Call Centers

Paper Summary:

This paper evaluates both the benefits and pitfalls of outsourcing call centers and customer service to offshore locations and explains that it clear that there are opportunities for reducing the level of costs for UK-based organizations. It points out, however, that outsourcing pilot projects and call centers to India is not without risk, especially if an organization is inexperienced in defining key performance indicators (KPI) based on its specific, predefined measures and definition of target performance levels. It further notes that offshore call centers are purely IT-supported, whereas Nationwide Building Society is strengthening its corporate position as the biggest building society in the world through a collection of positive synergies. Nationwide's competitive advantage rests on the implementation of specialist training programs for management and staff, improved services at its call centers, information-rich Web site, and the development of new products that will cater to emerging needs in the new era.

From the Paper:

"The growth of new technology over the last decade has increased the number of contact channels available to customers. While previously customers communicated by telephone, fax or letter, or by visiting a branch, they can now send an e-mail, click on a website, send an SMS, or communicate through their digital iTV. Customers today increasingly demand contact with corporations 24 hours a day, 7 days a week, which prompted numerous big name businesses to establish offshore pilot projects and call centres outside Britain. However, around 50,000 jobs have already been lost as UK firms use cheap labour overseas to cut costs. (Bid to halt call centre job losses)"

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