A Complete Guide to Setting up a Successful Call Center

1. Introduction

2. Understand Your Goals and Objectives

3. Set a Budget

4. What Type of Call Center Will You Be?

5. Choose Your Technology

6. Hire Successful Employees

7. Train Your Employees

8.Establish a Company Culture

9.Plan for the Future

Overview

Congratulations! You are officially taking the first step toward starting and running a successful call center. After you complete this reading, you will know the industry ’s best practices and sure-fire ways to manage your staff, technology and clients.

In recent years, the need for a call center has increased immensely. What was once a service used only to serve as a labor intensive department has now grown into a part of the company’s marketing and improving customer interaction. A call center has also became vital to an organization due to the more flexible and affordable technology, which was once to expensive for most small to medium sized businesses to utilize. As technology advances and continue to show strides, call centers have been able to keep up with the trend and employ the newest technological trends within the system.

No matter what size your business is, it can benefit from implementing a well-rounded call center. The overall goal for a call center is to improve the customer’s experience with your company and provide customer care when they need it. When the customer is happy and know they will stay happy by doing business with you, everyone wins. Let’s begin.

Understand Your Goals and Objectives

Setting specific goals and objectives is the first step to creating a successful call center. You wouldn’t plan a road trip without a map. Without these, it’s impossible to plan and make final decisions for your call center.

The Two Defining Questions of Your Call Center

Ask yourself these two questions: Is your main focus customer support or will your agents be making sales? Will your calls be outbound, inbound or mixed? The answer to these two questions will influence the rest of the decisions you make about your call center. Essentially, they determine what you want the call center to achieve, overall.

Defining Target Market

Defining your target market is also important to creating successful goals and objectives. When you understand the audience that you’re targeting, it allows you to focus your objectives.

Constantly Update Your Goals

Your goals and objectives will change as your call center grows. Update and set new goals as needed for constant growth. These can include increasing sales, higher customer retention and satisfaction ratings.

Set Key Performance Indicators

Key performance indicators (KPIs) are important to set during this stage. Key performance indicators give you a way to measure the value and efficiency of your call center. At our AVOXI blog, we’ve written a guide and several articles talking about effective KPIs for call centers.

Awareness of Regulations

Your goals and objectives are dependent on government and industry regulations regarding call centers. Factors such as “do not call” lists and time of day calling hours can impact things like your hours of operation. Make sure to research these types of regulations before making decisions about your call center.

Setting these types of goals and objectives is critical to your gauging your success in the future.

Set a Budget

The process of creating a budget plan can be very time consuming, but it is something worth taking the time to do. The first step in the budgeting process is based on a strong understanding of the call center’s importance and value. People who are involved in creating the budget have a good sense of the call center’s importance in today’s economy. When everyone involved agrees on the call center’s contribution to customer satisfaction and loyalty, constantly-improved quality, dynamic delivery of services and, if applicable, sales, then proper funding will get the attention it deserves.

It important to point out that the budgeting process must also be driven by the customer access strategy. When you define who your customers are, when they desire to reach you, how your staff will identify, route, handle, and track those contacts, and how you leverage the information you receive from them, you make the customer access strategy the main blueprint for the budget.

At a more strategic level, an effective budgeting process is the extension of resource planning. While call centers have ongoing responsibilities, the budget must look beyond the here and now to anticipate future staffing, technology and organizational requirements. Keep in mind that salaries are the biggest expense for a business, and the most successful centers perform their regular, daily activities to take the budgeting process most of the way toward completion.

An effective process also identifies resource/results compromises. Strong management teams ask predictable questions: What happens if you provide the best level of service? How much would you save if…? When will we expect to see these results? Once you have established the budget for expected workload, it is pretty straightforward to rerun scenarios. These kind of illustrations will contribute immensely to good budgeting decisions.

Maximizing cross-functional resources is also a part of a strong budgeting process. This principle brings together objectives and budgets from across an organization. For example, corporate lawyers are constantly searching for email and text message management systems, which can allow the legal team to help the call center create consistent and legally defensible responses to customer interactions. Many IT managers are emphasizing the need for attentive call center staff to ensure that customer relationship technologies are successful. Even marketing managers are progressively eager to capture and study call center interactions for observing consumer demands and behavior.

During the process of setting your budget, you will simultaneously build a keen understanding of the call center environment. The executive staff involved makes the best decisions when they understand the basics of random call arrival, occupancy, schedule adherence and other call center realities. They must also acknowledge the reasons why call center budgets may need to grow, such as more channels of access, increasing complexity, elasticity in demand, and increased customer expectations.

Finally, the budgeting process must be 100% honest, responsible and visible. It must put that the objectives and funding being proposed support the mission of the organization with the roles and requirements of other areas. Above all, it must be visible to all parties involved in the approval process, as well as key managers from across the organization.

