Greyhound Frequent Flyer Call Center Case Study 1. Analyze the case data and cur
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Question
Greyhound Frequent Flyer Call Center Case Study
1. Analyze the case data and current schedule, and answer the following “baseline” questions. What’s labor utilization for each 30-minute period given the current staffing plan? Is the main problem lack of staff capacity or poor scheduling, or both? Can you support your answer with numerical analysis?
2. What is the cost of abandoned and busy signal calls for a typical Monday day? Annually? (Make and state assumptions as needed.)
3. Develop a better CSR staff schedule (see Excel current staff schedule in the book) if needed, and decide whether the company should hire more CSRs or lay off a abandoned. Will you use part-time employees? If so, explain why and justify.
4. What are your final recommendation?
Greyhound Frequent Flyer Call Center Case Study 2. Problem Resolution: The customer wants to corret "I'm an accounting major, not an operations expert yelled just-promoted Bob Barthrow, the executive vice president of the Greyhound Frequent Flyer Call Center, during a senior-level managemeneeng 3. Manage Accounts: The customer wants to split, Bob, Horizon Airlines (HA) is going to stop doing busi- ness with us if we dont provide better call center service We need to maximize service and minimize costs! So find a solution to HAs service problems or we are all out of a job," stated Adam Bishop, the CEO of Greyhound Call Center Services (GCCS), point debits and credits, flights, personal informa- tion, and so on combine, transfer, delete, rename, andor update the frequent flyer account(s) 4. Travel Advice: The customer asks for travel advice. CCCS and HA provide "limited travel consuling service and advice. GCCS CSRs are trained to be nice yet tell the customer they do not provide full Bob retreated to his office and closed the door. As he sat in his chair, he thought about the many meetings he had participated in where managers promised great us- tomer service but could not deliver it. Upon further re- flection, he came to the conclusion that to promise great n Exhibit 13.21. Bob wanted to get a standard service customer service you first must know how to analyze rerat in the same units of measure used for other airlines, source capacity and develop good schedules. He puedand that was calls per CSR per 30 minutes. Average HA out his old college operations management textbook and CCCS eall center demand rounded to the nearest inte began reading. He also did a Google search on the topicger for the last 10 Mondays is shown in Exhibit 13.22. and found several articles to read. He planned on ob thought a planned (target) CSR labor utilization ing an electronic spreadsheet analysis of the situation. travel service, and refer customers to other travel Average standard times for HAs call mix is shown of 90 percent provided adequate safety capacity. The f curent HA-GCCS CSR stff schedule is shown in Small and mid-sized airlines outsourced a variety o peripheral services to GCCS, such as billing and creditExhibi 13.23. Full-time employee (FTE) policies re- card managemen, baggage and customer flight claisquire at least a 7-hour workday plus 1 hour for lunch management, reservations, loyalty programs, and call or dinner and at least one 15-minute break per worlk ter management. HA accounted for 9 revenues. HA customers had no idea the HA freqeployent (PTE). flyer program was outsourced to GCCS. cCCS managed separate call centers for several airlines, each with is own with Step being demand analysis. Exhibit 13.22 pro- dedicated staff and office space, CCCS customer service vided these data. Step 2 was to compute and explain the representatives (CSRs) who worked in the HA call cnlogic of setting a standard service time in calls/CSR/30 ter were trained by both GCCS ad individual airlines such as HA. CCCS provided all CSRs with service man- agement training and mentors, and CSR per- formance was electronically monitored. HA trained the CSRs by including airline tours and free flights so the CSRs would know the airline and its culture, and especially its fre- quent flyer program. HA CSRs were t to handle 20 service upsets most likely to described by incoming customer calls. 9 pereent of Gccs percent of GCCS d. Any workday less than FTE is considered He planned to use a four-step analysis approach Exhibit 13.21 Greyhound Frequent Flyer Call Mix Standard Time per Percentage of Total Call (96) Call (Seconds) | Type of HA Call Redeem Problem Resolution Manage Accounts Travel Advice | HA and CCCS categorized ncoming calls into four categories as follows: 175 240 180 25% 896 5% 1. Redeem Calls: The customer wants to redeem frequent lyer points for future airline flights Greyhound case data is also available in an Excel spreadsheet on CourseMate Web siteExplanation / Answer
Because of time constraint I could not submit the answer of question no 3 .
1
Answer :
See TN exhibits A,B & C to answer issues in q.no 1 From exhibit B we see that current CSR utilization ranges for 38 % to 160 % with high variability – This is evidence of scheduling problem .From exhibit B we also see 163.5 units of 30 minute staff capacity and using Eq 7.2 e need exactly 168.5 .So there is slight capacity problem .However when we round up to whole people we need 182 units of staffs capacity .So we do have capacity problem too. Some students will round FTE to 0.5 since with breaks you can have say 1.5 to 4.5 CSR on duty for 30 min time period .So the base analysis indicates both capacity & scheduling problem.
2
Answer :
Given the data in the case Total call abounded are 5.4 % & 2.6 % customer receive a busy signal & hang up this for 1 day example .Therefore 153 calls potential results in lost sales now or forever. Students may exclude abandon or busy call from these “Cost of poor service “ computations give their assumptions or argument for or against .
Estimated cost of abandon & busy signal calls per year = (153 calls / day )(365 days / year )($21/call ) = $ 1172.745
This assumes the call center is open 365 days per year , the $ 21 cost of poor service is a good estimate & this one example day is representative of all days .If the customer never call backs then we have also lost their revenue stream for all future purchases and most likely reduced market share .GCCS can not afford to be loose a client .It is a small third party call center contractor.
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