitter. You are likely to find comments regarding the customer’s thoughts on the music that is played.
Changes may then be made accordingly.
You should also consider the option of using call-back technology, providing customers with the option
of being called back rather than having to wait in queue. The use of such technology may have the
result of minimising customer dissatisfaction and reducing the cost-per call.

It would also be worth considering means of reducing the average speed of answer
in accordance with your service level objectives. The first step that should be
taken for achievement of this aim should be to improve the call forecasting.
This will mean that you are able to arrange staff scheduling and make
employment decisions based upon predictions of call volume. It might
also be necessary to arrange training for the call centre staff in order to
ensure that they are able to fulfil customer requirements in the most
efficient manner. This should have the effect of reducing the amount of
time required to deal with each customer and free up the staff members to
handle additional calls.
You should also be aware that the use of call routing technology may have the effect of minimising the
average speed of answer. This will mean that customers are routed, or transferred, to staff members
who have the most relevant knowledge and skills in order to address their enquiries and issues. It would
also be worth giving customers who are waiting in queue the option to be called back at appropriate
times. Similar steps may be taken in order to increase the percentage of calls answered within a defined
waiting period.
Contact escalation

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Ideally, it will be possible to minimise the number of customer calls that are escalated to management
and other senior staff members. This may be achieved by hiring or training staff members so that they
have the relevant skills and knowledge in order to successfully handle customer calls. Staff members
should have a good knowledge of common questions and issues that are raised by customers. They
should have a good idea of the steps that should be taken for successful resolution. There may be the
option of integrating technology which will display information regarding the customers who make calls.
This information may be referred to as a means of ensuring that customer enquiries and issues can be
dealt with effectively.
It should be possible to establish the level of success in addressing customer questions and issues
through the use of call monitoring technology. Calls should be reviewed and the staff should be
prompted to make relevant improvements for the assurance of customer satisfaction.
These requirements should be met in relation to call escalation:

 Seamlessness of the experience, i.e. allowing customers to stay
within their preferred channel
 Automated, proactive escalation of certain situations

based on customer activity
 Context for agents handling escalations, ensuring

customers don't need to repeat their issue
 Optimization of escalation channels
 Ability to route escalations to the agent or department

best equipped to handle them.
Source – ‘How to improve escalation (and delight your customers)’ Astute Solutions:
https://www.astutesolutions.com/blog/articles/how-to-improve-escalation-and-delight-your-customers
Considering business and financial planning principles

It will be important for you to have a good understanding of business and financial planning principles
for the achievement of service level targets. It is expected that you will engage in ongoing planning in
accordance with the changes that happen within your organisation. It will also be necessary to
incorporate a range of short and long term goals which can realistically be achieved, considering the
availability of resources within your call centre. The long term objectives will be associated with
organisational vision and you will need to plan steps for their achievement. Risks and challenges will
need to be taken account. You should outline the methods that can be implemented in order to
overcome them within your business plans.
It will also be necessary to engage in the process of financial planning for the achievement of goals and
objectives set out in your business plans. The financial plan should include details of the activities,
resources, and types of equipment that might have to be purchased and integrated within the call
centre. Information regarding the income that may result from call centre activities should also be
included in financial plans.

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REVIEW ORGANISATION’S CONTACT-WAIT CHARACTERISTICS IN

RELATION TO THE INDUSTRY, THE MARKET AND COMPETITION
Reviewing the organisation’s contact wait characteristics

It will be very important to review the organisation’s contact wait characteristics and perform
comparisons with those of the industry, market, and competition.
Abandonment rates
As has been mentioned, the abandonment rate relates to the number of calls that are abandoned while
customers are waiting to speak with relevant call centre staff. This is generally expressed as a
percentage of the total number of calls that are received. The abandonment rate will ideally be below
seven per cent. If it is any higher than this the levels of customer satisfaction will be adversely affected.
There isn’t a generally recognised industry standard when it comes to call abandonment rates. You
should understand that there a wide variety of factors which may play a part in motivating customers to
hold or abandon calls. Such factors include the perceived importance of issues that the customers want
to address, the possibility of calling other service providers, and the service level in relation to the
competition. The nature of calls made and organisational characteristics will also have a direct bearing
on the abandonment rate. It will be important to set achievable targets in relation to abandonment
rates and ensure that they are reviewed on a regular basis. Such rates may be set in relation to those
achieved by other organisations within your market.

Waiting times may relate to the amounts of time that customers have to wait before speaking with
customer service representatives or they have to spend in a queue before speaking with relevant
personnel. You should account for the amounts of time that customers have to wait to speak with
specialist staff members who are able to help in the resolution of specific issues. Organisations should
aim to minimise waiting times to the greatest possible extent. This should result in reduced levels of
customer dissatisfaction. It is likely that the customers will have to pay for phone calls to your
organisation. They are also likely to think that time spent waiting to speak with relevant customer
service representatives could be better spent engaging in other activities.
There is some variation in the waiting times deemed acceptable in different industries. However, it is
expected that you will aim for answering somewhere in the region of 80% of calls answered within 20
seconds to 90% of calls answered within 10 seconds. You should aim to reduce the waiting times so that
they are below those of the competition in order to achieve relatively high levels of customer
satisfaction.

