As a call center manager, balancing agent performance and well-being is critical. You need to ensure your team is productive and efficient without causing burnout. But how do you measure their productivity effectively, and more importantly, how can you improve it?
In this blog, we’ll explore practical ways to measure and improve call center productivity, helping you keep your team engaged, efficient, and satisfied. By the end, you’ll have actionable strategies to create a more productive and motivated call center.
What is Call Center Productivity?
Call Center Productivity is about how well a call center achieves its goals while making the best use of its resources. It looks at things like average call handling time (AHT), how quickly agents respond, first call resolution (FCR), and how happy customers are with the service. Good productivity means the call center runs smoothly, saves time and money, and provides a great experience for customers.
In simple terms, it measures the successful customer interactions and problems solved against the time and money spent. The goal is to give great service to customers while keeping costs low.
How to Calculate Call Center Agent Productivity?
You can’t define productivity just by looking at the total number of calls agents make in a day. If you think that agents who make more calls a day are more productive and those who make fewer are unproductive, then you are mistaken.
Yes!
The above process isn’t the right way. There are formulae to calculate call center agent productivity.
1. Overall Call Resolution Rate
Overall call resolution rate measures the percentage of customer issues or inquiries that are successfully resolved during calls. The formula to calculate this rate is the total number of resolved calls divided by the total number of calls handled, multiplied by 100.
Call center productivity = (Total number of resolved calls / Total number of calls handled) * 100
A higher resolution rate actually improves customer satisfaction and loyalty, as they appreciate good and quick service. It helps assess the efficiency of agents and find areas of improvement or training. It serves as one of the productivity metrics for agents and teams, helping to set benchmarks and goals.
For instance, if the total number of calls handled by your agents is 1000, and 850 are resolved by them, then the formula goes like this:
Call center productivity = (850 / 1000)* 100 = 85% (productivity).
2. Ratio of Output to Input
The ratio of output to input measures the time an agent spends on handling calls compared to their total work time.
Call center productivity = (Total output time / total input time)* 100
This metric measures how productive agents are by comparing the total time they spend on calls including talking, being on hold, and doing follow-up work to the total time they are scheduled to work. It helps managers see how well agents are using their work hours, to increase productive time and reduce time spent doing nothing.
For instance, if an agent has a shift of 12 hours and spends 9 hours on calls and other tasks, then the formula goes:
Call center productivity = (9/12)*100 = 75%
Here, we can see the productivity of the agent is 75%, which indicates he spent 75% of their shift working and spent the remaining 25% of the time on things that weren’t work-related.
The above two formulas help to calculate the productivity of your agents easily. Make sure to use them!
Metrics for Measuring Call Center Productivity
As we have seen the formulae to calculate call center productivity, along with that there are some metrics that help to measure the productivity and effectiveness of your call center’s actions.
Let’s have a look!
1. First Call Resolution
Imagine solving a customer’s issue on the very first call – that’s the dream, right?
The first Call Resolution (FCR) metric is the percentage of issues resolved by the customer on the first call, without needing any follow-up. It is one of the most critical metrics for contact center productivity because it directly affects both customer satisfaction and operational efficiency. The higher your FCR rate, the fewer follow-up calls, less time wasted, and happier customers. You can calculate FCR by dividing the number of issues resolved on the first call by the total number of calls.
FCR = Calls resolved in first interaction / Total number of calls
Why it matters: Customers don’t want to call back. Agents don’t want to repeat themselves. Boosting FCR not only improves productivity but also enhances the customer experience.
2. Call Abandonment Rate
The call abandonment rate metric measures the percentage of customers who hang up before speaking with an agent. A high abandonment rate means problems such as long waits or insufficient staff at peak hours. Bringing this rate down helps keep customers interested and makes sure your team answers quickly.
Call Abandonment Rate = (Total number of abandonment customer calls / total number of calls)* 100
Why it matters: Every time a call is abandoned, you might lose a customer. To keep customers happy and your call center working well, it’s important to keep this rate low.
