Erlang Formula Worked Example © Call Centre Helper

1 Inputs
Number of calls 100
In a period of minutes 30
Average Handling Time (seconds) 180
Required Service Level 80%
Target Answer Time (Seconds) 20
Maximum Occupancy 85%
Shrinkage 30%

2 Calls per hour 200

3 Traffic Intensity (Erlangs) A 10

4 Estimate the Raw Number of Agents N 11 Start with the number of Erlangs + 1

5 Calculate the Erlang Formula for Probability a Call Waits

6 Lets start by working out N!

So let's break down the formula into parts

N! is mathematical notation for N factorial
A factorial is the product of an integer (whole number) and all the integers (whole numbers) below it
For example 3! = 3 Factorial = 3 x 2 X 1 = 6
11! = 11 Factorial = 11 x 10 x 9 x 8 x 7 x 6 x 5 x 4 x 3 x 2 x 1 = 39916800

Luckily Excel has a formula that can do this for you

So for 11 Factorial it is =FACT(11)
N! = 11 Factorial = FACT (11) 39916800

7 Be careful with large factorials

Note that factorials get very large as you increase the number of agents and very soon can cause Excel to overl
10 Factorial 3628800
100 Factorial 9.33262E+157
170 Factorial 7.25742E+306
171 Factorial #VALUE! This will cause errors in your calculation

So it won't easy work in Excel above 170 Agents

Luckily we have devised a Fast Erlang formula for high number so agents
https://www.callcentrehelper.com/tools/erlang-calculator/
 8 Work out the Powers - AN
So AN means A multiplied by A, N times
e.g. 2 to the Power of 2 = 2 2 = 2 x 2 = 4

So if A = 10 and N = 11 then A N = 1011 = 10 x 10 x 10 x 10 x 10 x 10 x 10 x 10 x 10 x 10 x 10

Luckily Excel has a formula for this = POWER (10,11)
AN = 1011 = POWER (10,11) 1E+11

9 Let's simplify the Erlang Formula

We can use a substitution

X=

and

Y=

So Pw = X / ( Y + X)

10 Work out the top row of the Erlang C Formula (X)

Top Row = AN / N! * (N / (N-A))

Top Row = 1011 / 11! * (11 / (11-10)) 27557.32

11 Work out the Sum of a series (Y)

Now this looks scary but is simply adding together a sum of numbers looping through a number of times
In this case you start with i=0 and keep going through until i= N-1
so if N = 11 , N - 1 = 10 and we loop through from i= 0 until i = 10
and Σ is the mathematical symbol for the sum of a series so you add together all of the results of the individual

i i!
0 1
1 1
2 2
3 6
4 24
5 120
6 720
7 5040
8 40320
 9 362880
10 3628800

Which gives the sum of the series Y = 12842.305115

Now note that the maths becomes simplified

12 Put X and Y into the Erlang C Formula (The probability a call has to wait)

So Pw = X / ( Y + X)

Pw = 27557 / (12842 + 27557) 0.6821

Or in percentage terms 68.2%

13 Calculate Service Level

Service Level Follows the Formula

SL= 1 - (Pw *e -(N - A) * (TargetTime / AHT))

Where e is the mathematical constant (Euler's number) = 2.71828

Luckily Excel has an Equation for this =EXP()

Lets work out -(N - A) * (TargetTime / AHT)
Lets work out -(11 - 10) * (20 /180) -0.111

Then work out Service Level

SL = 1- (0.6821 * EXP(-0.11111)) 0.390
Service Level as a Percentage 39.0%
This is below the target of 80% so we need to increase the number of agents

14 Increase the Number of Agents by 1 to see If Service Level is achieved

14.1 Number of Agents N 12

Traffic Intensity A 10
Work out X 12526.1

i i! Ai
0 1 1
1 1 10
2 2 100
3 6 1000
4 24 10000
5 120 100000
 6 720 1000000
7 5040 10000000
8 40320 100000000
9 362880 1000000000
10 3628800 10000000000
11 39916800 100000000000

Work out Y 15347.5

Probability Call Waits 0.4494
Service Level 0.640
Service Level as a Percentage 64.0%
This is below the target of 80% so we need to increase the number of agents

14.2 Increase the Number of Agents by 1 to see If Service Level is achieved

Number of Agents N 13
Traffic Intensity A 10
Work out X 6958.9

i i! Ai
0 1 1
1 1 10
2 2 100
3 6 1000
4 24 10000
5 120 100000
6 720 1000000
7 5040 10000000
8 40320 100000000
9 362880 1000000000
10 3628800 10000000000
11 39916800 100000000000
12 479001600 1000000000000

