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A New Approach to Outsourcing – Contracting for Customer Value

25th September 2015

In the old days rudimentary cost reduction was the primary aim of most outsourced customer management relationships.  Performance was driven by tough productivity targets that focused on process efficiency rather than service quality.  Suppliers routinely – and not surprisingly – compromised quality in order to avoid the financial penalties they would incur if those productivity targets weren’t met.

There can be no doubt that customers suffered. But clients suffered too, learning the hard way that customer discontent leads to customer disaffection and subsequent loss of revenue.  Today we live in a more enlightened world. 88.6% of organisations now see the drive for customer satisfaction as intrinsic to their strategy and 71.6% view the customer experience as a commercial differentiator (1).   They now want their outsourcing partners to ‘add value’ rather than just ‘reduce cost’.  Progressive, enlightened outsourcers are responding by aligning their performance, not against draconian productivity targets, but against customer value outcomes; increased satisfaction, loyalty, advocacy and spend.

At Webhelp we link our remuneration, first to the quality of the customer experience we deliver and, second, to the cost efficiencies we achieve through innovation – cost savings that never compromise the customer experience.

(1) Dimension Data Global Contact Centre Report, 2015

Has your approach to performance and renumeration changed? I’d love to discuss this with you, either in the comments below, or on Twitter at @DavidTurnerCXO



David Turner
Article by: David Turner

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