Case: Runners Edge$-$Call Center Process Analysis

Introduction

Steve Watterson, Vice President of Operations for Runners Edge, is concerned about their call center's performance. Mr$.$ Watterson has just finished reading a report prepared by consultant who has conducted interviews with $200$ customers that had contacted the Runners Edge call center. The study was conducted over four weeks using data generated from cal center reports. Runners Edge offers a complete line of athletic shoe products that are distributed throughout Europe. The customer service representatives $($CSRs$)$ at the call center ar trained in how to assist the customer to select exactly the correct shoe to match his or her needs and to properly fit the shoe to the customer. It is thought that this attention to satisfying th customer is important to the success of the online business.

The results of the survey are summarized in the accompanying table which provides insight into the operation of the call center. From the report, it is clear that there is much room for improvement in the operation of the center. Mr$.$ Watterson gets a sick feeling after reading the report. Runners Edge recently invested heavily in inventory to ensure that shoes would be available in the distribution center, yet customers still are not happy with the call center's service.

He could well understand the major complaint. He$,$ like the customers, hates to wait. The report indicates that customerstare having to wait at multiple points in the process. They wait for the phone to be answered, they wait on hold for a CSR to be available, they wait for advice from a running expert on shoe performance, and they wait to check out. Something must be done to ensure that the call centers operate in a manner that cuts down on customer waiting time.

The consultants have done a thorough job. Some data from the interviews are contained in their report. The consultants have offered to continue with a thorough analysis of the problems with suggested solutions. Besides the high fee, the consultants indicate that it would be a month before they could complete the follow$-$up report. Mr$.$ Watterson does not want to wait that long and is asking for your help in analyzing the data.

The Consultants' Report

The report is written totally from a customer point of view. It begins by categorizing the different activities of the customer while connected to the Runners Edge call center. For each of these activities the consultants surveyed the customers to determine how satisfied they are with the manner in which the service is completed. The report includes various statistics on how often the activities are performed as a customer moves through the call center process.

The following table summarizes the main points of the report. For each activity, the report details what percentage of customers actually engage in the activity. Details based on the survey question that relates to each activity are given. The questions use a six$-$point scale to indicate a range of dissatisfaction $($low numbers$)$ to complete satisfaction. $(6\mathrm{.}0$ is the highest$).$

Mr$.$ Watterson is concerned about the consultants' findings regarding flow through the call center. The idea of categorizing the activities and tracking the flow of customers from one activity to the other had not occurred to him before. He could see that by looking at the operation of the call center in this manner, the center operates much like a factory. He knew that there is much variability in how long it takes to perform each of the tasks in his Runners Edge call center and wonders how to account for this uncertainty.

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Evaluation of Customer Satisfaction

Group $1-$ Model the flow of customer through the call center. Assume that an average of $100$ customers per hour call the center. Also, assume that the call center is $c$ consultants, and six billing clerks.

Group $2-$ Calculate the input rate $($events$/$hour$)$ and the average time per event for each of the three departments.

Group $3-$ Calculate the average utilization for each of the three departments given the current staffing levels.

Group $4-$ Would you make a staffing level adjustment, and if so$,$ where and by how much?

Group $5-$ Based on the list of complaints, where would you focus attention?

Group $6-$ What performance metrics would you implement to monitor performance?