Industry Survey: Delays in Rolling out New Contact Centre Technologies Cause Project Costs to Double

* Reuters is not responsible for the content in this press release.

Mon Sep 21, 2009 8:09am EDT

Empirix-sponsored research finds that project overruns add 90 per cent in cost
on average; bad project practice and lack of testing can quadruple additional
project costs
BERKSHIRE, UK--(Business Wire)--
When contact centre technology projects are delayed, the impact on costs and on
business overall is dramatic - and largely ignored by UK contact centres -
according to a new survey conducted by the Customer Experience Foundation (CEF).

The survey was commissioned by Empirix, the leading provider of service quality
assurance solutions for contact centres and new IP communications. It shows that
project delays when rolling out new technologies were found to typically add
over seven months of additional project time and an extra 90 per cent on top of
the original budget. The survey also revealed that poor project practice can as
much as quadruple additional costs, as compared with contact centres that apply
best practices in their management of technology roll-outs. 

Testing was singled out as a critical but widely underestimated element of good
project practice. The study revealed an inverse relationship between companies`
investment in contact centre testing and budget overruns when updating or
rolling out new technologies. This finding suggests that establishing thorough
testing procedures can help avoid delays and costs associated with technology
failures. 

Tracking project costs was another stumbling block. Over three-quarters of
respondents confessed to either not tracking project costs or only tracking
`some`. And while most believed that roll-out delays had a negative impact on
customer interactions, none of the companies tracked exactly how the day-to-day
running of their contact centres had been affected. 

The research was conducted among business, technical and project management
staff at more than 100 private sector companies who had experience with contact
centre technology projects worth over £500,000.

Survey respondents estimated that, on average, between a quarter and a third of
technology projects - such as installing new Interactive Voice Response (IVR) or
automatic call distribution (ACD) systems - get delayed. 

"It is difficult to comprehend how these huge cost overruns and delays happen in
at least 25% of these types of projects," commented Professor Morris Pentel,
founder and chairman of the CEF. "We believe this is the first time anyone has
shown what a massive problem the industry has here. The study also makes it
clear that the impact of delays is not only financial, but also affects the
customer experience of the contact centre and the brand behind it."

Trevor Richer, contact centre marketing manager, Empirix said, "It is clear that
building testing into the project plan shows attention to detail and a type of
organisational commitment that will minimise delays and budget overruns, and
avoid the project descending into `fire-fighting`." 

Note to editors:

* Detailed results of the research are available at:
http://www.empirix.com/news/press/2009/2009-09-21.asp
* A whitepaper covering the survey results is available online now at:
www.empirix.com/technologyfailure or from Andrea Willige, Six Degrees Ltd.,
+44-(0)-1628-480-290, andrea.willige@sixdegreespr.com.

About the Customer Experience Foundation

CEF is the academic arm of Customer Experience Services Ltd and provides thought
leadership and business science services to a number of partners including
Silent Edge, Nemesysco and New Voice Media. The Foundation provides research
programmes to establish information that supports the development of ROI
business cases. It also offers tools that support the business case in the sales
environment and provide intellectual capital to support the use of these tools. 

The business and foundation is headed by Professor Morris Pentel BA (Hons) MBA
DBA who is also the Head of the Institute of Contact Sciences and the Contact
Foundation. For further information visit: www.customerexperiencefoundation.org.


About Empirix

Empirix is the leading provider of service quality assurance solutions for new
IP communications. Since 1992, Empirix has led the market in innovation and
expertise for IP communications management. Its widely acclaimed Hammer Test
Engine, with more than 30 patents, is the acknowledged global standard for
validating the quality of IP networks, systems and applications. The world`s
largest wireless and wireline operators, equipment manufacturers, and enterprise
contact centres depend on Empirix`s solutions to maintain the quality of the
user experience for business-critical voice, data, video and mobile services.
With Empirix, customers can increase revenues, reduce customer churn and cut
support costs. Empirix is privately held and headquartered in Bedford, MA. For
further information, please visit www.empirix.com. 



Six Degrees Ltd.
Andrea Willige
+44 (0) 1628 480 290
andrea.willige@sixdegreespr.com. 

Copyright Business Wire 2009

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