In early December 2011, Avaya and Salmat announced a strategic partnership with Avaya beating Interactive Intelligence in the tender process to become the leading supplier of technology solutions to Salmat, one of Australia’s largest contact centre outsource providers.
Avaya's success has come off the back of a long term engagement process lasting 18 months.
When asked about why Avaya had been successful, Avaya CEO Rob Wells immediately raised the topic of multi-channel. Wells stated, "Salmat are evolving their business. They see the need to be faster on their feet, more responsive to customers and more differentiated in the market by making sure that whatever media the customer feels is an appropriate media to use, can be deployed very quickly."
Wells also highlighted that one of the key success factors for Avaya was demonstrating the way they could build a close partnership with Salmat. Wells said, "This is an exciting deal because this partnership will allow Salmat to offer unique solutions in the market place, but it also allows Avaya to think about going to market in different ways."
Director Solutions Sales, Rod Maxwell also pointed to Avaya's strength of product offering, particularly Avaya’s Aura and SIP solutions as a factor that influenced their success. He stated, "Salmat see a lot of benefit in reducing infrastructure, the mobility of agents, the consolidation of contact centres and the unification of UC (unified communicaitons) functions into contact centres."
Wells also discussed the role of innovation as an important factor in the decision process. He stated, "Salmat recognises the leadership of Avaya globally in the contact centre market. This means we can demonstrate that we are focussed on significant R&D and product evolution". Wells continued, "Salmat liked that Avaya's R&D investment aligned very well with Salmat's, particularly around multi-channel and the underlying SIP architecture."
When asked about how Avaya's other outsourcing customers had reacted to the announcement Wells said, "All of our customers have access to the same capability, technology and R&D spend." Wells continued, "Nobody has picked up the phone and raised any concern. Our customers all work to their own business plans targeting different aspects of the marketplace."
It is clear that both Salmat and Avaya are aligned to the vision of delivering effective multi-channel contact centres through simplified and single platform solutions such as Aura. Wells concluded, "The partnership will evolve and evolve. Part of the excitement of this roadmap is Avaya being an integral part of Salmat’s future offerings." He continued, "The opportunity for Avaya is very significant. We have created an environment that is much simpler to deploy, meaning our clients can respond a lot faster to market needs."
From an Analyst perspective Fifth Quadrant will monitor this partnership with keen interest to assess if the combination of Avaya and Salmat can produce more innovative models of contact centre technology and outsourcing.
The Australian arm of electronics company Acer has chosen a Drishti Ameyo solution to upgrade its inbound customer service.
cer Australia said it required a solution to handle all interactions from customers and its wide-spread channel partner network by providing the right information to its agents in a unified screen for fast query resolution. "We were looking for a solution that could integrate with our backend system to provide appropriate information to agents, thus maximising their productivity, something which our previous solution was not forthcoming with," said Acer's Dan Balachandra.
Acer says the new solution provides the company with enhanced agent productivity, real-time monitoring of performance levels and allows management to make changes when required. "Providing our customers and channel partners fast and quality support can be a daunting task if our agents have to access disparate applications at the same time," Balachandra said. "Dristhi provided us with a comprehensive technology that integrated seamlessly with the ticketing system of the back-end CRM, and displaying a unified interface to our agents."
Garuda Indonesia will introduce the Amadeus Altea Customer Management Solution to upgrade its airline passenger service processes.
The solution will manage Garuda Indonesia's domestic and international reservations, inventory and departure control processes. "Upgrading to Amadeus' cutting-edge technology will enable us to further enhance our existing customer service offering, introduce more automation and flexibility for our customers and help us refine our customer-facing business processes," said Garuda Indonesia's M. Arif Wibowo.
"Today, technology is a critical component of an airline's infrastructure, and the Amadeus Altea system will ensure we remain competitive with world-class airlines in the region," he said. The technology upgrade is part of the Garuda Indonesia Quantum Leap program, which has seen the airline modernise and expand its fleet with new A330 and Boeing 737-800 aircraft, relaunch services to Europe and also announce its intention to join the SkyTeam global alliance.
