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May 2011
As any successful service provider can attest, having the agility to meet customers ever-changing
needs is crucial. When one of Firstsource Solutions clients expanded into a new and highly competitive
market, the organization was ready to handle the inbound customer service calls.
It was soon apparent that Firstsource was falling short of industry standards for customer service on
this new contract. An unusually high percentage of repeat calls resulted in higher client costs and lower
profitability for Firstsource. To shore up this situation, Firstsource turned to quality as it chartered a
Six Sigma team to drive process improvements.
Turning to Quality
When a leading telecommunications client entered the direct-to-home satellite television business,
Firstsource was selected as a strategic partner to provide inbound customer service and technological
service support. In this highly competitive media market, successful companies focus on revenue from
both new and current customers. To increase profitability, media companies, such as Firstsources client, must adapt quickly to market forces with streamlined operations and reduced costs while providing
a personalized customer service experiencein this case, through Firstsources Mumbai and Bangalore
service centers.
Shortly after the initial launch, the client asked Firstsource to improve its quality of service delivery
and reduce end-customer dissatisfaction caused by a low rate of first call resolution. In comparison to
customer service industry standards, the rate of repeat calls, defined as the same customer calling for
the same issue within one calendar month, was too high and resulted in higher costs to serve each customer. The repeat call rate was at 15.79 percent, well above the target rate and industry standards.
At Firstsource, leaders are always looking for improvement project opportunities, so the higher than
expected repeat call rate caught their attention. Ultimately, this issue was selected as an improvement
project for several reasons, including:
ASQ
Maintaining a competitive advantage for the client by reducing the cost of operations through
streamlined processes.
Achieving performance levels to match industry standards.
www.asq.org
Page 1 of 4
One of the teams first tasks in the define phase was identifying
stakeholders using the supplier-inputs-process-outputs-customer
(SIPOC) quality tool. As illustrated in Figure 1, SIPOC is just
one of several quality tools used in each phase of the project.
The SIPOC exercise enabled the team to develop a clear profile
of stakeholders, as well as their roles and influence on the project.
Next, the team reviewed these potential causes and how they
related to the top five drivers for repeat calls. Brainstorming
sessions helped the team narrow the 34 potential causes to 24.
At this juncture, the team performed a sample call study to
authenticate the 24 potential causes and then created an effort vs.
Tree diagram
Solution design matrix
FMEA
Effort vs. payoff
Post Pareto
Test of hypothesis
Control chart
CONTROL
DEFINE
IMPROVE
MEASURE
3
ANALYZE
ASQ
www.asq.org
Pareto charts
Focus group
Process FMEA
Sample call study
5-Why analysis
Fishbone diagram
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impact grid. This eventually led the team to reduce the potential
causes to eight high impact causes, as illustrated in Figure 2.
Validation
ASQ
www.asq.org
Page 3 of 4
This project was one of four team-based improvement initiatives that Firstsource entered in ASQs 2011 International Team
Excellence Award Process. All four projects were selected as
finalists and each has the opportunity to give a live presentation during the final round of competition at this years World
Conference on Quality and Improvement in Pittsburgh, PA.
Before
After
15.79%
9.64%
DPMO
157,971
96,389
Z-bench
2.50
2.80
Ajatshatru says this project was a good candidate for the ITEA
process because it not only aligned to the organizations vision
of driving excellence through continuous quality improvement,
but it also helped deliver the following:
ASQ
www.asq.org
Page 4 of 4