Call center budgeting can vary greatly, and there are several fundamental elements to consider first in terms of what costs are allocated to the center. Labor should be loaded costs, including all benefits. You also need to consider technology, network, facilities, utilities, HR, training, real estate, and other overhead costs. There are often charge backs for technology, and sometimes other areas. Once you know what elements are vital to the center, then you can develop the budget line items in each of those areas. This process might take some time, but in the end it is well worth every minute you put into it.

What Type of Call Center Will You Be?

After the goals and objectives have been set and the budget plan is clear, it is now time to decide what kind of call center is right for your business. Essentially, you have two options: on-premise call center or hosted/virtual call center. Each call center is a unique; what makes sense in one case may be completely off-base in another. Depending on your call center needs and current resources, there is a lot to learn about each of your options.

On-Premise

If your business decides to implement an on-premises system, you will take on responsibility for all call center tasks. An on-premises call center owns its own hardware and software to manage and distribute calls.

Benefits

Savings over time: With a hosted contact center, you will outsource your infrastructure to a network that manages these systems externally. Since you won’t own any infrastructure components, it may reduce up-front costs. Once the original investment and equipment has been paid, an on-premises call center doesn’t usually acquire much additional cost. Companies can avoid a monthly hosting payment and contract-negotiation fee. After a few years of paying these fees, the costs could grow to be equal with that of the equipment.

Customize: An on-premises system is also extremely easier to customize. A company has more elbow room to make its own decisions rather than doing things the way a vendor wants.

Simple to deploy: While many believe it's harder to deploy an on-premise call center, advocates of on-premise systems say all that's needed is a high-speed Internet connection, and the company can buy what it needs to meet the demand of the business.

Security: This is probably the biggest benefit of them all. Peace of mind of owning the equipment and having all their resources centralized under one roof is important to many businesses. Surveys have found that 42% of cloud-based projects are eventually changed back to in-house due to security concerns. Although there have been many advancements toward a more secure hosted call center, sometimes a business feels the need to follow the old motto, “If it isn’t broke, don’t fix it.”

Hosted/Virtual

As you may know, a hosted or virtual call center has been proclaimed as the call center of the future. It is a call center that is hosted in the cloud, rather than hosted on-site at a physical location. Cloud-based infrastructure is the fasted growing sector of call centers and is expected to double by 2016. Although it seems safe to say that this option may be the best/only option in the future, it is important to understand the real benefits of this technology and to see if it’s right for your business.

Benefits

Immediate savings: The start-up costs for a hosted call center are extremely low since there is no need for equipment and installation. By enlisting the services of a hosted provider, a business can significantly decrease their CAPEX budget. Also, since hosted models offer pay-as-you-go pricing, a business will no longer waste resources on unused capacity. There will be relatively small monthly payments that will come out of the operating budget instead of the capital budget.

Enhanced business productivity: A business with a hosted call center can streamline processes to improve accessibility to monitor projects more effectively, and a hosted environment allows a business to achieve unprecedented business performance across the board. Business can also hire remote call center employees to work at the comfort of their own home, leading to a higher productivity and a more stress-free work environment.

Increased scalability and speed: Since businesses no longer have to invest time in buying and setting up hardware and software, they can seamlessly scale up or down depending on their usage of services on the cloud. This frees up companies ’ internal teams so that they can focus more on their business instead of managing resources.

Encourages company growth: While a on-premise call center can handle many seats at a time, it is a tedious process to add more seats to your call center. When your business has a virtual call center, upgrading and expanding your seats is simple and taken care of by the provider. You also don’t have to stop working to add more numbers to your business. This makes growing your business more practical and doable than having to halt your operations to expand your call center.

Negative Side for Each Solution

On-premise: Along with the long return on your initial investment, there will also be a lot of maintenance to keep up with. You have to hire someone who would be dedicated to ongoing system monitoring and routine service, upgrades, and enhancements. This can be an issue for smaller companies who have limited technical resources. The biggest issue with on-premise call centers is the fact that it is becoming an outdated and traditional technology and decreasing in deployment.

Hosted/Virtual: A hosted/virtual call center works best for a smaller staff, usually no more than about 7 seats per location. Also, as stated earlier, the biggest benefit of

having an on-premise call center is security. Therefore, it is a hosted call center ’s weakest characteristic. Data security and backup are no longer under your direct control, which brings worry to many businesses. However, with the way this software has been progressing, there will more than likely be a solution to this issue in the near future.

In short, there is no right or wrong decision to make when it comes to which kind of call center your business chooses; it all depends on your current situation and where you see your business going. No matter what choice your business decides to take, it is important to understand the facts of each call center and how your business could grow and excel with either option. Make sure to read up on the features of each provider’s call center solutions and look at a few companies before you settle. Choose Your Technology

Since your business is based around technology, taking the time to look at all of your options is something worth doing. From the phone systems and private branch exchanges (PBXs) to the CRM and phone numbers, all of these elements need to be right for your call center needs and match you size, structure and goals.

