At Customer Contact Panel (CCP), we’ve witnessed first hand how these factors are influencing decision-makers, especially CX leaders and CFOs. If you’re in the midst of making an outsourcing choice, you’ve probably got one of the following on your mind.
Growing Customer Demands: Meeting High Expectations
It’s not just about answering calls anymore. Customers want fast, personalised, and empathetic interactions that feel seamless and aligned with your company values. This means businesses must be more careful than ever when choosing an outsourcing partner. A BPO’s cultural fit with your company is crucial—they need to speak your tone, align with your brand, and uphold the level of service your customers expect – all of which take time which you don’t have. So, companies are scrutinising potential partners more closely, ensuring they’re a perfect match.
Technology: The New Wild Card
Right now, you’re being asked to do more with less or deliver a better service with the same budget. With inflation, high interest rates, and currency fluctuations, offshoring doesn’t feel like a financial guarantee anymore. Add in automation—think AI tools and chatbots – and CFOs are starting to wonder if tech could be the silver bullet to that beast of a budget. Whilst AI and Automation can scale fast, they can come with hefty initial costs. Businesses are now weighing their options:
- Do they stick with outsourcing (onshore, nearshore, or offshore)? or
- Do they double down on tech?
It’s a tough decision. Get it right, and they could boost customer loyalty; get it wrong, and it might lead to a backlash.
ESG: Outsourcing in a Politically Charged World
Outsourcing is no longer just about cutting costs; it’s also about navigating complex ethical and political waters. With Keir Starmer pushing for stricter ESG (Environmental, Social and Governance) standards, businesses are questioning their outsourcing partners, especially if those countries are known for poor labour practices or environmental issues. Throw in political instability and outsourcing now feels like a risky gamble. Operations could grind to a halt at any time, and businesses can’t afford that.
On top of that, data security is tighter than ever. With the UK government’s more stringent regulations, especially for industries like finance and healthcare, outsourcing is becoming bogged down in compliance red tape. A single data breach could ruin a brand’s reputation and customers’ trust—so finding a partner who understands data security is more important than ever.
Lastly, with the UK’s £22 billion budget shortfall and a focus on reshoring jobs, companies are balancing cost savings against their political and ethical responsibilities.
How CCP Makes Your Life Easier
At CCP, we get it – outsourcing feels complex. But we’re here to simplify it for you. We help businesses make smart, informed and equitable choices through services such as:
- Partner Matching: We connect businesses with a handpicked network of pre-vetted outsource partners (220+ partners infact), cutting down on the time and risk of finding the right partner.
- Cultural Fit Analysis: We ensure your outsourced team aligns with your brand’s values and service style, so there’s no misstep in tone or approach.
- Technology Sourcing: We know how difficult it is to cut through the sales patter and find the right tech for your customer contact needs. Well look no further, we have a network of 120+ pre-vetted and audit technology partners – who will get right to the point.
The Bottom Line
Outsourcing decisions are taking longer now because the stakes are higher. Customers expect nothing less than excellent service, and businesses are being much more careful about who they partner with. But with the right approach, outsourcing remains a powerful tool.
At CCP, we guide businesses through the process, ensuring they find the right fit, reduce risks, and build lasting partnerships. In fact, 93% of CCP’s clients maintain long-term relationships with their outsourcing providers – proof that our approach works.
With CCP by your side, navigating the increasingly complex outsourcing landscape is much smoother, helping you make the right decisions for today’s customer demands and tomorrow’s success.
Collectively Customer Contact Panel (CCP) have a lot of experience in contact centres and CX. However, as things are changing rapidly in the world of AI, we met with CCP to discuss some of the broader considerations, including what technology we could deliver as an alternative view of what could be our probable future reality with the support of AI – we agreed we would share the output.
The art of the possible?
We can talk about the pace and the tone of this piece, however the reality is that with appropriate questions raised and some boundaries that we included (some for our amusement) the content within this 10 minute AI generated “BotCast” not only demonstrates the capabilities of AI, but raises some interesting questions and considerations as to how CX evolves and what guard rails need to be in place.
Click here and have a listen, and of course, if you want to discuss we’d be happy to deploy some of our humans.
Since the launch of ChatGPT and subsequent proliferation of AI-driven technologies across the customer contact technology landscape, the pace of change has accelerated exponentially. From communication analytics, quality management and agent assist, to replacing IVRs with their omni-channel equivalents and real time translation services, the impact of AI on our industry has almost been as big as the invention of the telephone itself. Not only is this a source of organisational stress, are there implications for outsourcing and contract mechanisms?
While the telephone fundamentally changed human-to-human communication, AI technologies are transforming human-to-machine interactions. And given how we now communicate with each other, that can only mean that change is both permanent and ongoing.
