High Performance BPO delivers game-changing business outcomes
High Performance BPO delivers game-changing business outcomes
High Performance BPO delivers game-changing business outcomes
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<strong>High</strong> <strong>Performance</strong> <strong>BPO</strong><br />
<strong>delivers</strong> <strong>game</strong>-<strong>changing</strong><br />
<strong>business</strong> <strong>outcomes</strong>
The benefits offered by <strong>BPO</strong> have long been clear, and<br />
have centered on the increased efficiency that comes with<br />
standardizing and streamlining processes and driving out cost.<br />
But as impressive as such gains are, companies can pull the same<br />
levers of labor savings and process improvements for only so<br />
long before the benefits begin to sound less impressive. Today,<br />
organizations are asking their <strong>BPO</strong> providers a bold new question:<br />
“What else can you give me?”<br />
These new forms of <strong>business</strong> value—such<br />
as improving customer satisfaction,<br />
increasing working capital and revenue<br />
generation, and optimizing costs and<br />
profit & loss performance—are already<br />
emerging in the most progressive client/<br />
provider relationships. Such <strong>outcomes</strong><br />
are arising from <strong>BPO</strong> providers’ ability<br />
to use the <strong>business</strong> and operational<br />
knowledge gleaned from a long-term<br />
outsourcing relationship, to go deeper<br />
into their clients’ value chains. The<br />
earlier forms of value generated by <strong>BPO</strong><br />
solutions will continue, but they will<br />
be delivered in the context of <strong>business</strong><br />
2<br />
<strong>outcomes</strong> based on more extensive<br />
analytics-based insights, application of<br />
industry expertise, and the scale and<br />
experience a provider gains within and<br />
across multiple industries.<br />
Following are a number of nextgeneration<br />
<strong>business</strong> <strong>outcomes</strong> for<br />
Accenture clients that provide concrete<br />
examples of how Accenture has helped<br />
organizations, from an array of industries,<br />
achieve <strong>game</strong>-<strong>changing</strong> advantages<br />
through analytics-backed <strong>BPO</strong>.
Care Management<br />
North American Healthcare Payer<br />
Accenture aligned with Radiant to bring<br />
Care Management <strong>BPO</strong> Services to a<br />
North American healthcare payer to help<br />
them reduce administrative costs. The<br />
company was able to ramp up operations<br />
with highly-skilled resources, including<br />
US-licensed nurses in just 13 weeks<br />
and achieve a savings between 35 and<br />
55 percent per full-time employee. The<br />
clinicians are responsible for helping<br />
manage the review and authorization of<br />
medical services, and the company was<br />
able to redeploy its retained staff to other<br />
customer-facing activities.<br />
Business Outcome: Improve Workforce<br />
<strong>Performance</strong><br />
North American Healthcare Payer<br />
Accenture aligned with Radiant to bring<br />
Care Management <strong>BPO</strong> services to help a<br />
leading North American healthcare payer<br />
improve service quality, productivity and<br />
compliance by managing the processing<br />
of its electronic requests from service<br />
providers related to patient care. By<br />
meeting and exceeding the 95 percent<br />
target for quality service level agreements<br />
and the 99+ percent target for<br />
turnaround-time compliance, this enabled<br />
the company to meet government<br />
requirements.<br />
Business Outcome: Improve Compliance<br />
and Risk Management<br />
North American Healthcare Payer<br />
A leading North American healthcare<br />
payer significantly reduced the<br />
administrative costs of handling electronic<br />
requests from customers. Accenture<br />
aligned with Radiant to bring Care<br />
Management <strong>BPO</strong> services to introduce<br />
program efficiency improvements<br />
resulting in a 200 percent increase in<br />
productivity compared to client targets,<br />
and a reduction in the number of staff<br />
needed to support the service and region.<br />
Business Outcome: Improve Workforce<br />
<strong>Performance</strong><br />
Finance & Accounting<br />
North American Provider of <strong>High</strong> Tech<br />