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Related indicators of caller responses to waiting periods

There will be some variation in the ways that customers respond to waiting times in different industries.
Customers in general want and expect their calls to be answered and associated issues to be resolved
quite quickly. However, it is estimated that 60% of customer calls involve being placed on hold. The
ways in which they respond will depend on a variety of factors, including the attitude of customer
service representatives and personal characteristics. A recent survey conducted by Valero revealed that
60% of people would abandon their calls if they were kept on hold for one minute. 34% of those people
said that they wouldn’t call back after such an unsatisfactory experience. This is a major issue, as
customers are often placed on hold for 90 seconds; with longer waiting times affecting some industries.
It is expected that you will consider the call waiting times achieved by the competition and set realistic
targets for staff members within your organisation.
CCA Global Standard

It will be important for your call centre to operate in accordance with standards such as the Customer
Contact Association (CCA) Global Standard. The CCA is an internationally recognised industry council,
which is focussed on the measurement of customer experience and satisfaction.
Modules which organisations should act in accordance with for satisfaction of the
CCA Global Standard include:
 Module 1 – Customer focus
 Module 2 – Contact centre performance and operational effectiveness
 Module 3 – Employee focus: recruitment, selection & retention strategies
 Module 4 – Learning, development and employee performance management
 Module 5 – Legislation, regulation, and policies affecting your operation
 Module 6 – Third party and managed relationships
 Module 7 – Security and fraud prevention
 Module 8 – Implementing and managing contact centre technology.
Source - ‘Customer service excellence in the public sector’ Customer contact

association:
http://digitaltransform.org.uk/wp-content/uploads/2012/10/PC-11-Oct-12-PS-
Standards.pdf
ISO 18295-1:2017
This is another internationally recognised standard which applies to the work of customer contact
centres. You can view information regarding this standard at
https://www.iso.org/obp/ui/#iso:std:iso:18295:-1:ed-1:v1:en.

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FORMULATE A COMPREHENSIVE SET OF APPROPRIATE CONTACT-

WAIT CHARACTERISTICS
Formulating contact-wait characteristics

Abandonment rate
There are a number of ways in which the call abandonment rate may be defined. It may relate to the
percentage of customers who select an option for call routing to a particular service but hang up before
being connected. Alternatively, it may be associated with the percentage of callers who select options
from an automated menu but hang up before being connected to the agent queue.
Reasons for call abandonment other than being placed in a queue may include:
 The caller is interrupted by something more urgent
 The delay announcement answered the caller’s question
 A predicted wait announcement indicated the wait is longer than the caller
wants to experience at that time
 An alternative offered in the delay announcement was chosen (e.g., website)
 A “virtual queue” offering allows the caller to key in a telephone number for a
call-back but the call remains in queue even though the caller has hung up.
Source – ‘Understanding abandonment rate goals and metrics’ Society of

Workforce Planning Professionals:
http://www.swpp.org/summer-2014-on-target/understanding-abandonment-
rate-goals-and-metrics/
There are a wide variety of factors which may have a bearing on the call
abandonment rate. The personality of the caller will have a direct impact.
However, other factors that should be taken into consideration include the
perceived importance of the call, the variety of other options which may be
selected for the purpose of resolving the caller’s enquiry or issue, and the time of
day at which calls are being made.

The waiting times are those periods that the customers have to wait for connection to appropriate call
centre personnel. There is likely to be some variation depending upon the services that the customers
are phoning about and the number of customers who call at any one time. The speed and efficiency
with which call centre personnel handle calls will also have a direct bearing. Ideally, the customers will
have to wait for relatively small amounts of time. However, you should be aware that there may not be
a great deal of difference in the satisfaction of customers who have to wait for different periods. You

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should consider the costs associated with the employment/training of staff in relation to variations in
customer satisfaction.
Caller responses to waiting times

It would also be worth analysing the caller’s responses to having to wait for different periods of time.
There are likely to be some customers who become so frustrated that they decide to completely
abandon their calls. Others might make complaints to the call centre personnel during the course of
their calls. You should categorise such responses and consider the ways that they can be successfully
addressed. The aim should be to minimise the levels of customer dissatisfaction. It might be deemed
necessary to integrate technology or train staff members to ensure that calls can be handled with the
greatest efficiency.

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DEFINE AND DOCUMENT AN APPROPRIATE SERVICE LEVEL

POLICY OR TARGET
Defining and documenting

Service level policies
Service level policies should outline the provision of services which the organisation recognises and will
deliver to customers. Such policies should include objectives which the call centre staff will be expected
to meet. However, other elements should be incorporated as well. They should provide an overview of
how calls should be responded to and methods of dealing with customer issues that will be
implemented. The responsibilities of call centre staff should be specified. Information regarding
customer guarantees should also be included. Service level policies should be defined and documented
in accordance with organisational expectations.
These elements may also be included within service level policies:

 Service level and response time objectives
 Hours of operation
 Objectives relating to abandonment rates
 Quality procedures and standards
 Reporting requirements and timelines
 Forecasting and planning methods.
Source – ‘Service level notes: a primer on service level agreements’ ICMI
http://www.icmi.com/Resources/Metrics/2012/11/A-Primer-on-Service-Level-Agreements
Service level targets

Service level targets or objectives relate to the standards that should be achieved by the call centre staff
in their interaction with customers. It is quite common for the 80/20 rule to be specified as a contact
centre objective. This equates to 80% of customer calls being answered in 20 seconds or less. However,
the 80/20 rule isn’t considered an industry standard.
Call centre service level targets may relate specifically to:

 Abandonment rate
 Average speed of answer
 Levels of customer satisfaction
 Minimisation of contact escalation
 Answering specific call percentages within defined waiting periods.