This permanent change is putting increasing stress on organisations to restructure how they equip themselves to communicate with both their customers and their target market, irrespective of the sector they operate in.
We are seeing organisational stress in three areas:
- Understanding the impact of these changes across the customer and target market demographic
- Properly evaluating the ability of existing technology platforms to accommodate change and realign to new communication paradigms in the mid to long term
- Fully understanding the mid to long term commercial impact of bolt on technologies to deliver short term performance and cost reduction gains.
In helping organisations cope with these stress areas we see striking parallels to the changes seen when organisations first began to interact with customers remotely. The evolution which began in the 90s to get more value from data, media and communication spend resulted in specialist operational activity often being outsourced as few organisations had the specialist people, process or technology to support those functions as cost effectively as outsourced providers could.
As customer became core to operations and remote customer management became an operational necessity, organisations began to establish their own capabilities, leveraging existing data management infrastructure to control and drive insight. Customer contact levels boomed, the technology to enable customer contact saw similar growth and our industry was born as more organisations grasped the benefits of controlled and managed remote customer contact.
Considering those parallels, we ask “Should organisations be stressing themselves or does that same customer contact outsourcing industry ‘muscle up’ for this second cycle of permanent change to reduce organisational stress in the shape of Outsourcing 2.0, underpinned by end-to-end AI driven technologies and the accelerated levels of operational insight that provides?”
Observing change in the global customer contact outsourcing market
Outsourcing is a very broad church. Our global network of two hundred plus providers gives us a privileged view of the diversity of the services provided, service delivery and how services are contracted. Whilst industry pricing has generally reduced in real terms over time, the way that service pricing is presented has not really evolved that much, it has not been that complicated, clients have had a choice of:
- straight hourly rate,
- the hourly rate with outcome components,
- outcome with activity components and
- outcome alone.
Making money has not been that complicated either. As long as the effective revenue per hour outweighed the total known costs per hour, then outsourcers made money.
The outsourcers’ challenge has always been about packaging service and price to be more attractive than the nearest competitor. Of course, that global mind set has led to an incredibly diverse and attractive industry offering, but it is doing little to relieve the level of stress we see in organisations today. Especially as permanent change begins to impact on mid to long term business performance forecasts.
What we see in the global outsource community is the emergence of some clear lines of distinction between service offerings. Principally between those that have the capability (or plan to have the capability) to relieve mid to long term organisational stress and those that don’t. Whilst those customer contact outsourcers that don’t have (or don’t plan to have) this capability to de-stress, continue to be well placed to solve organisations’ immediate and short-term challenges, we have seen some significant levels of technology and skills investment towards an Outsourcing 2.0 capability, amongst those that can.
What we are not seeing enough of is an evolved, Outsourcing 2.0 contracting proposition. One that is equitable for both parties. A simple contract proposition that provides an upside for the technology and skills investment of the outsourcer and in return, long term risk and cost reduction for the client.
Striving to deliver an equitable position to accommodate permanent change
Our view of the customer contact world is that its typically the client that makes the decisions on how they want to automate customer contact to reduce friction and cost in their operations. We also understand that the client may also want to:
- know more about how changes in customer contact are going to flow through product and service delivery,
- be able to make active decisions on what those changes mean in terms of risk and profitability,
- identify service solutions that will de-risk their journey to deliver customer contact at lower cost,
- deliver value and benefits that justify the time, cost and effort in enabling process change
- potentially deal with specific customer use cases where they do not have the physical capacity or technical capability,
- do all this without compromising service delivery in terms of quality and data governance i.e. the regulatory and contracted controls supporting data privacy and data security.
We also recognise that the world of customer contact tech is changing faster than it probably ever has; and it’s hard to tell what the next few years will bring in terms of time saving and service enhancing technologies.
SaaS based technology is easier to deploy, easier to recognise ROI, is already impacting on the flow of low complexity tactical work into the global outsourcing industry. This trend is also evidenced by more work. being delivered via the client’s own technology, enabling them to leverage their existing back-end systems integrations and continue BAU without interrupting the established end to end data flows supporting their existing operational reporting and decision-making processes.
Whilst the outsourcer community is continuing to strive to deliver uncompromising value, to positively impact service delivery and comply with regulatory and contractual data governance, there is clearly an acknowledgment of the impact that customer contact automation brings to their core market.
Contracting to deliver mid to long term value by de-risking the transition to a permanent change in customer contact
Global outsourcing capability now has a firm dividing line across it. Those that have (or plan to have) the infrastructure and technology to deliver permanent change (2.0) and those that have not.