By using this metric, you get to know about:
- Waiting time of a customer
- Ineffective call routing systems
- Understaff at peak levels
3. Customer Satisfaction Level
The customer satisfaction level metric is measured by conducting surveys, polls, or asking customers about their experience after the call. A high CS level represents productivity and meeting customer expectations.
Agents usually ask customers to give a rating on a scale of 1-5 about their experience. This metric provides direct insight into how customers feel about your service.
For instance, if an agent calls 300 customers, 250 out of 300 responded positively (satisfied), and the score is 75%.
This metric focuses on customer experience, sentiments which initially help organizations to improve their service levels more.
4. Net Promoter Score
Net Promoter Score (NPS) is a simple way to check how loyal your customers are. It’s based on asking one easy question: “How likely are you to recommend our company to a friend?” This score helps businesses see if customers had a good experience and if they’d suggest the company to others. A high NPS means customers are happy and willing to spread the word, which can help the business grow.
To find out the NPS, customers are asked how likely they are to recommend the company on a scale from 0 to 10. Customers are divided into three phases depending on their responses: Promoters (scoring 9-10, most likely to recommend), Passives (scribbling 7-8, okay with the company but not enthusiastic), and Detractors (scoring 0-6, not happy, possibly with negative word of mouth).
To calculate NPS, you should subtract the percentage of detractors from the percentage of promoters. The bigger this score, the happier and more loyal your customers are.
5. Average Speed of Answer
The average speed of answer is one of the call center productivity metrics which measures the average time an agent takes to answer a customer’s call. It indicates the responsiveness of a call center. Monitoring this metric helps to make sure that customer waiting time will be minimized, therefore increasing overall efficiency.
ASA = Total wait time of answered calls / total number of calls
The high ASA score percentage isn’t a good sign. According to industry standards, a good average speed for call center agents to answer is 8-9 seconds.
6. Call Transfer Rate
Call transfer rate is a call center metric where it measures the number of calls being transferred by an agent to their colleague. This can happen when an agent fails or cannot find a solution to the customer’s request, hence passing the call to a colleague where it can be the expertise the colleague has, or because the colleague deals with a different department.
It may be a symptom of several problems that lie in the call center. It may arise when the agents are not trained properly, lack of right tools, or just ineffective call routings. It can also lead to customer frustration, as frequent transfers often result in longer call times, repetition of information, and a less satisfying experience.
Overall, these metrics give the areas of improvement for better service which leads to productivity.
7. Average Handle Time
Average Handling Time (AHT) measures the total time an agent spends on a call. It includes talk times, hold times, and after-call tasks. A shorter AHT suggests efficiency, it’s essential to balance it with quality service. Solving an issue immediately is pointless if the customer leaves dissatisfied. Monitoring this metric can help you identify areas where agents may need additional training or process improvements.
Average Handle Time = Total talk time + total hold time + total after-call work time / total number of calls handled
Why it matters: A streamlined call process that resolves issues quickly and efficiently can reduce operational costs and free up agents for more calls.
8. Service Level
Service level means the percentage of calls answered in a predefined time, usually measured in seconds. This is an important KPI to prevent longer wait times for customers. A good service level implies that your call center is capable of handling incoming traffic efficiently.
Service level = (total number of calls answered in a predefined time / total number of calls answered)* 100
Why it is important: Customers don’t appreciate it when they are made to wait for too long. Monitoring this metric helps to identify bottlenecks before they become major issues and ensures smooth operations.
9. Occupancy Rate
Occupancy rate is a simple way to measure how much time call center agents spend working on calls or doing tasks like writing notes after the call. It shows how busy they are compared to how much time they are waiting for the next call.
If the occupancy rate is too high, agents might be working too much, which can make them tired and cause mistakes. If it’s too low, agents are waiting around too much, meaning there might be too many agents on duty.
A good occupancy rate is usually between 70% and 85%. This means agents are busy enough to stay productive but not working too much that they get tired. Keeping an eye on this rate helps managers make sure they have the right number of agents working, so everything runs smoothly and agents stay happy.
