1. Building the Next– Generation Contact Center from the Ground UP Bar Veinstein Product Marketing Manager NICE System bar.veinstein@nice.com

2. What We’ll Cover Today What is VoIP, and why should I care? IP in the contact center: What changes and what stays the same? Pure IP Telephony vs. Hybrid How IP allows you to move from a contact “center” to a customer interaction network Why to record customer interactions? How to record VoIP interactions VoIP vs. Traditional Recording NICE VoIP & Cisco – Case Study

3. VoIP Basics: Key Terms and Concepts VoIP – voice over IP IP Telephony – VoIP on a managed enterprise or SP network TDM – Time Division Multiplexing; traditional telephony PSTN – Public Switched Telephone Network Voice Gateway – terminates PSTN trunks and converts voice from TDM to IP

4. Lori Bocklund, Vanguard Communications “Voice over IP is an inevitable part of your call center technology infrastructure. It brings significant change to technology deployment, operations, and support, and thus has organizational implications for the IT/Telecom department as well. 2003 is the year when call centers need to get a plan together for the migration to VoIP. Not everyone will implement VoIP in 2003, but if you don’t have a plan, you risk making short term investments that don’t fit your long term needs, and not being ready when the time is right for VoIP.” Why Care? Experts Stress Need for Convergence Plan

5. Why Care? Growth of IP Contact Centers In 2005 there will be almost 14,000 IP- architected contact centers in the US By 2005, 67% of US contact centers will use an IP-ACD

6. Why Care? Advantages of IP Location independence –Locate agents and worker anywhere Support multiple channels –Voice, e-mail, Web, fax, video Rapid deployment of new applications Deploy and maintain one network

7. Why Care? Business Benefits Enhances customer service –Call-by-call routing, dynamic content to queued callers, screen pop of caller data, multi-channel contact Single set of business rules; single point of administration for Contact Center IP architecture –Location independence, rapid deployment of new applications, deploy and maintain a single network Preserves the value of existing technology investments - compatible with legacy Call Center technology allowing a smooth migration to IP

8. Reconstructing Call Centers on IP Ethernet LAN Switch Voice-enabled Router or Gateway Voice-enabled Router or Gateway Premise-based or hosted Call Center Application Recording/Logging, CRM, etc. IP Phones/Softphone Web/e-mail clients IP Phones/Softphone Web/e-mail clients Contact management Trunk connections Trunk connections Line connections Line connections Switching Contact processing IVR, Q Point, Announcement Board Call center application Business Applications Traditional Switch/ACDIP Environment

9. Call Flow in an IP Contact Center IP Voice TDM Voice Call Control CTI Data IP-IVR/ IP-Queue Manager Agent Phones V Voice Customer CallManager Routing/Contact Management/CTI

10. Pure IP Telephony vs. “Hybrid” Pure IP Telephony – End to end IP, from Gateway to IP Phone – Single network for data and voice – Simplified administration – IP phone applications – Remote agents – New site implementation speed Hybrid – IP transport; typically TDM to the phone – Advantage of delaying swap-out of digital phone sets – Still manage two networks – No real architecture change

11. From Call Centers to Customer Interaction Networks Combines people and information resources Location Independence Multi-channel contact Circuit-switched and IP infrastructure Combines people and information resources Location Independence Multi-channel contact Circuit-switched and IP infrastructure Customer Interaction Network Network percent allocation Intelligent call routing e-Commerce and Web-based customer Service Network-to- desktop CTI

12. CRM TelephonyApplicationGateway Routing Logic, CTI, & Reporting Engine Internet Web Apps CRM PSTN Single, Cost-effective NetworkSingle, Cost-effective Network Availability & Resiliency via ClusteringAvailability & Resiliency via Clustering Global, Enterprise-wide ScalabilityGlobal, Enterprise-wide Scalability Any Application Supported AnywhereAny Application Supported Anywhere Integral Web Application SupportIntegral Web Application Support TelephonySoftware Agents Speech-enabled Self-Service Apps IP WAN The Customer Interaction Network

13. Five Key Factors in Deciding to “Go IP” End of Life, End of Lease Multiple sites “Off shore” sites or outsourcing Significant branch office presence Multi-channel contact or “universal queue”

