6 Critical Factors to Keep an Eye on Affecting Contact Center Attrition - TELUS International Europe

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  • 6 Critical Factors to Keep an Eye on Affecting Contact Center Attrition

    Note: The below blog post contains excerpts from “Defining and Discussing Contact Center Attrition – with Everest Group,” sponsored by TELUS International. 

    Attrition rates continue to be a key operational metric for contact centers. As the CCO (contact center outsourcing) market continues to evolve, the set of factors driving attrition continues to change as well. Often, these variations are associated with the context in which a given delivery center operates, but they may also reflect changes in the CCO business itself. Based on its study of the market, Everest Group finds the following to be the most prevalent factors affecting staff attrition in today’s CCO market. 

    6 factors

    1.    Overall strong job market

    Impact on attrition = attrition increases

    In a high-employment environment lower-skilled workers have more employment choices. Until recently, the wide-spread globally slow economy had acted as a damper on CCO attrition. As the job market has begun improving, there is already pressure on attrition rates.

    2.    Availability of CCO roles

    Impact on attrition = attrition increases

    The number of customer service representative roles available in a given geographic region creates opportunities for CSRs seeking change within the CCO industry. Philippines and Latin America are seeking a pick-up in the overall scale of CCO business, so new roles continue to emerge.

    3.    Better pay possibilities

    Impact on attrition = neutral impact on attrition

    Workers seeking better pay whether in the CCO industry or in another; Tied to the degree of overall growth in the CCO market and the economy as a whole and the availability of opportunities;

    4.    Job satisfaction

    Impact on attrition = attrition lessens

    Many factors affect the perceived job satisfaction of CSRs (customer service representatives), including stress levels, workplace culture, client campaigns, and others. An increasing focus area of all CCO providers, requires constant attention to multiple factors affecting perceived CSR satisfaction. CSRs tend to stick around when satisfied with their work.

    5.    Educational aspirations

    Impact on attrition = neutral impact on attrition

    Many leave CSR roles and the CCO industry to pursue higher education or training. This factor applies to certain segments of the CCO CSR population. The relative age of the CSR population is a key contributing factor here.

    6.    Role alignment

    Impact on attrition = attrition lessens

    The CSR role requires specific traits and skills, which not all workers are well-suited for, or interested in doing. The maturing hiring practices of CCO service providers, and better understanding of the CSR role has seen overall stronger role alignment in recent years.

    The mix of above factors will vary by city and country, depending on the particular set of circumstances in the region. The relative scale of the CCO market in a given geography also matters. In the case of smaller markets, such as Eastern Europe or Central America, where the number of contact centers is growing but overall remains fewer, annual attrition rates range from the mid-teens to about 30%, depending on the location. (Source: Everest Group Location Practice) However, as more centers open and the better-educated segments of the population move from CSR into more skills-aligned roles, both in and outside the CCO market, Everest Group expects to see attrition rates increase in these regions.

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