A Decade of Insight Global Contact Center Benchmarking Report 2008 Grant Sainsbury Practice Director, Customer Interactive Solutions

3 IP Network Network Integration Security Microsoft Solutions Data Center and Storage Solutions Converged Communications Customer Interactive Solutions DATA CENTERS CUSTOMER BUSINESS PARTNER SUPPLIER

4 PlanBuildSupportInnovateImproveManage Maximizing efficiency and intelligence in routing and managing customers through contact management architectures based on TDM, IP, or Intelligent Network (IN) Contact Centre Integration Automating interactions using self-service applications that allow customers to navigate intelligently, complete transactions or access information across multiple channels Optimizing the business performance of customer processes through tools and frameworks that guide customer interaction and dynamic call resolution Enhancing the performance of and empowering agents to provide effective and efficient service to customers through competency, workforce, quality and performance management processes and tools Setting-up, running and enhancing an organisation’s contact centre operations to balance performance, risk and cost through full operational consulting and strategic outsourcing Self-Service Interaction Management Workforce Optimization Operations

5 24 October 2015© Copyright Dimension Data Annual global benchmarking survey of international contact centre market 11 years of trends, performance data and best practice information 2008 Report (10 th edition) includes 300 contact centres from all continents Endorsement and support from 10 industry associations around the world Contact Centre Strategy and Development Plan Customer Knowledge and Management Performance Measures and Metrics Financial Rationale and Management Processes and Procedures Organisation Technology Environment

6 10 year comparison – performance KPIs / metrics Performance metrics % of calls answered < 10 seconds72%▼ 63.5% Average % calls abandoned (total calls offered)6%▲13.6% 1 st call resolution rate83%▼ 81% Average speed to answer23 sec▲ 39 sec Average wait time until call abandoned53 sec▼ 45 sec % of total agent capacity utilised on speaking to customers 57%▼56.3% Average time taken to respond to customer message (voic ) 11 hours▲ 20 hours

7 10 year comparison – people metrics People metrics % agent turnover - move to other role in organization10%▲ 13% % annual agent attrition rate14%▲ 27% % agent absenteeism rate5%▲ 11% % supervisor absenteeism rate2%▲ 4% Average number of training days per agent per annum13 days % full-time permanent agent FTEs (permanent employment) 87%▼ 73% Agent : supervisor ratio1 : 12

8 10 year comparison – selected business components Business component % of agent seats outsourced5%▲ 16% % of total transactions handled by human agent channel 85%▼ 69% % of total transactions handled by IVR6%▲ 15.5% % of total transactions via web chat /co-browsing, etc<0.5%▲ 1.6% % of basic/simple centers (defined by Dimension Data Contact Center Development Model (CCDM) 22%▼ 3%

9 10 year comparison – selected CRM capabilities CRM capability Multi-functional capability - service, sales, marketing38%▲ 45% Gather feedback from customers on service experience47%▲ 55% Initiate up/cross-selling due to inbound ‘trigger events’12%▲ 26% Single view of customer across all channels (complete and partial) 40%▼ 34% Measure customer lifetime value (measure and use)14%▼ <10% Measure customer profitability (measure and use)25%▼ 18% Utilize defined customer /market segments19%▲ 31%

year comparison2007 Improve service Retain customers Increase sales / revenues Create direct customer relationships Cost containment Commercial drivers … Increase efficiency Improve service Reduce costs Increase sales Face-to-face replaced by telephone Migrate back office to front office CRM focus (integrate sales and service) Centralize multiple sites and teams Rationalize duplicated functions Key strategies and initiatives … Human agent to self service Low cost location migration Workforce optimization Centralized single site model to virtual model CRM platform Single view of customer Web interfaces IVR and call routing CLI / CTI / predictive dialling Technology initiatives … IP technology Speech recognition IVR / web self service WFM / agent analytics SMS

11 Performance CSAT Impacted Mostly by Service Basics Internal Metrics Bias Basic Efficiency KPIs Still Primary Metrics Increasing 1 st Call Resolution Focus Function Focus on End-to-End Process Management Process Optimization Self Service Expansion Strategy Adequate Service at an Acceptable Cost Performance Efficiency Drivers Short Term Needs over Long Term Growth Model Increased 3 rd Party Utilization Model Redesign to Improve Efficiency Non Agent Channel Progress IP / VOIP / BC / DR Focus

