Given
its other troubles, it is probably not surprising that the
government’s plans to extend flexible working to parents
of older children failed to have much of an impact last month.
However, the proposals in the draft Queen’s speech to
give 4.5 million parents with children up to 16 years old
the right to ask for alterations to their working arrangements
went further than many expected. Some employers say they fear
both a flood of requests and a rise in tribunal claims for
those they turn down.
One sector that should be fairly relaxed about the news, though,
is the call centre industry. Because, according to BT, this
year the industry is already set to see a surge in ‘homeshoring’
– perhaps one of the most flexible working arrangements
around.
An idea developed in the US, it sees staff taken out of their
contact centres and offices and set up to do the same work
from their homes. Calls to a central number are routed to
the telephone line of the next available agent, wherever they
happen to be based. In essence the same technology that is
used to put calls to a British number through to a worker
in Mumbai can instead route that call to a living room in
Manchester.
In the US, there are already significant numbers of homeshored
workers – currently about 112,000 according to IT industry
analyst IDC. It reckons this will almost triple by 2010 to
330,000, or about 11 per cent of the country’s agents.
In fact, some companies, such as JetBlue Airways, already
rely entirely on homeshoring. It has 1,400 reservation agents
all working from home. In the UK, meanwhile, adoption has
been more modest, but users include the AA, Boots and BT,
and it has also been taken up by a number of councils that
have begun homeshoring their enquiry lines and some data processing
roles. According to BT’s director in Scotland, Brendan
Dick, homeshoring is set to be “the next big trend”.
Call history
Of course, it has been the next big thing for some time.
The AA, for instance, was piloting home-based contact agents
ten years ago (and now has about 20 per cent of them working
this way). “Homeshoring is really just a new name
for something that’s been around for quite a while,”
says Andy Lake, editor at online journal Flexibility. “Some
companies have been doing this for years.”
There are a number of reasons it is now ready for greater
take-up, however. The first is that it is more technologically
feasible – mostly due to more widely available, cheaper
and faster broadband connections. Second, it enables companies
to access a wider pool of workers, at a time when the industry
is struggling to find and retain staff.
Since there are no commuting times to worry about, workers
can do shifts of as little as half an hour, enabling those
with childcare or other responsibilities to work. Such workers
have also proved to be more loyal – slashing churn
rates. Furthermore, many of these people are the very staff
companies are looking for, as there is increasing pressure
to find older and more experienced staff, while still keeping
costs down.
“Offshoring has meant everyone has managed to get
costs down now, but the world’s changed; now customers
want better service,” explains Nick Gregory, vice
president of marketing at virtual contact centre solutions
provider Exony. “Companies are looking at how they
can get a better experience for customers as well as getting
the value they want from a contact centre. That’s
the big switch.”
By slashing office overheads and providing access to a different
type of worker, it is hoped homeshoring is a big part of
the answer. IDC reckons that, taking account of overheads
and training, homeshoring cuts £5 from the £15.50
hourly cost of every agent.
For charities, this should make it an attractive choice,
argues Peter James, associate director of the technology
for sustainable development research group SustainIT. “For
those that are trying to maintain a national presence with
a limited resource base, it can make a lot of sense,”
he argues. “It allows you to have staff in different
regions without the overheads of an office.”
This is all the more persuasive if you’re relying
on volunteers to run your contact centre, as the other AA,
Alcoholics Anonymous, does. In the major cities such as
London, it runs offices where volunteers man the helplines.
In the regions, though, callers to that same central number
are automatically routed to the homes of volunteers covering
the local area (BT’s software detects where callers
are dialling from, provided they call from a landline).
Local groups of volunteers are left to organise how they
cover the shifts between them.
“It’s about spreading the workload,” explains
Ivan Wells, a member of the charity’s Telephone Sub
committee. “If people had to come into an office,
that would preclude a lot of them from being able to do
it.”
Despite the attractions, though, charities are lagging behind
even the private and public sectors in the UK in adopting
homeshoring on a significant scale. As Ian Ashby, managing
director at virtual contact centre software provider IRIS,
puts it: “I think charities are embracing homeworking,
but industry in general is planning for homeshoring.”
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Holding on
There are some good reasons for this reticence, though.
