White glove services a sutherland perspective

Service Delivery Thought Leadership Whitepaper

“White Glove” Services : A Sutherland Perspective

February 2015

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Sutherland Global Services Service Delivery

Table of Contents 1. EXECUTIVE SUMMARY 2. CUSTOMER SERVICE – A STRATEGIC FOCAL POINT 2.1

The Service Delivery Challenge

2.2

Enhanced Focus on High-value Customers

3. THE ‘WHITE GLOVE’ PARADIGM 3.1

Strategic Focus

3.2

The ‘White Glove’ Delivery Model

4. CMO SERVICE TRANSFORMATION SUPPORT 4.1

The Segmented Service Framework

5. IT SUPPORT SERVICE OUTLOOK 5.1

A Multifunctional Platform

6. EMERGING WHITE GLOVE SUPPORTED TECHNOLOGY

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6.1

A Fully-integrated Virtualized Solutions

6.2

Remote IT Infrastructure Management

6.3

End-to-End Video Conferencing Support

Whitepaper “White Glove” Services : A Sutherland Perspective

1. EXECUTIVE SUMMARY Consumer Care: A Strategic Tool for Brand Differentiation The Service Challenge: With the rise in complexity of service functionalities, businesses are now facing new and uncertain risks related to adopting an outsourcing model for customer service. The introduction of new service delivery structures (to further reduce costs) have sometimes led firms to mistakenly exclude critical customer-sensitive functionalities in their delivery systems, thereby lowering brand equity. Some businesses are now exploring new innovative customer support strategies, which can potentially help them achieve cost competitiveness without compromising superior service levels.

Focus on Priority Customers: Retention of high-value clients continues to remain the most critical aspect of business viability across industries. Providing special attention to high-value clients is now increasingly being acknowledged as a key deliverable needed for achieving brand differentiation and for lowering customer defections.

The White Glove Paradigm Strategic Focus: Recent studies have demonstrated that for premium clients, services received through siloed support negatively impact customer experience and revenue prospects. Customizing services based on client value and offering holistic solutions aligned with priority accounts (white glove) can contribute to customer loyalty.

Delivery Model: White glove care within the BPO space includes: 

Customer Management Operations (CMO): Taking complete ownership of client query/issues; no transfer of calls to other departments



IT Service Desk: An integrated IT support system; clients can access service support anytime (personalization) from different channels

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Technical Support: Proactively ensuring maintenance of IT networks & systems 24/7/365; service also includes warranty upgrades, cross-sell/upsell initiatives, etc.

CMO Service Transformation The Segmented Service Framework: In a standard CMO queue, BPOs can segregate customers through:

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

VIP Phone Number: Addition of a new number only meant for high priority customers; calls received from this number are addressed only by the best CSRs

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Call Routing via IVR: Inserting an extra option in the IVR system, which segregates customers based on the type and frequency of transaction before they reach the CSR



CLI Routing: Screening/routing of incoming calls segregated from the

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recognized list of telephone numbers based on priority 

CRM Integrated Solutions: Personalizing calls using CTI screen pop ups; identifying callers on the basis of phone number, display information, caller name, etc.

IT Support Service Outlook A Multifunctional Platform: Recent studies have indicated that most European infrastructure and operations (I&O) organizations have named “Business Value" as the topmost concern for their firm’s service desk. Capabilities such as social media, mobile support and cloud infrastructure are also becoming increasingly important to the service desk, allowing instant, proactive support, integrated with complementary service management processes.

The future service desk, whether delivered from a public or private cloud, or from an on premise installation, whether accessed from a traditional PC, tablet or smartphone, will be a fully-integrated platform, which allows IT to shift focus towards quality value-added services with enhanced care capabilities for highvalue customers.

Emerging White Glove Supported Technologies A Fully-integrated Virtualized Solution: It is a full stack solution offering integrated computing, networking, storage, management elements and applications. The solution offers benefits like faster time to service/market, increased cost advantage and improved IT efficiency, and greater infrastructure and operational improvements.

Remote IT Infrastructure Management: It is a cloud-based help desk solution with a dedicated URL, which can be accessed anywhere, allowing service desk agents and the organization’s staff and customers to remain connected at all times.

Full Service Video Conferencing Video: It is a high-touch full service video conferencing solution, which enables multiple end points to communicate with each other with features of audio, video and chat conferencing options built into it.

2. CUSTOMER SERVICE –A STRATEGIC FOCAL POINT 2.1 The Service Delivery Challenge Implementing low-cost solutions across multiple customer segments alone does not always represent the most intelligent strategic alternative. In the existing, challenging market conditions, where cost reduction efforts among firms are preeminent, adopting a strategy of moving back-office functions to low -cost regions have over the past few decades enabled companies to effectively cut costs and improve profitability.