Products and Services<br />
By conducting in-depth analysis of credit<br />
terms and introducing dynamic collection<br />
strategies, Accenture F&A <strong>BPO</strong> optimized<br />
working capital performance for a<br />
leading US provider of high-technology<br />
products and services. The reduction in<br />
the number of days it takes to process<br />
payments (day sales outstanding) helped<br />
optimize cash flow, and released an<br />
additional $9.4 million into the <strong>business</strong><br />
and a $430,000 P&L impact.<br />
Business Outcome: Improve Working<br />
Capital<br />
HR (Recruitment) <strong>BPO</strong><br />
British Telecom<br />
Faced with significant challenges<br />
regarding headcount control and cost<br />
containment due to divergent systems<br />
and regional processes, Accenture HR<br />
<strong>BPO</strong> teamed with BT Global Services<br />
to implement a centralized approval<br />
tracking and control process as part of<br />
our existing onboarding services. The<br />
Global Services unit is seeing significant<br />
reduction in unapproved hires and is able<br />
to better project and regulate the flow<br />
of new hires coming into the <strong>business</strong> to<br />
match costs with incoming revenue.<br />
Business Outcome: Improve<br />
Workforce <strong>Performance</strong><br />
3
European Supermarket<br />
Accenture HR <strong>BPO</strong> enabled significant<br />
improvements in workforce productivity<br />
for a European supermarket company<br />
by making back-office processes more<br />
efficient and effective; the program<br />
freed up over 45,000 hours per year<br />
for store managers. Time spent hiring<br />
qualified candidates was reduced,<br />
and less time was spent on executing<br />
HR administrative tasks such as CV<br />
screening, scheduling interviews<br />
and preparing new hire documents.<br />
Accenture improved the speed-to-hire<br />
by 50 percent, reducing the time it<br />
takes to fill a vacancy from an average<br />
of 10 days to just five. The recruitment<br />
capabilities were strengthened, and<br />
processing efficiency increased by more<br />
than 30 percent. Store managers’ time<br />
has been freed up to focus on improving<br />
customer service and generating sales.<br />
Business Outcome: Improve Workforce<br />
<strong>Performance</strong><br />
Levi Strauss & Co.<br />
Levi Strauss & Co. needed to transform<br />
its recruiting process, improving<br />
its ability to hire talented retail<br />
professionals to work during the<br />
annual back to school and holiday<br />
seasons. In the past, Levi Strauss & Co.<br />
store managers recruited new hires<br />
by literally walking the halls of retail<br />
centers with paper applications in<br />
hand. Accenture developed an online,<br />
cloud-based recruiting and hiring<br />
capability, supported by a team of<br />
experienced recruiting professionals.<br />
Now Levi Strauss & Co. can advertise<br />
job opportunities on social media and<br />
careers sites, and enable candidates to<br />
apply online with Levi Strauss & Co.,<br />
freeing up 60,000 store manager hours.<br />
In addition, Accenture applied analytics<br />
to identify opportunities to improve<br />
demand forecasting and sourcing and<br />
hiring performance. The outsourcing<br />
arrangement has fundamentally<br />
changed how Levi Strauss & Co.<br />
manages its recruitment and hiring<br />
4<br />
function, increasing the efficiency and<br />
effectiveness of the hiring process;<br />
improving the quality of candidates and<br />
new hires and creating an enhanced user<br />
experience for both the hiring managers<br />
and the candidates.<br />
Business Outcome: Improve Workforce<br />
<strong>Performance</strong><br />
Insurance <strong>BPO</strong><br />
Global Insurance Company<br />
In order to improve customer satisfaction<br />
and retention, Accenture is piloting an<br />
innovative automated Speech Analytics<br />
solution as part of an Insurance<br />
<strong>BPO</strong> project with a global insurance<br />
company. This solution will analyze<br />
speech patterns, word choices and<br />
intonations, correlate that information<br />
against agent data and experiences, and<br />
identify key agent responses that cause<br />
customers satisfaction or dissatisfaction.<br />
The information will be used to coach<br />
agents to improve their performance,<br />