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According to Strum and Morris the service level targets should be:
 Attainable
 Repeatable
 Measurable
 Understandable
 Meaningful
 Controllable
 Affordable
 Mutually acceptable.
There are a wide variety of service level targets that may be defined and documented by your
organisation. An example might specify the requirement to answer 90% of customer calls within a 30-
second time-span. There might also be aims in relation to responding to customer enquiries and
resolving any issues that are raised.

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DEVELOP COMPREHENSIVE CONTINGENCY PLANS FOR LOSS OF

FACILITIES OR TECHNOLOGY
Developing contingency plans

It will be necessary to develop comprehensive contingency plans, detailing the steps and measures that
should be taken in the event that facilities or technology are lost. These plans should outline the means
of minimising risks associated with such events.
The primary purpose of contingency planning will be to ensure that call centre operations can continue
with minimal disruption in the event that facilities or technology are lost. Such plans will ideally be
written in plain and simple terms with details of the staff responsibilities that should be fulfilled. It will
be necessary to identify the events which should result in the implementation of the contingency plan.
There should also be some means of measuring the success in returning to normal business operations.
Elements that should be incorporated during the contingency planning process

include:
 Prevention
 Preparedness
 Response
 Recovery.
The first step that should be taken in the development of contingency plans will be to identify the
various events which could cause the loss of facilities or technology. There are likely to be a wide range
of events and you will need to prioritise action based upon their likelihood. Comprehensive plans should
be developed including details of highly probable events which are associated with high levels of risk.
It would be advisable to use risk impact/probability charts as part of the contingency planning process.
These charts should aid in the analysis of identified risks. The likelihood of negative events should be
expressed as a percentage which may range from 1 to 99. You should also account for the relative
impact of such events.

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Here is an example of a risk impact/probability chart:
Source – ‘Risk Impact/Probability Chart’ Mindtools:
https://www.mindtools.com/pages/article/newPPM_78.htm
It is expected that you will rank the identified risks in terms of their probability and potential impact on
call centre operations. Highly probable events associated with extreme levels of risk should be
prioritised and comprehensive plans should be written up accordingly. Events which are considered
quite unlikely and associated with low levels of risk should not be focussed upon to the same level.
However, you might draw up general processes detailing the steps that should be taken for risk
minimisation.
The contingency planning process should continue with the writing up of scenarios associated with the
greatest risks. You should include details of how the negative events might occur and how the staff
members would be expected to respond. It will also be necessary to include details of actions that
should be taken in the period directly after negative events and continued responsibilities that should
be fulfilled. It would be advisable to draw up time frames which can be referenced as and when
necessary. Measures should also be specified to limit the risk of having to implement the contingency
plans.
Remember that these stages should be followed as part of the contingency planning
process:
 Identification of possible causes and likely effect of an adverse event;
 Assessment of exposure taking into account the level of risk;

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 Investigation of methods to reduce or avoid losses;
 Control by selection of appropriate strategies such as avoidance, prevention

and reduction;
 Establishment and review of on-going procedures and management

accountability.
Source – ‘Central administration contingency planning guide’ University of Queensland

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IDENTIFY AND DOCUMENT CORRESPONDING RESOURCE

REQUIREMENTS
Identifying and documenting resource requirements

It is expected that you will identify and document resource requirements in accordance with the service
level policy. Such resources will need to be arranged for the achievement of associated targets.
Examples include software which can be used to monitor inbound calls and staff members with relevant
skills and knowledge.
The following types of resources may be required:

 Human resources (employees with relevant skills and
knowledge)
 Physical resources (information and communications

technology)
 Processes (tasks that should be completed and associated

workflows)
 Intangibles (time and relevant skill levels).
There are a variety of aspects that should be taken into consideration with regards to the identification
of resources. Examples include the type and nature of the business, skill levels of employees, and scope
of operations. You should account for such aspects and ensure that the resource requirements are
documented in accordance with organisational expectations.
Workforce structure and organisation

It is expected that you will take the workforce structure and organisation into account in relation to
scheduling and the achievement of desirable service levels. There are likely to be some part time
employees who work for limited periods of time and in shifts. In Australia, it is expected that part-time
workers will be employed for up to 32 hours per week.
It is likely that there will be casual employees who aren’t guaranteed hours of work. Such employees are
likely to work irregular hours. Your organisation may also employ independent contractors who will be
expected to perform specific call centre duties over defined amounts of time. Finally, there may be shift
workers who are employed for specific periods. It is common for such employees to work during the
evenings and early mornings. You should take them into consideration when scheduling work for the
achievement of desirable service levels.

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COMMUNICATE AND JUSTIFY SERVICE LEVEL POLICY TO SENIOR

MANAGEMENT AND STAKEHOLDERS
Communicating and justifying service level policy

Once you have established the service level policy, it will be necessary to communicate it to senior
management and stakeholders. This may involve the provision of written information or verbal
engagement. Whichever forms of communication are selected it will be necessary to tailor the
information according to the purpose, demonstrating a sophisticated understanding of the needs,
interests, issues, and priorities of stakeholder and senior management audiences.
The service level policy should be either written up or expressed verbally, using clear and easily
understandable terms. You may include information regarding the responsibilities which call centre staff
are expected to fulfil and customer requirements that the staff members should meet. Specific details
regarding the appropriate use of technology and time requirements in relation to customer calls should
be specified. There should be some justification of the terms set out in the service level policy to ensure
that senior management and stakeholders are convinced.
There are a variety of requirements that should be met if you are to engage in oral communication with
senior management and stakeholders. It is expected that you will present relevant information using
appropriate language and structure. You should think carefully about the information that needs to be
shared during organised meetings and general discussions. If you are properly prepared that it will be
possible to provide relevant justification regarding the inclusion of elements in the service level policy.
You should fulfil the following communication requirements:

 Clearly state what it is you are asking for
 Try to communicate in as succinct a manner as

possible, while including all of the information
required
 Ask for further information/feedback if you have not

received enough to move forward with your project
 Use formal (e.g. a meeting) and informal (e.g.

talking to someone at their desk) communication
channels
 Listen and act on any information/feedback you are given.