12 Fundamental KPI scorecard Overall 2006 Overall 2007 Overall 2008 Best practice Customer satisfaction score82.0%81.5%80.4%> 85% First contact resolution rate83.0%80.6%80.9%>80% Agent utilization (% talk time)59.0%58.9%56.3%60% Staff attrition rate (agent)21.0%24.1%27.0%< 10% Staff absenteeism rate (agent)11.0% < 5% Abandoned call rate (% calls abandoned) 12.0%13.7%13.6%< 5% Speed-to-answer (% calls answered in 10 sec) 70.0%61.8%63.5% 90% in 10 sec Cost per productive hour

13 Performance Function Strategy Model Adequate Service at an Acceptable Cost Ensuring sufficient capacity available to meet current customer demand / volumes Service provision within acceptable costs Focus on cost reduction / containment & performance efficiencies Best Practice standard adherence no longer a key priority Performance Efficiency Drivers Increasing internal focus Decreasing CRM focus e.g. sales & service integration “Back to Basics” approach Reliance on basic performance efficiency KPIs Growth of customer value displaced by performance efficiency Short Term Needs over Long Term Growth Requirement to deliver improvements in short timescales Long term CRM approach / business vision replaced with immediate cost / efficiency deliverables Short term benefit may conflict with long term vision & value

The 3 most important current main commercial drivers for contact centers

Major developments carried out in last 2 years. Plans for next 2 years. n = 201

Call Resolution Times n = 92

Average cost and time per customer interaction - per channel n = 79

On average, daily time of each agent spent on the following: n = 128

19 Performance Function Strategy Model Focus on End-to-End Process Management Focus on visibility / control / resolution capability of complete customer transactions across channels Reduction in escalations / hand-offs to business areas outside contact centers Process Optimization Clear focus on efficiency improvements through process redesign Cost reduction through effective processes Self Service Expansion Migration of processes to self service channels for the benefit of both the customer & organization Speech recognition less of an impact than envisaged

Which are the top three marketing trends affecting your contact center? n = 186

The 3 most important current main commercial drivers for contact centers

22 CSAT Impacted Mostly by Service Basics Customers want appropriate level of access Customers want their issue resolved efficiently Customers want to interact with appropriately skilled individual, capable to assisting them Customers want agreements to be kept Without these basics, more advanced CRM functions have limited impact on CSAT Internal Bias / Influence on Metrics Significant variance in definitions / measurement methods Accuracy of metrics is questionable Reflects an internal focus / target survival Basic Efficiency KPIs Still Primary Metrics Centres still reliant on basic metrics such as abandoned rates / answered rates Efficiency metrics such as resolution rates / agent capacity relied upon in most centres Sophisticated CRM metrics such as CLV / cost per segments only active in minority of centres Increasing 1 st Call Resolution Focus Focus on efficiency greatly increased 1 st call resolution usage Established as a key performance metric Strategy Function Performance Model

Service component that has biggest impact on customer service - if it improves or deteriorates n = 142

Rank terms that have the greatest impact on call resolution n = 41

The annual number of working days and work hours per day n = 155

Service component with biggest impact on customer service - if it improves or deteriorates. n = 142

Agent Speed to Answer (seconds) n = 135

28 PerformanceFunctionStrategyModel Increased 3 rd Party Utilization Flexibility & migration of non-core services Migration of IT infrastructure / support / management to 3 rd Party specialists Increased focus on core purpose & competency Low 3 rd Party involvement for WM reflects lack of expertise available in market Ops / People Management seen as core in-house skills Model Redesign to Improve Efficiency Consolidating / rationalizing / linking centres continue to be major focus Relocating centres to low cost locations remain priority option & solution Restructuring driven by efficiency / cost / flexibility / control / risk management Non Agent Channel Progress Agent phone channel remains most widely used Acceptance of self service IVR increasing Self service across all channels >25% Fax / correspondence levels reducing Growth in SMS / s Driven by customer convenience/control / speed IP / VOIP / BC / DR Focus Requirement for Business Continuity / DR plans emerging as key priority Migration to IP is central development area for majority of centres

In the last year, using a 3 rd party provider to provide… n = 125

Three most important technology trends in your contact center n = 151

Proportion of phone handsets within the contact centre that are IP n = 149

Main reason for introducing IP into contact centers n = 127

33 Dimension Data’s Global Contact Center Benchmarking website: Dimension Data Customer Interactive Solutions: ew.htm ew.htm Do your own benchmarking assessment: Google: “Dimension Data Performance Ranking Tool” Contact Dimension Data: Grant Sainsbury (919) Find out More about Benchmarking:

Thank you for listening. Grant Sainsbury Practice Director, Customer Interactive Solutions (919)