For those that have (or plan to have), we can see the opportunity for a new type of contracting relationship with clients. A contracting relationship that:
- de-risks the client from the turbulence of technology change whilst delivering the permanent changes we see in human communication and the impact that has on customer contact service delivery,
- will enable the outsourcer to deliver appropriate levels of automation without compromising the clients service objectives and targeted cost reduction when expressed as simply as a ‘cost per customer per annum’.
In the context of customer contact, clients find the idea of managing permanent change, de-risking the potential downside of getting that change wrong and doing that at a fixed and reducing cost very attractive. Especially when that contract properly considers how service quality is measured and underpinned as well as being directly linked to cost.
There are then two big variables in the client conversation that are both fundamental to a new contracting proposition.
One is the composition and contracting position of the legacy technology overhead that delivers existing levels of customer contact, especially how that customer engagement technology stack is connected into the ‘back office’ technology of the organisation.
The second is about existing costs. This is the client’s understanding of their current cost of managing their customers. Specifically, how that’s calculated especially in the context of a desire to express that as a ‘cost per customer per annum’.
Recognising the barriers to change
It is easy for us to oversimplify what we see as a new contracting paradigm. But we also recognise that the old contracting models don’t proactively and deliberately reduce the organisational stresses that put mid to long term business performance at risk.
Of course, some business verticals carry significant levels of technology debt. However, unless we explore, and explore deeply, what the possibilities are, then the weight of technology debt will drown organisations and fail as a lifejacket to guarantee ongoing survival.
Unless your technology is able to destress your organisation now, then the same technology stands little chance of keeping you afloat in the mid to long term.
Customer communication and customer contact management has changed permanently and is different from customer contact pre-the explosion in generative AI. This means new risk and new levels of risk for both client and the customer contact outsource communities. Our view is that contracting between the parties needs to change fundamentally.
Outsourcing 2.0 offers a mid to long term view of how both client and service provider can benefit whilst reducing risk on both sides. By looking at contracting differently, both parties can focus on their core strengths and experiences to set and deliver against service goals and commercial objectives. To do that mutually establishing, expressing and agreeing the existing technology stack directly supporting customer engagement and the cost per customer per annum to deliver growth and service objectives.
What next?
What are your thoughts on the future of customer contact outsourcing contracts? Do you think we’re thinking along the right lines, or have we underestimated the complexity of clients’ current position, especially in the context of technology debt? Whether you’re a client or service provider we’d love to hear what you think.
Like it or not, AI is coming and it will change how we talk to customers. But there are risks. What if those customers are vulnerable? Can AI look after them properly? And while we’re thinking about vulnerability, as AI increasingly consumes customer data, what needs to be done to look after that too?
On June 25th Customer Contact Panel hosted an event with CXReview at the IBM Innovation Studio in London on this very topic. Speakers included Gemma Woodcock of IBM, Jim Steven of Experian, Elaine Lee of Reynolds Busby Lee and Keith Shanks of CXReview.
Steve Sullivan of CCP was master of ceremonies and led the discussion.
Here we outline the key takeaways from all speakers for what we can do right now to mitigate those risks and set contact centres on a path to responsible use of AI.
Contact Centre AI: Not if but when
- The event focused on: Outlining the risks and considerations when implementing AI and automation, and
- The adoption scope within the Contact Centre environment, specifically supporting agents to deal with the ‘cognitive load’ when handling vulnerability and more challenging customer contacts, whilst maintaining quality and overall customer experience.
While there was much discussion around Al, Generative AI and the inevitable impact on our roles, we are still a long way from a time where agents will not be required in customer contact; we’ve evolved too far as humans for this to change. However, ignore AI at your peril.
“Consider those that did not take the internet seriously, those on the high street who failed to embrace it and look at what happened to them”
Gemma Woodcock of IBM
The AI data question
Ultimately the use of AI depends upon building models that can make predictions that add value. These are dependent on what the source data looks like. Ensuring correct identification and use of the right material is essential; wrong information can lead at best to incorrect responses and at worst to biases or hallucinations, all of which carry considerable risk to brands and their customers.
Consider also that using the questions that your customers ask you to inform future responses may not be typical – for example they may have arisen from an unusual event at a specific point in time – and if you treat them as such, this may lead to incorrect or just plain weird future responses. . Moreover, if the answers to those questions relate to your own IP and you are using open-source solutions, you may be making your IP available to others.
Additionally, who you are sourcing your solution from needs to be considered. In March 2023 alone there were 14,700 start-ups established in the AI space. Which means due diligence and an understanding of how AI solutions, which are often highly specific by nature, work together is essential.
That isn’t to say everything in AI is new. The early concepts and mathematics of AI date back to the 1950s and 60s. Over the last decade or so, increases in computing power have begun to make AI more commercially accessible. Which means AI and machine learning is already well-established in using models that look at patterns, as we’ve long since seen for Amazon purchase recommendations, or in more recent years the introduction of machine learning and explainable AI in credit scoring.