10. Missed Calls
Missed calls are a key way to see how well a call center is working. This number shows how many customer calls were not answered. When many calls are missed, it usually means the agents are too busy or not handling calls well. Missed calls can frustrate customers because they can’t get help when they need it. This might lead to more calls later when customers try to reach out again.
A high number of missed calls is a bad sign. This might mean there aren’t enough staff available when it gets busy, or it could mean that agents are taking too long to finish calls. To solve this and make things better, call centers should have the right number of agents ready to help customers. It is better to train agents to answer calls more quickly.
The above-mentioned are some of the best metrics which are used widely across the countries.
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Sign Up for FreeBook DemoWhat are the Causes of Low Productivity in Call Center Agents?
Before improving productivity, it’s important to understand what’s slowing your team down. Low productivity in call center agents can happen for many reasons, both inside the team and due to outside factors. Let’s look at the common reasons!
1. Inadequate Training
Poor training is the major reason why contact center agents are not productive. Without adequate training, agents usually find it difficult to understand company rules and procedures and the technology they are expected to use.
If a customer asks any question that the agent isn’t well trained on, it may lead to an unsatisfactory customer which will decrease the overall efficiency and productivity of the agent. This would make them handle calls less efficiently. When agents do not have all the information they need, it leads to longer call durations because they need to look things up or find the right answers. This can be frustrating to both customers and agents as well. Additionally, if agents aren’t trained well, this can lead to more follow-up calls and put more stress on resources.
2. Outdated Technology
Old technology can slow down work in contact centers. Outdated tools can create problems that make it hard for agents to do their jobs. Slow systems can cause delays in answering calls, frustrating both agents and customers. Also, old software might not have important features like automatic call routing or customer management, making it harder for agents to help people. Technical issues happen more often with old technology, leading to downtime that stops work and reduces the number of calls agents can take.
3. Lack of Morale and Motivation
When call center agents are not happy or motivated, it can really hurt how much work gets done. If agents don’t feel appreciated, they might not do their jobs well. This can make more agents leave their jobs, which means constant training for new workers. This slows down work because new agents need time to learn what to do.
Also, unmotivated agents often don’t provide good customer service, which makes customers unhappy. A stressful work environment can also lead to burnout, causing agents to miss work and making productivity drop even more.
Effective Tips to Improve Call Center Productivity
1. Provide a Pleasant Work Environment
A happy workplace is a productive workplace! Usually, call centers have a busy work environment where agents are always busy in talking on calls, frustrating, annoying, etc. Unlike this, provide a pleasant environment to agents where they can work peacefully. Make sure your contact center is comfortable for everyone. Using comfy chairs, good lighting, and keeping things tidy. When employees feel good about where they work, they’re more likely to do their best. It’s really important to teach employees using examples from their daily work. This helps them learn how to handle different customers and keep them happy.
Creating a pleasant environment doesn’t only mean providing the best resources but also the work culture that impacts an agent’s productivity. Fostering a culture of respect and collaboration encourages open communication and a sense of belonging among team members.
2. Create a Training Program
Not everyone understands in the first attempt. Conduct training programs for agents to train them better. From handling the phone system to answering customer questions easily, train them for the best. Regular training helps everyone stay confident, making their jobs easier and customers happier. Make them keep updated about new technologies and processes which helps them to be efficient. This program should cover not only technical skills and product knowledge but also customer service best practices.
3. Use the Right Software
Some contact centers are not updating themselves with the best software. It is important to opt for the right software which is essential for better performance. Choose software that allows them to manage calls easily, track customer information, get quick answers, help them to work better, and provide the best service, which makes customers happier.
Upgrading to modern contact center technology makes work easier and more efficient for both agents and managers. The right tools help agents serve customers on the platforms they use the most.