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You should be aware that these problems may be encountered during the
communication process:
 Overload – you may be given too much information and therefore not be able
to process it. In this instance, you need to give feedback to that person and explain that
you need to hear the information again
 Lack of clarity – the message may not be clear, it may be ambiguous and be
seen to mean different things to different people
 Distance – if you are communicating with colleagues in different departments

or at different sites, you might not know them and their personalities and how they
may react to different situations as you would if you worked in close proximity with
them. It would also be difficult to have face-to-face communication, and this can cut
down on understanding
 Immediacy – telephone conversations may interrupt other business and you

may not get your colleague’s full attention, or they may lead to non-verbal responses
such as showing irritation that they have been disturbed.
Source – ‘Working relationships with colleagues and stakeholders’ Contentextra:
http://www.contentextra.com/publicrelations/files/topicguides/PR_TopicGuide_13_2.pdf
Organisational structure
It will be important for you to have a good understanding of the organisational structure and the
relative positions of senior management and stakeholders within this structure. You may be able to
refer to an organisational chart, which outlines the positions of such personnel in relation to each other.
The nature of your organisational structure will be dependent on the size of your business, related
objectives, and external factors.
Your organisational structure may be:

 Hierarchical – this type of structure relates to the positioning of employees
based upon different levels of authority. There should be clear definitions of roles
within such a structure. However, care must be taken to ensure that communications
reach all personnel along respective levels within the organisational structure
 Flat – this type of structure consists of fewer layers than the

hierarchical equivalent. There will be greater numbers of personnel at
each level, with shared authority and decision-making responsibility.
Communication may be relatively easy in comparison with that
within a hierarchical structure
 Matrix – organisations with this type of structure may draw

upon the skills and knowledge of employees from distinct business
areas who form teams.

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Questioning and listening

Questioning and active listening techniques should be used in order to clarify or confirm understanding
of any information that is discussed with senior management and stakeholders. Closed questions may
be posed in order to prompt definite yes or no answers. However, open questions might be used to
encourage the provision of expanded information in feedback to proposals regarding service level
policies. You may pose questions in order to confirm understanding of any points that are made or
clarify the information that is shared by senior management and stakeholders.
Active listening will involve paying close attention and seriously considering the information that is
shared during discussions. This should involve a range of non-verbal techniques including the
maintenance of eye contact and use of open body language. The speakers should feel comfortable and
at ease in your presence. They should be aware that you are taking an active interest and sense that
they have your respect. You may also use verbal techniques such as positive reinforcement and the use
of questions to encourage the provision of information.

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TOPIC 3 - MONITOR AND MAINTAIN

SERVICE LEVELS
IDENTIFY MEASUREMENT CAPABILITIES OF EXISTING

TECHNOLOGY
Identifying measurement capabilities

There is a wide range of technology that may be integrated for the purpose of monitoring the provision
of call centre service and measuring the level of success in meeting service level targets. It will be
important for you to have a good understanding of the measurement capabilities associated with such
technology. There are a number of measurements that may be referred to, including the level of call
abandonment, the amounts of time that customers are kept on hold, and the general levels of
satisfaction with the provision of customer service.
The following types of technology are likely to be integrated in your call centre:
 Automatic call distributors/diallers – these systems may be integrated for the
purpose of processing calls and other types of telephone communication. They should
ensure the successful management of incoming calls and routing to appropriate
personnel
 CRM application – these types of applications can be used for the purpose of
recording details of customer issues and requests. Information may be produced in
relation to the ways in which such issues and requests have been dealt with. This
information can then be reviewed to establish the need for change within the call
centre
 Call recording systems – these systems are used to record phone

discussions with customers. The recorded discussions can then be
reviewed in order to establish the need for changes in relation to
the ways in which customer issues and enquiries are dealt with.
Advanced systems may record interactions that have taken place
via text and other forms of telephone communication
 Quality management applications – these types of

applications can be integrated for the purpose of measuring the
provision of call centre service in accordance with policies and
procedures.
Call centre metrics may focus upon the following aspects:

 Speech analysis

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o phonetic indexing
o transcription
o multi-speaker speech separation (Role recognition)
o emotion detection
o talk-over analysis
 Call flow
o call duration
o call time
o number of call transfers
o number of call holds
o hold duration.
Source – ‘Call center monitoring’ Voip-info.org
https://www.voip-info.org/wiki/view/Call+Center+Monitoring

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SELECT DIAGNOSTIC MEASURES TO MONITOR SERVICE LEVELS
Selecting diagnostic measures

