Accenture Optimizing Customer Service Knowledge Management

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    Optimizing Customer Servicethrough Knowledge Management

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    Executive Summary/AbstractThe proliferation of customer service channels and increasing customer

    expectations for accurate answers across all channels has made it more

    difficult for organizations to provide adequate customer service.

    One of the most common problems companies face is having inaccurate or

    outdated content published in their Web, email, chat or other knowledge

    bases. This leads to an inconsistent customer experience and eventually a loss

    of trust in the company. Many organizations also face internal governance

    issues, either through a lack of central knowledge administration, or confusion

    about which business unit or group owns and manages content. And, in

    some cases, there are separate knowledge bases for different channels and

    groups such as customer care and marketing, which results in discrete content

    silos, as well as higher resource and technology costs to update and support

    multiple systems.

    To improve the customer experience, it is critical for organizations to address

    these problems through an accurate, accessible and easy-to-maintain

    knowledge base. Unfortunately, many companies simply buy the latest

    knowledge management softwareand fail to address the underlying

    organizational issues that drive effective knowledge management.

    Based on successful client experiences, Accenture recommends adopting

    an end-to-end knowledge management strategy that combines enterprise

    wide governance and well-defined processes with a knowledge management

    platform. Organizations that follow this systematic approach will be ableto establish a knowledge management capability with assigned roles and

    responsibilities for maintaining content, improve content quality and consistency

    across multiple service channels to deliver a better customer experience, and

    significantly reduce operating costs through a consolidated platform.

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    Choice of ServiceChannels CreatesQuandaryToday, when customers have questions

    about an organizations products or

    services, they have many options from

    which to choose. Should they start with

    the self-service options on the companys

    web siteusing either a computer or tablet?

    Send an email to customer service? Initiate

    an online chat session with a customer

    service agent? Consult the companys

    mobile phone app? Navigate an interactive

    voice response (IVR) system? Or pick up the

    phone and talk to a live agent? Regardlessof which channel customers choose, they

    want easy access to an accurate and

    consistent answer.

    This expectation puts organizations into

    a quandary. Customer service executives

    must determine how to supply correct

    answers to customers across a proliferation

    of service channels for the lowest

    possible cost. To achieve this objective,

    organizations should balance increasing

    customer expectations with several internal

    operational decisionsall related to howknowledge is managed.

    Accentures latest global consumer research

    shows that three-quarters of respondents

    expect it to be easier to obtain customer

    service, 61 percent are not satisfied with

    the number of choices they have to receive

    service, and one in two are not satisfied

    with their access to customer service using

    multiple channels.1

    In response to troubling statistics like

    these, organizations are hastily adding new

    customer service channels, such as social

    media sites or mobile applications. Yet

    even as they attempt to improve service

    options, these companies may be failingto think about the overarching knowledge

    management strategy that will power all of

    these channels.

    A number of organizations also lack a

    knowledge management governance

    structure that provides clear leadership,

    designates ownership of content, or

    establishes guidelines on structure, style

    and tone. In addition, companies may lack

    resources to maintain an ever-increasing

    amount of content, as well as formal

    processes for creating and maintaining

    high-quality content. Out-of-date or

    orphaned knowledge can result in message

    inaccuracies and inconsistences across

    channels. When this happens, customers

    may find different answers depending on

    which service channel they choose. This

    erodes customer confidence and trustin

    the product or service, the brand, and

    eventually the entire company.

    Lastly, some organizations rely too

    heavily on technology to solve theproblem, thinking that the latest version

    of knowledge management software will

    supply customer service agents with the

    information they need. But technology by

    itself is an insufficient solution, and, in

    some cases, may carry the same issues to a

    new platform. In addition, as organizations

    implement new customer service channels,

    they often set up different knowledge

    repositories; as a result, content becomes

    siloed. Managing these multiple knowledge

    bases and varying technologies can be both

    complex and cost-prohibitive.

    1. Accenture 2011 Global Consumer Research Study. The New Realities of Dating in the Digital Age: Are

    Customers Really Cheating, or Are You Just Not Paying Enough Attention? Retrieved [M/D], 2012 from http://www.

    accenture.com/us-en/pages/insight-acn-global-consumer-research-study.aspx

    Guiding Principles for

    Knowledge Management

    To maximize return on investment

    for a knowledge managementsystem, organizations should focus

    on content that is:

    AccurateKnowledge management

    content must be correct and address

    an organizations core issues.