Some common tools like Automatic Call Distributors (ACDs) send calls to the right person, Interactive Voice Response (IVR) helps customers handle things on their own, and Customer Relationship Management (CRM) to keep track of customer info. Other useful tools connect phones to computers (CTI), make outgoing calls, schedule shifts (WFM), check call quality (QMS), and cloud systems, speech tools, and chatbots.
Choose the right software based on your business size, customer interactions, budget, and needs.
4. Plan Gamification and Rewards Systems
Who doesn’t love to have fun at work? Introduce gamifications and reward systems to boost employee engagement. This motivates them to perform their best. You can use leaderboards, badges, contests, and rewards to recognize top performers.
They have been working since morning, and when they eventually make better progress than their colleagues, they deserve some rewards. These rewards can take any form. Adding a bit of fun to their workday helps them stay productive and perform even better than usual.
Flexible Scheduling
Life can be busy, and sometimes employees need flexibility. Agents often have to put in long hours or handle a lot of calls. Life outside of work can also be stressful, so it’s important to give employees some flexibility. Letting workers choose their hours or work from home helps them balance their job and life. This is important in a call center because workers handle many calls and deal with stress.
When call center agents can change their schedules, they feel more in charge. This helps them feel less stressed and focus better on their work. Happy and rested workers usually do a better job, help customers more, and keep the call center running well.
Regularly Update Processes
Keep things up-to-date by regularly checking how your contact center operates. Ask employees what is working well and what isn’t. Making small changes can help everyone work better and improve the customer experience.
Old ways of doing things might not work well with today’s technology, products, and customer needs. If you don’t update these methods, it can cause slower responses and frustration for both workers and customers. It’s important to improve how you communicate, connect different software, and manage incoming calls to meet what customers want.
Monitor Performance Frequently
Keep track of how everyone is doing! It’s important to check performance often to find ways to improve. Use simple measures like how long it takes to handle calls and customer satisfaction scores. You can also use tools like Time Champ, which helps by showing you detailed information about how productive each employee is.
Time Champ is an employee monitoring software where it monitors the performance of your employees and gives detailed reports on it. You can customize websites, and apps into productive, non-productive, neutral categories, where you will get a better idea about their activities. With Time Champ, you can easily see how each employee is doing. Giving regular feedback based on this information helps workers get better at their jobs. When employees know how they are doing and get help, they feel more motivated and can give better service to customers.
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Sign Up for FreeBook DemoFinal Thoughts
In conclusion, it’s important to check and improve how a call center works so that customers get great service and costs are kept low. By using simple ways to measure how well things are going, giving good training, creating a friendly workplace, and letting employees choose their schedules, call centers can have a happy and hardworking team. Regularly looking at how things are done helps agents better meet what customers need. All of these steps make customers and employees happier, which helps the call center do well.
Frequently Asked Question
Improving contact center productivity has several key benefits. It helps make customers happier, lowers costs, and boosts employee morale. When calls are handled efficiently, customers get the help they need quickly, which builds their loyalty to the company. Plus, productive agents can take more calls, which means the company uses its resources better and has the chance to earn more money.
Technology helps call centers work better. It can do simple tasks on its own, make it easy for agents to find customer info, and help them talk to each other. Tools like AI chatbots, call-tracking software, and cloud systems can make calls quicker and send them to the right person. This lets agents spend more time helping customers with harder questions.
Employee engagement is very important for how well call centers work. When workers feel happy and involved, they do a better job, help customers more, and stay with the company longer. Things like saying thank you, fun team activities and open chats can make the workplace nicer. This helps agents do their best and keeps customers happy.
To handle busy times better, call centers can do a few things. They can hire extra workers when there are lots of calls, use data to guess how many calls to expect, and create flexible schedules. Also, letting customers help themselves by finding answers to common questions can take some work off the agents.
To do good agent performance reviews, it’s best to set clear goals that are easy to understand. Use both numbers and simple feedback to see how they are doing. Giving helpful advice can improve their work. Having regular one-on-one meetings, reviews from coworkers, and self-checks can make the process better. It’s also important to celebrate what agents do well and kindly show them how they can improve.