There are a variety of diagnostic measures that can be referred to for the purpose of effectively
monitoring service levels. Such measures should be implemented in accordance with relevant service
level objectives.
Service levels
As previously mentioned, the service level equates to the total percentage of calls that have been
answered within a set amount of time (normally measured in seconds). It is common to monitor and
measure the service levels in relation to consecutive time intervals (every 30 minutes for example). The
service level is usually considered in relation to a particular queue or call type. It should be measured in
relation to business goals and financial factors.
You will be expected to decide on an appropriate amount of time for measuring the service level. It will
also be necessary to decide an appropriate time for the beginning of this interval.
Appropriate times for starting the interval may include:

 When the caller selects their final option in the IVR
 When the call enters the ACD for a specific agent or

department
 After the waiting queue greeting has ended
 After a predetermined time interval (i.e. 5 seconds after the

caller enters the queue)
 As soon as the phone rings.
Source: How To Calculate Call Center Service Level | Talkdesk, https://www.talkdesk.com/blog/how-to-

calculate-call-center-service-level (accessed August 30, 2017)
Abandonment rates
One common method of monitoring service levels involves the classification of abandoned calls. Such
calls may be classified in terms of missed opportunities. Opportunities will be considered to have been
missed if the calls are abandoned before desirable outcomes are reached for the customer and the
organisation.
You may also consider the ‘counted calls’ in relation to those customers who opt to abandon their calls
before the service level objective is reached. Such calls may be considered as having been ‘offered’ and
have a positive bearing on the service level calculation. The calls may have been abandoned because the
customers were short of time or had poor service. These customers will be quite likely to make follow-
up calls, so there won’t be any negative impact upon the service level.

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Defining service level formula

After making decisions regarding the classification of abandoned calls, it will be necessary to come up
with relevant service level formula.
Service level formulas may include:

 Service level = (total calls answered + total calls
abandoned) – (calls answered + calls abandoned after
threshold) divided by total calls answered + total calls
abandoned) multiplied by 100
 Service level = calls answered within the

threshold + calls abandoned within the threshold
divided by total calls answered + total calls
abandoned and then multiplied by 100
 Service level = total calls answered within the

threshold divided by total calls answered + total calls
abandoned and then multiplied by 100.
 Service level = total calls answered within threshold divided by total calls
answered + total calls abandoned after threshold and then multiplied by 100
 Service level = total calls answered within threshold + total calls abandoned
before the threshold divided by total calls answered + total calls abandoned and then
multiplied by 100.
Quality monitoring scores

Quality monitoring scores may also be referred to as part of the process of establishing service levels.
Such scores may be recorded in the form of call monitoring reports, paperwork, online interactions, and
email. They may be expressed in numerical format or as percentages. The reports may relate to the
performance of individual team members, or the general performance of the call centre team.

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COLLECT AND ANALYSE SERVICE LEVEL DATA
Collecting service level data

Abandonment rate
As has been mentioned previously the abandoned calls are those where the customers hang up prior to
being connected with customer service representatives. You can measure the abandonment rate by
dividing the total number of abandoned calls by all those calls made by customers. It will be possible to
establish the abandonment rate if your call centre has an automatic call distributor (ACD).
It is expected that you will analyse the abandonment rate in consideration of targets
established within service level agreements. If the abandonment rate is any higher
than seven or eight per cent, then the levels of customer satisfaction are likely to
be relatively low. However, you should consider factors such as how long the
customers are holding on before abandoning their calls, responses to estimated wait
times, and transfers. It is possible that the customers will have abandoned their
initial call with the intention of making an enquiry or resolving an issue via the
business website. The customers might also abandon their initial calls with
the intention of calling back later in the day/week. It would be worth
analysing the repeat call rates.

It has also been mentioned that the average speed of answer relates to the amount of time that it takes
for customer representatives to take calls once they have been routed. The expected speeds should be
outlined in service level agreements. The global average speed of answer is 28 seconds. However, your
call centre staff might be expected to answer 80% of calls within 20 seconds.
The average speed of answer is typically considered in relation to the levels of customer satisfaction. If it
is relatively low, then perceptions of service are likely to be quite good. However, you should be aware
that customer satisfaction levels won’t always correspond with the average speed of answer. It will be
important for you to analyse calls that are being answered within particularly short or lengthy periods of
time. The lengthy waiting times might be the result of a high number of calls and/or inadequate staffing
levels. The callers who have to wait for such long periods might be particularly dissatisfied with the level
of service. You should also consider such factors in relation to the percentage of calls answered within a
defined waiting period.
Contact escalation
There are a various ways of establishing data related to calls which are escalated to management/senior
staff members. It might be possible to analyse call logs, recordings, and survey responses. There are a
number of factors that may be taken into consideration including the reasons for transferring the calls,
the personnel who the calls were transferred to, and the effectiveness in dealing with customer issues.
You might identify common reasons for call escalation, which could be addressed through appropriate
training for the call centre staff. It might be necessary to update knowledge of products and/or services
so that the team members are able to provide technical support.