    AccessibleContent should be

    easy to understand and viewable

    through the channel and devices

    customers use.

    Easy to MaintainOrganizations

    should implement clear and simple

    processes that enable customer

    service representatives to establish

    a virtuous loop and continually

    review and update content based

    on feedback, ratings and analytics

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    Overcoming Obstacles with KnowledgeManagementTo meet customer expectations and prepare for increasing service channel complexity,

    organizations should take a more comprehensive knowledge management approach. Basedon a number of successful client experiences, Accenture recommends adopting an end-to-

    end knowledge management strategy that combines enterprise wide governance with well-

    defined processes to drive usage of a centralized knowledge management platform based

    on leading edge technology.

    The culminating goal is an integrated, enterprise wide knowledge baseone that

    organizations can use to capture, store, retrieve and continually refine valuable information

    to provide customers with the right answer at the right time across all channels. Equally

    important, Accentures approach can help organizations to reduce operating costs while

    optimizing the customer experience.

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    Key questions include: Who creates the

    content? Who owns it? What is the best

    way to gather information from subject

    matter experts into the knowledge base?

    Who are the liaisons between content

    owners and other enterprise stakeholders?Who approves content changes? How can

    agents and customers rate content for

    continual improvement?

    Organizations that think through these

    people-related aspects will be able to

    improve the effectiveness and efficiency

    of knowledge management, and improve

    adoption of related systems.

    In terms of governance, customer service

    executives should adopt a knowledge

    management governance model thatreflects their organizational structure,

    and balances the requirements of various

    business groups and stakeholders with the

    needs of the enterprise. Options include

    a centralized model with a single team

    that sets processes, policies and standards

    across the organization, or a representative

    model that includes participation from key

    stakeholders, such as product or service

    owners, and customer care, IT, marketing,

    legal and social media functions.

    Three Componentsof KnowledgeManagement StrategyAs organizations rethink their approach

    to knowledge management, the first step

    is to develop a strategy that focuses on

    three complementary components: people,

    processes and technology.

    People

    Knowledge management is most effective

    when an organization has an established

    knowledge management capability and

    dedicated knowledge organization staffed

    with committed resources. This capability

    includes a governance model with active

    leadership, clearly defined knowledge

    management roles and responsibilities, with

    performance metrics and targets that drive

    quality content.

    Part of this effort involves thinking about

    the people who will create, manage and use

    the knowledge, including content authors,

    customer service agents and customers.

    Defining knowledge management roles

    and responsibilities helps confirm that the

    knowledge base contains accurate and

    up-to-date content across all channels.

    Sample roles include content authors,

    who produce content based off of definedguidelines and style sheets; and content

    liaisons representing various groups within

    the organization, who are responsible for

    reviewing and approving content.

    To encourage employees to fulfill their

    knowledge management roles and

    produce usable content, organizations

    can incorporate knowledge management

    performance metrics into the annual

    review process. It is also important to

    offer incentives that focus on quality of

    information over quantity. One way to

    accomplish this is to use a rating system

    that measures the quality of articles that

    an individual contributes based on how

    the articles are being used by agents and

    customers, or how well the articles answer

    commonly asked questions.

    Case Study

    Focusing on the people component was

    critical for a leading software company as

    part of its overall knowledge management

    strategy. The company was organized into

    distinct business units by product line and

    each unit had its own sales, marketing,

    customer care and IT organizations. In an

    effort to improve operations, the company

    turned to Accenture to help develop anenterprise-level knowledge management

    capability that could be leveraged across

    the various business units.

    Accenture helped establish a governance

    structure that enabled the business units

    to collaborate on a common knowledge

    management approach, as well as to

    identify requirements for the knowledge

    management platform. The governance

    plan included a steering committee that

    developed the strategic direction of the

    platform, a knowledge management team

    with representatives from each business

    unit, and a change management team that

    reviewed and approved changes to the

    platform. These groups met regularly for

    status updates and to share lessons learned

    about the knowledge management system

    implementation.Accenture also helped the company to

    create a knowledge management community

    of practice to define and manage

    processes, which were integrated into the

    knowledge management platform. Once the

    platform was complete, a campaign was

    implemented to encourage customer service

    representatives to use the new knowledge

    management system through change

    management and training support.