and is anticipated to result in improved<br />
customer satisfaction metrics, first<br />
call resolution, retention rates and the<br />
overall customer experience.<br />
Business Outcome: Improve Customer<br />
Satisfaction<br />
Learning <strong>BPO</strong><br />
Global Provider of Next-Generation<br />
Business Collaboration and<br />
Communications Solution<br />
A global leader in providing unified<br />
communications, real-time video<br />
collaboration, contact center, networking<br />
and related services was challenged to<br />
meet revenue objectives in its IP and<br />
Convergence groups. Accenture Learning<br />
<strong>BPO</strong> collaborated with the client and<br />
designed a training solution that<br />
combined Data and IP Telephony courses,<br />
streamlined the standard curriculum,<br />
and condensed all existing courses into<br />
a 25-day program adapted to Caribbean<br />
and Latin Americas’ regional needs. As<br />
a result of this improved training, IP<br />
and Convergence sales increased by 35<br />
percent in six months.<br />
Business Outcome: Improve Workforce<br />
<strong>Performance</strong><br />
Telstra<br />
Telstra teamed with Accenture to<br />
redesign their new hire induction<br />
program in order to improve speed<br />
to competence, customer service and<br />
staff retention. Accenture designed<br />
an innovative blended training<br />
program that allowed new hires the<br />
opportunity to take live customer calls<br />
or make site visits during training,<br />
and introduced Team Leaders to<br />
co-facilitate and provide coaching<br />
support during the process as opposed
to providing this once hired. Staff<br />
trained under this program were 30<br />
percent more productive in their first<br />
four to six weeks. Stores with a higher<br />
percentage of these specially trained<br />
staff outperformed others in sales and<br />
customer service, and attrition dropped<br />
by 21 percent.<br />
Business Outcomes: Improve Workforce<br />
<strong>Performance</strong>; Optimize Costs and Profit<br />
& Loss <strong>Performance</strong><br />
Accenture helped Telstra improve its field<br />
workforce productivity by 51 percent<br />
through a major <strong>business</strong> transformation<br />
project. Accenture not only redesigned<br />
the training, which included creating<br />
and updating 57 course hours and<br />
delivering more than 12,000 hours of<br />
training, but also introduced process<br />
improvements such as optimizing service<br />
routes to reduce transit times between<br />
service calls. As a result, Telstra has seen<br />
an increase in field workforce skills and<br />
an overall improvement in the efficiency<br />
and effectiveness of meeting customer<br />
service requests.<br />
Business Outcome: Improve Workforce<br />
<strong>Performance</strong><br />
Global Products Company<br />
To improve the productivity of its sales<br />
workforce in China, a global diversified<br />
products company, collaborated with<br />
Accenture Learning <strong>BPO</strong> to design<br />
and implement an innovative talent<br />
development program addressing<br />
knowledge, skills and behaviors. The<br />
development of the talent program was<br />
based on insights from a combination<br />
of sales, employee performance, and<br />
<strong>business</strong> KPI data. Introduced across<br />
four regions in China the solution<br />
blended eLearning, virtual learning,<br />
and classroom events combined with<br />
three months of frequent reinforcement<br />
activities providing sales reps the<br />
opportunity to practice the needed skills<br />
and behaviors over a period of time.<br />
As a result, the campaign increased<br />
sales by over 2 percent, and had paid<br />
itself back in two months. The program<br />
also resulted in increased sales rep<br />
engagement and confidence.<br />
Business Outcome: Improve Revenue<br />
Generation<br />
5
Looking to develop a competitive<br />
advantage and implement a new<br />
operating model for the Russia Belarus<br />
and Ukraine market, this global diversified<br />
products company collaborated with<br />
Accenture Learning <strong>BPO</strong> to improve sales<br />
behaviors, execution excellence, and<br />
create a continuous improvement culture.<br />
Accenture worked with the leadership<br />
team to identify the key knowledge<br />
gaps, performance gaps and <strong>business</strong><br />
