In today’s fast paced world where everyone is struggling with one thing or the other,
Average Handling Time (AHT) in Customer Service becomes crucial to ensure highest customer satisfaction in the shortest time. The growing customer base has highlighted the necessity for efficient workload management where agents must plan every step of their work strategically, allocating specific time limits to each task. To help agents optimize their time, Customer Service centers use AHT i.e., Average Handling Time.
But what exactly Average Handling Time is and how does one improve it? Let’s Explore in this blog!
Table of Contents:
- What is Average Handling Time?
- Why is AHT important in Customer Service?
- Factors that can distort AHT
- How to Improve AHT Without Sacrificing Customer Satisfaction?
- Common AHT Mistakes to Avoid
What is Average Handling Time?
Average Handling Time (AHT) is a performance metric used by Customer Service providers to measure the average time an agent takes to interact with customers, from start to end. It has three components which are used to calculate Average Handling Time– total call time, total hold time, and total after call work (like updating records and data entry).
Additionally, queue times and ring times are not included in the AHT. Average Handling Time in Customer Service helps agents efficiently use their time, ensuring both improved customer satisfaction and agent performance.
AHT formula:
Total Talk Time + Total Hold Time + Total After-Call Work
AHT= ———————————————————————————–
Total Number of Interactions
Why is AHT important in Customer Service?
Today, we are living in a world where everyone is running a rat race, trying to manage multiple tasks simultaneously. People barely have time to relax, let alone spend it on dealing with queries and resolutions. Customers now demand both effective and fast services, necessitating the use of Average Handling Time (AHT).
- Impact on Operational Efficiency: The AHT in Customer Service allows organizations to measure how quickly customer queries are resolved, helping them identify the overall efficiency of their team. By using this formula, Customer Service can find the average time an agent takes to deal with a customer, providing necessary assistance to help agents improve their performance.
- Enhanced Customer Experience: AHT formula enables Customer Service Centers to spot bottlenecks in agent’s performance, helping them work on their weak points. With improved performance, agents now can provide fast and effective services to customers, leading to enhanced customer experience.
- Resource Allocation: As mentioned earlier, AHT in Call Centers (or Customer Service) allow agents to diagnose their pain points. By understanding these challenges, agents can make better plans and decisions about how to use their time and skills, ensuring optimized resource allocation.
- Cost Implications: Efficient resource allocation enables agents to minimize the time, technology, and labor spent on each interaction, resulting in lower operational costs and higher profitability.
4 Factors That Can Distort AHT
A low AHT does not necessarily mean that an organization is performing as well as it should. The Average Handling time in Customer Service can be distorted due to various factors.
- Complex or Unusual Cases: There are situations when callers come with complex and unusual issues, requiring long time periods for resolution. Such customer concerns often increase the AHT, disrupting the overall average time.
- Dishonest Practices: Some agents employ tricks and dishonest practices to keep their AHT low. They often cut-off callers when the call reaches a certain limit under the pretext of “phone problems” and “network issues.” In addition, some agents also try to avoid difficult callers by transferring them to other departments, resulting in distorted AHT.
- Extended Wrap Up: Wrap time should be used to do follow up tasks related to the particular call. However, some agents misuse this time for personal breaks, such as for toilet, tea, or cigarettes, to avoid taking the next call.
- Poor System or Tool Performance: Poor computer systems and softwares often hamper agents performance, leading to distorted AHT in customer services. Additionally, the need to switch between multiple systems to resolve an issue can also inflate AHT.
How to Improve AHT Without Sacrificing Customer Satisfaction?
Having a low AHT in Customer Service has no benefit if it comes at the expense of customer satisfaction. Businesses should endeavour to craft and implement strategies that ensure low AHT while improving customer satisfaction. If AHT of your Customer Service Center is higher than it should be, here are 4 practices to help you maintain a lower Average Handling Time:
- Agent Training: Agents who have been trained well are likely to handle customer queries more efficiently, providing fast and reliable solutions. Improved training enriches agents with good communication skills and quick resolution abilities, making them suitable for handling difficult customers with ease. With well-trained agents on the team, Customer Service can maintain balance in AHT.
- Streamline Call Routing: A complex and flawed call routing system not only consumes time but also aggravates the customers. Therefore, customer service should deploy efficient IVR systems to ensure that calls are directed to the right department and most qualified agents. This helps to build a streamlined call routing channel for both customers and agents, resulting in lower AHT.
- Optimize After Call Work: It often happens that ACW (After Call Work) consumes more time than needed, inflating AHT in contact centers. Automating After Call Work like data entry and call logging can help agents lower their average time. Additionally, ensuring simplified post call documentation processes can also help organizations control their AHT.
- Invest in Technology: Fast and reliable technology is pivotal to ensure a balanced AHT in Contact Centers, as technology is the bedrock of this industry. When agents have reliable technology to back them up, they can handle their workload more effectively, leading to a balanced AHT.
What Are The Common AHT Mistakes That You Should Avoid?
While it is important to maintain a low AHT, it should not be the only goal. The primary goal of contact centers should be customer satisfaction. Therefore, they should always try to strike a balance between lower Average Handling Time and higher customer experience, ultimately improving business growth and reputation.
Additionally, the After Call Work should not be neglected to ensure a reduced AHT, as it can lead to inaccurate customer records and data. Moreover, agents should avoid rushing to end the call and must fully listen to customer feedback even if the call duration is extending. Rushing calls without paying attention to customer feedback can significantly damage business reputation and customer relationships.
Conclusion:
With the help of AHT, customer service providers can measure and maintain a low resolution time, ensuring higher customer satisfaction and retention. It also helps agents identify their pain points, leading to improved performance and productivity.
