topic: everest group peak matrixtm for cco service … · note: for a detailed service provider...
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Copyright © 2014 Everest Global, Inc. This document has been licensed for exclusive use and distribution by Teleperformance
Topic: Everest Group PEAK MatrixTM for CCO Service Providers
Focus on Teleperformance February 2014
EGR-2014-1-E-1046
2 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Everest Group defines the CCO market as engagements with the primary purpose to support all forms of direct and indirect (or in support of direct) interactions with customers, both external and internal. It involves a structured multi-channel and remote communication environment
CCO does not include contact center services embedded within the scope of outsourcing engagements targeting processes other than customer care, such as IT Outsourcing (ITO) or Human Resources Outsourcing (HRO)
Contact center pyramid
Traditional CCO primarily focuses on individual operational services
Increasingly, value-added services are included in CCO
Everest Group’s definition of the CCO market is centered on the delivery aspects of customer interaction
Strategy Value-added services Operational services
Strategy
Customer service Payment collections
Outbound sales services
Order fulfillment and transaction processing
Performance management & reporting
Channel management Customer analytics
Customer retention management
Inbound sales services
Customer interaction technology
Source: Everest Group (2014)
3 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Major Contenders
Emerging Players
Leaders
Everest Group PEAK Matrix – 2013 CCO market standings Performance | Experience | Ability | Knowledge
25th
per
cent
ile
25th percentile
75th percentile
75th
per
cent
ile
Teleperformance
Xerox Sitel
Transcom Teletech
EGS
Sykes
Sutherland Global Services FirstSource Capita
Webhelp Aditya Birla Minacs
Tech Mahindra Genpact
TCS WNS
Infosys HCL Cognizant
Serco Aegis
HP
Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix for CCO1 Leader Major Contender Emerging Player
CCO delivery capability
(Scale, scope, technology, and delivery footprint)
Mar
ket s
ucce
ss
High
Low Low High
1 Service providers scored using Everest Group’s proprietary scoring methodology given on page 13 Note: For a detailed service provider profile, refer to CCO Service Provider Profile Compendium 2013 released in December 2013 Source: Everest Group (2014)
4 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Teleperformance is a CCO Leader on the Everest Group PEAK Matrix based on their top quartile performance across both market success and delivery capability
Teleperformance’s position on Everest Group PEAK Matrix for CCO
CCO delivery capability
Major Contenders
Delivery capabilities Scale of over 100,000 FTEs serving over 680 clients across multiple geographies Covers over 60 different languages with focus on English and European languages.
Launched five EMEA multilingual hubs to further augment language capabilities Balanced revenue mix across geographies and industries. A top five service provider
across all regions – North America, EMEA, and Latin America Strong focus on HR practices and operational excellence to ensure high quality service
delivery and client satisfaction Balanced delivery model using over 250 delivery centers across the world to ensure
round-the-clock presence
Leaders
Teleperformance
Mar
ket s
ucce
ss Market success
Top quartile performance in market success with CCO revenue of over US$ 3 billion and client base across geographies and industries
Clients present across all major industries and geographies
5 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Teleperformance (page 1 of 4) CCO overview
Order fulfillment and transaction processing (0.4%)
Customer service
10%
87%
3%
Outbound sales service
English European languages
Other languages
53% 44%
3% 15%
56% 29%
Low-cost
Medium-cost High-cost
100% = 1.06 100% = 1.06 100% = 1.06
Source: Everest Group (2014)
Split of CCO FTEs Number of FTEs in ‘000s
By location By language By process
Recent developments Launched five EMEA multilingual hubs Teleperformance facilities in China and Colombia become
LEED Certified and in Germany and United Kingdom became ISO 14001 certified
Company overview Teleperformance is a global customer service, technical support, call center, debt collection, and social media company with 270 contact centers in 46 countries. The company conducts programs in more than 66 different languages and dialects in various industries Key leaders Daniel Julien, Chairman of the Board Paulo César Salles Vasques, Chief Executive Officer Brigitte Daubry, President of CEMEA Alejandro Perez, President of IBERO-LATAM Brent Welch, President of EWAP Headquarter: Paris, France Website: www.teleperformance.com
2011 2012
Scale of CCO Number of FTEs in ‘000s
103 106
6 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Teleperformance (page 2 of 4) CCO location landscape
U.S.
