Tuesday, October 14, 2008

Deming Quality Chain Reaction (applied to a contact center set up)


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1.Improve Quality

Quality is the focus. Everything starts and ends with quality. Without it, improvements will not be sustained in the long run. For example, if an account bills client on a per call basis, then focuses on getting calls without providing any quality help to customers, then it is bound to fail. Because, in today's market of intense competition, someone will always provide better service,by providing better ways of meeting the customer needs. Management should always be at the forefront whether by iniatitives on establishing quality metrics, or through process improvements.

2. Reduce Costs-

As quality is improved, costs are reduced because of less delays (long calls) and defects (customer dissatisfaction). One of purposes of quality is to have less rework, with this, agents know what is acceptable and what is not. Thus, operational definitions are clear. By chopping off redundant steps through process improvements, calls are more efficient because of less rework and delays. Agents can focus more on issue resolution and improving the customer experience. By focusing on quality, agents are less prone to mistakes, leading to customer satisfaction. Time, machine and materials are economized.

3.Improve Productivity-

As costs are reduced, the company have better use of the agent's time and energy. As much of it is no longer spent on defects.They are now more devoted to work that only adds value. As a result, billable utilization increases, getting more value per employee.

4. Reduce Prices

We now have MORE products (calls) that have a higher quality. These are created with lower costs. We now have savings. Savings are now passed to the market by reducing prices to our clients.


5. Capture the Market

We now have more calls, with a higher quality, and at a lower price. This provides us a great competitive advantage compared to competitors. We can now create markets that provides calls to the changing needs of its clients.


6. Stay in Business

Once the contact center has stayed ahead of competitors, and has captured the market. The long term prospects of the organization have been ensured.


7. Provide jobs and more jobs-
Companies that focuses on quality realizes the value of continous improvement. Thus, opportunities for new jobs are created.

8.Improve ROI-everything gains.
It is recommended that the internal customers ( steps 1-3) were satisfied first before the external customers. Or else the chain breaks.



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