Call Center Agent Motivation, Performance: $100K a Year to Answer Phones?

Moderated by: Jason Alley

My father fired over a recent Businessweek.com article he ran across titled, “Call-Center Jobs That Pay $100K a Year.”  This definitely caught my attention…  The article highlights a case study of a U.S. based outsourcing company, iQor, that has “added nearly 3,000 jobs in the U.S. over the past four years, making it the company's fastest growing region.”  The author, Vivek Wadhwa, uses the case study to support a theory of his.  He explains, “Yes, outsourcing will continue and globalization will change the world's economic landscape. But the U.S. is hardly helpless. With smart processes and the proper incentives, U.S. companies can keep jobs here in America, and do so in a way that is actually better for the company and its employees.”  As a proud American and someone who believes many U.S. companies have been short sighted and missed the mark by sending customer-facing (and other critical) roles overseas, this got me pretty fired up.  However, I believe strongly that “customers” need to be added to the list of those who can benefit from such a movement.

Who hasn’t sat on the phone for hours trying to get their question answered by an agent in a far away land that is clearly useless…knowing the two hour tour is unavoidable if you wish to get to the person who can actually solve your problem…if you are lucky enough to still be within normal working business hours?  Financial models shine with profitability when these critical roles are assumed to be moved offshore to low-income agents with minimal benefits.  However, doesn’t common sense tell us that’s absurd! (not in all cases, but there are many we can cite personally)  Sure costs can be slashed, but let’s not forget to factor in lost revenue associated with customers going elsewhere or not purchasing additional products or services as a result of horrid experiences.  Why not just pony-up and invest properly to make sure your customers have their problems resolved without having to be inconvenienced or walk away feeling patronized?  I would much rather have an expert call me back that can resolve my issue quickly than be strung along and eventually handed off ineffectively to someone that may be able to help me.  Heck, I would even wait in queue for a while without belly-aching if I knew the person I was going to speak with could get ‘er done.  I realize these expert resources are expensive, but I bet companies would do much better financially in the long run if they made the proper investment up-front.  Are you with me people? 

OK, I will get off my soap box…

It’s important to note that Mr. Wadhwa cites other things iQor has placed a priority on to compete effectively (beyond the big paycheck):

• Career path development
• Promoting from within
• Good health insurance and generous benefits
• Strategic technology investments
• Effective screening and aptitude testing for potential new hires
• Generous referrals fees for employees, replacing expensive recruiter fees

The bottom line is that iQor’s winning strategy is to invest heavily in its employees which ultimately elevates the customer experience.  I applaud this bold move, especially given the economic climate.  Funny though, doesn’t common sense tell us that this was the right way to go all along?  Did/do we really need all the bumps and bruises to get us to act on common sense?  In the end it is all about the bottom line, which I believe is dramatically enhanced by investing in relationships and making people feel they are appreciated and part of a common cause - something bigger than themselves - employees, customers, partners.  A little company named H-P was well known for building such a culture, but sadly they abandoned the approach for the way of the day.  I have a feeling we are going to see more and more companies going “old school” and making similar investments in an effort to differentiate themselves.

As Mr. Wadhwa points out, “Indian outsourcing firms could benefit from applying iQor's management style. But their advantage shrinks dramatically when people become a company's primary investment.”  So, it’s not so much a question of where, but how.  That said, I’d like to see U.S. companies make a more conscious effort to invest in U.S. resources in an effort to keep (or bring back) jobs in America.

Thoughts? Comments?

BTW - Have you been to a Home Depot lately?  Have you noticed anything different?  I’ll explain the relevance in a blog to soon follow…

Comments

[Heidi Miller]

Jason--

It's a real struggle, I agree--can a real human always provide better service? Or can a machine? I'm wondering if your upcoming Home Depot post has to do with the self-service machines they've installed over the last few years. Customers are being encouraged to check themselves out, and you know what? I love it! I'd much rather just check myself out than wait in line for an employee who is anxious to go on her break.

I wonder how much the same is true for phone service... if we could just quickly and efficiently get the info we need, how many of us would choose to bypass the bored human and just place the order already?

Looking forward to the post.

[Matthieu D]

You are absolutely right Jason, most of the companies does not even provide phone support for client complaints which is leading to create a poor Customer Experience (e.g. Air France).

Clearly, phone service can be an efficient tool to prevent from this and canalize "Voice Of The Customer" whatever the cost is.