The Rundown on Measuring Call Center Efficiency

Just like any other type of business in any type of industry, call centers measure its performance and efficiency the way other businesses do. In general, the measurement of efficiency entails the comparison of costs against revenues. Higher profit margins are indicative of efficiency, so to speak. But when it comes to call center efficiency, profit margin are measured by means of using cost per call metrics. Since everyone employed in a call center would literally take calls and entertain customers of the accounts they handle all day and all night, they would be very much concerned as to how much would be spent per call that is routed to them our website.

To be effective when it comes to measuring the efficiency of call centers, it would be wise to use what is termed as “per call expense”. Just from the name itself, this would be the measure of the expenses that are incurred per call that is taken and processed by call centers. At first glance, it would be seem so easy to measure an expense. However, do not be fooled because there are actually a number of factors that would determine expense here. These include the payment for services of telecommunication service providers as well as the cost of equipment each time these are used for each call processed. Ironically, these do not even comprise that large a percentage of the total per call expenses that can be incurred. There are also labor costs to consider, which account for more than 60% of profitability here. Thus, there really is no point in denying the fact that there is a need for balance when it comes to monitoring call center expenses and labor costs – towards the goal of raising efficiency levels.

One significant way that call centers can cut down on their labor costs is to find ways to raise labor efficiency. This ultimately means that call center agent time should be maximized. If you think about it, raising the number of calls that a call center representative processes or takes in an hour or even in a whole day would ultimately generate more business. There would then be a reduction of the labor expenses. This is a popular scheme being practiced by most call centers in the industry today.

However, this does not really translate to profit in the long run. When a call center representative’s abilities are maximized, there just might come a time when this would prove to be too stressful on the employee himself. Human as we are, we can only take that much pressure in the workplace. As a result, a representative who has been multitasking for quite sometime now would certainly give in to the pressures of the job in the long run. This would not do much for efficiency at all.

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