Esquared

Evaluating Service Quality Utilising All Resources

Effectively

Business Case for

Knowledge Management, Knowledge
Assessment, Key Performance Areas and Quality
Assurance program
Project KM & KA & KPA & QA

Project Number: 01

Role Name Signature

Project Executive Sponsor

Project Business Sponsor –

Mushfiq Hopkins
Product

Project Manager

Revision History

Date Description Author

15/09/2008 Document created Nadiem Fredericks - Esquared

South African Esquared Programming T/A Esquared

CK2003/039670/23
Suite 601, 125 Buitengracht Street, Cape Town, 8001
+27 21 409 7078
+27 82 733 3318
esquared@mighty.co.za
nadiem.fredericks@vodamail.co.za
www.esquared.co.za
 Table of contents

Executive Summary........................................................................................................3
Problem Definition – RCS to source management systems ..........................................4
Current Situation – There are several challenges..........................................................5
2.1.1 Training not interactive or ‘real’.............................................................................5
2.1.2 Evaluation not consistantly applied.......................................................................5
2.1.3 Performance Appraisals not simplified.................................................................5
2.1.4 Updated knowledge not available.........................................................................5
2.2 Drawbacks ...............................................................................................................6
2.2.1 Drawbacks – Learner not engaged in learning process.....................................6
2.2.2 Drawbacks – Agent not engaged in knowledge creation...................................6
2.2.3 Drawbacks – Quality not evaluated holistically...................................................6
2.2.4 Drawbacks – Limited agent career opportunities...............................................6
Options 7
3.1 Option 1 – Training Simulator knowledge assessment...........................................7
Option 2 – Involve agent in maintenance of KnowlAgent ..............................................7
7
Option 3 – Deploy the Key Performance Area Calculator .............................................7
7
Option 4 – Develop a Quality Evaluation System ..........................................................8
8
Features and Benefits – Why KnowlAgent is tops?........................................................8
1.Requirements – Minimal system requirements ...........................................................9
System Requirements – MS Office, Adobe, shared folder.............................................9
Staff Requirements – Small project team ......................................................................9
Reporting Requirements – Administration user .............................................................9
Reporting Requirements – Senior Management ...........................................................9
Delivery – Purchase, Rent or Consult...........................................................................10
6.1 Purchase – R30000 to R80000 ..............................................................................10
6.2 Rental – R3000 to R6000 per month ....................................................................10
6.3 Consulting – R300 per hour ..................................................................................10

Page 2 of 10
Executive Summary
Currently it is not possible to determine the effectiveness of training. Given that
consistant correct information is a key factor in service quality, the operation can
increase it’s competitive advantage by adopting knowledge management, a knowledge
assessment training simulator, a quality measurement system and an integrated key
performance area calculator.

The knowledge assessment simulator is a flexible interactive training system. It

accurately replicates any business system eliminating the need for expensive licenses to
achieve a similar result. It simulates the live work environment and allows learners to
practice their skills in a controlled setting and offers a compelling report. The exercises
evaluate competencies as opposed to knowledge only.

Frequent measurement of voice and non-voice interactions and consistant feedback

throughout the month is essential to developing agents. The improvement will enable
the implementation of a career development plan for all agents.

The knowledge tool is a referencing tool and allows subject matter experts to continue
working in Word, PowerPoint or PDF format. This eliminates the need to replicate
information in another system. It also references intranet or internet sites.

Key performance area calculator is essential for measuring performance objectively and
holistically. Reward and recognition programs are very dependant on a reliable
measurement, data integrity and a global reporting system.

Excel on Windows personal computer is a requirement. The applications are deployed in

a client server configuration.

These solutions can either be purchased or rented which will be tailor-made for each
environment. Alternatively a consulting service is available to work with contact
centres on an hourly rate to implement such systems.