So value of Y 17435.2
Probability Call Waits 0.2853
Service Level 0.796
Service Level as a Percentage 79.6%
This is below the target of 80% so we need to increase the number of agents

14.3 Increase the Number of Agents by 1 to see If Service Level is achieved

Number of Agents N 14
Traffic Intensity A 10
Work out X 4014.8

i i! Ai
0 1 1
1 1 10
2 2 100
 3 6 1000
4 24 10000
5 120 100000
6 720 1000000
7 5040 10000000
8 40320 100000000
9 362880 1000000000
10 3628800 10000000000
11 39916800 100000000000
12 479001600 1000000000000
13 6227020800 10000000000000

So value of Y 19041.1
Probability Call Waits 0.1741
Service Level 0.888
Service Level as a Percentage 88.8%
This is above the target of 80%

So the Raw Number of Agents 14

15 Average Speed of Answer

ASA = Pw x AHT / (N-A)
ASA = 0.1741 x 180 / (14 - 10) 7.8 seconds

16 Percentage of Calls Answered Immediately

Immediate Answer = (1- PW)
Immediate Answer = (1- 0.1741) 82.6%

17 Check Maximum Occupancy

Raw Agents 14
Traffic Intensity A 10
Occupancy = Traffic Intensity (Erlangs) / Raw Agents 71.4%
This is less than 85% so we can keep it at this.
If this is more than 85% the number of Raw Agents is Traffic Intensity/ (Occupancy %/100)
If you have an occupancy of more than 85% your agents will likely get burnt out and you will find that Average

18 Factor in shrinkage
Shrinkage is a factor that is widely used in the industry to include holidays, sickness, training and meetings etc.
Shrinkage 30%
Number of Agents Required = Raw Agents/ (1- (Shrinkage% /100))
Number of Agents Required = 14/ 0.7 20

19 Summary
So the total number of Agents Required 20
Service Level 88.8%
Probability a call has to wait 17.4%
Average Speed of Answer 7.8 Seconds
% of calls Answered Immediately 82.6%
20 There is an Easier (and Faster) Way to do an Erlang C Calculation

There is a much easier (and faster) way to use the Erlang C Formula.

We have developed two Erlang Calculators

Erlang calculator (Online Version)

Excel Erlang Calculator (Handy spreadsheet format)
© Call Centre Helper 2017
https://www.callcentrehelper.com
he number of Erlangs + 1

e numbers) below it

soon can cause Excel to overload.

use errors in your calculations

ugh a number of times

f the results of the individual loops

Ai Ai/i! Σ Ai/i!
1 1 1
10 10 11
100 50 61
1000 166.7 227.7
10000 416.7 644.3
100000 833.3 1477.7
1000000 1388.9 2866.6
10000000 1984.1 4850.7
100000000 2480.2 7330.8
 1000000000 2755.7 10086.6
10000000000 2755.7 12842.3

Ai/i! Σ Ai/i!
1 1
10 11
50 61
166.7 227.7
416.7 644.3
833.3 1477.7
1388.9 2866.6
1984.1 4850.7
2480.2 7330.8
2755.7 10086.6
2755.7 12842.3
2505.2 15347.5

Ai/i! Σ Ai/i!
1 1
10 11
50 61
166.7 227.7
416.7 644.3
833.3 1477.7
1388.9 2866.6
1984.1 4850.7
2480.2 7330.8
2755.7 10086.6
2755.7 12842.3
2505.2 15347.5
2087.7 17435.2

Ai/i! Σ Ai/i!
1 1
10 11
50 61
 166.7 227.7
416.7 644.3
833.3 1477.7
1388.9 2866.6
1984.1 4850.7
2480.2 7330.8
2755.7 10086.6
2755.7 12842.3
2505.2 15347.5
2087.7 17435.2
1605.9 19041.1

nd you will find that Average Handling Time may rise to cover it.