UK
India
Canada
China
Philippines
Chile
Brazil
Argentina
Jamaica Hongkong
Indonesia Singapore
South Africa
Thailand El Salvador
Mexico
Portugal Spain Albania
Algeria Morocco
Belgium Netherlands
Czech Republic
Denmark
Egypt
Finland
Germany
Greece Italy
Lebanon
Norway
Poland
Romania
Russia
Slovakia
Sweden
Switzerland
Tunisia
Colombia Costa Rica
Dominican Republic
Ukraine France
CCO delivery location
Source: Everest Group (2014)
7 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Teleperformance (page 3 of 4) Key CCO investments
Description Investment type Year of investment Comments
CCMS Internal 2005 Proprietary contact center system for clients only
TOPS, BEST, and JUMP
Internal 2006 Best practice processes for operations, HR, quality, and development
TP Platinum Internal 2009 Premium customized customer delivery centers
SOC Internal 2010 Industry leading security practice and operation centers
e-Performance Internal 2011 Tiered social media and multichannel customer experience solutions
TP Observer and TP Desktop
Internal 2011 Proprietary monitoring, measurement, and operating systems
TP AVAN Internal 2012 Advanced research and analytics solutions
CX Lab Internal 2012-2013 Multi-channel customer experience research & development trends labs
Multi-lingual Hubs Internal 2012–2013 Five pan-European multi market outsourced facilities
Dominican Republic Internal 2013 Nearshore delivery center
TP FLOWARD Internal 2013 Non-voice CRM BPO global solution
8 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Teleperformance is a Leader on the Everest Group PEAK Matrix for CCO
Teleperformance (page 4 of 4) Everest Group assessment
Delivery capability assessment1
Assessment dimension Rating Remarks
Scale Largest contact center provider with over 100,000 FTEs and 680 clients
Scope Balanced presence across all geographies, industries, and languages
Technology capability
Investments made to develop solutions across CRM and enabler technologies
Delivery footprint
Balanced delivery model with scale across high-, medium-, and low-cost locations
Overall remarks Teleperformance is a Leader on the Everest Group PEAK Matrix for CCO Well balanced portfolio across geographies, languages, and industries Teleperformance has made extensive investments in training and
development programs to identify best practice processes and deliver high quality customer experience
Along with agent training, investment in technology solutions has helped Teleperformance grow their revenue at a higher rate than their scale
Teleperformance has a higher revenue per FTE due to a balanced delivery model serving clients
Market success assessment
2,743 3,028
2011 2012
CCO revenue US$ million
25 29
Industry average Teleperformance
Revenue per FTE
US$ ‘000s
High Medium-high Low Medium
Major Contenders
Emerging Players
Leaders
25th
per
cent
ile
25th percentile
75th percentile
75th
per
cent
ile
CCO delivery capability
(Scale, scope, technology, and delivery footprint)
Mar
ket s
ucce
ss
High
Low Low High
Teleperformance
1 Everest group estimates based on contractual and operational information till December 2012 Source: Everest Group (2014)
9 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Appendix
10 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Everest Group breaks each element into subprocesses of the customer interaction value chain
Strategy
Customer service Payment collections
Outbound sales services
Order fulfillment and transaction processing
Performance management & reporting
Channel management Customer analytics
Customer retention management
Inbound sales services
Customer interaction technology Outbound sales services Outbound sales
– Telesales – Telemarketing
Data management – Data collection – Data cleansing and
refresh
Inbound sales services Inbound sales Cross- / up-selling
Customer service Outbound service
– Query resolution / call-backs Inbound service
– Technology support / helpdesk
– Service support – Complaint handling – Call escalation
General query handling – Schedule related enquiries – General product or service
information requests
Order fulfillment and transaction processing Order management
– Order validation – Order entry – Order processing
Order amendment / exception handling
Product activation Return/refund/rebate processing Billing and delivery queries
Payment collections Early stage collections
– Channel identification – Customer loyalty
maintenance Late stage collections
– Customer-at-risk analysis
– Customized treatment plan
Strategy (in-house) Contact center sourcing strategy Alignment of contact center
strategy with corporate strategy
Channel management Channel mix Customer data integration and
analysis Contact handling and routing
Performance management & reporting SLA adherence Key performance metrics Performance optimization Operational and management
reporting
Customer analytics Customer profiling and
segmentation Big data / social media
monitoring and analysis Customer satisfaction tracking
Customer retention management Customer lifecycle management Customer experience