Cloud PBX vs On-Site

A PBX is a computerized telephone system is typically used in business environments and switches calls for users using a set number of local lines coming into an office. It also allows users to share the local lines that are coming into the office. Without a PBX system in place, consumers or attempts to reach new businesses may be difficult. All businesses should utilize a PBX system to appear professional, not miss calls, and have all calls automatically routed to the correct person or department.

You can choose to use an on-site PBX or a virtual/hosted PBX for your call center.

An on-site PBX has a lower ongoing costs and no risk of increased fees. You will have complete control and flexibility with the equipment, even if you switch solutions. With proper management, you will be able to create a solution that seamlessly matches your needs. The downside to this technology is you may incur higher setup and unknown long-term maintenance costs, and each expansion increases the complexity you have to manage yourself. It also a very traditional and outdated technology, since most call center technology is moving toward the cloud.

Unlike a on-sire PBX, a hosted, virtual PBX has a much lower setup cost with no maintenance cost. Since you will be using the PBX through a provider, they will shoulder all the work and will have more resources to implement a solution you may not be able to afford. It is also substantially cheaper, quicker and easier to use. The only con with this equipment is the lack of control you have directly with the technology. However, with the advances this technology has seen over the past years, this may be a feature that will be included in future versions. Thus, this software is the way of the future and with the saved space and costs, your business will see results instantly.

After you’ve decided on your type of call center, the next step is to choose the type of phone system you’ll use. There are two primary options for your business phone system, a hosted Cloud PBX and an on-site PBX.

A Cloud PBX is a business phone system that is hosted by a provider. The entire system is run over VoIP technology. This means no on-site technology or set up is required. Your provider takes care of that and simply charges you a monthly fee per agent for access to their program.

An on-site PNX is has higher startup and maintenance costs. For starters, a large initial investment is needed to purchase all the necessary equipment. You’ll also need to hire an employee to manage your PBX. Last, you’ll need to take maintenance costs into consideration. Unlike a Cloud provider that handles constant maintenance of your system, your call center will be 100% responsible for your own system.

Phone Numbers

Once you have your phone system picked out, you’ll want to choose the appropriate type of numbers for your call center. Two popular phone numbers are Toll Free and local numbers. While both have their pros and cons, there are distant rules when it comes to each number.

Toll Free numbers are free for your customers to call. Your call center is simply charged each time someone calls the number. This is extremely convenient since it allows your customer to call you without getting charged. However, Toll Free numbers are country specific, meaning that you’ll need a specific Toll Free number for each country that your customer’s are located in.

Local numbers, like Toll Free numbers, are area specific. Their big advantage is that it gives your call center the appearance of a local business. These numbers can be called by customers in the specific location in which the number is for and they’ll be charged standard, local calling fees.

Internet

Call centers need a certain amount of bandwidth in order to keep the conversations clear and free of disruptions. Bandwidth is the amount of information which your Internet connection can send and receive in a certain period of time. As a general rule of thumb, at least 50% of your bandwidth should be set aside for VoIP. Your call center’s bandwidth will vary depending on your office’s usage, but in general, you can expect to need about 128 kbps per agent to host a call center solution.

3 Pieces of Software Every Call Center Must Have

Of all the technology you will need for your call center, these three pieces of software will play the biggest key role in your call center operations and success as a whole.

CRMCustomer relationship management, also knowns as CRM, is a system for managing a company’s interactions with current and future customers. A popular industry CRM is SalesForce, which is a website where your employees can keep customer documents, notes and information all for everyone’s viewing. This allows your staff and manage their relationships with their clients and for the manager to keep an eye on the interactions happening between each parties.

Quality Assurance

This is a way of preventing mistakes or defects in manufactured products and avoiding problems when delivering solutions or services to customers. In some call center technology, like AVOXI’s Smart Queue, this kind of software includes call recording, real time monitoring (where the manager can listen in on the call), and call scoring. This software improves your staff’s communication with clients and each other.

Workforce Management

This tool is best use to measure when your call center is most active. With this software, you can track which days of the week and hours are your call center’s busiest and from there you can schedule your staff accordingly. This software comes in handy for forecasting your staff on certain days to make sure there are enough employees on standby.

The right technology can make or break your call center, so make sure to spend a good enough time to shop around and look at your options. Once you have the technology in order, it’s time to start bringing on the biggest asset of your company: your staff.

Hire Successful Employees

Consider Your Goals and Objectives

Your hiring process should be reflect the goals and objectives you’ve previously set. For instance, if your main objective is to generate sales, you’ll want to hire agents with sales experience. If you’re interested in a call center for customer support, you may want to hire agents who have experience interacting with people.

