Developing Performance Metrics that Matter

Presented by:

Mari Mitchell
Strategic Account Executive Inova Solutions

Today We Will Be Covering…
□ Introduction to Metrics and KPIs
□ What are they and why are they important

□ Implementing a Successful Metrics Program
□ Identify □ Define □ Report

□ Wrap-Up and Questions

Introduction to Metrics – Why Do We Need Them?
□ You can’t effectively manage what you don’t measure □ Without metrics: □ Decisions are based solely on feeling, instinct □ Performance is subjective

□ No standards for improvement

The Impact of Metrics □ Metrics provide benchmarks for improvement □ Set expectations for performance □ Focus efforts on the right tasks .

The Impact of Metrics □ Metrics provide objective analysis of performance against goals and expectations □ Quantitative view of effectiveness that demonstrates value of contact center □ Important in justifying resources and budget .

but not all metrics are KPIs .Metrics and Key Performance Indicators (KPIs) □ Metrics = measurements □ While terms often used interchangeably. actionable measures □ Tightly linked to strategies and goals □ KPIs are metrics. there is an important distinction between metrics and KPIs □ KPIs are critical.

Avoiding Information Overload □ Focus on KEY performance indicators □ Common trap is to attempt to measure and monitor everything □ Leads to information overload and diminishes value of KPIs You should only have a handful of KPIs .

Implementing a Successful Program 1. . Identify Establish strategy. 2. goals. Define Build out detail behind KPIs. Report Put KPIs in front of the people who need them. business drivers and key metrics 3.

Taking a ―Top Down‖ Approach □ Work from corporate strategy to contact center goals to business drivers to appropriate KPIs. .

Why Not Start With Existing Metrics? □ Individual managers often have different views on which metrics are important □ Without tying metrics to goals the selection is entirely subjective □ Existing metrics may not support desired goals □ Best KPIs may not be in current metrics portfolio .

What Are You Trying to Achieve? □ First step in developing effective KPIs is knowing what you are working towards □ Establish clear understanding of corporate strategy □ Helps to have executive sponsor .

How Does Contact Center Fit With Strategy? □ Identify contact center goals that contribute to corporate strategy □ If they do not already exist. goals must be defined .

How Will You Achieve Goals? □ Once goals are understood map out key business drivers □ What are important execution steps to meet goals? .

Selecting KPIs □ Now your are ready to identify the KPIs that relate to business drivers and best measure success in meeting goals & objectives .

but longer calls may actually mean: □ Improved first call resolution □ Better upselling by agents resulting in higher revenue .Take a Balanced View □ Represent operational and financial aspects □ Don’t view KPIs in isolation □ Can cause erroneous conclusions □ Ex: Increase in handle time can be viewed as negative.

Average Handle Time 5. Abandonment Rate 2.Top Five Contact Center KPIs 1. Service Level 3. Quality . Customer satisfaction 4.

and even be compensated based on performance against KPIs □ Process can become political. sometimes beneficial to seek outside help in this phase .Defining KPIs — Gaining Agreement □ Once KPIs are selected. calculations behind them must be defined and agreed to by all □ Those involved in defining KPIs may also be measured by them.

Where’s the Data Coming From? □ Definition process includes identifying the data source(s) for each KPI □ Simple – statistic directly from ACD or other source □ Complex – calculation based on multiple data points □ Average Call Value = Total Revenue / [Number of Calls x (Average Talk Time + Average After-Call Work] .By the Way.

com .com □ Hackett Benchmarking & Research – www.benchmarkportal.thehackettgroup.Setting Targets for KPIs □ KPIs without targets offer little value □ Set targets based on combination of internal business goals and external benchmarking □ Benchmarking provides “bar” set by industry □ Sources for benchmarking data including □ Benchmark Portal – www.

be aware that: □ Acceptable performance varies greatly across segments □ Average talk time ranges from 4.13 minutes for High Tech (Purdue benchmark research) □ KPI definitions are inconsistent across companies □ Study into definitions for various metrics found no cases where the most popular definition garnered even 50 percent of total responses Key is to keep definitions consistent internally .29 minutes for Health Care companies to 9.Pitfalls of Benchmarking □ When using benchmarks.

Put Action Plans in Place □ Poor performance against KPIs without defined steps for improvement is frustrating and counter-productive □ As each KPI is set. repair equipment or telco network. map out the specific actions that can be taken to reach or exceed targets □ Agent availability is selected as KPI. route overflow to alternate centers… . If value falls outside of acceptable limits (need to define those too) we will: □ Examine supporting data to determine source of problem □ Based on determination will postpone training sessions.

Monitoring and Reporting KPIs □ Once KPIs have been established they need to be implemented into daily operations □ Requires monitoring and reporting strategy that defines: □ Who needs what information? □ How often is it needed? □ How will it be compiled? □ How will it be presented? .

Who Needs What – Making it Relevant □ Front-line workers (agents & supervisors) make tactical decisions to ensure contact center operates correctly and consistently □ Relevant KPIs include: □ □ □ □ □ Average handle time Talk time Schedule adherence Quality scores Wrap-up time .

Directors. weeks. days. Supervisors. Managers □ Historical Metrics collected over time (hours. Provides data to inform decisions on future strategy □ Audience: Managers.How Often – Timeliness of Reporting □ Real-Time Metrics updated instantaneously allowing workforce to monitor and respond to changing conditions.) to identify trends and fluctuations in performance. Also allows early detection of trends/potential problems □ Audience: Agents. etc. Executives .

calculating and delivering metrics □ Eliminates repetitive. pulling data from every system and hand-compiling reports □ Middleware automates process of compiling.Compiling Reports □ Some handle this manually. low-value tasks and ensures accuracy and consistency of metrics .

long lifespan and low maintenance. NOC Personnel . Primary Audience: Agents. Supervisors.Presentation – Wallboards Benefits: High visibility.

Presentation – Large Format Displays Benefits: High impact. ability to incorporate real-time metrics with other media (training video. high visibility. announcements.) Primary Audience: Agents. NOC Personnel . etc. Supervisors.

Primary Audience: Management .Presentation – Dashboards Benefits: At-a-glance. graphical view of critical information.

Presentation – Video Walls Benefits: Enables consolidated. real-time monitoring of numerous facilities or complex operations. Outsourcers . Primary Audience: NOC Personnel.

□ Strategies and goals change .Wrapping Up □ Achieving and maintaining optimal performance is an ongoing process.regularly revisit your KPIs to verify their validity. . □ Adjust KPIs as necessary to keep efforts aligned with desired performance results.

Thank You… Developing Performance Metrics that Matter Presented by: Mari Mitchell Strategic Account Executive Inova Solutions .

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