As is often the way with AI, these are specific use cases with an enormous amount of investment behind them to make them function well, particularly to allow for the use of AI in regulated industries. One aspect of these is that they depend on properly labelled data. Which is already well-ordered and highly specific in the world of credit risk. But the process of labelling data, especially data that isn’t already extremely well-ordered, is intensive and expensive.
Imagine then the complexities of labelling data in natural language usage and you begin to understand the significance of recent advances from the likes of IBM’s Watson – or the oft referenced ChatGPT – in Generative AI. In customer contact, these are what we call “foundation models”. They are pre-trained and need prompts, but can’t answer questions specific to your customers without customer data and an understanding of how customers are likely to interact. These large language models can be applied to this process – they can use
labelled data and the numerous ways to ask the same question in the past to develop further to meet your and your customers’ needs.
4 key tests for effective AI
The use of Generative AI should have 4 key considerations:
- Open: use of best technologies and innovation
- Trusted: can you trust the outputs
- Targeted: designed on specific use cases
- Empowering: ability to augment the human role/experience, not to replace it.
Pretraining and governance funnels need to be in place, with considerations ranging from the benefits of the use case to ensuring only the necessary inputs go into the model. Put simply, if nothing “inappropriate” goes in, then nothing inappropriate can come out. Additionally, this approach means it should cost less to set up the model and take less energy (power) to run. Remembering just how energy intensive AI can be, this is an important consideration.
When it comes to Risks, Regulations, and Technological requirements, there needs to be a level of governance. And during scoping of your solution, you need to consider the ongoing effort required to support it to ensure it meets – and continues to meet – strict governance. AI is not a fire and forget implementation.
AI and the bad guys
“It isn’t only the good guys that are using AI and Automation, ‘mal-actors’ are using it to enhance their processes too.”
We were fortunate to be joined by Jim Steven of Experian who shared with us some of the activity he has seen from his work in managing data breach responses. This has implications on multiple levels.
- Consolidation of data: bringing everything together to enable automation could mean that you are at greater risk if your business is breached. Additionally, using suppliers with cloud-hosted data may mean that their breach becomes your breach too.
- Benefits of automation are not exclusive to those doing good: we are not the only ones that can leverage great technology. Those with mal-intent are using it too; and they will typically do so more quickly.
- Consideration of how those impacted by a breach find the experience: when a breach occurs, it is likely that it will be across your entire estate of stakeholders. Therefore, it is not just your customers that will be impacted – it will also be employees, former employees, pension members, contractors and suppliers.
Communication with people who have had their data compromised is personal, it needs to be managed in different cohorts and isn’t really something to automate – especially with your employees, who you will need to support your customers through the situation with empathy and understanding. Not only that, but it’s important not to lose sight of the millions of customers who don’t currently interact online at all – they aren’t typically digitally savvy and may not even consider that their data is an important asset that can be used for nefarious means.. They must be informed and supported in ways that work best for them, cognisant that it is us who hold their data digitally.
Moreover, data breaches are not always one way – it’s not always about theft or ‘acquisition’ of data. Looping back to the theme of ensuring that you consider what data is held in the system for interpretation, bear in mind that even the simplest upload of additional data to your systems can impact operations. For example, there was an accidental, entirely innocent, upload of bad data to air traffic control systems in 2023 that resulted in 98% of aircraft being grounded.
People accessing and uploading bad data to your network could equally paralyse your organisation. Be mindful that centralising your information management may enable system vulnerabilities that could be exploited.
What about vulnerable customers and AI?
Elaine Lee joined us to speak about vulnerable customers and the need to ensure that we are considering them in our approach to technology and process solutions.
“40% of Companies are not doing well enough when identifying and supporting vulnerable customers.”
The FCA considers 52% of UK population to be vulnerable. The impact of the cost of living crisis on the UK population is that 25% of adults now have low financial resilience and the drivers of vulnerability are varied, including:
- Health
- Capability
- Life Events
- Resilience
- Equality
- Access
Remember, vulnerability isn’t static. We may be displaying vulnerability and require additional support today, but not in a few weeks’ time.
With 40% of companies already not doing well enough when identifying and supporting vulnerable customers, how will the introduction of AI affect those customers? Of course, there is a spectrum of risk. So it’s important to understand who and where your customers are on that spectrum at any given time, and the potential for harm – understanding what they are vulnerable to?
People may also be vulnerable through lack of access or confidence with digital tools, they may be under pressure financially through the continuing cost-of-living crisis or low financial resilience, they may be experiencing a physical or mental health condition or going through a life event that changes their ability to make decisions in the usual way.