management Loyalty programs
Customer interaction technology Technology adoption strategy Solution hosting, maintenance,
and support
Strategy Value-added services Operational services
11 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Everest Group classifies the CCO service provider landscape based on its PEAK Matrix Performance | Experience | Ability | Knowledge (PEAK) Matrix
Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix for CCO
2nd or 3rd quartile performance across market success and capability
Top quartile performance across market success and capability
CCO delivery capability1
(Scale, scope, technology, and delivery footprint)
25th percentile
25th
per
cent
ile
75th percentile
75th
per
cent
ile
High
Low Low High
Leaders
Major Contenders
Emerging Players
Mar
ket s
ucce
ss
(tota
l rev
enue
)
4th quartile performance across market success and capability
1 Service providers scored using Everest Group’s proprietary scoring methodology given on page 13 Source: Everest Group (2014)
12 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
Service providers are positioned on Everest Group PEAK Matrix based on evaluation of two key dimensions
Measures the scope of services provided through: Process coverage Number of channels
covered Geographic scope Number of industries
served Number of languages
covered
Measures the capability and investment in technology through: Investments in contact
center-related technology Enabler technology
solution capability, including analytics and social media
Measures success achieved in the market. Captured through CCO revenue
Measures ability to deliver services successfully. Captured through four subdimensions
Measures the scale of operations through: Overall company
revenue Number of current
CCO clients CCO FTEs
Scale Scope Technology capability
Delivery capability
Mar
ket s
ucce
ss
Major Contenders
Leaders
Emerging Players
Measures the delivery footprint and the global sourcing mix through: Delivery footprint
across nine regions1
Balanced shoring capability
Delivery footprint
1 North America, Latin America, Western Europe, Eastern Europe, Australia & New Zealand, India, Philippines, Rest of Asia, and Middle East & Africa
13 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
FAQs (page 1 of 2)
Does the PEAK Matrix assessment incorporate any subjective criteria? Everest Group’s PEAK Matrix assessment adopts an objective and fact-based approach (leveraging service
provider RFIs and Everest Group’s proprietary databases containing providers’ deals and operational capability information). In addition, these results are validated / fine-tuned based on our market experience, buyer interaction, and provider briefings
Is being a “Major Contender” or “Emerging Player” on the PEAK Matrix, an unfavorable outcome? No. PEAK Matrix highlights and positions only the best-in-class service providers in a particular functional/vertical
services area. There are a number of providers from the broader universe that are assessed and do not make it to the PEAK Matrix at all. Therefore, being represented on the PEAK Matrix is itself a favorable recognition
What other aspects of PEAK Matrix assessment are relevant to buyers and providers besides the “PEAK Matrix position”? PEAK Matrix position is only one aspect of Everest Group’s overall assessment. In addition to assigning a “Leader”,
“Major Contender” or “Emerging Player” title, Everest Group highlights the distinctive capabilities and unique attributes of all the PEAK Matrix providers assessed in its report. The detailed metric level assessment and associated commentary is helpful for buyers in selecting particular providers for their specific requirements. It also helps providers showcase their strengths in specific areas
What are the incentives for buyers and providers to participate/provide input to PEAK Matrix research? Participation incentives for buyers include a summary of key findings from the PEAK Matrix assessment Participation incentives for providers include adequate representation and recognition of their capabilities/success in
the market place, and a copy of their own “profile” that is published by Everest Group as part of the “compendium of PEAK Matrix providers” profiles
14 Copyright © 2014, Everest Global, Inc. EGR-2014-1-E-1046
FAQs (page 2 of 2)
What is the process for a service provider to leverage their PEAK Matrix positioning status ? Providers can use their PEAK positioning rating in multiple ways including:
– Issue a press release declaring their positioning/rating – Customized PEAK profile for circulation (with clients, prospects, etc.) – Quotes from Everest Group analysts could be disseminated to the media – Leverage PEAK branding across communications (e-mail signatures, marketing brochures, credential packs,
client presentations, etc.) The provider must obtain the requisite licensing and distribution rights for the above activities through an
agreement with the designated POC at Everest Group
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