Contact Center Solutions Featured Article

High Attrition Continues to be Major Challenge in Contact Center Industry

April 02, 2008

The contact center industry overall faces significant challenges. While these centers often operate as the key interaction point between customers and the company, they can sometimes suffer in performance due to staff shortages, high attrition, budget cuts and other internal challenges.

For the Indian contact center industry, the biggest challenge seems to be employee attrition, agent training and implementing new service channels. These challenges were identified in new research from callcentres.net.
 
According to the newly released 2008 Asian Contact Center Industry Benchmarking Report, Indian contact center executives are seeking to improve human resource management results by offering financial incentives, reward and recognition programs and better career planning for agents.

While such initiatives can help to drive change within the contact center industry and the individual centers, India still faces the obstacle that the average tenure for an Indian contact center agent is lowest in the region at 9 months.
 
Sponsored by Autonomy etalk and Genesys (News - Alert), this study included an examination of 539 contact center executives representing 2,488 contact centers and 259,699 contact center seats across Asia, including 107 centers in India.
 
The study looks at outsourced contact centers (72 percent) and in-house or captive centers (28 percent). These centers reported that agent absenteeism, or sick leave in Indian contact centers had reduced on average from 15 days in 2007 to 9 days per annum in 2008. Despite this improvement, employee tenure remains a critical problem.
 
As for the rest of the industry, the Global contact center market is projected to reach US$195 billion by 2010, according to a report by Global Industry Analysts. Asia is expected to lead this growth.

North America and Europe continue to dominate and account for about 85 percent of the service revenues. Asia-Pacific holds enormous potential, and is projected to drive growth in the global arena.

The global market is also experiencing changing trends. Major trends creating influence include the expansion of operational costs and budgetary allocations, declining telecommunications costs, a rise the in number of hosted contact centers, and the growing significance of Asian call centers.
 
The transformation of call centers into contact centers is also expected to have a continuing impact. The report noted that despite its status as the fastest growing employer, contact centers continue to face challenges in the shortage of skilled employees and high employee turnover.

At the end of the day, it is unclear how much these challenges will effectively change and improve over the long term. While many organizations are taking the proper steps to make improvements, it is consistency in strategy that will make the most impact in the end.
 
Susan J. Campbell is a contributing editor for TMC (News - Alert) and has also written for eastbiz.com. To see more of her articles, please visit Susan J. Campbell’s columnist page

Article comments powered by Disqus

Related Contact Center Solutions Articles

Contact Center Solutions Week in Review

On behalf of TMCnet I'd like to wish a happy holiday to those celebrating Passover and Easter this week. Interestingly, despite the short week there was no shortage of news in the Contact Center Solutions Community. [ Read More ]
04/18/2014

Contact Center Solutions Week in Review

On behalf of TMCnet I'd like to wish a happy holiday to those celebrating Passover and Easter this week. Interestingly, despite the short week there was no shortage of news in the Contact Center Solutions Community. [ Read More ]
04/18/2014

OpenSpan forms alliance with Istmo

OpenSpan Inc., a provider of worker optimization, activity management and automation solutions, recently announced that Istmo Solutions of Brazil will resell and support its desktop automation and analytics products to the Brazilian market. [ Read More ]
04/17/2014

IHS GmbH Acquires InnLink LLC

Hospitality industry solutions provider IHS GmbH acquires central reservations specialists InnLink LLC. [ Read More ]
04/17/2014
Subscribe here for your FREE Contact
Center Solutions
enewslettter.

Events

Weekly Live Demo
Contact Center Solutions

Register Today!


Weekly Live Demo
CaaS Small Center

Register Today!