When implementing changes, ensure that you have properly tested your solutions to work effectively for vulnerability. Use diverse customer panels and map the possibilities for different customer types. The effort needed to get it right does have a financial impact on your business, but if you succeed it will reduce customer complaints, increase engagement and therefore increase customer value.
Use cases and how to implement AI safely in Contact Centres
CXReview’s Keith Shanks rounded up the presentations with a reminder of the history of automation and AI use in contact centres. He highlighted the predictive dialler as being a key example of great technology that when implemented either badly or with mal-intent, has negatively impacted consumer perception and experience.
“Automation in Contact Centres: It isn’t new. It’s been around for years with mixed results through implementation.”
Due the nature of the customer contact operations, there are plenty of use cases that can be considered for development and implementation.
- Ensuring consistency and pace
- Automation of decision making
- Increased accuracy
- Assisting agents in dealing with complex customer contacts
- Enabling access to the right information at the right time.
However, we need to be cognisant of the potential challenges and ensure that these are properly addressed.
- Data privacy
- Security
- Vulnerabilities of both organisations and individuals
- How we ask our people to engage with the use of technology
With great opportunity comes great responsibility
If you would like to discuss more around how you are implementing AI and automation within your organisation and what it may mean to your people, customers or processes, then please contact the team.
Additionally, we are able to provide access to content from the day if you would like to read further.
Traditionally, contact centres have relied on a somewhat impersonal approach to assigning agents to clients. This method, often arbitrary and based on immediate agent availability, overlooks the potential of personalised interactions. Such a lack of customisation can result in missed opportunities for both agents and clients, leading to inefficiencies and general dissatisfaction. Personally, I think it’s time to move beyond this one-size-fits-all strategy and embrace the uniqueness of every individual involved.
Embracing the power of AI and Human connection
The integration of AI into your contact centre offers a promising solution. By analysing vast amounts of data, including historical interactions and behavioral patterns, AI can intelligently match clients with the right agents. This strategic pairing goes beyond mere transactions, aiming to create meaningful relationships where both parties find value and understanding. It’s about rekindling the human element in every conversation, ensuring that each interaction is not just efficient but also genuinely engaging.
A smarter approach
Technology should enhance, not diminish, human connections. Every individual has a unique mosaic of needs, desires, and dreams. Our mission is to foster meaningful work by appreciating and understanding this individuality By acting as matchmakers, we ensure that agents find joy and meaning in their work, leading to more positive and successful engagements with clients.
For agents, this approach transforms each workday into an opportunity for meaningful interactions. For clients, it ensures a more personalised and less stressful experience. And for leaders, this synergy between well-matched agents and clients not only streamlines workforce management but also enhances team engagement and success, contributing to the overall achievement of organizational goals.
The competitive advantage: valuing people
In a market where differentiation is key, the unique personalities of our people, combined with innovative matching technology, stand out as the competitive advantage. This focus on positive engagement and deep human connections within the corporate environment leads to enhanced profitability and a distinctive market position.
Final thoughts
The contact centre industry is poised for a significant transformation through the integration of AI, with a focus on enhancing human connections. By moving away from impersonal assignments and embracing a more strategic, data-informed approach, we can significantly improve agent satisfaction, client experiences, and overall success rates. Our commitment at Bestpair is to lead this change, ensuring that every interaction is not only successful but also truly enjoyable, reaffirming the undeniable value of meaningful connections in the modern workplace.
If you’d like to find out more, get in touch.
Are there really no bad ideas? This age-old question plagues organisations that are trying to innovate while managing realistic resources and budgets. None of us want to stifle creativity—we’re all encouraged to think creatively and bring new ideas. As we alluded to above, maybe it’s the execution of ideas that results in undesirable outcomes.
Distributed and Contact Centre Panel (CCP) recently teamed up to help more organisations turn their ambitious ideas into reality. Any idea is worth exploring, but without proper execution, outcomes are often lacklustre at best and failures at worst. In a tech landscape where 70% of transformation projects end up failing according to McKinsey, it’s critical to get the strategy and process right at the onset.
We want to set business leaders on the best path possible toward successful digital transformations. With our combined expertise and years of experience in helping companies implement change across industries and geographies, we’ve compiled the guiding principles that will be foundational to any large-scale technical project.
Be clear on strategy and your “why” at the start
Nobody sets out to do a bad job. The execution of a project—especially in an outsourced environment—is complex, so it may not be a specific decision that halts progress, but a situation where people fail to make a decision, or don’t work through the priorities and therefore are trying to work with limited resources.
