| Traditional ROI calculations use the level of | | | | customer service feedback and focus groups |
| profit generated by an asset divided by the | | | | will allow us to develop an idea of the |
| value of the asset and expressed as a | | | | impact on repeat business for instance. |
| percentage. That's fine but when we seek to | | | | Repeat business is something that our |
| ascribe a value to non-profit generating | | | | accounting and CRM system will be monitoring |
| assets we need to look at ways in which we | | | | so we can get a value for that. The customer |
| can quantify the value that the call center | | | | survey and feedback groups will also give an |
| is contributing to overall business | | | | indication as to how important our customer |
| operations. | | | | service is in winning repeat business orders |
| | | | and that will in turn allow us to infer a |
| Call center data management and manipulation | | | | value for that proportion of repeat business |
| has lent itself particularly well to KPI | | | | that is attributable to the call center |
| metric and Balanced Scorecard methodology. | | | | efforts. |
| KPI/Balanced Scorecard techniques are a | | | | |
| mainstay of the management of any call center | | | | We are now close to being able to perform an |
| and using the metrics that are being produced | | | | ROI calculation in that we have determined a |
| from these management information tools | | | | value that is created for the expense of our |
| allows to start calculating an approximation | | | | customer service efforts made by the call |
| for ROI. | | | | center. |
| | | | |
| If we move away from the idea of profit | | | | Using such attributable value calculations |
| centers that need to be maximized and cost | | | | for ROI is not flawless but it does provide a |
| centers that need to be cut so logically | | | | valuable tool for tracking the value of a |
| increasing profit, we can start thinking of | | | | non-revenue division that is being |
| the different business components as | | | | contributed to overall business success. |
| contributing value. | | | | Tracking ROI of this nature over time, as |
| | | | long as the calculation is made on a |
| What is the value that we can ascribe to a | | | | consistent basis will help indicate and |
| call center it doesn't create anything? | | | | highlight the relative success of initiatives |
| | | | and investment in the call center. |
| First, lets look at a revised ROI | | | | |
| calculation, we can pretty easily work out a | | | | Calculating an overall ROI can be done by a |
| cost for the call center which is going to be | | | | broader attribution of value that is created |
| used in the ROI calculation if we use that as | | | | by the call center and the total expense that |
| asset value of the ROI number crunching. | | | | is incurred by it. Used alone such an ROI |
| | | | calculation is not going to be of much help |
| Second, if we look at the relative | | | | but the use of the incremental ROI that can |
| contribution of call center activities we can | | | | be calculated for discrete costs and further |
| start ascribing a value based on the effect | | | | investment in the call center is very useful |
| on our financial and management accounting | | | | for helping to justify whether incremental |
| information. Linking information from | | | | investment should be made or not. |