s, training and meetings etc. The industry average is around 30 - 35%

Factorials

Number Factorial
N N!
1 1
2 2
3 6
4 24
5 120
6 720
7 5040
8 40320
9 362880
10 3628800
11 39916800
12 479001600
13 6227020800
14 87178291200
15 1307674368000
16 20922789888000
17 355687428096000
18 6.402373706E+15
19 1.216451004E+17
20 2.432902008E+18
21 5.109094217E+19
22 1.124000728E+21
23 2.585201674E+22
24 6.204484017E+23
25 1.551121004E+25
26 4.032914611E+26
27 1.088886945E+28
28 3.048883446E+29
29 8.841761994E+30
30 2.652528598E+32
31 8.222838654E+33
32 2.631308369E+35
33 8.683317619E+36
34 2.95232799E+38
35 1.033314797E+40
36 3.719933268E+41
37 1.376375309E+43
38 5.230226175E+44
39 2.039788208E+46
40 8.159152832E+47
41 3.345252661E+49
42 1.405006118E+51
43 6.041526306E+52
44 2.658271575E+54
45 1.196222209E+56
46 5.50262216E+57
47 2.586232415E+59
48 1.241391559E+61
49 6.08281864E+62
50 3.04140932E+64
51 1.551118753E+66
52 8.065817517E+67
53 4.274883284E+69
54 2.308436973E+71
55 1.269640335E+73
56 7.109985878E+74
57 4.05269195E+76
58 2.350561331E+78
59 1.386831185E+80
60 8.320987113E+81
61 5.075802139E+83
62 3.146997326E+85
63 1.982608315E+87
64 1.268869322E+89
65 8.247650592E+90
66 5.443449391E+92
67 3.647111092E+94
68 2.480035542E+96
69 1.711224524E+98
70 1.19785717E+100
71 8.50478589E+101
72 6.12344584E+103
73 4.47011546E+105
74 3.30788544E+107
75 2.48091408E+109
76 1.8854947E+111
77 1.45183092E+113
78 1.13242812E+115
79 8.94618213E+116
80 7.1569457E+118
81 5.79712602E+120
82 4.75364334E+122
83 3.94552397E+124
84 3.31424013E+126
85 2.81710411E+128
86 2.42270954E+130
87 2.1077573E+132
88 1.85482642E+134
89 1.65079552E+136
90 1.48571596E+138
91 1.35200153E+140
92 1.24384141E+142
 93 1.15677251E+144
94 1.08736616E+146
95 1.03299785E+148
96 9.91677935E+149
97 9.61927597E+151
98 9.42689045E+153
99 9.33262154E+155
100 9.33262154E+157
101 9.42594776E+159
102 9.61446672E+161
103 9.90290072E+163
104 1.02990167E+166
105 1.08139676E+168
106 1.14628056E+170
107 1.2265202E+172
108 1.32464182E+174
109 1.44385958E+176
110 1.58824554E+178
111 1.76295255E+180
112 1.97450686E+182
113 2.23119275E+184
114 2.54355973E+186
115 2.92509369E+188
116 3.39310868E+190
117 3.96993716E+192
118 4.68452585E+194
119 5.57458576E+196
120 6.68950291E+198
121 8.09429853E+200
122 9.8750442E+202
123 1.21463044E+205
124 1.50614174E+207
125 1.88267718E+209
126 2.37217324E+211
127 3.01266002E+213
128 3.85620482E+215
129 4.97450422E+217
130 6.46685549E+219
131 8.47158069E+221
132 1.11824865E+224
133 1.48727071E+226
134 1.99294275E+228
135 2.69047271E+230
136 3.65904288E+232
137 5.01288875E+234
138 6.91778647E+236
139 9.6157232E+238
140 1.34620125E+241
141 1.89814376E+243
142 2.69536414E+245
143 3.85437072E+247
144 5.55029383E+249
145 8.04792606E+251
146 1.1749972E+254
147 1.72724589E+256
148 2.55632392E+258
149 3.80892264E+260
150 5.71338396E+262
151 8.62720977E+264
152 1.31133589E+267
153 2.00634391E+269
154 3.08976961E+271
155 4.7891429E+273
156 7.47106293E+275
157 1.17295688E+278
158 1.85327187E+280
159 2.94670227E+282
160 4.71472364E+284
161 7.59070505E+286
162 1.22969422E+289
163 2.00440158E+291
164 3.28721859E+293
165 5.42391067E+295
166 9.00369171E+297
167 1.50361651E+300
168 2.52607574E+302
169 4.26906801E+304
170 7.25741562E+306
171 #VALUE!
172 #VALUE!
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186 #VALUE!
187 #VALUE!
188 #VALUE!
189 #VALUE!
190 #VALUE!
191 #VALUE!
192 #VALUE!
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194 #VALUE!
195 #VALUE!
196 #VALUE!
197 #VALUE!
198 #VALUE!
199 #VALUE!
200 #VALUE!
© Call Centre Helper 2017
https://www.callcentrehelper.com
ntre Helper 2017
ww.callcentrehelper.com