Please assist with the Greyhound Frequent Flyer Call Center Case Study questions
ID: 345667 • Letter: P
Question
Please assist with the Greyhound Frequent Flyer Call Center Case Study questions 1-4.
Exhibit 13.19 Greyhound Frequent Flyer Call Center Demand Data
Time Period
# of calls taken
# of calls abandoned by customer
# of busy signal calls not taken
Total calls
6:30
15
0
0
15
7:00
16
0
0
16
7:30
45
4
0
49
8:00
60
5
0
65
8:30
62
6
2
70
9:00
71
4
1
76
9:30
77
5
0
82
10:00
84
11
4
99
10:30
75
8
3
86
11:00
81
4
3
88
11:30
69
6
1
76
12:00
79
2
0
81
12:30
66
3
2
71
1:00
80
4
3
87
1:30
76
8
6
90
2:00
92
6
7
105
2:30
85
7
5
97
3:00
73
4
3
80
3:30
78
2
3
83
4:00
67
4
4
75
4:30
62
2
0
64
5:00
54
1
0
55
5:30
51
1
1
53
6:00
37
0
0
37
6:30
48
3
2
53
7:00
42
0
0
42
7:30
32
0
0
32
8:00
26
2
0
28
8:30
22
1
0
23
9:00
19
0
0
19
Totals
1744
103
50
1897
Average
58.1
3.4
1.7
63.2
Standard Deviation
22.9
2.8
2
26.6
Minimum
15
0
0
15
Maximum
92
11
7
105
Equation 7.2
Current # of CRSs on Duty
2
Current CSR Utils %
.6%
Target # of CSRs at 90%
1.3%
Rebounded to next highest #
2
Exhibit 13.20 (Continued below)
Service Rep
6:30
7:00
7:30
8:00
8:30
9:00
9:30
10:00
10:30
11:00
11:30
12:00
12:30
1:00
1:30
2:00
1
x---------
---------
---------
---------
--------
(----)--
---------
---------
Lunch
Lunch
--------
---------
-----------
-(----)----
---------
----------
2
x---------
---------
---------
---------
--------
--(----)
---------
---------
----------
Lunch
Lunch
---------
-----------
-----------
(----)---
----------
3
x-------
---------
--------
----
(---)------
---------
----------
---------
Lunch
Lunch
-----------
-----------
(----)---
----------
4
x--------
--------
--------
------(---)
---------
----------
---------
---------
Lunch
Lunch
-----------
---(----)
-----------
5
x--------
--------
--------
----------
---------
----------
---------
(----)---
---------
Lunch
Lunch
---------
(----)-----
6
x------
----------
---------
-----------
---------
---(----)
---------
Lunch
Lunch
---------
-----(----)
7
x---------
---------
---------
(----)---
-----------
Lunch
Lunch
---------
8
x---------
---------
---------
---(----)
-----------
-----------
Lunch
Lunch
9
x--------
---------
---------
-----------
(----)-----
Lunch
Lunch
10
11
12
13
Avail. CSR (min)
60
60
90
150
150
150
150
180
210
210
180
180
180
150
135
180
Current # CSRs
2
2
3
5
5
5
5
6
7
7
6
6
6
5
4.5
6
Target # CSRs
Short Excess (-/+)
Exhibit 3 Current CSR Staff Schedule For Horizon Airlines (Continued above)
Service Rep
2:30
3:00
3:30
4:00
4:30
5:00
5:30
6:00
6:30
7:00
7:30
8:00
8:30
9:00
Totals
1
2
3
-----------
---------
4
-----------
---------
---------
5
-----------
---------
---------
6
-----------
---------
---------
---------
--------
7
-----(----)
---------
---------
---------
--------
--------
---------
---------
8
-----------
---------
---------
---------
(---)---
--------
---------
---------
---------
9
-----------
---------
---------
---------
---(---)
--------
---------
---------
---------
10
x---------
---------
---------
---------
--------
Dinner
Dinner
---------
---------
---------
(----)---
---------
---------
---------
11
x---------
---------
---------
(----)---
--------
Dinner
Dinner
---------
---------
---------
----(---)
---------
---------
---------
12
x---------
---------
---------
---(----)
--------
--------
---------
Dinner
Dinner
---------
---------
---------
---------
---------
13
x---------
---------
---------
---------
--------
(---)---
---------
Dinner
Dinner
---------
---------
---------
---------
---------
Avail. CSR (min)
315
300
300
210
210
135
150
150
120
120
90
120
120
120
4.905.0
Current # CSRs
10.5
11
10
7
7
4.5
5
5
4
4
3
4
4
4
163.5
Target # CSRs
Short Excess (-/+)
Exhibit 13.8 Greyhound Frequent Flyer call Mix
Type of HA Call