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Aegis have long been keen to break the perception that they are solely an outsource provider. Chris Kirby Head of Analyst Services spoke to Chris Luxford President, Aegis Services Australia and New Zealand to understand Aegis’s Go-To-Market value proposition.
Q: How does Aegis currently position itself as an organisation?
CL: Long-term market game changing differentiation will only come from a radical transformation of customer experience. That is the challenge that is facing all organisations and the only way that it is going to be addressed is through changing business models. Therefore Aegis is really focused on helping organisations to change their business models, to focus their business models around the customer and to rethink how organisations interact with customers. A lot of the work we are doing is to re-strategise the journey a customer takes with the organisation and Aegis is positioned to help organisations through the transformational journey they have to embark on to create new business models.
Q: What are the key challenges organisations face regarding customer service delivery?
CL: As organisations and Go-To-Market models become more complex, customer service can’t just be about the point transactions or moments of truth with the individual organisation. The key challenge is that many of these moments of truth sit outside the direct influence of the organisation. Organisations need to understand the entire customer experience journey and make sure that all of the organisations that play a part in their value constellation are appropriately focused, have the right culture and the right processes to deliver exceptional outcomes on every single moment of truth that takes place along the customer experience journey. Some of these moments of truth sit outside the control of the organisation, but never the less you still have to try and deliver exceptional customer experience. This is the biggest opportunity and challenge industry faces as service today is still seen as a necessary evil and high cost. It is not seen as a value add differentiator.
Q: What traction and response is Aegis receiving from the marketplace to these challenges and opportunities?
CL: Many organisations claim they have already started on this journey towards being customer-centric. But we would challenge that most organisations on that journey remain focused only on the pieces that sit within their control i.e. internal call centres, internal retail stores, social media and marketing. Also organisations tend to look at these internal operational centres in isolation. Very few organisations are genuinely looking at their business models from a customer perspective or looking at every moment of truth. We are talking about a mammoth business model change. Changing a business model is hard and that is what we have to help organisations achieve.
Q: What appetite is there for this transformational change at the Board level of organisations? Are Boards still focused on the traditional areas such as Finance, Technology, Human Resources and Sales & Marketing?
CL: We recognise that Boards are starting to change and start to focus more on customers. Everyone tends to logically understand this opportunity and the importance of the need to change business models to become more customer focused. However, they struggle with how to go about this transformational change. Like all business decisions there is significant risk, as considerable investment will be required to drive change and it is very hard to put a business case around this proposition. There are many examples where organisations have a vastly different business model and genuinely put the customer at the centre such as Zappos in the United States. Zappos don’t have an Average Handing Time target as they recognise the opportunity to increase revenues through upselling and cross selling. They have tipped customer service on its head and have become one of the fastest growing businesses in the US. Despite numerous examples, the problem is many organisations are still struck with fear about the level of change that is required.
Q: As organisations move along this journey, what do you see as the role of technology?
CL: Technology is in every conversation we have. Every business requires technology to run their business. We don’t see technology as a separate conversation. It is simply one of the enablers. Organisations already have great people. Therefore the key question is how do you improve processes and use technology to create this new business model? If you already have great people, then you have to change your business processes and you will undoubtedly need technology to assist in the changing of those business processes. You have to provide technology that facilitates people making better decisions to deliver better customer service outcomes. The major shift is using technology to allow the business to move from a reactive customer service model to more proactive one.
The most important element of any technology investment, and this is something that we drive home religiously, is not the technology itself but the need to change business processes. You can buy any technology from any vendor but it will make no difference if you don’t change your business processes. We have found that for every $1 spent on technology organisations need to invest $1.40 on process change. What we find though is that on average organisations are spending less than 30c so there is a massive gap in being able to bring the right outcomes through process change to the technology investments. Organisations invest heavily in technology but very rarely invest in the process changes that are required.
Written by: Chris Kirby, Head of Research and Analysts Services for Fifth Quadrant.
To contact Chris, email ckirby@fifthquadrant.com.au.
Dr Catriona Wallace uses the Phone Channel to test customer service while also trying to buy a strapless dress.