Page 3 of 10
Problem Definition – RCS to source management systems
Contact Centre agents must answer a range of client requests in the shortest possible
time, with quality, with accuracy and retrieve or input information onto a computer
system. Agents often have no control over what information will be required and rely on
memory of past learning, hard or soft copy documents or word of mouth. This often
results in a range of responses to the same request, repeat calls and generally a poor
client service experience for internal and external customers alike.

Information changes often and the operation is challenged to constantly update training
files, e-mail systems, intranets or knowledge tools, etc. Subject matter experts e.g.
trainers often use PowerPoint, Word or PDF to prepare documentation and would be
inconvenienced if they have to constantly replicate updates into a secondary format. A
lag in information updates and the need for agents to answer swiftly, often results in a
tendancy to guess based on memory or word of mouth. Over time this becomes the most
preferred route for agents and produces a ‘hit or miss’ client service experience.

Regular evaluation of all voice and non-voice interactions as well as training through
interactive but realistic tools is often not possible. This is owing to costly business
system user licenses or a general lack of providers. The benefit of regular feedback
throughout induction or any training is valuable for the learner, the facilitator and for
the business.

The resultant data of ongoing evaluations must be compiled into a report. The report
must be analysed in order to identify areas of strength, areas of development, training
effectiveness and to make management decisions. Often this is done regularly but in
isolation of equally significant management information systems data. It is widely
accepted that qualitative data and quantitative data co-author a compelling
performance commentary, though the two sets of data are very seldom discussed in the
same report. One example of this would be a top performing agent for schedule
adherence is under performing in the service quality area. A consolidated view of all key
performance areas appropriately weighted at a click of a button is seldom obtainable in
most contact centres.

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Current Situation – There are several challenges

2.1.1 Training not interactive or ‘real’

A current reliance on induction and update training poses challenges to the effective
management of the contact centre. A quick survey of any resource plan will prove that
training is a substantial staffing ‘shrinkage’ factor. Experience is a primary agent skill
shortage and it is agreed that training can play a significant role in bridging the gap.
Learning cannot be rushed though and traditional methods of training are not able to
simulate the work environment. Initial selection processes require more intelligent tools
to identify agent potentiality. For existing agents, this divide between ‘classroom’
training and the ‘live’ working environment is apparent and requires careful planning to
reduce or close the gap.

2.1.2 Evaluation not consistantly applied

Evaluators often scramble to complete workload at month end. This robs the learner of
coaching opportunities to improve on performance throughout the month. In these
scenarios scoring frequency, timeous feedback and scoring consistancy becomes a
challenge.

2.1.3 Performance Appraisals not simplified

Reward and recognition programs fail unless hassle free performance discussions are
held regularly. There is substantial risk that the line manager spends the bulk of their
time collating sets of data rather than discussing performance and coaching their direct
reports for improvement. Data integrity risks and missed deadlines are commonplace. A
direct survey identifies measuring and improving metrics knowledge as the second most
appealing contact centre improvement for contact centres.

2.1.4 Updated knowledge not available

Agents must provide clients with accurate information in the shortest possible time. To
do this they either recall the information or search or retrieve information from a range
of sources. Traditionally the source of information would be the training department,
product specialists or subject matter experts. Electronic mail is often the preferred
method of informing the contact centre of important changes. This constant stream of
e-mails, product and service updates, training notes etc. can slow an agent down
considerably. There is a distinction between information which remains fairly constant
and requires minor changes occasionally e.g. product and service training manuals and
information that does not. Information that changes regularly e.g. urgent messages may
become redundant over time. A challenge for most contact centres is how to manage all
this knowledge.

Page 5 of 10
2.2Drawbacks

2.2.1 Drawbacks – Learner not engaged in learning process

A direct survey of local contact centres suggests agents are willing to try harder when
they are engaged in the learning process. They also benefit from ongoing tangible
feedback. Reports provided to management about learning activities are often vague or
non-existent. While several factors can affect the effectiveness of training, there is no
unbiased objective result available to management. This equates to a limited support to
the learner owing to lack of a compelling progress report at the available at the click of
a button.

