In the June issue of Customer Interaction Solutions magazine, Wade Baker, CEO of Sivox Technology, wrote an article entitled, "Simulation Training: The Power of Continuous Performance Optimization." In it, he discusses the importance of not only training, but training properly. SIVOX, which offers a product that allows agents to interact with virtual customers via real-seeming but simulated customer situations, believes that simulation is the very best way to train agents well without compromising customer service.

Wade's article includes some interesting statistics about training. Perhaps these statistics will surprise you, perhaps not:

Two-thirds of contact center costs are related to agents, with the total costs to train new agents estimated to be $15 billion per year, according to Friedman, Billings, Ramsey & Co. Inc. Here is the business problem contact center operators face:

• Ninety-two percent of consumers form their image via the contact center;

• Two-thirds of costs are related to agents;

• 30 to 60 percent agent attrition;

• Cost to recruit and train a new agent is $10,000;

• Nearly 1.5 million new agents are recruited and trained each year in North America;

• Total annual cost of recruiting and training new agents exceeds $15 billion; and

• One percent reduction in turnover equals $500 million annual savings.

For companies that still believe that the call center is a cost center, think again. These numbers tell a different story: that is no more important department in your organization than the place your customers end up first.

TES