issue areas through insights gained from<br />
analytics on <strong>business</strong>, employee and<br />
performance data. The solution consisted<br />
of a blend of eLearning modules,<br />
workshops, coaching and classroom<br />
sessions for the sales personnel. The<br />
program resulted in increased sales by<br />
over 3 percent, and 89.6 percent of sales<br />
representatives indicating the program<br />
directly helped their confidence and<br />
performance.<br />
Business Outcomes: Improve Revenue<br />
Generation; Improve Workforce<br />
<strong>Performance</strong><br />
Marketing <strong>BPO</strong><br />
Procter & Gamble<br />
We have been supporting the expansion<br />
of Procter & Gamble’s digitization<br />
agenda through our <strong>BPO</strong> services. We<br />
help increase the scale, agility and speed<br />
of the delivery of broad-based digital<br />
marketing and virtual reality services to<br />
the <strong>business</strong>. By running and operating<br />
P&G’s virtual reality studios around<br />
the world, we help the brand and sales<br />
teams with virtual imaging for new<br />
product development and planning<br />
for retailer share of product. We just<br />
reached a milestone of 150 virtual store<br />
builds. When we started executing<br />
digital marketing programs for P&G, we<br />
were delivering the service to 44 brands.<br />
Today the service has grown to cover<br />
over 90% of the brands. And we jointly<br />
continue to evolve and innovate into<br />
new digital service areas such as search<br />
engine optimization. We performed<br />
6<br />
an SEO audit on Super Savvy Me that<br />
resulted in 102 percent improvement in<br />
the search audit score.<br />
Business Outcomes: Improve Revenue<br />
Generation; Acquire and Retain New<br />
Customers<br />
Network <strong>BPO</strong><br />
Global Telecommunications Company<br />
Accenture Network <strong>BPO</strong> has partnered<br />
with a leading telecommunications<br />
company to improve the speed with<br />
which it provides customers with new<br />
products and services. By implementing<br />
system and process improvements,<br />
Accenture has reduced the time it<br />
takes customer service agents to fulfill<br />
customer requests, resulting in a 41<br />
percent productivity increase. This has<br />
allowed the company to redirect agents<br />
to support new <strong>business</strong>es in support of<br />
their growth strategy.<br />
Business Outcome: Improve Workforce<br />
<strong>Performance</strong><br />
Pharmaceutical <strong>BPO</strong><br />
Global Life Sciences Company<br />
Accenture Pharmaceutical <strong>BPO</strong> worked<br />
with an international life sciences<br />
company to improve its response time<br />
in managing fatal and life threatening<br />
safety cases. With Accenture’s<br />
help, the company improved its<br />
responsiveness by handling 98 percent<br />
of cases within 24 hours, ensuring<br />
that quick and appropriate actions are<br />
taken to help prevent further health<br />
problems for patients, and improve<br />
drug safety overall. In addition to<br />
improving response time, Accenture<br />
also helped improve the quality of case<br />
management, reducing error rates to<br />
2 percent, thereby reducing rework,<br />
improving patient service and leading<br />
to improved compliance.<br />
Business Outcomes: Improve Customer<br />
Satisfaction; Improve Compliance and<br />
Risk Management<br />
Procurement <strong>BPO</strong><br />
Global Communications Company<br />
A global communications company<br />
partnered with Accenture Procurement<br />
<strong>BPO</strong> over a five-year period to manage<br />
direct material categories sourcing<br />
activities, drive bottom-line savings<br />
and improve working capital. Accenture<br />
applied on-demand category expertise<br />
and analytics to create multiyear<br />
category strategies and a prioritized list<br />
of sourcing opportunities. By applying<br />
category knowledge and expertise, an<br />
industrialized sourcing process and<br />
best-in-class technology, Accenture<br />
helped generate 16 percent of bottomline<br />
savings. It also implemented a<br />
Vendor Management Inventory program<br />
that reduced inventory levels by 50<br />
percent, freeing up floor space for<br />
office expansion.<br />
Business Outcomes: Improve Working<br />
Capital; Optimize Costs and Profit & Loss<br />