2.2.2 Drawbacks – Agent not engaged in knowledge creation

Often agents know best what information is required by clients. They build a body of
learning which is seldom captured anywhere for peer circulation. The high costs of
attracting, selecting, hiring and training suitable agents coupled with a currently
untapped ‘intellectual capital’ of experienced agents, presents an opportunity to
increase operational efficiency while reducing costs. Without a knowledge management
solution there is no utilisation report available to management. In the absence of a per
user report, contact centres often resort to exhaustive refresher training at the expense
of operational efficiency.

2.2.3 Drawbacks – Quality not evaluated holistically

Off the shelf solutions often have specific processes and not always flexible to
customisation. Each business has largely unique processes and this must be built into any
quality evaluation system. There are several scoring methodologies and coaching models
which can be deployed successfully but the tool needs to be flexible to adapt to it,
rather than dictate. Quality evaluators have the best chance of identifying trends but
often spend time coaching when coaching is not required. They could evaluate a client
interaction holistically by also reviewing the agents’ activity in the knowledge
management system at the time of the call. This reinforces the importance of optimising
the tools available before leaping into time consuming coaching or training when it may
not even be needed. Quality evaluation reports often boast very impressive tables and
graphs but add little value to the management decision. A better result can be obtained
from a few select but compelling reports customised to the business.

2.2.4 Drawbacks – Limited agent career opportunities

With more contact centres setting up, retaining and motivating staff become a key
objective to most contact centres. The basis of an agent’s career path is the monthly
performance discussion. These often have the opposite effect and instead of
encouraging performance it can discourage agents for various reasons. It is important for
the management team to have an automated and objective key performance calculator
requiring little or no human intervention. It should give a comprehensive view of
individuals on a monthly basis but also roll up to team and to the entire contact centre
level.

Page 6 of 10
Options

3.1 Option 1 – Training Simulator knowledge assessment

The agent completes a series of interactive tasks on a computer either in a classroom
setting as part of a formal assessment or at their workstation as a ‘self assessment’. The
agent is presented with a combination of multiple choice questions (360 feedback),
system navigation exercises, listening skills exercises, interpreting and typing exercises.
These measure accuracy, speed and ability to perform a sequential task by simulating
the screen animation of any business system. The resultant report gives a detailed
insight into the learner’s knowledge, skills and attitude. In this way competencies can
be established. This will enable trainers to verify level of understanding and where
needed, alter their approach.

Option 2 – Involve agent in maintenance of KnowlAgent

Focus on the current agents and provide them with a rapid information retrieval system.
While there are a few established systems to consider viz. VirtualBook, e-Gain, Qnique,
etc. KnowlAgent is a new application based on a need in the market. The systems that
have proven track records often do not have the overall functionality to serve client
servicing staff as shown in table 1 below.

Functional Qlearn VirtualBook E-Gain KnowlAgent

requirement
Retrieve relevant Y Y Y Y
information See note 1
Simplified update Y N N Y
of information
Simplified N N N Y
integration with
training process
Search for Y Y Y N
information See benefits
& features

Note 1: KnowlAgent opens the document at the exact location in a large document and
the user does not have to scroll through pages to find a topic. VirtualBook does this as
well however, the information must first be captured on a new ‘page’ in the ‘book’.
Qnique offers knowledge libraries listing skills and competencies for quality assessment
rather than product and service information. e-Gain is a leader in the ‘case based
reasoning’ area.

Option 3 – Deploy the Key Performance Area Calculator

The system will automatically calculate agents ratings compared to a range of possible
values. These targets must allow agents to consistantly meet, or exceed the standards.
It will also identify consistant under performers. The global report will identify trends in
individuals, groups and specific performance areas over a period of time. Data records
can be locked for archiving at the end of each month to ensure data integrity. As the
environment increases in performance the ‘stretch’ targets can be raised to ensure the
environment remains progressive. It is loosely based on the Kaplan & Norton Balanced
Scorecard.