Distributed Founder, Callum Adamson shares, “Make sure you’re in love with the problem you’re trying to solve, not the solution you think is needed. I see people thinking, ‘I’ve got this great idea for an app,’ rather than ‘This problem needs to be solved.’” Clearly defining the priorities of a project will ensure that everyone is working towards implementing the agreed upon change. When resources are limited, there’s no more important factor to a project than knowing exactly how it will affect the organisation once the project is finished. In order to better track the impact of your change implementation, make sure to identify:
- Key KPIs that will be measured before and after the project
- Goals for those KPIs in order to track against expectations
- Teams that will be affected directly by the transformation
- Stakeholders who deeply understand the problem you’re trying to solve
Make sure you have the right resources dedicated to the project
Change is inevitable in any organisation and if we fail to acknowledge this then those organisations are destined to fail. Opportunities to deliver additional customers, revenue, or margin are dependent on successfully implementing change. The step that makes something a “bad idea” is potentially the decision to not apply the appropriate level of thinking and resources to the project.
Once you understand the parameters of your project and exactly how the change will affect your organisation, it’s time to set out for the right resources. Good ideas become bad ideas when the levels of critical thinking and creativity don’t match the complexity of the project. Make sure there’s enough time, budget, and talent dedicated to the transformation project in order to move forward completely. If there isn’t, be realistic about what you can accomplish with what you have, and flex your creativity to stretch those resources in ways that will help your team make more progress.
At CCP, nearly a decade of work has been dedicated to honing in on connecting organisations to the best resources for their projects. CCP Founder Phil Kitchen shares, “We always see that the best fit organisations to support our clients or network have three key components to their offer. These are:
- Solution, that the needs are clearly understood and the partner is aligned to the same objectives
- Commercials, ensuring sustainability for all engaged to deliver a win/win outcome
- Cultural alignment, to ensure open and transparent communications and delivery
Leverage the right talent at the right time
What truly needs to be considered when making any critical change is that there needs to be the necessary capacity to deliver change whilst managing the day-to-day goals. Impactful change can only be achieved with impactful teams, and sometimes those teams need additional expert perspectives and skill sets in order to more holistically drive a project forward.
This is where leveraging external talent becomes the key to driving innovation at growing organisations that are moving quickly while simultaneously implementing ambitious transformations. We have a deep understanding that success can’t be achieved in a silo. In order for internal teams to excel in their “zones of genius,” they need the right support to enable an open, empowering environment for better productivity and workflows.
Freelancers make up 40% of the digital workforce today. That’s a tremendous amount of talent that can potentially help organisations shift their businesses through successful transformation projects. This talent remains largely untapped today, even as business leaders become more open to the idea of leveraging talent ecosystems outside their own companies. With this leap comes global perspectives, remote working practices, and increased productivity that can be unlocked with the right talent strategy.
We’re building the future of tech transformation—join us
CCP and Distributed are partnering to help organisations achieve greater change at faster speeds—without compromising on quality. Keeping this balance is important to us because we know it’s important to business leaders worldwide. As we continue our work, see how good ideas can become great ideas when the right talent teams can contribute their unique skills sets and expertise to your projects.
I often think that managing your contact centre performance on a day-to-day basis is like standing on a sandy beach watching the waves come in. Without fail going in, out and always, always, dependent on the weather. Sometimes it’s so monotonous you can drift off in the sun, waves lapping at your feet, then suddenly find you’re floating. Then there are those grey stormy days when it feels like we are going to drown, freezing from head to toe, no wetsuit, now fleecy towel.
So, what should be the first thing in the ‘beach bag’ to make sure we don’t drift off in the sun and don’t freeze our bits off when it gets stormy? The answer – Something that shows us our quality of performance, whatever the weather. Quality is the one baseline that we can use, whatever the weather. Properly defined, it can be our deckchair, sunshade as well as our wetsuit and fleecy towel. Get ‘quality’ right and there is no sunburn, no more shivering, chilled to the bone.
Technology should be looking at everything we do
In a contact centre technology world now dominated by AI and multiple customer engagement channels, it’s essential that whatever we use to measure quality is looking at everything we do, all of the time. It’s also desirable that whatever we deploy to help us understand and manage quality can help us perform to the best of our potential and make the very most of the people we have at our disposal.
Whether those people are internal or outsourced, it’s our day to day / hour to hour performance that drives us, whatever our resourcing model, however performance is defined. In simple terms, performance is always a multifaceted measure, made up of different time and process-based outcomes delivered to our desktop by the tech’ that enables our everyday customer engagement. Think of those performance outcomes as the ‘what’, then quality is all about the ‘how’. Keeping track of ‘how’ effectively provides us with the tram lines of what is acceptable / not acceptable to the customer and defines the boundaries of what is ‘on brand’ and what is not.
