8 Signs Your Outsourcing Partnership is in Trouble Part 2 - TELUS International Europe

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  • 8 Signs Your Outsourcing Partnership is in Trouble Part 2

    In our last post we’ve reviewed the first 4 signs indicating that your business process outsourcing partnership is performing at a suboptimal level. To remind you the first four indicators were:

    – Decreasing end-customer satisfaction

    – Increasing agent attrition/staff rotation

    – Measuring success exclusively through savings and efficiency

    – Lack of proactive intent to grow the relationship

    To refresh your memory check out the article here.

    Now let’s move on to the remaining 4 signs indicating that your BPO partnership is in trouble.

    5. Too many meetings

    From a buyer’s perspective, if you are spending too much time managing your provider it is clear sign that things are not running smoothly. Healthy relationships run on auto-pilot without too many conference calls, relationship meetings, and feedback sessions.

    6. Push-back citing contractual constraints

    Guiding a relationship by the letter of the contract versus its spirit is an obvious sign that the relationship is strained. This usually occurs when either party feels that it is not getting the value it originally set out to archive as part of the transaction. Prepare for challenges in the service delivery if the contact starts to appear more often than you expect.

    7. Missing executives

    Another sign that you are unlikely to receive the value you hoped for to achieve from the outsourcing partnership is the lack of communication between you and the senior executives of your provider. Senior executives from successful service providers connect with their key customers on a periodic basis. The lack of interest from your provider’s side means that you are not in their priorities list.

    8. Eroding financial performance

    A warning sign not directly related to your outsourcing partnership is the financial health of your provider. Don’t overlook the facts if your provider experiences consistent decline in revenue or profit, or client turnover because it might affect the service provided to your business. Common practice for companies is to measure the performance of their service providers through SLAs/KPIs and dashboards. Still, don’t miss to look at the big picture because solid financial health is crucial to the providers’ ability to invest in their customers, and investments are key to forging partnerships in this business.

    Stay tuned for our last article of the series where we’ll review a 5-step plan to creating strategic partnerships and essentially what to do when you identify the symptoms discussed in your outsourcing relationship.

    Sources:

    Everest Group. “Eight Habits of Highly Ineffective Contact Center Outsourcing RelationshipsTELUS International. Everest Group. 2012



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