The goals and objectives you’ve set should also give you insight to the number of agents you need to hire and if you’ll need to hire for any other positions such as Human Resources or Tech Support. By planning ahead, you’ll ensure that you have your bases covered when it comes to hiring a successful team.

The Hiring Process

A successful call center also requires an efficient hiring system. Depending on the position you’re hiring for, most of your management team should be involved in the hiring process. The direct supervisor of the position you’re hiring for should be heavily involved in the process. Since your new hire will work directly with this person, it’s important they can communicate and work well together.

Useful Recruiting Tools

For virtual call centers, face to face interviews aren’t always an option. For this reason, you may want to utilize assessment testing and virtual interviewing. Tools like these will make your hiring process a lot easier by weeding out candidates that may not be the best fit for your position.

Train Your Employees

After you’ve hired your employees, it’s important to makes sure they’re trained properly.

Create Expectations for the Role

First, it’s crucial that your new employees are aware of the expectations you have for their role. They should understand exactly what you expect out of them including everything from their daily responsibilities to any quotas they need to hit.

Implement KPIs into Your Training Process

KPIs are important to implement for successful training. These metrics should be focused on the parts of your business that are most important to you. Some of the most popular call center KPIs are time to answer, first call resolution, hold times and transfer rate. In order to improve each of these factors, employees should be trained to focus on these KPIs.

Train Your Employees to be Industry Experts

New employees need to become experts in the product or service they’re working with. Make sure that they have training manuals, videos and all other resources that will be helpful to their learning process. Your agents should feel comfortable and fully understand the product since the customers they work with will expect them to answer their questions.

Establish a Company Culture

A strong, positive company culture is crucial to any corporate business, especially call centers. Not only does it help to recruit the best staff, but it also minimizes the turnover rate, motivates employees to act in the best interests of the company, and encourages quality customer service to drive the business forward. Unlike other departments of the company, call center employees endure a lot of stress due to customer support and being the voice of the company. Luckily, there are some simple tricks to keep in mind to perfect your call center company culture.

Reward Your Employees

When your employees excel at their position, it’s important to show recognition and your appreciation for their dedication to success. Employee recognition that are results oriented is not just a nice thing to do; it’s a communication tool that rewards the most important outcomes people create for your business. When you consider the employee recognition processes, you need to develop recognition that is equally powerful for both the organization and the employee. For example, your could host a company-wide contest for having the best quality control this month and the winner will receive a $100 bonus and spotlight in the company newsletter. Your customer service will increase and your employee is now more motivated than ever to keep up the good work.

Be a Coach

Most employees don't want someone micromanaging their work or overly disciplining them for first-time mistakes. Instead, they prefer managers to clear the way for them to work productively. As the manager of a call center, you're

responsible for a lot of things, and often times this takes you further away from 'doing' things yourself. To maintain your employees' trust and respect, stay aware of the work they're doing, and coach them as needed. When your develop a coaching relationship with your employees, you’ll give your workers the freedom and support they need to do their work while letting them learn along the way.

Manage the Drivers of Company Culture

When you encourage the leadership team to “walk the talk,” you will see how their influence will instantly shape the company culture. When they display a positive attitude and prove themselves to be key leaders of the company, your staff will easily recognize the attitude this company prides itself on. Also, make sure they clarify the roles and accountabilities for each employee, and although it is not pleasant, they are responsible for replacing people where necessary. It is their job to focus on success and hire key people who will be able to contribute and enhance the established culture, not take away from it.

A good company culture is the backbone of a successful call center. If you follow these best practices and find you aren’t seeing results, ask for your employees’ feedback and seek to understand how you can improve the environment. Having that transparency with your staff will do wonders for your operations and shift your business in the right direction.

Plan for the Future

To ensure the longevity of your call center, planning for the future will help motivate your team to have a successful year and to carry carry out success for the next. Your customers expect your call center to be reliable so you need to plan for worst case scenarios.

Location of Your Call Center

Inclement weather is one thing your company needs to plan for. Depending on where in the world your call center is located, you may be more prone to adverse weather than other places. This should be kept in mind when selecting a location for your call center.

Agents Working Remotely

In the case that your employees can’t make it to your office, a plan needs to go in effect to ensure that your customers don’t experience a lack of service. For those utilizing cloud technology for their call center, simply having your employees work remotely is a simple solution. Cloud technology is accessible anywhere theres an Internet connection; it’s that kind of convenience that makes virtual call centers so popular.

Expansion

If your call center is successful, it’s important that you’ve planned for a possible expansion. Depending on the type of call center, on-site or virtual, you’ve decided on, it may take a great deal of planning to expand. With virtual call centers, expanding is as simple as adding another seat on your call center software. With a traditional call center, expanding may be more difficult due to space and technology restraints.