First contact resolution
High first contact resolution, none of the disappointments
First contact resolution is one of the most important metric of call center performance, if not the most important. FCR is crucial to measure the quality of customer service, to determine the efficiency of call center agent and thus an important factor in profitability of a call center. FCR reduces operating costs, improves customer and employee satisfaction, increases sales opportunity and improves NPS. The importance of FCR metric is so high that it is often used as an enterprise wide metric for performance accountability.
What is FCR and how is it calculated?
FCR is the ability of a call center to resolve queries, questions or problems of the customer in the first attempt, eliminating the need for follow ups. First Contact Resolution rate is the percentage of customers who resolved their queries on the first call or contact.
FCR Formula
The formula that we use for calculating FCR is based on calculating the number of customer inquiries solved on first call divided by the total number of customers with the inquiry multiplied by 100.
FCR = (Number of customer inquiries solved on first call/ Total number of inquiries x 100)
Steps to measure FCR
To measure FCR, we take the following steps:
Defining Time Span
The first step we take is we define the time period during which the FCR is being calculated for. This can be a specific time period of days, weeks, months or can be a targeted time.
Data Compilation
We make sure to measure to all elements to make the measurement more effective. We calculate ACD, IVR and CT reports which include performance evaluation of agent, agent groups and different departments. We compile call work reports of all agents, collect data of customer surveys, performance management and quality monitoring tools. We also collect data of outbound calls which include call log details, customer’s information, query details, agent information, and satisfaction level scores which we also list in the CRM system along with other information like tracking DNIS.
Sifting Data
All unnecessary data has to be sorted and sifted to make sure useful data can be found in time. The data which doesn’t fall in the specific time frame, specific geographical location has to be sorted out. Calls with incorrect data, irrelevant calls and wrong numbers have to be removed from our logs for future references.
Total call count
We keep a record of all inbound and outbound calls which includes repeat and abandoned calls as well as outbound calls to the customers. It is important to calculate total call count as it will be used in FCR formula for calculating it.
Fragmenting Repeat Calls
Since we also included repeat calls in our total call count, in this step we remove all the repeat calls which include calls by the same customer in the time period assigned. We also compile the repeat call data in our pre defined window which helps in measuring FCR rate.
Segmeting calls
We also segment calls based on the query asked be it technical support, sales, order processing, billing, general inquiry, complain or manufacturing. This helps agents understand the best solution in response to the query asked.
Digital Recipe
In this step we apply formulas for time period, department, call type and FCR. This gives us a complete picture of handling different variables which ultimately improves call performance and pin points inefficiencies in the query resolution process.
Improvement in FCR
Once we measure FCR, now is the time to improve it. We have developed a complete plan to improve FCR.
- Improvement doesn’t come until you track using the right analytics. At ChatPandas, we track past and real time dashboards and after tracking we can set goal for how much we want to improve FCR.
- Our ChatPandas are trained on multiple CRM systems and having a CRM which tracks tickets, calls, emails, live chats and all customer interactions helps us to track FCR consistently and ultimately helps make FCR rate better.
- Having an omnichannel contact center strategy is crucial for customer satisfaction and it also helps in improving FCR rate.
- We make sure to empower our ChatPandas so they take better decisions when required and they consistently monitor analytics dashboards to be motivated to do better.
- At ChatPandas, we consistenly monitor trends and analyze customer behavior to forecast trends which helps us in improving benchmarks like FCR.
- After collecting ut customers’ experiences and predicting trends, we are in a better position to train our ChatPandas about the areas that need to be improved. We develop a comprehensive knowledge base and training materials which improves FCR rate.
- One of the key things to improve FCR is to just respond quicker. Seems simple, right? However, it is not so simple. It is important to hire the needed staff, train them, make an organizational structure and creating a knowledge base to empower agents to be able to respond quicker and we do it consistently at ChatPandas.
- Implementing QA forms to get essential feedback can be a key factor in revealing areas where the processes can be improved and evaluate agent performance. These QA forms can be further improved based on your customer’s needs.
- Apart from QA forms, post call surveys can be used for those customers whose issue did not get resolved on the first call. Using customer information from CRM, along with feedback and repeat call reason will provide in depth analysis which can help in improving FCR rate.
- Identifying and determining repeat call reason goes a long way in improving FCR rate. We then develop an action plan using VoC closed loop improvement processes. Our senior management reviews the action plan including which includes call scripts and results from feedback forms.
Benefits of FCR
- FCR helps us gain insight into customer perceptions and helps us with quality control related to customer concerns.
- FCR has a direct relation with operational costs, churn rate and sales which means improvement in FCR means improvement in all the other variables.
- Improved FCR can lead to better CSAT and higher customer retention rates. When we provide an excellent customer experience we actually build a loyal customer base.
- A better FCR score can translate into a better performing agent as when we empower agents to solve queries on the first contact, it saves time, resources and increased productivity.
- Resolving customer issues in the first call mean customer are most likely to be involved in cross selling or upselling and will be further interested to do business with that organization.