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IDENTIFY UNDER-PERFORMING SERVICE LEVEL PERIODS
Identifying under-performing service level periods

It will be important for you to identify and carry out assessments of any under-performing service level
periods. There are a number of possible explanations for such under-performance. Such factors will
have to be identified and successfully addressed in order to achieve desirable service levels.
As previously mentioned, service level periods may include:

 Calculating service levels at varying periods of time, such as:
o half hourly
o hourly
o daily
o weekly
o monthly
o yearly.
Reasons for under-performing service level periods may include:

 Low schedule adherence – this is associated with differences in staffing levels in
comparison with established schedules. Such differences may be a result of workers
not turning up on time or taking periods away from the call centre service desk when
they had been expected to be working
 Employee absence – it is possible that staff members will be absent when they
had been expected to be working for reasons of illness or personal circumstances. If
this is the case, then there won’t be as many staff members able to take calls and there
will be an inevitable decrease in the service level
 Staff being unavailable – there might be issues associated with the availability of
staff members to take calls even if there are sufficient personnel within the call centre.
This might be because the staff members take breaks or work on tasks away from the
phones
 Calls taking longer than expected – there are a

wide range of reasons why calls may take longer
than expected. It may be that the customers
make demands or enquiries which haven’t been
planned for. There may be technical issues in the

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call centre and new staff members may require assistance in order to successfully
address customer enquiries
 Inaccurate call forecasting- there are a number of factors that should be taken
into account with regards to the forecasting of calls. Such factors may include the call
history, company promotions, and periods throughout the week. Failure to accurately
forecast the calls may result in issues associated with staff scheduling
 Unplanned call fluctuations – there may be fluctuations in customer calls which

haven’t necessarily been expected or planned for. This may cause issues if staff
members aren’t available or changes aren’t made to staff schedules.
Source - 10 causes of low service level in the call center:
https://www.talkdesk.com/blog/10-causes-of-low-service-level-in-the-call-center

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ANALYSE SERVICE LEVEL INPUTS AND RECOMMEND

CORRECTIONS TO MAINTAIN SERVICE LEVELS
Analysing service level inputs and recommending corrections

It is expected that you will analyse the service level inputs over defined periods within your call centre.
This should involve the review of any data that has been collected as a result of call monitoring. Such
data may be displayed on digital dashboards and printed for reference. You should analyse the ways in
which the service level has fluctuated over time and identify necessary corrections.
It is quite likely that you will identify the need for corrections in order to ensure the
maintenance of desirable service levels. One option would be to integrate
workforce management software, which will allow you to maintain control of
employee scheduling and ensuring that sufficient numbers of suitably skilled
and knowledgeable employees will be available to take customer calls when
required. It will be important for the staff members to adhere to
designated schedules and not take longer away from the service desk than
expected. It will also be necessary to engage in the forecasting of calls,
ensuring that the call centre is staffed in accordance with expected peaks
and dips in the number of customer calls.
The following factors should be taken into account with regards to call forecasting:
 Upcoming marketing campaigns and product promotions
 Repeated events (i.e. dates customers are charged, billing due dates, etc.)
 Product launches, glitches, bugs, etc.
 Market fluctuations and industry trends, events and activities
 Weather patterns, natural disasters, power outages, major events (both local
and global), etc.
 Holidays, days of the week, time of the day.
Consider the following issues in relation to employee scheduling:

 Historical call volume trends
 Target service level
 The number of agents available (i.e. accounting for agents arriving late,
absenteeism, sick days, vacation days, etc.)
 Upcoming marketing campaigns, product promotions and product launches
 Time agents spend on calls and after call work

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 Time spent providing support on different channels (i.e. chat, email, phone,
social media, etc.)
 Breaks, training sessions, and meetings.
Source – How to enhance service level in the call center:
https://www.talkdesk.com/blog/how-to-enhance-service-level-in-the-call-center/
It is expected that you will focus on achieving high levels of customer satisfaction. If this aim can be
achieved, then fewer customers will make follow-up calls in order to complain and there will be less
time spent engaging in phone calls and dealing with customer issues. Speech analytics software may be
used in order to identify customer stress and anger. It should be possible to establish the causes and
arrange training so that staff are able to deal effectively with such issues.
You should aim to achieve relatively high rates of first call resolution. This will mean ensuring that calls
are routed to appropriate staff members with relevant skills and/or knowledge. This should result in
relatively high levels of customer satisfaction. Another way of addressing long waiting times and low
service levels would be to provide customers with the option of agent call-backs. This may involve the
integration of software which will alert customers to the expected wait times and provide them with the
option to be called back.

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CONDUCT BENCHMARKING TO COMPARE PERFORMANCE TO

COMPETITORS AND INDUSTRY BEST PRACTICE
Conducting benchmarking
The process of benchmarking will involve drawing comparisons between the service levels achieved by
your organisation with that of the competition and industry best practice. It is likely that your
organisation will specify sources that can be referred to for relevant benchmarking information. They
may also detail the types of information that may be referred to in relation to call centre processes.
The benchmarking process should be implemented as a means of:

 Focussing on best practices
 Striving for continuous improvement
 Partnering to share information
 Establishing changes needed to maintain a competitive edge
 Adapting based on customer needs after examination of the best.
Benchmarking may include:
 Best practice across all industry sectors
 Comparison with other organisations, including:
o other internal departments
o industry sector
o other industry sectors
 Targeted competitor.
There are a number of steps that should be taken as part of the overall benchmarking process. The first
of these steps will be to establish performance gaps which need to be addressed. It will then be
necessary to establish the aims that you are hoping to achieve as a result of benchmarking and the
scope of associated activities.

