What Performance Metrics are Right for my Business? (Part Three of Four)
Posted by: James Burr on Jun 23, 2010
This entry is a continuation of my previous post: What Performance Metrics are Right for my Business? (Part Two of Four). In my previous post I discussed how the first tier of the return on investment from performance management is improved efficiency. In this post I’d like to introduce the 2nd tier: Focus on your Customers.
Now that you have the foundations in place and have started the process of enabling managers to become effective coaches you can start to introduce metrics that focus more on the customer interactions.
The metrics on this tier are more complex to capture and will often involve combining information from multiple departments and channels.
1. Can you resolve the Customer requirement on the first interaction?
Metric: FCR or Right First Time
2. How do the Customers rate your service?
Metric: Customer Satisfaction (Surveys, Complaints, Door to Door)
3. How much does it cost to resolve the customer requirement?
Metric: Cost per Call Resolution
The key to getting the most benefit in this tier is understanding the balance between the Cost Per Call and resolving the customers requirement. Moving to First Call Resolution should include an understanding of the current costs involved in resolving each customer interaction. Customer surveys should be in the context of the product and department being discussed and should be linked back to the original employee.
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Author: James Burr
James Burr is the Business Consulting Manager with Merced Systems. He has over 7 years experience implementing Sales Performance Management systems in a broad range of industries including Telco, Finance and Automotive. He can be reached at james.burr@mercedsystems.com