There are, for instance, significant challenges to managing
a home workforce – for line managers it can mean frequent
travelling for one-to-one meetings, for example; it can
also be difficult for workers to adjust to the social isolation,
and some won’t have suitable homes; and there can
be security concerns if the role necessarily involves allowing
workers to access sensitive information on the organisation’s
servers.
Furthermore, there is also a question of scale. When it
comes to homeshoring contact centres (the most common use
for the term), Ashby says it can be a realistic solution
with as few as ten workers, but he adds it’s really
a case of “the bigger, the better”.
But, as he points out, it’s not just in their internal
operations that charities could make use of homeshoring:
there is a real opportunity for many to tap into recruitment
opportunities for their beneficiaries.
After all, says Ashby, one of the key advantages of homeshoring
(and one that makes it attractive in public relations as
well as commercial terms) is its ability to engage those
who are traditionally excluded from the labour market: carers,
single parents, disabled people, the socially excluded –
“the very constituencies, in other words, that charities
work with on a daily basis”.
There is already some evidence of what could be achieved
(see case study), but to date, charities have been slow
to initiate such partnerships. However, if homeshoring really
does take off in the private and public sectors, this could
be where it has the most significant impact for charities,
provided, of course, that they want to take that opportunity.
At the end of the day, it’s their call.
Case in point
Broxtowe in Nottingham is one of the most disadvantaged
areas in the UK. A red-brick council estate, it has 5,000
residents, many of whom haven’t worked for years,
including a significant number of middle aged female residents
living in their own homes.
Last Spring, the Greater Nottingham Partnership, an arm
of the East Midlands Regional Development Agency, worked
with specialist firm UK Virtual Call Centres to develop
a locally-based homeshoring operation involving 12 of the
residents.
These workers would handle the calls under a contract the
firm secured with Boots to cover its peak season between
July and January. Usually this period is covered by temporary
staff at its main Nottingham offices.
Following training, the residents were provided with a dedicated
broadband line and a secure PC in a suitable room in their
home. They were then able to work four to five hour shifts
for an average of 100 hours a month.
According to Peter Goodwin, chief executive of Accelerate
Nottingham, which promotes the benefits of ICT to the local
area, the results were impressive: the workers, who previously
had no experience of the field, fulfilled all the terms
of the contract; Boots stated it would use the model for
seasonal peaks in future; and four of the residents secured
permanent jobs with the company – and all at almost
no cost to the development agency.
The only reservation Goodwin sees is that projects would
be too exposed to the seasonal demands of the private sector:
one reason he would like to see greater use of similar projects
by the public sector. However, he remains convinced of the
idea’s promise.
As he puts it: “I’ve been doing regeneration
now for 30 years, and it’s the best end result I’ve
seen.”
Green connections
For those with an environmental focus, homeshoring is particularly
attractive, and indeed many reckon that private sector growth
will end up being driven by regulatory pressure on companies
to cut their carbon emissions.
“There’s going to be increasing pressure for
organisations to reduce commuting,” explains Gregory,
“and when people look at their company they’ll
see they have 1,000 people sat at a contact centre who they
can make work at home with one pen stroke.”
Even if this won’t be an option for most charities,
it shows what is possible with modern technology, and environment
groups such as Forum for the Future have long argued that
all organisations could make greater use of teleworking.
The charity itself has about 80 staff and 60 to 70 of these
telework at least some of the time, some for the majority
of it. One of its employees even works occasionally from
another charity’s offices in Cardiff so that he can
continue to live in Wales. The charity also uses hotdesking
and video conferencing.
“I’m sure this is going to become much more
widespread,” says Forum for the Future’s IT
and administration manager, John Bishop.
There are limits, though. As another charity concerned with
the environment, ACRE (Action with Communities in Rural
England) is also keen on teleworking. If nothing else, says
chief executive Silvia Brown its policy of allowing teleworking
enables it to recruit staff from outside Cirencester, where
it’s based.
However, she too has reservations. First, the technology
is not always as good as it’s cracked up to be –
particularly in terms of broadband availability and reliability.
“People in London don’t know how lucky they
are,” she remarks.
More importantly, though, the charity has found there is
a limit to the amount people can work at home. “You’ll
always need that face-to-face bonding needed for good teamwork,”
argues Brown. “We all might be able to go considerably
further down the homeworking route than we are now, but
you’ll never be able to crack that.”
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