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Benchmarking processes and associated benefits are outlined in this table:
Benchmarking process Benefits
Selection of benchmarks - Deciding which areas to Provides a focus for the organisation
focus on for measurement and monitoring
Develops call centre policy, performance measures
and objectives
Data collection - Gathering information from Ensures measurement systems are consistent
automated and manual systems
Requires staff to know and understand the
operation well
May require some data previously not viewed to
be collected
Analysis of information - Comparison of Helps to evaluate operations

information between teams, centres and
Identifies strengths and weaknesses
externally
Provides a breakdown and comparison of trends,
standards and expectations of call centres
Highlights external and competitor developments
Actions taken as a result of benchmarking - Enables better management of business

Improvements made and changes implemented
Brings about improvements to operating
efficiencies
Develops management practice
Aids future development planning
Improves customer satisfaction and retention
Source – ‘Benchmarking and definitions within contact centres’ Scottish government:
Aspects of call centre performance that may be benchmarked include:

 Service level – equating to the percentage of calls that are handled by call
centre agents within designated timeframes. The total number of calls that are not
answered within the designated timeframe should also be taken into account
 Call abandonment – equating to the total number of calls that are abandoned
before the IVR/VPS. This may be considered in relation to the percentage of calls that
are received. An abandonment rate of between 3% and 8% is generally expected.
However, the aim should be between 3% and 5%
 Average time taken to abandon – equating to the amount of time that

customers spend on hold before completely abandoning their calls. This figure may be
established by reviewing the ACD. Factors such as the relative level of importance and
alternative service options will have a bearing.

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APPENDICES
LEGAL REQUIREMENTS
Privacy Act
Privacy Act 1988 Privacy laws are set out in the Privacy Act 1988, which includes the National Privacy
Principles (NPPs). The NPPs govern the handling of personal information in the private sector including
its collection, use and disclosure. They aim to ensure that organisations that hold personal information
about people handle that information responsibly, as well as ensuring that people are aware of who
holds their information, why and how it is used. They also seek to ensure that consumers retain control
over how their personal information is handled.
The NPPs require that an organisation may use or disclose

personal information only for the primary purpose for
which it was collected. If an organisation proposes to use
or disclose the data for a secondary purpose, then
generally it may do so only if the secondary purpose is
related to the main reason the information was originally
collected and the individual would reasonably expect it, or
the consent of the individual consumer is obtained. The NPPs
came into effect on 21 December 2001.
There is also an independent statutory office—the Office of the Federal Privacy Commissioner which has
responsibilities under the Privacy Act. Its responsibilities include protection of individuals' personal
information.
Telecommunications Act 1997

Telecommunications Act 1997 The Telecommunications Act 1997 (the Telecommunications Act)
contains provisions dealing with the privacy of telecommunications information held by carriers,
carriage service providers and others, e.g. emergency call persons.
Part 6 of the Telecommunications Act provides for the development of industry codes and standards for
consumer protection and privacy. The Federal Privacy Commissioner must be consulted on most codes.
The codes are voluntary in the first instance, but breaches can be enforced by the ACMA.
Part 13 of the Telecommunications Act prohibits disclosure of telecommunications information unless

under specified exceptions.
Recorded telephone conversations

There are times when telephone companies need to monitor the quality of transmission on the
telecommunications network for maintenance purposes. When this monitoring is necessary, strict

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guidelines must be followed to protect customer privacy. These guidelines have been developed by, and
are available from, the Communications Alliance Ltd (formerly ACIF). If you need more information
about this monitoring, contact the telephone company providing your service.
The regulation recording of telephone conversations is complex and is the responsibility of the federal
Attorney-General's Department.
The complaint process

If you believe your privacy has been breached by a telephone company, the first step is to try to resolve
the matter with the telephone company concerned. You are entitled to have your complaint to a
telecommunications company dealt with promptly. If the matter is not resolved, you can contact the
Telecommunications Industry Ombudsman (TIO).
The TIO provides a dispute resolution scheme for residential and small business customers of telephone
companies. The scheme extends to privacy issues and has been established to provide independent,
just, informal and speedy resolution of complaints and disputes. It is an office of last resort that
provides its services free of charge to consumers who are not satisfied after initially taking up the
problem with their telephone company.
Source – ‘Privacy and your telephone service’ Australian Communications and Media Authority:
http://www.acma.gov.au/~/media/Consumer%20Interests/Fact%20sheet/pdf/Telecommunications
%20Fact%20sheet%20Privacy%20and%20Your%20Telephone%20Service.pdf

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References
These suggested references are for further reading and do not necessarily represent the contents of
this unit.
Websites
The top 10 most important call centre metrics:
https://www.callcentrehelper.com/the-top-10-most-important-contact-centre-metrics-30432.htm
Seven metrics to watch for call center success:
http://www.icmi.com/Resources/Metrics/2011/02/Seven-Metrics-to-Watch-for-Call-Center-Success
Measuring call center performance:
https://www.ifc.org/wps/wcm/connect/75ce96004cf85d4f8752c7f81ee631cc/Tool+9.4.+Measuring+Cal
l+Center+Performance.pdf?MOD=AJPERES
Best practices – contact center data collection:
https://www.slideshare.net/onstage/best-practices-call-center-data-collection
The best KPIs to use in your call centre:
https://www.callcentrehelper.com/the-best-kpis-to-use-in-your-call-centre-10598.htm
How to set your call center service level agreement:
http://brightmetrics.com/how-to-set-your-call-center-service-level-agreement/
Call center service level : definition and calculation:
http://callcenterdecoded.com/call-center-service-level/
On hold music and the psychology of waiting:
https://talkroute.com/on-hold-music-and-the-psychology-of-waiting/
Acceptable waiting time?
https://www.callcentrehelper.com/forum/acceptable-waiting-time-111203.htm
What do customers really think about long wait times?
http://www.icmi.com/Resources/Customer-Experience/2017/03/What-Do-Customers-Really-Think-
About-Long-Wait-Times
Call center service level:

