Service Capacity FAQs

Click on a link below to access that FAQ (frequently-asked question) topic.


CSR Utilization
Duration and Format Adjustment in CSR Productivity Calculation
Experience Quality (Service Operations Quality) Perceptions
Unfilled Orders
Unfilled Orders Exceed Regional Demand




CSR Utilization

“Is low CSR utilization bad?”

Low CSR utilization means that the CSRs have lots of time to service customers so service quality goes up ... but it costs your firm to have such a low level of utilization since the CSRs have lots of "unused" time.

To increase utilization, reduce CSRs (don't hire more CSRs and let attribution reduce the CSR count) or reallocate their time toward another service in that region (that has higher utilization) or try to increase demand for that service.

revised 09/10/2013
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listed under "Service"
listed under "Service Capacity"





Duration and Format Adjustment in CSR Productivity Calculation

"What's the source of the -45.7 number for Duration and Format in the following CSR productivity calculation?"

SERVICE 1-1 [H446320]
Gross CSR Productivity
- Technical Training
- Service Skills Training
- Service Appoint Scheduling
- Duration and Format
= Net CSR Productivity

528.0
-12.0
-12.0
-1.5
-45.7
456.8

528.0
-12.0
-12.0
-1.5
-45.7
456.8

528.0
-12.0
-12.0
-1.5
-45.7
456.8

Service 1-1 configuration [H446320], as shown above in the "title" line at the top, with its associated productivity adjustment implications:
H = Household ... no productivity adjustment
4 = hours per month of CSR Technical Training ... -12 hours/quarter productivity adjustment
4 = hours per month of CSR Service Skills Training ... -12 hours/quarter productivity adjustment
6 = Service Appointment Scheduling ... -1.5 hours/quarter productivity adjustment
3 = Scheduling Style ... no productivity adjustment
2 = Service Call Duration, so a 6-minute increase in service calls results.
0 = Service Call Format ... no productivity adjustment

There are 528 - 12 - 12 - 1.5 = 502.5 available hours before Duration and Format productivity adjustments. So, with one-hour service calls, then 502.5 service calls would be possible. But, the 10% increase in service call length with a Service Call Duration of 2 implies that there's a downward productivity adjustment of 502.5 / (66/60) = 45.7 hours ... and this is the source of the -45.7 Duration and Format productivity adjustment.

revised 09/10/2013
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Experience Quality (Service Operations Quality) Perceptions

“What drives experience quality (service operations quality) perceptions?”

Call center usage rate (lower is better from the customer's viewpoint), CSR salary (higher salary attracts, retains, and motivates more-able service personnel), and turnover (training of new CSRs takes time and energy away from providing customer service) all influence service quality perception.

revised 02/26/2000
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listed under "Research Studies"
listed under "Service"
listed under "Service Capacity"





Unfilled Orders

“Can unfilled orders exist?”

Yes. Note that these are unfilled orders not backlogged orders. There’s no requirement that customers wait to purchase your support service when it becomes available in the future. For those customers facing unfilled orders, some presumably shift to other firms’ available support services immediately while some wait to purchase their preferred support service when it becomes available in the future. Of course, all sales and customer choices in the future are governed by the prevailing conditions (e.g., taking into account your price and the prices of competitors) in the future.

revised 04/20/2005
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listed under "Definitions"
listed under "Service Capacity"





Unfilled Orders Exceed Regional Demand

“Unfilled orders for one of our services exceed industry demand in that region. Is that really possible?”

Sure, why not. Unfilled orders have nothing to do with actual "filled orders" (i.e., sales). Unfilled orders represent additional potential demand that might have been realized beyond "filled orders" (i.e., sales) if sufficient service capacity had been available to meet all customer purchase requests.

A high level of unfilled orders could also reflect industry-wide double-counting if multiple firms' services in a region simultaneously have unfilled orders. If two services simultaneously have unfilled orders in a region, then some customers undoubtedly would have wished to purchase first one of the services and then the other service when the unfilled-order situation for the first service was encountered. In such a situation, this single customer would have been counted as an unfilled order by both unfilled-order services.

Such a high level of unfilled orders is certainly suggestive of lots of accessible market potential in that region with the current marketing programs (including the current configurations and prices) of all of the actively-distributed services in that region. Presumably, there needs to be some increases in supply (i.e., increased service capacity) for those services with unfilled orders, perhaps combined with appropriate price increases to maximize those firms' overall margins in that region.

revised 11/21/2004
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listed under "Marketing"
listed under "Research Studies"
listed under "Service Capacity"




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