    The end-to-end knowledge management

    approach, with an emphasis on governance

    and roles, helped the software company

    to reduce redundant infrastructure and

    tool investments, and also improve the

    effectiveness of agent and customer

    experiences. With the new centralized

    knowledge management system, the

    company achieved a 15 percent increase in

    call deflections for knowledge base contenta 66 percent increase in article resolution

    rates, a 340 percent reduction in failed

    searches, and an 85 percent accuracy of

    search results, enabling customer service

    representatives to provide quick and

    accurate answers to customers.

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    Processes

    Organizations can further improve

    knowledge management efficacy by

    following well-defined and standardized

    content management processes. This

    capability encompasses detailed workflowprocesses, along with collaboration tools,

    such as feedback cycles, rating systems

    and analytics, to help continually improve

    content from generation through delivery.

    Considering how knowledge will be

    collected, reviewed and refined is a good

    starting point for process definition. Key

    questions include: how will subject matter

    experts submit content? How will key

    stakeholder groups review and approve

    content? What is the best way to speedthe time between content creation and

    publication? How will the knowledge

    base be refreshed to monitor continuous

    improvement? How will the organization

    prioritize the most critical pieces to update?

    How much content should the company

    leverage from external sources, such as

    social media sites? What is the proper way

    to measure content quality? Organizations

    that design and use formal and consistent

    processes will reduce the time it takes to

    capture knowledge, while increasing theamount and quality of the content captured.

    At the same time, knowledge management

    processes should not be a burden. Some

    businesses may overcomplicate the workflow

    by requiring numerous content approvals or

    by trying to maintain too tight of a control

    on content. But these constraints limit

    flexibility. Instead, organizations should

    design knowledge management processes

    that make it quick and easy to publish

    content, while also providing the necessaryoversight and approvals to monitor quality.

    One useful way to support content

    expediency and quality is to insert a

    feedback loop into knowledge management

    processes. Using a feedback mechanism,

    customer service agents can identify

    knowledge inaccuracies or gaps andrecommend updates to content. The same

    type of tool can be used externally in the

    form of a ratings system such as a one to

    five scale. In this way, customers can give

    a low score to content that they believe

    is inconsistent or needs correction, and

    a high score to knowledge that they find

    particularly useful.

    In all cases, knowledge management

    processes should incorporate a cycle of

    continuous improvement. To accomplish this

    objective, organizations can commit to a

    regular review of how knowledge is created

    and used, including the data collectedfrom the feedback and rating tools. This

    process helps enable a virtuous loop in

    which both employees and customers are

    more willing to share feedback because

    they know it will be acted on (see Figure 1).

    In addition, organizations can collect data

    and run analytics to provide insights on

    the knowledge that is most valuable and

    the content that should be targeted for

    immediate improvement.

    Aut

    hor

    Ana

    l

    yti

    cs

    Feedback Con

    sum

    e

    Review

    Publ

    ish

    Figure 1: Knowledge management is most ef fective when it incorporates continuous

    improvement, as depicted in this virtuous loop.

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    2012 Accenture. All rights reserved.

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    Case Study

    Recognizing the need for more consistent

    and rigorous knowledge management

    processes, a global eCommerce company

    engaged Accenture for help with its

    knowledge management approach. Aspart of an end-to-end effort, Accenture

    instituted several new processes, including a

    common authoring, translation and approval

    workflow and an enterprise wide process for

    continual knowledge improvement.

    To help confirm the company created high-

    quality content, Accenture integrated a

    feedback and rating mechanism for existing

    knowledge, providing agents and customers

    with an easy way to flag out-of-date articles

    or recommend updates. This tool enabledthe company to improve content consistency

    across various channels.

    Accenture also gathered detailed analytics

    to help the company identify which articles

    were being used most frequently and

    effectively to solve customer problems.

    Specific data analyzed included the number

    of cases solved by article, average articlerating, average time in workflow and at each

    step of the workflow, and average article

    aging to identify content that had not been

    updated recently.

    Working with Accenture, the global

    eCommerce company transformed its

    approach to knowledge management.

