Introduction
Greetings, readers! Today we’re going to discuss a critical aspect of call centers that often gets overlooked: service level agreements. Service level agreements, or SLAs for short, are agreements between call centers and their clients that establish clear expectations for the level of service they’ll provide. In this article, we’ll be diving deep into what service level agreements are, why they’re important, and how to create effective SLAs that benefit both parties. So, let’s get started!
What are service level agreements?
Before we delve into the nitty-gritty of service level agreements, let’s first understand what they are. A service level agreement is a contractual agreement between a service provider (in this case, the call center) and the client (the company or individual using the call center’s services). This agreement outlines the level of service the call center will provide and the expectations the client has regarding that service.
When it comes to call centers, the main objective is to provide excellent service to customers. As such, a service level agreement will typically include key performance indicators (KPIs) that measure the call center’s ability to meet the client’s expectations. Examples of KPIs include first call resolution (FCR), average speed-to-answer (ASA), and average handle time (AHT).
Why are service level agreements important?
Service level agreements are essential for call centers and their clients for several reasons:
🔹 Clear expectations: SLAs set clear expectations for both parties, ensuring that everyone is on the same page regarding the level of service provided.
🔹 Improved communication: With SLAs in place, both parties have a framework for communication and can quickly address any issues that arise.
🔹 Increased accountability: SLAs ensure that the call center is held accountable for providing the services agreed upon, and the client is held accountable for meeting their obligations as well.
🔹 Enhanced customer experience: SLAs help call centers provide a better customer experience by setting metrics that measure the quality of service provided.
What should be included in a service level agreement?
When creating a service level agreement, there are several key components that should be included:
| Component | Description |
|---|---|
| Service description | A brief overview of the services the call center will provide |
| Service level objectives | The specific metrics that will be used to measure the call center’s performance |
| Service level targets | The level of performance that the call center will aim to achieve for each metric |
| Reporting and review | The frequency and format of performance reporting and review |
| Escalation | The process for escalating issues that cannot be resolved by the call center |
| Service limitations | Any limitations or exclusions to the services provided by the call center |
| Termination | The process for terminating the agreement |
Service Level Agreements in detail
Service Description
The service description outlines the services that the call center will provide to the client. It should be clear and concise to avoid any confusion or misunderstandings between the parties. This section should provide a detailed overview of the call center’s services, including:
🔹 The types of calls the center will handle (inbound, outbound, mixed, etc.)
🔹 The hours of operation
🔹 The languages the center can support
🔹 Any additional services the center can provide (such as email or chat support)
Service Level Objectives
The service level objectives (SLOs) are the specific metrics that will be used to measure the call center’s performance. These metrics should be relevant to the client’s expectations and should reflect the level of service the client desires. Examples of SLOs include:
🔹 Average speed-to-answer (ASA): The average time it takes for the call center to answer a call
🔹 Abandonment rate: The percentage of calls that are abandoned before reaching a representative
🔹 First call resolution (FCR): The percentage of calls that are resolved on the first call
Service Level Targets
The service level targets (SLTs) are the levels of performance that the call center will aim to achieve for each metric. These targets should be realistic and achievable while still meeting the client’s expectations. Setting SLTs that are too high can lead to unrealistic expectations and can be demotivating for call center employees. Conversely, setting SLTs that are too low can result in poor customer service and dissatisfied clients. It’s essential to strike a balance between achieving high levels of performance and setting realistic expectations.
Reporting and Review
The reporting and review section outlines how often performance reports will be provided and in what format. This section should also include details about how performance reviews will be conducted and who will conduct them. Regular performance reviews are crucial to ensuring that both parties are meeting their obligations under the agreement and that any issues are addressed quickly.
Escalation
The escalation section outlines the process for escalating issues that cannot be resolved by the call center. This process should be clear and straightforward and should outline how and when issues will be escalated. The escalation process should also include details about who will handle escalations and what steps will be taken to resolve them.
Service Limitations
The service limitations section outlines any limitations or exclusions to the services provided by the call center. This section should be clear and concise to avoid any confusion or misunderstandings between the parties. Examples of limitations or exclusions include:
🔹 Out-of-scope services (such as IT support)
🔹 Technical limitations (such as bandwidth or hardware limitations)
🔹 Force majeure events (such as natural disasters or labor strikes)
Termination
The termination section outlines the process for terminating the agreement. This section should be clear and easy to understand, outlining the circumstances under which the agreement can be terminated and the process for doing so. It’s essential to have a termination clause in the agreement to protect both parties in case the relationship doesn’t work out.
