Outsourcing

The Outsourcing Institute
   Home    FAQ

   Case Studies

   Tools & Tips

   Ask the Expert

   Service Providers

What is Call Center Outsourcing (CCO)?

Call Center Outsourcing (CCO) is the contracting, to a third party, of various call center functions to an outside firm. CCO removes the burden of having to invest in facility and technological infrastructure, manage these back-office functions, so enterprises can focus on core business processes and strategic initiatives.

How many active call centers are there in the US?

The truth is no one really knows. That's because few people have a consistent definition of what they mean when they say "call center" and many companies operate call centers but don't publicize the fact. There are some estimates available from various sources.

Relating to the number of call centers in North America, according to Datamonitor's January 2003 report, "Opportunities in North American Call Center Markets to 2007."

"In 2001 there were 55,800 call centers in North America, of which 90%, or 50,200 are located in the U.S. Datamonitor expects the total number of call centers in North America to increase to 58,800 by 2007."

As to the number of call center agents, a March 27, 2003 article in the New York Times offered the following estimate:

"According to industry estimates at least 3.5 million people work at call centers representing 2.6 percent of the nation's workforce. In contrast, the nation has 4.2 million production workers and 5.5 million teachers from preschool through high school. The only clearly larger job categories are retail sales and food preparation."

What should we look for in a good outsourcing partner?

In general, one should look for a partner that:

Delivers quality solutions to help you develop stronger relationships with your customers.

Responds to your changing needs by:

  • Applying new technologies
  • Investing in people
  • Establishing strategic services
  • Forming new alliances
  • Improving internal processes to save you time and money.

Represents you, as you, in the eyes of your customers.

What are some key questions when considering outsourcing?

Are customers' concerns being answered timely and accurately?
Have we spent the capital necessary to keep our non-core customer service systems up-to-date?
Have we made changes to our customer service procedures to increase the lifecycle of our existing customers and create loyalty?
Can our customer access us through multiple channels?
Can we fix ourselves internally?
Is the capital available and appropriately spent here?
What might be better accomplished by partnering with an outsourcer?
What non-core functions should we outsource?
What are the goals we want to achieve from outsourcing?

What is the process to selecting a call center outsourcer?

  1. Define your opportunity.
  2. Develop the request for proposal.
  3. Evaluate the proposals.
  4. Make your selection.
  5. Negotiate the contract.
  6. Implement the program.
  7. Manage the relationship.

How do you evaluate and select an outsourcer?

  1. What is their commitment to quality?
  2. Is their pricing fair and tied to performance?
  3. Do they have good references and reputation?
  4. Do they offer flexible contract terms?
  5. What is the scope and depth of their resources?
  6. Have they demonstrated value-add capability?
  7. Will this be a cultural match?
  8. Are their locations good for you?

 

Call Center Outsourcing Articles & Info

Case Studies in Call Center Outsourcing