    Today, the company is using a single,

    global content repository that supports

    multiple service channels and more than

    20 languages. Search results consistently

    achieve 85+ percent accuracy, enabling

    agents to find the right information at the

    right time. Accenture also supported the

    transition through change management

    and training that drove agent adoption

    of the new knowledge base to 73 percent

    after only four weeks, which was more than

    double the prior system.

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    Technology

    Organizations can complete their strategy

    with an integrated, enterprise wide

    knowledge management technology

    platform that enables search, sharing

    and archiving across the full content lifecycle. This functionality makes it easier

    to repurpose old content and maintain

    version control. The knowledge repository

    should also have built-in tools for team

    collaboration through a central portal.

    Ideally, organizations will be able to

    consolidate all knowledge assets and

    metadata into a single, centralized

    content repository. If various knowledge

    management systems are in use across

    the enterprise, organizations will need to

    adapt their governance model to minimize

    redundancies and reduce costs.

    When making knowledge management

    platform decisions, organizations should

    consider these questions: does the

    technology provide all the necessary

    functionality? Is there a way to consolidate

    knowledge bases using technology? Will the

    technology support multiple channels and

    platforms? Does the technology provide

    analytics for continuous improvement? Can

    the technology leverage content sources

    not directly controlled by the organization,such as social media channels?

    Several aspects of the knowledge

    management technology should support

    ease of use for customer service

    representatives and customers alike. For

    instance, the knowledge base should

    employ a content architecture that provides

    the same knowledge across any channel

    (Web, chat, phone, IVR and more) and

    any platform (PCs, smartphones, tablets,

    televisions and more). Likewise, the content

    structure must support the needs of various

    channels: the Web channel should provide a

    detailed view of information with interactive

    content; the chat channel should include

    short, textual bits of content; and the phone

    channel should have simple instructions,

    potentially with illustrations of what the

    customer may be seeing.

    Tagging content with metadata is also

    crucial to improve the search function as it

    makes it possible for agents and customers

    to use contextual knowledge lookup. For

    example, an article on setting up an Apple

    iPhone could be tagged with iPhone (theproduct) and Setup (the function) so an

    organization could recommend this specific

    article in response to a customer inquiry on

    a self-service site.

    The search mechanism should move

    beyond simple keyword-based searches

    to incorporate key concepts, such as

    synonyms and spell checking. Knowledge

    management technology that uses natural

    language is ideal for this purpose.

    Lastly, localization that makes the samearticle available in all of the languages

    customers expect is critical in a global

    business world. Knowledge management

    technology should include mechanisms to

    schedule updates to localized versions when

    the primary language has been updated.

    Case Study

    Accenture helped the New York Citygovernment transform customer service

    through a comprehensive knowledge

    management approach using one, highly

    flexible knowledge management technology

    platform. The citys initial vision was to

    make it easier for residents to interact with

    more than 300 agencies to find information,

    file complaints and resolve issues. In many

    cases, residents did not know which agency

    to contact. Called NYC 311, it is now one of

    the largest and most sophisticated customer

    service systems in the world.

    Working closely with the citys IT

    department, Accenture led multiple teams to

    build and launch a centralized, all-purpose

    call facility that would direct customers to

    information or resources on a 24/7 basis.

    Accenture first developed a searchable

    knowledge base and taxonomy of city,

    state and federal government services.

    Using enterprise content management

    technologies, the team fed informationinto a customer relationship management

    tool and established the basic structure

    of information that enabled customer

    service representatives to respond quickly

    to customers inquiries. The result was a

    comprehensive knowledge repository for

    7,000 aspects of the citys government.

    Accenture subsequently worked with New

    York City government to launch a Web-

    based self-service channel called 311 Online.

    To maximize efficiency and reduce costs,Accenture leveraged the citys existing NYC

    311 call center content management system

    for the online channel and made it possible

    to publish updates easily to both the call

    center and Web channel.

    Today, NYC 311 supports nearly 300 city,

    state and federal agencies and approximately4,000 services for residents with information

    that is available in 170 languages, from

    Amharic to Zulu. On an average weekday,

    more than 60,000 customers dial 311, and

    the majority of calls are handled in four

    minutes or less. Approximately 80 percent of

    calls are answered in 30 seconds or less, and

    85 percent of 311 customers resolve their

    inquiry during their initial call.

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    A Deeper Look at End-to-end Knowledge Management

    Accenture defines knowledge management as a managed program that

    combines people, processes, and technology to deliver the right information

    at the right time.

