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Monday, November 12, 2007

 

MANAGING FOR SOCIETY
By Ben Teehankee

Good jobs (2)

 
Last week, I discussed, based on the ILO and psychological theory, that good jobs enable people to be productive while doing meaningful work that supports employee participation, personal development and security. Let us examine whether call centers are giving good jobs.

Wikipedia defines a call center as “a centralized office used for the purpose of receiving and transmitting a large volume of requests by telephone [which is] is operated by a company to administer incoming product support or information inquiries from consumers [as well as] outgoing calls for telemarketing, clientele, and debt collection …”

The call-center industry is one of the fastest-growing job sectors, with a growth rate of almost 10% in the Asia-Pacific region. While relatively high pay attracts many applicants, the qualified manpower pool is steadily dwindling. Companies report low applicant hiring rates of around 5%. Worse, the sector has an average employee attrition rate of about 20%.

Researchers have traced the attrition to a number of emotionally straining characteristics of typical center work, namely, low job discretion, target times and performance monitoring. These characteristics tend to diminish the “goodness” of call-center jobs. Highly standardized scripts are used to bring employees quickly up to speed for consistent handling of calls. Supervisors closely monitor calls to check for legal compliance, consistency and politeness. Quantitative targets for call handling times are set for employees to maximize operational efficiency. It is easy to see how the job strain that results from lack of autonomy and efficiency pressures can lead to high call-center turnover, especially given the profile of well educated and highly literate employees hired.

Catriona Wallace and fellow researchers, writing in the International Journal of Service Industry Management, have observed that the high turnover can be the result of a deliberate company strategy of “frequent replacement of employees in order to provide enthusiastic, motivated customer service at low cost to the organization.” I don’t know if this is the case for local call centers, but such a strategy would certainly not be consistent with giving good jobs and developing people.

Innovative companies have addressed call-center job problems. Recently, the Personnel Management Association of the Philippines (PMAP) awarded eTelecare its coveted “Employer of the Year Award.” The company reportedly invests heavily in talent and leadership development. It actively involves employees in company decision-making through town-hall meetings, and even solicits their inputs for the design of new call centers. The results: day care centers, game rooms, and resting lounges.

In England, Allison Widdup of arête business services has approached the challenge by redesigning call-center work. She was bothered by the low employee job satisfaction and the high dissatisfaction among customers of UK call centers. Using quality management principles from W. Edwards Deming, arête avoids monitoring systems that do not add customer value and tend to demotivate employees. Managers concentrate on removing blockages and facilitating the progress of quality work. The company also avoids motivational competitions, and instead focuses on building an environment of collaboration and mutual support.

Most tellingly, arête does not utilize call handling time targets or scripts. The company hires and trains good employees, and then gives them as much time as they need to satisfy a caller. Repeat phone calls and complaints about poor service are avoided, and employee morale improves. Not surprisingly, attrition at the company is very low.

Can call centers give good jobs? They can if they balance the concern for efficiency and profit with job designs that bring out the best in employees and promote the latter’s well-being.

Dr. Benito L. Teehankee is the chairman of the Human Resource Management Department of De La Salle Professional Schools Ramon V. del Rosario Sr. Graduate School of Business. He may be emailed at teehankeeb@yahoo.com.

  
 

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