Maintaining Balance With Business Process Outsourcing Metrics

Metrics have many uses for a company. But for a callpackage its system with three distinct sub-metrics.
center or any business process outsourcing company,Each of these metrics focuses on a single aspect, but
metrics are methods used in maintaining the balance ofall three are monitoring simultaneously to maintain
the organization. Metrics are nothing but variable databalance. These three aspects are task outsourcing,
that may climb and dip, just like any sales graph. It isproduct outsourcing, and service outsourcing.
dependent on the performance of the company andTask outsourcing metrics center its activity on
its employees. If the graph starts to dip, it is a red alertevaluating tasks. They review how employees carry
that signals the company of a decline. The declineout tasks and analyze the success rate of their
could pertain to employee productivity, sales, orperformance. Task outsourcing metrics cover four
product quality. The managers should then find waysperspectives in business process outsourcing:
to neutralize or improve the decline. Balance - this isoperational efficiency, strategic perspective, service
the key purpose of business process outsourcingquality, and financial perspective. Sample metrics may
metrics.deal with percentage of savings in operating costs,
BPO companies often embrace commonpercentage in deviation from present, and percentage
performance metrics, like CSAT or customerof increase in profits.
satisfaction, quality, and AHT or average handle time.The second sub-metric deals with product outsourcing.
There could be other possible metrics, but the threeIf task outsourcing has something to do with the input,
are generally the chief components. Call centers,product-outsourcing metrics are more on output. They
medical transcription providers, and other BPOreview activities related to the delivery of products,
companies regularly have customers that demandintegration capabilities, continuous reporting, and wise
stringent and tight deadlines. On behalf of the client, thespending of funds to a name a few. Sample metrics
company should measure the customer satisfactionmay cover the percentage of increase in labors cots,
rating, quality of handling, and the success rate of theexpenditure on research and development, increase in
contact, in the case of a call center. Using metricsoperational costs, and increase in revenues.
therefore, is not only for the BPO's purpose, but alsoService outsourcing metrics are also concerned on the
for the client and the customer. It is a meticulousoutput, this time; it is more on the intangible side. Aside
process that requires balance in the three components.from keeping the average handling time at an
However, it is difficult to sustain balance in these threeattractive level, service outsourcing metrics evaluate
areas, especially if the business processing outsourcingintegration capabilities of the employees, privacy issues,
company tries to augment its customer satisfactionpercentage of task completions, and accuracy of
rating for their calls. Magnifying one component oftenoperations.
leads to compromising another. In this case, focusingDespite the presence of these three sub-metrics in
too much on customer inquiries decreases the AHT orbusiness process outsourcing metrics, it is still best for
average handling time, since call center agents willthe BPO companies to observe balance of the three
devote more time in resolving the problem or concerncomponents. Since metrics systems are tools and
of the customer. In contrast, aiming for low averagedepend only on human inputs, managers should keep
handling time leads to a decrease in quality.average values for quality, average handling time, and
To solve this concern, modern BPO metrics tools nowcustomer satisfaction.