    Once the knowledge management program is in place, organizations

    can encourage employee adoption and participation through a change

    management initiative. This initiative is directed at the customer service

    agents and other employees who will use the knowledge management system

    and helps to identify needs, develop a change network and communicate the

    benefits of the new system. A core component of the change management

    effort is effective training to help people maximize use of the new system.

    Leadership & Communication

    Support Organization

    Communities of Practice

    Individuals

    Governance and Organization Plan

    Technical Architecture

    and Taxonomy

    User Portal

    Search

    Knowledge Repository

    On Board & Off Board Sources

    Business Strategy

    Process

    Knowledge Management Processes

    Knowledge Strategy

    Incentives

    Metrics

    Change Management Plan

    Program Benefits Realization

    and Metrics Approach

    Figure 2: Accenture takes a comprehensive approach to knowledge management.

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    2012 Accenture. All rights reserved.

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    High Performancethrough KnowledgeManagementOrganizations that adopt an end-to-end

    knowledge management approach focused

    on people, processes and technology have the

    potential to realize benefits such as these:

    Improved efficiency and effectiveness

    Defining and enforcing a knowledge

    management programwith governance

    including central administration, designated

    roles and responsibilities, and easy-to-

    use processesdrives employee behavior

    to support and use the knowledge

    management system.

    Improved content quality and consistency

    across multi-service channels

    Incentivizing customer service representatives

    to focus on quality of information over

    quantity, and incorporating a feedback loop

    and continuous update cycle will help verify

    that the knowledge base contains the right

    information across all service channels.

    Increased customer trust and loyalty

    Providing consistent information on all

    service channels will help customers answertheir questions quickly, and confirm trust in

    the brand and company, which ultimately

    improves loyalty. This consistency will also

    encourage customers to use self-service

    options without having to call an agent to

    validate answers, which is more expensive

    for organizations to support.

    Reduced resource and maintenance costs

    Consolidating multiple knowledge bases into

    a single, global repository makes it easier

    for employees to update and disseminate

    content across the enterprise. Where

    applicable in the organization, consolidationalso decreases technology support costs

    for maintaining and upgrading multiple

    knowledge bases.

    Reduced customer service costs

    Accenture client experience shows that a

    highly functional knowledge management

    system can help customers resolve issues

    using self-service methods, which leads to

    call deflection and reduced call volume.

    An effective knowledge base can also

    help customer service agents resolve

    customer issues the first time, potentially

    reducing average call handle time and

    resulting in fewer repeat calls. Additional

    benefits organizations can achieve include a

    reduction in failed searches and an increase

    in the accuracy of search results.

    When combined, these operational

    improvements can have a vital effect

    making it possible for organizations to

    optimize the customer experience, and,

    ultimately, drive growth.

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    Sales and Customer Services

    Sales and Customer Services business

    domain helps companies acquire, develop

    and retain more profitable customer

    relationships. We offer a broad range

    of innovative capabilities that addressevery aspect of the customer experience,

    including pricing strategy and profitability

    assessment, customer analytics, direct and

    indirect sales force execution, customer

    service, field support, customer contact

    operations, and retail/branch operations.

    We use these combinations of skills to help

    our clients accelerate growth, improve sales

    productivity and reduce customer-care

    costshelping increase the value of their

    customer relationships and enhancing the

    economic value of their brands.

    About Accenture

    Accenture is a global management

    consulting, technology services and

    outsourcing company, with more than

    249,000 people serving clients in more

    than 120 countries. Combining unparalleledexperience, comprehensive capabilities

    across all industries and business functions

    and extensive research on the worlds

    most successful companies, Accenture

    collaborates with clients to help them

    become high-performance businesses and

    governments. The company generated net

    revenues of US$25.5 billion for the fiscal

    year ended August 31, 2011.

    Contact Us

    For further information, please contact:

    David Klimek

    [email protected]

    Adrienne [email protected]

    Gregory Nye

    [email protected]

    Copyright 2012 AccentureAll rights reserved.

    Accenture, its logo, andHigh Performance Deliveredare trademarks of Accenture.

    This document is produced by consultants at Accentureas general guidance. It is not intended to providespecific advice on your circumstances. If you requireadvice or further details on any matters referred to,please contact your Accenture representative.