However, today as these businesses look to extend the outsourcing model to 5

Whitepaper “White Glove” Services : A Sutherland Perspective

more complex and critical functions such as customer service, they are stumbling upon new and uncertain risks that need creative strategies to maintain/enhance brand equity. Mistakenly, while introducing new service delivery structures by replacing/upgrading the old ones, businesses sometimes tend to lose sight of customer perception and inadvertently sacrifice brand equity by excluding customer-sensitive service functionalities. Having experienced this, some businesses are exploring innovative customer service strategies that not only deliver substantial savings but also help reduce customer-facing risks. Recent studies indicate that achieving a 20%-40% cost reduction while continuing to maintain superior service levels is possible, but this requires a detailed analysis and multi-faceted approach.

2.2 Enhanced Focus on High-value Customers Delivering services that help retain premium clients is critical for business success. Given the evolutionary nature of global markets, service processes today vary significantly based on their functional complexity and the level of customer interactions needed. For instance, transactional activities that have fewer complexities and are repetitive in nature lack the scope for service differentiation, and hence are candidates for automation projects.

Contrarily, higher complex activities are inherently difficult to automate, and are considered more prominently for outsourcing, especially when they are transactional in nature. However, services that contain the highest complexity and interaction intensity are typically the ones that are most valued by premium customers. High-value customers, characteristically, subscribe to multiple services and maintain higher average periodic spends or quantity of purchases.

Therefore, it becomes important for providers to deliver a support function capable of retaining these customers in order to preserve market competitiveness. When service agents employ creativity and an entrepreneurial approach towards resolving customers’ issues, they create lasting relationships and brand differentiation for themselves. However, many service providers get drawn towards resolving issues of those customers who complain the loudest, thus offering them the most attention using scarce service resources. Ironically, customers who solicit the most assistance are often the marginally profitable customers.

While investing in developing relationships with such customers makes little strategic sense, strengthening premium quality customer service capabilities enable businesses to enhance brand equity, mitigate customer churn, and ensure market relevance.

3. THE ‘WHITE GLOVE’ PARADIGM Strategic Focus Customizing services based on client value and retention is critical. Markets today offer clients a diverse range of products and services designed to meet modern retail and institutional needs. The widespread availability of these services has contributed toward markets becoming extremely competitive 6

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where providers are frequently trading customers. Therefore the question arises – how can service providers do a better job of retaining customers? To address this, big firms are segmenting their customers to align service levels based on account value. The segmentation exercise enables providers to focus on delivering premium services (“white glove� experience) targeted at top priority accounts, resulting in customer loyalty.

Offering a holistic solution aimed at demonstrating a sense of complete customer ownership and achieving high customer satisfaction.

Premium clients present a unique opportunity to build high-value support teams, enabling them to retain an important revenue source. Studies have indicated that for premium customers, services received through siloed support negatively impact customer experience and revenue prospects. These customers have repeatedly shown a tendency to abandon their service providers due to unsatisfactory quality of support/services. Premium support teams overcome the hurdles of siloed support by consolidating skill sets normally delivered by several di-fferent teams, including internal teams and outside vendor teams, into one unit. Premium support agents are well trained and have access to tools that enable them to own the customer relationship and provide a holistic customer experience.

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Whitepaper “White Glove” Services : A Sutherland Perspective

3.2 The ‘White Glove’ Delivery Model Exhibit 1: A Comparison of Standard & White Glove Services

Note: CSR denotes customer service representatives; white glove services typically represent services that are marked by special care or attention targeted towards high-value customers Source: Service provider websites; industry news articles & journals 8

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4. CMO Service Transformation Support The Segmented Service Framework Many CMOs treat all customers equally, but by doing so they potentially end up upsetting their high-spending customers. Given that these high-spending customers, though small in number, are expected to regularly spend far more than the typical average customer, it makes strategic sense to give them special care. In a standard CMO queue, providers generally struggle to identify high-value customers, and fail to provide them special attention.

The following are the potential approaches by which businesses can look to segregate the customer base and offer targeted services based on the account value: VIP Phone Number: Insert a new VIP number and offer it only to high-value customers. Once CMOs recognize premium customers through the VIP number, they can ensure that all VIP calls are addressed only by the most proficient CSRs in the shortest possible time, and progressively additional steps can be taken to enhance relationships with these customers. Alternatively, clients can also be segmented across customer groups or by product line. For instance: 

Gold, Silver or Bronze – based on spend or membership category

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Hosting or dedicated (to get higher levels of support)



Early life or Normal (acknowledging that customers who have just signed up need more attention).

IVR Call Routing: Adding one more option in the IVR system enables segregating customers before they reach the agents. For instance, a hotel can play the following message in its IVR system: “If this will be your first stay with us, please press 1. If you wish to make a repeat booking, please press 2.”

Here, the nature of the message played will depend largely on the provider’s type of business, and the customer segmentation method.

Caller Line Identity (CLI) Routing: The Caller Line Identity (CLI) routing system allows businesses to route calls based on their telephone number.

Furthermore, it enables screening of incoming calls at the CMO in a similar way people screen their personal calls, e.g., choosing to pick up a call from a close relative, while diverting an unrecognised number to the voicemail. The CLI system cross-references all incoming calls against a database and pushes the important callers to the top of the queue.

CRM Integrated Solutions: CRM integration helps agents personalize calls using CTI screen pop ups and more. The solutions also help identify callers by unique attributes, like phone number, and display information, such as the caller’s name, on the agent’s screen before the call starts.

