The Key Challenges Of The BPO Industry

The Key Challenges Of The BPO Industry

The call center industry is a unique one with regards to many of its attributes. It is a technology-oriented sector providing services and solutions to a diverse group of businesses. It has seen a boom and is still riding an inclined graph. But behind all the glare and glitter there lies a few hurdles and challenges that this particular industry has to mitigate in order to ensure its continuous momentum.

Another aspect of the BPO industry is that it is under the constant scrutiny of its customers. And consequently, any misstep in customer satisfaction may have a detrimental effect on the brand image itself.. There is a lot riding on these industries and the aftereffects of a bad experiment might invite counterproductive forces.

Mentioned below is a catalog of a few key areas where the companies offering call center solutions and other BPO services ought to emphasize more.

Attrition rate- Keeping the attrition rate under control is a major stress booster for the management. This rate is higher in the developing countries such as India. The subsequent consequences are such that when a trained executive dissociates from a firm there is a resulting vacuum in the workflow. To meet this lapse, the firm has to draft more new recruits and train them appropriately to balance out the attrition. It means the firm has to bear the excess cost related to hiring, training, appointing and developing a new staff.

#1 Geopolitical Shifts-

The BPO industry deals with multiple operations in different countries. Therefore, any disturbance in the geopolitical status quo of the globe can affect the operational productivity of the industry. Wars, economic disorders, incompetent foreign policies can have adverse effects. Perhaps the worst is the trade wars where unreasonable tariffs are slapped on foreign imports and their products and services.

#2 Flat Organizational Structure-

The work structure in the BPO industry is usually horizontal. And one of the demerits of such a company structure is that the career prospects of the employees are very restricted. There is only one way they can reach the higher designations and this is a major cause of attrition of top talents. It also demoralizes top performers from delivering the best output which, in turn, obstructs the growth and productivity of a business. Managers ought to take measures to keep the employees excited and motivated.

#3 Budget Constraints-

It is one of the major persisting problems in the companies offering call center solutions and other BPO services. To stay relevant and competitive, these businesses have to constantly invest capitals in acquiring the best resources. And budget cuts in these demanding scenarios is always an enemy of growth. The worst hits are typically observed in the public sector call centers where the funding has to be allocated by the government ministries.

#4 Health Hazards- 

Call center companies often requires their employees to work night shifts in order to support customers in far off countries. And when coupled with the hectic work environment of a call center, it can take a toll on the health of the agents. Continuous late night and graveyard shifts can lead to depleted psychological state and complications related to an unsynchronized diurnal cycle. Such employees have a high degree of susceptibility to issues like insomnia, acute and mild cases of RLS, stress-related disorders etc.

#5 Customer Expectation-

It is hard to meet the customer expectation these days as patrons expect a quick fix resolution, in an instant for all of their queries. Unsatisfied irate customers can switch to a competitor’s service and in the worst case scenario can give a bad review which is always derogatory for the brand image. It can shy away a lot of business prospects.

#6 Data Inaccuracy-

Inaccurate data reports are another menace that calls centers have to deal with on a regular basis. Managers in businesses delivering effective call center solutions have to handle different responsibilities such as submitting daily reports of agents to different departments, sales graph, financial reports etc. And in the midst of all these hullabaloos, there is a good chance where the precious customer details & personal information may get mismatched and unintentionally adulterated.

These are only a few challenges that the BPO industry had to tackle in order to ensure a smooth and operational workflow. But it should be kept in mind that there are always unidentified and disguised challenges that one should be ready to handle and moderate in order to achieve success.

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