<strong>Performance</strong><br />
Supply Chain <strong>BPO</strong><br />
North American Aerospace and<br />
Defense Company<br />
Leveraging sophisticated spare-parts<br />
inventory analytics, Accenture Supply<br />
Chain <strong>BPO</strong> helped a leading North<br />
American aerospace and defense<br />
company to optimize its working<br />
capital performance. By scientifically<br />
calculating optimum inventory across<br />
the company’s parts distribution<br />
centers, the program managed to<br />
simultaneously raise product availability<br />
from 59 percent to 81 percent.<br />
Business Outcomes: Improve Working<br />
Capital; Improve Revenue Generation;<br />
Optimize Costs and Profit & Loss<br />
<strong>Performance</strong>
Loblaw Companies Limited<br />
Loblaw Companies Limited, a large<br />
national grocery retailer, needed to<br />
improve supply chain performance<br />
for over $1 billion worth of general<br />
merchandise by reducing stock outages,<br />
stock overages, and errors, such as<br />
shipping the wrong product to a<br />
store. While cost was an important<br />
consideration in provider, the ability<br />
to improve performance was the<br />
client’s main criterion. Accenture<br />
applied our domain expertise and<br />
analytics capabilities to determine that<br />
the client’s legacy forecasting tools<br />
were inaccurate, and built a custom<br />
forecasting tool that used logic to<br />
forecast better year-round and seasonal<br />
products. Accenture also built analytics<br />
tools for category management, and<br />
used the data to re-design <strong>business</strong><br />
processes. As a result, Accenture was<br />
able to help the client increase the<br />
distribution center stock fill rate by<br />
over 1000 basis points and improved<br />
inventory currency. Error rates were also<br />
reduced by up to 50 percent, leading to<br />
less rework and improved efficiency.<br />
Business Outcomes: Improve Revenue<br />
Generation; Optimize Costs and Profit &<br />
Loss <strong>Performance</strong><br />
U.S. Retail Company<br />
Targeting increased revenue, a leading<br />
U.S. retail company worked with<br />
Accenture Supply Chain <strong>BPO</strong> to achieve<br />
a 10-15 percent improvement in<br />
forecast accuracy. Applying analytics,<br />
the program improved forecast accuracy<br />
for more than 500,000 products<br />
across multiple categories such as<br />
apparel, foods, general merchandise<br />
and pharmacy, resulting in improved<br />
inventory management that contributes<br />
to overall revenue improvement.<br />
Business Outcome: Improve Revenue<br />
Generation<br />
Utilities <strong>BPO</strong><br />
North American Utility Company<br />
Using a transaction compliance and<br />
analytics tool, Accenture Supply Chain<br />
<strong>BPO</strong> helped a North American Utility<br />
Company identify significant working<br />
capital and cost saving areas of<br />
opportunity within their Procure to Pay<br />
cycle. By analyzing 18 months worth<br />
of spend, Accenture recommended<br />
changes that could lead to $30 million<br />
in working capital benefits as well<br />
as $2 million in cost savings within<br />
the Accounts Payable function. In<br />
addition, the team proposed several<br />
transformational initiatives to update<br />
the client’s Accounts Payable function<br />
that could realize an additional $1<br />
million in cost savings.<br />
Business Outcomes: Optimize Costs and<br />
Profit & Loss <strong>Performance</strong><br />
7
About Accenture<br />
Accenture is a global management<br />
consulting, technology services<br />
and outsourcing company, with<br />
more than 249,000 people serving<br />
clients in more than 120 countries.<br />
Combining unparalleled experience,<br />
comprehensive capabilities across<br />
all industries and <strong>business</strong> functions,<br />
and extensive research on the<br />
world’s most successful companies,<br />
Accenture collaborates with clients to<br />
help them become high-performance<br />
<strong>business</strong>es and governments. The<br />
company generated net revenues of<br />
US$25.5 billion for the fiscal year<br />
ended Aug. 31, 2011. Its home page is<br />
www.accenture.com.<br />
Copyright © 2012 Accenture<br />
All rights reserved.<br />
Accenture, its logo, and<br />
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are trademarks of Accenture.