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https://www.talkdesk.com/blog/call-center-service-level
Developing a performance and service-level strategy:
http://as400bks.rochester.ibm.com/tividd/td/TDS390/SH19-6818-08/en_US/HTML/DRLM9mst26.htm
Quality monitoring for call centers:
https://www.thebalance.com/quality-monitoring-2275997
6 best practices in quality monitoring for call centers:
https://www.ameyo.com/blog/6-best-practices-in-quality-monitoring-for-call-centers
Abandonment rate:
http://www.investopedia.com/terms/a/abandon-rate.asp
How to measure call abandon rate:
https://www.callcentrehelper.com/how-to-measure-call-abandon-rate-75869.htm
Why 80/20 is probably the wrong service level for your call center:
https://fonolo.com/blog/2014/06/why-8020-is-probably-the-wrong-service-level-for-your-call-center/
Metrics that matter – service level:
https://www.callcentrehelper.com/metrics-that-matter-service-level-83736.htm
Contingency planning:
https://www.mindtools.com/pages/article/newLDR_51.htm
Contingency plan:
http://whatis.techtarget.com/definition/contingency-plan
What historical metrics can reveal about your call center:
https://www.talkdesk.com/blog/what-historical-metrics-can-reveal-about-your-call-center
How to bring down your call-abandon rates:
https://www.callcentrehelper.com/how-to-bring-down-your-call-abandon-rates-50805.htm
3 Ways to Reduce Abandon Rates in the Call Center:
https://fonolo.com/blog/2013/08/3-ways-to-reduce-abandon-rates-in-the-call-center/
Benchmarking:
https://en.wikipedia.org/wiki/Benchmarking

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Understanding the purpose and use of benchmarking:
https://www.isixsigma.com/methodology/benchmarking/understanding-purpose-and-use-
benchmarking/
Top 10 call centre technology must-haves:
http://searchcrm.techtarget.com/news/1297530/Top-10-call-center-technology-must-haves
What is performance benchmarking?
http://www.managingwithmeasures.com/what-is-performance-benchmarking/
Understanding abandonment rate goals and metrics:

http://www.swpp.org/summer-2014-on-target/understanding-abandonment-rate-goals-and-metrics/
Call center performance benchmarking:
https://www.talkdesk.com/blog/call-center-performance-benchmarking
Benchmarking and definitions within contact centres:
All references accessed on and correct as of 08/08/2017, unless other otherwise stated.

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BSBCUE604 Develop and

maintain a service level

BSBCUE604 Develop and maintain a service level strategy 1

Review organisation’s contact-wait characteristics in relation to the

BSBCUE604 Develop and maintain a service level strategy 2

The complaint process......................................................................................................................49

BSBCUE604 Develop and maintain a service level strategy 3

UNIT MAPPING INFORMATION

BSBCCO604B Develop and maintain a service-level strategy – Equivalent unit

Stakeholder relations – Customer engagement

BSBCUE604 Develop and maintain a service level strategy 4

ELEMENT PERFORMANCE CRITERIA

3. Monitor and maintain 3.1 Identify measurement capabilities of existing technology

ELEMENTS AND PERFORMANCE CRITERIA

BSBCUE604 Develop and maintain a service level strategy 5

Skill Performance Description

Writing 2.2, 2.5, 2.6, 2.7,

 Prepares specific information which conveys an

Oral 2.2, 2.9  Presents information to a range of audiences using

Numeracy 1.1, 1.3, 1.4, 1.5,

Interact with 2.2, 2.9  Participates in complex stakeholder

BSBCUE604 Develop and maintain a service level strategy 6

BSBCUE604 Develop and maintain a service level strategy 7

TOPIC 1- ANALYSE HISTORICAL DATA

DISTINGUISH BETWEEN CONTACT-WAIT CHARACTERISTICS AND

Contact wait characteristics

Breakdown of waiting times

Related indicators of caller responses to waiting periods

Service level data

BSBCUE604 Develop and maintain a service level strategy 8

BSBCUE604 Develop and maintain a service level strategy 9

Average speed of answer

Contact escalation policy

Percentage of calls answered within a defined waiting period

BSBCUE604 Develop and maintain a service level strategy 10

COLLECT RELEVANT AND ACCURATE SERVICE LEVEL DATA

Collecting service level data

Service levels may be determined in relation to:

 Ignored (unavoidable and a part of doing business)

Source – ‘Service level’ TechTarget:

BSBCUE604 Develop and maintain a service level strategy 11

Using an information management system

Measuring the call abandonment rate

Calculating the average speed of answer

The average speed of answer may be calculated as follows:

Establishing the effectiveness of the contact escalation policy

BSBCUE604 Develop and maintain a service level strategy 12

Calculating the percentage of calls answered within a defined waiting period

BSBCUE604 Develop and maintain a service level strategy 13

DETERMINE HISTORICAL SERVICE LEVELS FOR SERVICE LEVEL

Determining historical service levels

Service level periods may include:

BSBCUE604 Develop and maintain a service level strategy 14

Average speed of answer

Percentage of calls answered within a defined waiting period

BSBCUE604 Develop and maintain a service level strategy 15

COLLECT RELEVANT AND ACCURATE CONTACT-WAIT TIME,

Collecting contact-wait time data

Collecting abandonment rate data

Collecting customer survey data

BSBCUE604 Develop and maintain a service level strategy 16

Q1) Were you

Q2) Were you