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Whitepaper “White Glove� Services : A Sutherland Perspective

Concierge Services: CSRs can assist premium customers looking to contact other departments for a reference code, more information, authorization, problem resolution, etc. Concierge CSRs tell the customers that they will call the necessary department or organization either on their behalf or with them on the line to get the work done. For the customer, this process creates a sense of complete ownership taken by the CSR towards resolution of the issue, thus maintaining high levels of FCR and CSAT performance.

5. IT Support Service Outlook 5.1 A Multifunctional Platform Recent studies have indicated that majority of firms have named "Showing Business Value" as one of the top three concerns for their organization's service desk. However, despite the focus on demonstrating business value, only 30% respondents said they are using executive dashboards.

Industry experts opine that the drive towards a more agile IT department will lead many firms to re-evaluate the adopted processes, reset expectations and embrace a more pragmatic and localized view of Information Technology.

Information Technology Infrastructure Library (ITIL), with special emphasis on providing high-value support for premium users. Furthermore, social media is expected to become increasingly important to the service desk, allowing instant, proactive support, integrated with complementary service management processes. Social media can also potentially help improve viral brand protectionism via quick thinking customer service and help avoid unnecessary public backlash.

Customers will increasingly expect the IT service desks to accommodate mobile applications as a key support platform.

According to Neil Penny, product manager, Sunrise Software, by 2015, mobile application development projects targeting smartphones and tablets are expected to outnumber native PC projects by a ratio of 4:1.

Smartphone and tablet users are likely to be unsatisfied with access to only limited interfaces with fewer, simpler features. They will demand a fuller access using apps designed specifically for high-value customers (personalization), which fully leverages the location-aware nature of these devices.

The ‘on-the-go' service desk is likely to become a usual feature of all software, and by 2016 it is expected that at least 50% of enterprise email users will rely primarily on a browser, tablet or mobile client instead of a desktop client.

The future service desk, whether delivered on premise, or from a public/private cloud, or accessed from a PC, tablet, or smartphone, is geared towards becoming a fully-integrated platform. It is expected to gravitate IT towards achieving its business goal of delivering the highest quality value-added services, at the right time, using the right resources, and at the right costs.

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6. EMERGING WHITE GLOVE SUPPORTED TECHNOLOGY 6.1 A Fully-integrated Virtualized Solution One of the most comprehensive approaches to providing a holistic white glove service is a fully-integrated full stack solution. In this approach, instead of discovering individual pain points that virtualization can solve; the emphasis is put on integrated computing, networking, storage, management elements and applications to simplify businesses’ IT structure and reduce operating expenses (OPEX) through turnkey deployment.

Value Proposition: Faster time to service/market, increased cost advantage, improved IT efficiency, and greater infrastructure and operational improvements.

6.2 Remote IT Infrastructure Management Amid the increased complexity of service interactions, factors such as scalability, flexibility and deployment speed are critical considerations for businesses. Studies indicate that employees now use email, telephone and chat as the top three channels when interacting with the service desk. Cloudbased help desk solutions (hosted) offer some compelling strategic benefits; in one of them, for instance, a cloud technology allows service centers to change their staffing model, as it is easier to provide technology to distributed service agents.

Value Proposition: A firm’s private cloud instance with a dedicated URL allows service desk agents and the organization’s staff and customers to remain connected at all times. This means service agents get the flexibility to resolve issues on the move – all they need is a web browser.

Furthermore, with the increased demand from employees to use their own devices at the workplace, cloud-based service management solutions offer functionality to remotely support mobile devices with the same ease as supporting client PCs.

6.3 End-to-End Video Conferencing Support It is a full-service video conferencing solution, which enables multiple end points to communicate with each other with features of audio, video and chat conferencing options built into it. Presentations and documents can be shared between group members while the whole conference gets recorded. It has a high-touch approach that looks at providing quality and reliability on every call.

The technology offers a single point of contact to schedule, coordinate, and conduct end to-end visual communications meetings.

Value Proposition: Adopting the technology reduces the need for IT resources to support another initiative. The technology also enables utilization of hosted cloud-based services as an integral component of an on premise managed video conferencing solution.

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Š Copyright Sutherland Global Services Sutherland Global Services 1160 Pittsford-Victor Road Pittsford, NY 14534 Produced in the United States of America February 2015

This document is current as of the initial date of publication and may be changed by SGS at any time. Not all offerings are available in every country in which SGS operates

About Sutherland Global Services

For more information contact:

Established in 1986, Sutherland Global Services is a global provider of business process and technology management services.

Sutherland offers an integrated portfolio of analytics-driven backoffice and customer facing solutions that support the entire customer lifecycle. One of the largest, independent BPO companies in the world, it serves global leaders in major industry verticals.

Headquartered in Rochester, N.Y., Sutherland employs over 30,000 professionals and has locations across the United States, Canada, Brazil, Mexico, Colombia, Jamaica, Slovakia, Estonia, Sweden, Bulgaria, UK, Morocco, UAE, Egypt, Malaysia, Philippines, India and China.

For more information, visit www.sutherlandglobal.com

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