Look at easy-to-deploy applications
Keeping performance ‘on brand’ is something that contact centre managers (inhouse or out of house) have high on their ‘to do’ lists, whatever the beach, whatever the weather. And in our experience, quality is the one area where we see AI driven applications having an immediate benefit. Easy to deploy on a SAS model with usage-based costing models available, these applications can watch every wave, every temperature and air pressure change. Providing you with an early heads up to get off the deck chair and start putting on your wet suite.
Certainly, nailing quality monitoring is the smartest way I can think of as an entry point to deploying an AI strategy. Whilst the landscape may look confused, given that all vendors say the same thing, what we know is that the ‘best in class’ applications are easy to deploy (with ‘out of the box’ CRM / CCaaS integrations) giving you immediate insight and potentially freeing up valuable resources. We have even seen applications providing individual coaching programmes to save additional time and effort for your managers and training teams.
It worked in the 80’s
All of this somehow reminds me of that Bananarama song…. “It ain’t what you do, it’s the way that you do it”. For those of you who are much too young to remember, Bananarama are an English female pop band who have had success on the pop and dance charts since 1982. Rather than relying on harmony, the band generally sings in unison, as do their background vocalists. Although there have been line-up changes, the group enjoyed most success as a trio made up of lifelong friends. In the 1980s, Bananarama were listed in the Guinness World Records as the all female group with the most chart entries in the world, a record which they still hold.
If quality is a record that your organisation wants to hold, then get in touch. Let us help you with your AI conversation and provide some additional insight on what’s out there in the world of tech’ so you can have a relaxing time on the beach!!!
In the past 12 months we have seen rapid acceleration of automation and AI solutions. However, when it comes down to dealing with customers, human relationships still have their place.
We are all customers and there are times when we just want to get something done quickly. In banking terms that may be a balance or transaction check, give me the information that I need fast and simple. It could be a renewal of your insurance or to check where an order is.
But what if the balance isn’t what you expected or you have a duplicate transaction? The renewal price has changed dramatically, or the order isn’t arriving today after all, and you’ve taken a holiday day to wait for it? Well, you probably want to speak with someone, you want understanding and empathy. Another human to say to you it has all been sorted and there is nothing to worry about, to apologise – and mean it.
So, it is likely there will always be some form of need for human intervention in the process.
People determine the processes
AI can determine when a customer is likely to need to make contact based on analysis of various data points and the creation of insights. It can run tasks/journeys to make proactive contacts at the right times based on customer lifecycles.
However, it has not reached the point of autonomy yet where it can decide what the CX should look like, it can give the tools but you still need to direct the effort, so people remain key.
Are your automation objectives aligned?
Few outsource providers have the technology inhouse to satisfy the needs of their clients directly, few clients have the experience to implement AI themselves. As an outsource community of CX specialists you have the opportunity to shape the service delivered and the enable your clients to deliver better outcomes for their customers, differentiate their brand and help them either grow their business or reduce costs.
There is no point putting your head in the sand; this change is here, it is happening now. To say “it’s coming and we will get to it” is too little, too late.
The best thing that you can do is ensure that you have the right partners to enable you to deliver the changes that your client needs and the right commercial agreement with your client to ensure that your business is sustainable.
“If you aren’t talking to your clients about AI and automation someone else will be.”
Those who simply try to protect their headcount will find that they are on the losing side when it comes to contract renewal. Don’t wait until renewal comes along to talk to clients about innovation and cost saving, they will see straight through this!
There are benefits to automation that can support your business
We have seen massive change through homeworking during the pandemic, increased attrition, increased salary costs due to inflation and pressure on clients to manage costs as a result of reduced customer spend due to a hardening economy.
We have seen increasing amounts of work being placed offshore, however there remains the risk that other labour markets become increasingly competitive and then costs will start to rise again.
Customers expect automation for certain tasks, they crave it, so you need to be able to provide solutions for your clients.
“Choosing the right technical partner could be critical to your future success”
As a business you need to ensure that you have:
- Sustainable solutions that work for you
- Alignment of objectives with your clients
- Technical delivery partners that you can rely on and trust to deliver on your behalf
Remember you get out what you put in. Be sure to properly resource any implementation project, scope realistically, ensure you have a clear business case, deliverables, testing and sign off processes, choosing the right solutions is only half of the story.
Want to know more?
Join Us for our webinar on September 14th, when we will be discussing in more detail the opportunity that AI offers to the outsource community.
Article 3 of 3
Our third and final area to highlight is the talent shortage in operations and more focused in areas such as data analytics, AI, and digital innovation. Attracting and retaining skilled professionals is essential for insurers to adapt to changing market dynamics and leverage emerging technologies effectively. But how are they going about doing this, particularly when their operational hubs are positioned outside the talent hub of London?