Page 7 of 10
Option 4 – Develop a Quality Evaluation System

Designing for quality entails including mission, vision, brand promise, value proposition
as well as mission critical outcomes and competencies into the assessment criteria for a
quality evaluation system. As it is an open system it can either be configured for a
sliding scale rating system, subjective or objective scoring criteria and weighted or non
weighted criteria. Feedback and coaching methodologies as well as workflow processes
e.g. calibration, moderation, escalations, disputes etc. can be built into the system for
an innovative and effective solution. A wide selection of robust reports is available as it
is with any of the other options stated above.

Features and Benefits – Why KnowlAgent is tops?

Some key features, benefits and drawbacks of KnowlAgent best suited to the overall functionality of a knowledge
management system is shown in table 2 below.

Feature Benefit Drawback How will it be

addressed?
Access Improved speed Rigid, only A detailed usage
documents e.g. of access, information report will indicate
Word, shorter call populated can which links are
PowerPoint, PDF handling time be accessed visited or not and
or Web and and no ‘search’ can be prioritised as
displays at function exists needed. Searching
relevant will slow the agent
location down

Does not house Subject matter Incorrect or Team Leader has

any information expert updates outdated ‘write access’ to add
but references referenced information comments or inform
it from a central documents in could display subject matter
location real time and expert or
no complex environment of the
administration pending change
skills required
Links on vertical Approved User is able to Subject matter
side bar limits content is scroll further expert must take
amount of displayed based through entire ownership to publish
information on call drivers document updated content
displayed or service which may not
failure report be approved or
out of date
Link is Quicker speed Reliant on Dedicate a restricted
‘hardcoded’ of referencing server side folder for source
into some updated access control documents e.g. all
source documents, training documents
documents and shorter ‘system etc.
addition of new restore’ time in
information case of system
does not affect downtime
the link
Operates on Compatible with Cannot be Further development
Excel with VBA Windows based deployed on in future versions
macro personal the Web as a might be deployed
programming in computers that hosted via the web
the background have Excel application
loaded

Page 8 of 10
1. Requirements – Minimal system requirements

System Requirements – MS Office, Adobe, shared folder

Excel 2003 and a media player would be required along with Adobe. A dedicated folder
on the network would be required and the space would depend on the number of
documents to be referenced. Network speed will influence speed of the application.
Adobe Reader 8 is available freely.

Staff Requirements – Small project team

A small but focussed team representative of agents, supervisors, trainers and a minimum
2 people with leadership skills or project management experience would be a
requirement for a successful implementation.

Reporting Requirements – Administration user

Initially one person will be trained as the system administrator. The administrator will
perform the following tasks:

• Maintain users
• Maintain links, source documents and shared folders
• Run reports as required
• First line support and ad hoc training
• Liaise with central areas such as IT, Marketing, HR, Training Senior Management,
etc.
• Error logging and reporting
• Monitor and report on system performance to Senior Management
• Collate user feedback and include in report
• Propose enhancements

Reporting Requirements – Senior Management

Senior management will utilise a ‘dashboard’ to monitor overall utilisation, manage
exception reporting and to ensure adherence to agreed service level agreement
standards.

Page 9 of 10
Delivery – Purchase, Rent or Consult

6.1Purchase – R30000 to R80000

The purchase price for systems with a stand alone administration module is in the range
ranges between R30000 to R80000 excluding VAT. Purchasing a combination of
solutions reduces the overall cost.

6.2Rental – R3000 to R6000 per month

The monthly rental price per system ranges between R3000 to R6000 excluding VAT per
month with a 2 month notice period.

6.3Consulting – R300 per hour

The onsite consulting fee is R300 excluding VAT per hour.

Page 10 of 10