14. This Call May Be Recorded … for more than Quality Purposes Quality Monitoring Customer Experience Management (CEM) Business Performance Management (BPM) you have to Business Value Compliance & Dispute Resolution you want to

15. Extension Side Trunk Side Service Observe Application Server (optional) Traditional Telephony Recording Methods Recorder Calls Info Database

16. VoIP Recording Methods Two major methods serve today for VoIP recording –(Passive) Packet sniffing –Traditional Recording: Trunk-side recording Observation methods Router/ Gateway Agents / Traders PSTN IP WAN V Media Stream passively “sniffed” along IP Path (using network port mirroring) VoIP Recorder IP Phones IP Telephony Server Network Switch

17. VoIP Recording Methods Two major methods serve today for VoIP recording –(Passive) Packet sniffing –Traditional Recording: Trunk-side recording Observation methods Agents / Traders PSTN The recorder taps the E1/T1 Trunks between the Central Office and the PABX Trunk-side Traditional Recorder IP Phones IP-enabled PABX E1/T1 Trunks

18. VoIP Recording Methods Two major methods serve today for VoIP recording –(Passive) Packet sniffing –Traditional Recording: Trunk-side recording Observation methods Agents / Traders PSTN The recorder connects directly to the PABX to obtain the audio Dedicated-Trunk Traditional Recorder IP Phones IP-enabled PABX E1/T1 Trunks

19. VoIP vs. Traditional Recording Rapid Implementation –Simplified installation process requiring only network configuration (no need to wire telephony cables) Seamless Scalability –When telephony system grows, the recording system scales up effortlessly using software licensing (no need to add hardware) –Flexibility to offer centralized recording for multiple sites (depending on the configuration of the satellite sites) Cost Effective Reliability –Cost effective Fault Tolerant architecture (recording mirroring could be achieved without any special hardware) –“Software Only” solution (no special telephony boards) – reducing the number of hardware components improves MTBF

20. VoIP vs. Traditional Recording – Cont’d Reduced Total Cost of Ownership –Reduced management cost - since no rewiring of cables is needed for moves, adds and changes Open and Standards-based Architecture –Using H.323, G.729a and other standards ensures interoperability with other systems Advanced Applications –Phone Integrated applications using Web/XML Services directly from the phone set –Stereo Recording - ability to record separately both parties of the conversation (enabling speech analysis like talk-over etc) Future Proofed –Adding recording applications (QM, ROD etc) or system add-on's requires only software configuration –Switch-independent recording system (changing telephony infrastructure doesn’t require changing the recording system)

21. IP Phone Integrated Applications Using Web/XML Services –Start Record (ROD - Record on Demand) –Recent Calls Self Playback –Tag Call with Business Data –Send Calls by Email –Keep Call

22. VoIP is Setting the Stage for Advanced Applications (Word-Spotting & Emotion Detection) High emotion levels Spotted words/phrases

23. NICE VoIP and Cisco - Case Study Financial Trading Company –Risk associated with customer interactions is much higher than that associated with automated trading alone –Company needs to mitigate these risks and provide for a way to resolve disputes quickly and easily Business Challenge –Large corporate call center (450 seats) and smaller remote call center (60 seats) –Mixed environment – traditional telephony in the corporate call center and IP telephony in the smaller remote call center Business Solution –Decided to implements Total Recording + Quality Monitoring to verify the accuracy of customer transactions, risk management and quality of service –Purchased NiceUniverse + NICE VoIP –NICE Storage Center for centralized archiving

24. LAN IBM Storage PSTN Network IP Phone Gateway Router SPAN port for Gateway IP Phone Cisco Call Manager Remote Call Center Corporate Call Center PBX CTI Link Cisco ICM CTI Link Case Study – Implementation Architecture Traditional Recorder VoIP Recorder Centralized Storage Server Calls Database

25. Results of NICE VoIP & Cisco Implementation Multiple disputes have already been settled using NICE VoIP The bottom line –Resolves common disputes quickly, creating less animosity with customers –Customer Satisfaction surveys up from 75% to 89% –VoIP installation allows the customer to leverage existing lines to reduce phone costs (saving approximately $6000 per month in long distance charges) –Allows for central administration of phone system

26. Thank you for listening