1. Talent Development and Training
Insurance companies are investing in talent development programmes to upskill their existing workforce. They offer training in emerging areas such as data analytics, AI, and digital technologies to ‘bridge’ colleagues in volume areas with deep experience of the customer, products and processes, into specialist roles where they can build upon that foundation. Additionally, insurers are partnering with educational institutions to create specialised insurance programmes that provide graduates with the necessary skills and knowledge to succeed in the industry.
By investing in talent development, insurers are closing the ‘skills gap’ to cultivate a pipeline of skilled professionals. This takes time to bear fruit and so with that comes an interim need to maintain the shortfall, or at least provide the foundation to build upon. The outsourcing industry is well placed to help here, both short and long term.
2. Outsourcing
In recent years, changing dynamics within the industry has seen employees talking with their feet and finding pastures new. There’s simply more choice for people and if the reward is better elsewhere and the work less complicated (and stressful) then the lure of jumping ship for better pay and conditions is strong, particularly when the commute is no longer a factor for many organisations. Whilst there are advancements in the technology space to soften the blow of the resourcing turbulence, the pace at which these are delivering tangible benefits is nowhere near sufficient to keeping up with the shortfall in resourcing.
We’ve seen the use of UK outsourcers as the stop gap, at least tactically for the initial shortfall, but the winners we are seeing are the overseas territories, South Africa especially for the customer facing roles. We believe those insurers that brave the outsourcing decision for their operations, hand in hand with technology outsourcing, will create strategic advantage versus their peers. We are currently seeing this with US based Insurers increasing offshoring to South Africa but not so much in UK Insurance, just yet…..
Want to hear more on this topic? Feel free to contact us hello@contactcentrepanel.com for further insight and guidance.
Want to read our previous articles? Part 1 and 2 have been linked below:
- Part 1 – Collaboration through partnerships
- Part 2 – AI, Data Analytics and Insights
Article 2 of 3
Insurers have long since leveraged data and analytics to gain actionable insights and drive operational improvements. After all, data is at the heart of underwriting, pricing and claims management. Advanced analytical techniques are being increasingly used to analyse large volumes of data, identify patterns, and optimise processes. Insurers are employing predictive analytics and AI for claims forecasting, fraud detection, and risk assessment, allowing them to make data-driven decisions and streamline operations. These run hand in hand with the operation itself and it’s critical the teams work closely together, especially when outsourcing is involved. Insurers are gaining strategic advantage in several ways. Here are some examples:
1. Enhanced Risk Assessment
By leveraging vast amounts of structured and unstructured data, insurers can refine their risk assessment processes. Advanced analytics and AI models analyse historical data, market trends, customer behaviours and external factors to improve risk prediction and pricing accuracy. This enables them to identify profitable segments, develop targeted products, and optimise underwriting decisions.
Insurers rarely let go of this core competence and fully outsource, so if the demand surfaces, it’s likely to be augmenting rather than replacing the mother ship’s in-house capability.
2. Fraud Detection and Prevention
Insurers are employing data analytics and AI algorithms to detect and prevent fraudulent activities. By analysing data patterns and anomalies, insurers can identify suspicious claims, behaviours or patterns that indicate potential fraud. Advanced fraud detection models help insurers mitigate financial losses, improve operational efficiency, and protect honest policyholders from inflated premiums.
Typically, outsourcers work across industry verticals and so bring a distinct advantage in terms of sharing learnings from one business sector to another.
3. Personalised Customer Experiences
By analysing customer data, insurers are gaining insights into individual preferences, behaviours and risk profiles, allowing them to tailor products, pricing, and services to specific customer segments. This level of personalisation enhances customer satisfaction, improves retention rates (increasingly important after the pricing reforms) and drives customer loyalty.
In an industry challenged with differentiation beyond brand recognition and price, personalisation is ever more important to the policy holder.
4. Process Optimisation
Of course, the need to identify and eliminate inefficiencies, reduce waste, and enhance operational performance doesn’t go away just because you enhance your technical capabilities elsewhere. Techniques such as Lean Six Sigma continue to be used to analyse processes, identify bottlenecks, and implement improvements. Reengineering processes to simplify and automate workflows, reducing cycle times and enhancing overall operational effectiveness will continue.
Through the use of process mining (we rate this software highly) and analysis, insurers can identify bottlenecks, eliminate inefficiencies, and create a pipeline of opportunities, driven by date, primed for automation.
If you would like to discuss further the challenges in the Insurance sector, the benefits of data analytics, AI and insights or generally about any of the points raised, feel free to contact us hello@contactcentrepanel.com
Watch out for the next article in the series considering the impact of Talent Management and Skills Gaps.