CALL CENTERS (CENTRES) - Faculty of Industrial Engineering and ...
CALL CENTERS (CENTRES) - Faculty of Industrial Engineering and ...
CALL CENTERS (CENTRES) - Faculty of Industrial Engineering and ...
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Introduction †<br />
Call center is the common term for a telephone-based human-service operation. A call center<br />
provides tele-services, namely services in which the customers <strong>and</strong> the service agents are remote from<br />
each other. The agents, who sit in cubicles, constitute the physical embodiment <strong>of</strong> the call center.<br />
With numbers varying from very few to many hundreds, they serve customers over the phone, while<br />
facing a computer terminal that outputs <strong>and</strong> inputs customer data. The customers, possibly up to<br />
thous<strong>and</strong>s at a given instant, are only virtually present: they are either being served or they are<br />
delayed in, what we call, tele-queues. Those waiting to be served share a phantom queue, invisible to<br />
each other <strong>and</strong> the agents serving them, waiting <strong>and</strong> accumulating impatience until one <strong>of</strong> two things<br />
happens – an agent is allocated to serve them (through a supporting s<strong>of</strong>tware), or they ab<strong>and</strong>on the<br />
tele-queue, plausibly due to impatience that has built up to exceed their anticipated worth <strong>of</strong> the<br />
service.<br />
Contact centers are the contemporary successors <strong>of</strong> call centers. In addition to phone services,<br />
they interface with customers via the internet, email, chat <strong>and</strong> fax. Call or contact centers are the<br />
preferred <strong>and</strong> prevalent way for many companies to communicate with their customers. (Fortune-500<br />
companies are estimated to operate, on average, 30 call centers each.) The call center industry is<br />
thus vast, <strong>and</strong> rapidly exp<strong>and</strong>ing in terms <strong>of</strong> both workforce <strong>and</strong> economic scope. For example, it is<br />
estimated that 70% <strong>of</strong> all customer-business interactions occur in call centers <strong>and</strong> that $700 billion in<br />
goods <strong>and</strong> services were sold through call centers in 1997. These figures have been exp<strong>and</strong>ing 20%<br />
annually. Three percent <strong>of</strong> the U.S. working population is currently employed in call centers. This<br />
amounts to 1.55 million agents, <strong>and</strong> some estimates actually go up to 6 million.<br />
The modern call center is a complex socio-technical system. Some view call centers as the business<br />
frontiers but others as the sweat-shops <strong>of</strong> the 21st century. Either way, within our service-driven<br />
economy, telephone services are now unparalleled in scope, service quality <strong>and</strong> operational efficiency.<br />
Indeed, in a large best-practice call center, hundreds <strong>of</strong> agents can cater to thous<strong>and</strong>s <strong>of</strong> phone callers<br />
per hour; agent utilization levels can average between 90% to 95%; no customer encounters a busy<br />
signal <strong>and</strong>, in fact, about half <strong>of</strong> the customers are answered immediately; the waiting time <strong>of</strong> those<br />
delayed is measured in seconds, <strong>and</strong> very few ab<strong>and</strong>on while waiting.<br />
The design <strong>of</strong> the modern call center, <strong>and</strong> the management <strong>of</strong> its performance, surely must be based<br />
on sound scientific principles. This is manifested by a growing body <strong>of</strong> academic multi-disciplinary research,<br />
devoted to call centers, <strong>and</strong> ranging from Mathematics <strong>and</strong> Statistics, to Operations Research,<br />
<strong>Industrial</strong> <strong>Engineering</strong>, Information Technology <strong>and</strong> Human Resource Management, all the way to<br />
Psychology <strong>and</strong> Sociology. My goal here is to “describe” this research through a list <strong>of</strong> abstracts, as<br />
complete <strong>and</strong> updated a list as possible. The abstracts originate in papers that are either directly<br />
related to or have been judged potentially helpful for academic research on call centers.<br />
† The text is adapted from “Empirical Analysis <strong>of</strong> a Call Center”, by A. M<strong>and</strong>elbaum, A. Sakov, S. Zeltyn, Technion<br />
Technical Report, 2001; <strong>and</strong> from “Introduction to Mathematical Models <strong>of</strong> Call Centers”, preprint by G. Koole <strong>and</strong> A.<br />
M<strong>and</strong>elbaum, 2001.<br />
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