FAQs
What happens if the call center doesn’t meet the SLAs?
If the call center fails to meet the SLAs outlined in the agreement, the client may be entitled to compensation or penalties. The compensation or penalties will depend on the terms of the agreement and may include financial compensation or a reduction in fees.
What is the difference between SLOs and SLTs?
The service level objectives (SLOs) are the specific metrics that will be used to measure the call center’s performance, while the service level targets (SLTs) are the levels of performance that the call center will aim to achieve for each metric.
Can SLAs be adjusted over time?
Yes, SLAs can be adjusted over time if both parties agree to the changes. It’s important to review and update SLAs regularly to ensure that they continue to reflect the client’s needs and the call center’s capabilities.
What happens if the client doesn’t meet their obligations under the agreement?
If the client fails to meet their obligations under the agreement, the call center may be entitled to compensation or penalties. The compensation or penalties will depend on the terms of the agreement and may include financial compensation or termination of the agreement.
What are some common KPIs used in SLAs?
Common KPIs used in SLAs include first call resolution (FCR), average speed-to-answer (ASA), and average handle time (AHT).
What is the purpose of the service limitation section?
The service limitation section outlines any limitations or exclusions to the services provided by the call center. This section helps to avoid any confusion or misunderstandings between the parties.
How often should SLAs be reviewed?
SLAs should be reviewed regularly to ensure that they continue to reflect the client’s needs and the call center’s capabilities. The frequency of reviews will depend on the terms of the agreement, but regular reviews (such as quarterly or yearly) are recommended.
What happens if either party wants to terminate the agreement?
If either party wants to terminate the agreement, they must follow the termination process outlined in the agreement. This process should be clear and easy to understand to avoid any confusion or misunderstandings. If the termination is initiated by the call center, they may be required to provide notice and compensation to the client.
What metrics should be used to measure call center performance?
The metrics used to measure call center performance will depend on the services provided and the client’s expectations. Common metrics include first call resolution (FCR), average speed-to-answer (ASA), and average handle time (AHT).
What happens if the client’s needs change during the agreement period?
If the client’s needs change during the agreement period, both parties should work together to review and update the SLAs as needed. This may involve adjusting the service description, SLOs, or SLTs to reflect the client’s new needs.
What is an ASA in a service level agreement?
An average speed-to-answer (ASA) is a metric used to measure the time it takes for a call center representative to answer a call. It’s often included as an SLO in service level agreements.
What is an FCR in a service level agreement?
A first call resolution (FCR) is a metric used to measure the percentage of calls that are resolved on the first call. It’s often included as an SLO in service level agreements.
What is an AHT in a service level agreement?
An average handle time (AHT) is a metric used to measure the average time it takes for a call center representative to handle a call. It’s often included as an SLO in service level agreements.
What is the purpose of the reporting and review section?
The reporting and review section outlines how often performance reports will be provided and in what format. This section helps to ensure that both parties are meeting their obligations under the agreement and that any issues are addressed quickly.
Conclusion
Service level agreements are a critical aspect of call center operations, and they’re essential for ensuring that both parties are on the same page regarding the level of service provided. When creating service level agreements, it’s essential to include all the necessary components and set realistic expectations that reflect the client’s needs and the call center’s capabilities. Regular reviews and updates to SLAs help ensure that they continue to reflect the parties’ expectations and that any issues are addressed quickly. So, if you’re a call center looking to establish clear expectations with your clients, or a client looking to ensure that their call center provides excellent service, be sure to consider implementing service level agreements!
Closing Statement with Disclaimer
Thank you for reading this article on service level agreements in call centers. It’s essential to note that the information provided in this article is for educational purposes only and should not be considered legal advice. Before creating or signing a service level agreement, it’s recommended that you consult with legal counsel to ensure that the agreement meets your specific needs and is legally binding. As always, we encourage you to take action and implement service level agreements to ensure that your call center operations run smoothly and that your clients receive excellent service.