Standard Time per call
% of total calls
Stsd time per call
Redeem
115
61%
70.15
Problem Resolution
175
25%
43.75
Manage accounts
240
8%
19.2
Travel Advice
180
6%
10.8
Exhibit 13.19 Greyhound Frequent Flyer Call Center Demand Data
Time Period
# of calls taken
# of calls abandoned by customer
# of busy signal calls not taken
Total calls
6:30
15
0
0
15
7:00
16
0
0
16
7:30
45
4
0
49
8:00
60
5
0
65
8:30
62
6
2
70
9:00
71
4
1
76
9:30
77
5
0
82
10:00
84
11
4
99
10:30
75
8
3
86
11:00
81
4
3
88
11:30
69
6
1
76
12:00
79
2
0
81
12:30
66
3
2
71
1:00
80
4
3
87
1:30
76
8
6
90
2:00
92
6
7
105
2:30
85
7
5
97
3:00
73
4
3
80
3:30
78
2
3
83
4:00
67
4
4
75
4:30
62
2
0
64
5:00
54
1
0
55
5:30
51
1
1
53
6:00
37
0
0
37
6:30
48
3
2
53
7:00
42
0
0
42
7:30
32
0
0
32
8:00
26
2
0
28
8:30
22
1
0
23
9:00
19
0
0
19
Totals
1744
103
50
1897
Average
58.1
3.4
1.7
63.2
Standard Deviation
22.9
2.8
2
26.6
Minimum
15
0
0
15
Maximum
92
11
7
105
Greyhound Frequent Flyer Call Center Case Study I'm an accounting major, n tions expert," yelled just-promoted Bob Barthrow, the executive vice president of the Greyhound Frequent Flyer Call Center, during a senior-level manage- n opera ent mecting. "Bob, Horizon Airlines HAJis going to stop doing business witlh us if we don't provide better call center ervice. We need to maximize service and minimize costs! So, find a solution to HA's service problems or we are all out of a job," stated Adam Bishop, the CEO of Greyhound Call Center Ser vices (GCCS) Bob retreated to his office and losed the door. As he sat in his chair, he thought about the many meetings he had participated in where managers promised great customer service but could not deliver it. Upon fur categories as follows ther reflection, he came to the conclusion that to promise great customer service you first must know how to analyze resource capacity and develop good schedules. He pulled out his old college operations management textbook and began reading. He also did a Google search on the topic and found several articles to read. He planned on building an electronic spread sheet analysis of the situation. HA and GCCS categorized incoming calls into four 1. Redeem calls: The customer wants to redeem frequent flyer points for future airline flights 2. Problem resolution: The customer wants to correct point debits and credits, flights, personal information, and so on. Manage accounts: The customer wants to split, combine, transfer, delete, rename, and'or update the frequent flyer accountls) 3. Small and mid-sized airlines outsourced a va riety of peripheral services to GCCS, such as billing 4. Travel advice: The customer asks for travel advice. and credit card management, baggage and customer fl ight claims management, reservations, loyalty pro- grams, and call center management. HA accounted for 9 percent of GCCs revenues. HA customers had no CCCS and HA provide "limited travel consulting service and advice." GCCS CSRs are trained to be nice yet tell the customer they do not provide full travel service, and refer customers to other travel agencies dea the HA frequent flyer program was outsourced to GCCS. CCCS managed separate call centers for several airlines, each with its own dedicated staff and offic Average standard times for HA's call mix is shown ice space. GCCS customer service representatives CSRs) who worked in the HA call center were trained by both CCCS and individual airlines such as 4. CCCS provided all CSRs with service manage- ent training and mentors, and CSR performance was electronically monitored. HA trained the CSRs y including airline tours and free flights so the CSRs would know the airline and its culture, and especially in Exhibit 14.9. Bob wanted to get a standard service EXHIBIT 14.9 Type of HA Call E Greyhound Frequent Flyer Call Mix Standard Time Per Call (Seconds) Percentage of Total Call (96) In Redeern Problem Resolution yer program. HA CSRs were trained to kely to be described Manage Accounts Trave ice handl e 20 service upsets most li by incoming customer calls Greyhound case data is also available in an Excel spreadsheet at OM Online. 309 CHAPTER 14:0perations Scheduling and SequencingExplanation / Answer
