A Leading Approach in Understanding the Value of Technology
Over the years, I’ve often been asked to become involved in business case justifications for contact center investments. Whether an entire contact center deployment, or an individual technology component, business case development is both necessary and challenging.
Based on understanding the difficulty of business case justification, I’ve admired the approach Forrester Research uses with its Total Economic Impact (TEI) model. Leveraging vast experience across numerous technology stacks, the TEI model is a leading approach in understanding the value of technology to impact key business outcomes. Another attractive aspect of a TEI study is that it’s based on facts, data, and real customer research – not inflated marketing claims.
Total Economic Impact (TEI) Study
Cisco recently partnered with Forrester in developing a TEI study for a Webex Contact Center deployment for a leading next-generation energy services provider. Webex Contact Center is our cloud native, omnichannel contact center solution that is available globally. Our study customer is from a leading edge, next-generation energy business with 500 agents deployed and in production. For the study, we were also fortunate to have the experience of a veteran of over 200 TEI studies – Forrester’s Bob Cormier.
The first item to cover in our TEI is the motivation of the customer to move to Webex Contact Center. They had, in essence, tried a “best of breed” approach to various enterprise collaboration and contact center solutions – and found the results wanting in the end. Excessive staffing costs, lack of interoperability and other factors drove them to look at Cisco across the board for collaboration solutions – including their contact center capability.
The TEI conclusions were eye-opening. The customer experienced a 262% ROI and a 13-month payback on their investment. The NPV of the project created of $6.8 million dollars spanning four major categories of value creation.
- First, was a $2.1 million dollar savings through the deployment of Webex Contact Center, allowing the organization to retire eight legacy on-premises systems across multiple sites. Not only did this create a single global contact center, it led to a reduction in its IT support headcount by 17 FTEs.
- Second was the savings of $1.9 million dollars in agent labor costs through the elimination of dependency of outsourced contact center agents. The new platform enabled the reduction of contracts associated with business process outsourcing (BPO) contact center firms in Columbia, the Philippines, and India.
- Third, was a savings of $2.4M from streamlining customer care support and quality management staff. This customer was able to re-deploy customer support staff, reducing 100 FTEs down to 44 FTEs who were all previously required for similar activities on eight disparate systems.
- Fourth and finally was a cost avoidance savings of $406,461 from replacing previous contact center and communications platforms. As mentioned, the Cisco Webex collaboration portfolio replaced eight legacy on-premises applications from multiple vendors.
Webex Contact Center – The Best Technology Investment
According to the IT Director at this company, “Cisco Webex Contact Center was one of the best technology investment decisions we’ve ever made.”
With the bottom line being the bottom line, the proof is in daily operations. Here’s what our customer had to say during the course of the TEI analysis – “We’ve had so many compliments from our people in the field that finally we’re a unified company. Cisco has changed how we work; it’s made us more efficient.”
Have you tried best of breed approaches to your contact center and collaboration needs? Perhaps this study will compel you to take a look at what Webex Contact Center can do for you.
We’d love to meet with you and discover how we too, can help your business become more efficient and effective, just like our TEI subject.
Join our Webinar!
Mark your calendar for Thursday, November 5th at 11:00am CT and join Bob Cormier from Forrester and myself as we dive deep into this TEI report. We’ll discuss all of the key findings in this study and help you determine the impact Webex Contact Center can have on key business outcomes.
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