Type of HA Call Standard Time per call seconds % of total calls Stsd time per call Redeem 115 61% Problem Resolution 175 25% Manage accounts 240 8% Travel Advice 180 6% Average call timing, min 2.40 cost of busy and abandoned calls, $ 21 Time Period # of calls taken # of calls abandoned by customer # of busy signal calls not taken Total calls call time, min Avail CSR hrs, Min Current CSR uitlization cost of abandoned and busy signal calls time calculated @90% utilization CSR required 6:30 15 0 0 15 35.975 60 2 59.96% 0 39.972 2 7:00 16 0 0 16 38.3733333 60 2 63.96% 0 42.637 2 7:30 45 4 0 49 107.925 90 3 119.92% 84 119.917 4 8:00 60 5 0 65 143.9 150 5 95.93% 105 159.889 6 8:30 62 6 2 70 148.696667 150 5 99.13% 168 165.219 6 9:00 71 4 1 76 170.281667 150 5 113.52% 105 189.202 7 9:30 77 5 0 82 184.671667 150 5 123.11% 105 205.191 7 10:00 84 11 4 99 201.46 180 6 111.92% 315 223.844 8 10:30 75 8 3 86 179.875 210 7 85.65% 231 199.861 7 11:00 81 4 3 88 194.265 210 7 92.51% 147 215.850 8 11:30 69 6 1 76 165.485 180 6 91.94% 147 183.872 7 12:00 79 2 0 81 189.468333 180 6 105.26% 42 210.520 8 12:30 66 3 2 71 158.29 180 6 87.94% 105 175.878 6 1:00 80 4 3 87 191.866667 150 5 127.91% 147 213.185 8 1:30 76 8 6 90 182.273333 135 4.5 135.02% 294 202.526 7 2:00 92 6 7 105 220.646667 180 6 122.58% 273 245.163 9 2:30 85 7 5 97 203.858333 315 10.5 64.72% 252 226.509 8 3:00 73 4 3 80 175.078333 300 11 58.36% 147 194.531 7 3:30 78 2 3 83 187.07 300 10 62.36% 105 207.856 7 4:00 67 4 4 75 160.688333 210 7 76.52% 168 178.543 6 4:30 62 2 0 64 148.696667 210 7 70.81% 42 165.219 6 5:00 54 1 0 55 129.51 135 4.5 95.93% 21 143.900 5 5:30 51 1 1 53 122.315 150 5 81.54% 42 135.906 5 6:00 37 0 0 37 88.7383333 150 5 59.16% 0 98.598 4 6:30 48 3 2 53 115.12 120 4 95.93% 105 127.911 5 7:00 42 0 0 42 100.73 120 4 83.94% 0 111.922 4 7:30 32 0 0 32 76.7466667 90 3 85.27% 0 85.274 3 8:00 26 2 0 28 62.3566667 120 4 51.96% 42 69.285 3 8:30 22 1 0 23 52.7633333 120 4 43.97% 21 58.626 2 9:00 19 0 0 19 45.5683333 120 4 37.97% 0 50.631 2 Totals 1744 103 50 1897 4182.69333 4.905.0 163.5 3213 Average 58.1 3.4 1.7 63.2 Standard Deviation 22.9 2.8 2 26.6 Minimum 15 0 0 15 Maximum 92 11 7 105 Utilization is taken on total number of calls. wherever utilization is more than 100% it means that all calls cannot be attended. We see at lot of times utilization goes below 50% as well. Here the customer representative is under utilized and his time can be used where utilization is more than 100%. total cost of abandoned and busy calls on a monday, USD 3213 Annual Cost, USD 167076 Company should make utilization 90% where reverse method can be applied, ie utilization shall be assumed at 90% initially and then the time should be calculated. For eg. At 6:30 if 15 calls are received and at 90% utilization, time should be 15*2.4/100% ie 35.9 as mentioned in the table. now 35.9 time can be done only by min 2 people which means % utilization will come down eventually. similarly for others number of service representatives shall be calculated. as mentioned in the table column CSR required, gives the new requirement for CSR, and excel can be prepared based on the values. at places where there is peak like from 10:00 AM to 3:30 PM with surge at 2:00PM, one is not advised to hire permanenet emplyees and rather work on contract labour for 5 hrs. it will bring down cost and keep efficiency high