Development of a Balanced

Scorecard for Service Desk

KPIs

Presented by: Robert Higgins and Jason Reid

Position: IT Service Desk and Telecommunications Manager and Team Leader

Balanced IT Scorecard

History

Before

Situation

KPI - Categories

KPI Quiz

1. COST per CONTACT

2. CUSTOMER SATISFACTION

4. FIRST CONTACT RESOLUTION

5. AGENT SATISFACTION

6. AVERAGE SPEED of ANSWER

7. ????

3. AGENT UTILISATION

7. AGREGATE SERVICE DESK PERFORMANCE

PGW

5th PEA?

Quantity

Quality

Timeliness

Compliance

1 - 6

Step 1: Understand customer expectation and service requirements

Step 2: Define the Critical Success Factors of the Service Desk 5Ps

you are measuring

Step 3: Choose the KPI Category you are measuring (Quantity,

Quality, Timeliness, Compliance)

Step 4: Define the KPI

Step 5: Define the KPI target or success criteria

Step 6: Determine the data source and instrumentation

to obtain and collect KPI measurements

1 - 6

KPI CSF CSF Value KPI Data Data

Measure Category Category Category Elements Source

First Level Resolution

Rate

Total Cost of

Ownership is

reduced by

resolution at Level 1

compared to higher

costs at Level 2,3

Performance Efficiency Quantity Group Closed By

LSD

Request

Form

Customer Satisfaction

Customers are

satisified with the

quality of the service

provided by the

Service Desk

Quality Satisifaction Quality

Overal

Satisfaction with

IT

LSD Survey

First Contact Resolution

Rate

The majority of

incidents should be

resolved by the

Service Desk on first

contact

QualityProductivity,

EfficiencyQuality FCR Field (*new)

LSD

Request

Form

Request Closed in SLA

Incidents are resolved

within timeframes

agreed with the

customer

PerformanceProductivity,

Efficiency

Quantity

Timeliness

Compliance

Time Closed

LSD

Request

Form

Average Speed to

Answer (ASA) (sec.)

Customers can reach

a Service Desk

Analyst when needed

PerformanceProductivity,

EfficiencyCompliance ASA

Cisco Call

Manager

SDA Job Satisfaction

Agents are satisfied

with their job and are

engaged with PGW

(Stocktake)

Quality Satisifaction QualityHappiness Factor

(*new)1 on 1

1 First Level Resolution Rate 25%

2 Customer Satisfaction 25%

3 First Contact Resolution Rate 20%

4 Requests Closed in SLA 15%

5 Average Speed to Answer (ASA) (sec.) 10%

6 SDA Job Satisfaction 5%

100%Total

Performance Metric Metric Weight

Worst Case Best Case

1 First Level Resolution Rate 25% 55% 63%

2 Customer Satisfaction 25% 63% 75%

3 First Contact Resolution Rate 20% 40% 52%

4 Requests Closed in SLA 15% 91% 96%

5 Average Speed to Answer (ASA) (sec.) 10% 67 12

6 SDA Job Satisfaction 5% 55% 88%

100%Total

Performance Metric Metric WeightAnnual Performance Range

Worst Case Best Case

1 First Level Resolution Rate 25% 55% 63% 55%

2 Customer Satisfaction 25% 63% 75% 68%

3 First Contact Resolution Rate 20% 40% 52% 51%

4 Requests Closed in SLA 15% 91% 96% 96%

5 Average Speed to Answer (ASA) (sec.) 10% 67 12 15

6 SDA Job Satisfaction 5% 55% 88% 55%

100%Total

Performance Metric Metric WeightAnnual Performance Range

Months Performance

[(Worst Case – Actual performance) / (Worst case – Best case)] x 100

Worst Case Best Case

1 First Level Resolution Rate 25% 55% 63% 55% 0%

2 Customer Satisfaction 25% 63% 75% 68% 41%

3 First Contact Resolution Rate 20% 40% 52% 51% 92%

4 Requests Closed in SLA 15% 91% 96% 96% 100%

5 Average Speed to Answer (ASA) (sec.) 10% 67 12 15 95%

6 SDA Job Satisfaction 5% 55% 88% 55% 0%

100%

Metric Score

Total

Performance Metric Metric WeightAnnual Performance Range

Months Performance

Metric Score x Metric Weight

Worst Case Best Case

1 First Level Resolution Rate 25% 55% 63% 55% 0% 0.00%

2 Customer Satisfaction 25% 63% 75% 68% 41% 10.29%

3 First Contact Resolution Rate 20% 40% 52% 51% 92% 18.33%

4 Requests Closed in SLA 15% 91% 96% 96% 100% 15.00%

5 Average Speed to Answer (ASA) (sec.) 10% 67 12 15 95% 9%

6 SDA Job Satisfaction 5% 55% 88% 55% 0% 0.00%

100% 53.08%

Metric Score Balanced Scorecard

Total

Performance Metric Metric WeightAnnual Performance Range

Months Performance

Worst Case

First Level Resolution Rate 25% 69% 69% 0%

Customer Satisfaction 25% 50% 93% 97%

First Contact Resolution Rate 20% 39% 57% 100%

Requests Closed in SLA 15% 81% 85% 48%

Average Speed to Answ er (ASA) (sec.) 10% 40 19 95%

SDA Job Satisfaction 5% 58% 67% 59%

Total 100%

Service Desk ScorecardBetween May 2014 and Apr 2015

Performance Metric Metric Weight Annual Performance Range Months

Performance

Metric Score Balanced

ScorecardBest Case

1 77% 0.00%

2 94% 24.29%

3 57% 20.00%

4 90% 7.21%

64.01%

5 18 9.55%

6 73% 2.97%

Defini tion

1First Level Resolution

(FLR) rate

FLR is the percentage of requests resolved by the IT Service Desk

(Helpdesk plus SD Level 2). Any request resolved by another IT

team (Infrastructure, Appl ications or Web) i s , by defini tion, not

resolved at our Fi rs t level . Typica l ly this i s cons idered a cost

metric s ince i t has a s trong impact on Total Cost of Ownership for

end-user support, however we are a lso us ing this to measure our

abi l i ty to free up Level Three resources so they can focus on

va lue added project work

Performance Metric

Why i t’s important

FLR is a measure of the overa l l competency of the Service Desk, and is a proxy

for Total Cost of Ownership (TCO). A high FLR Rate helps to minimize TCO

because each contact that i s resolved at Level 1 avoids a higher cost of

resolution and free up resources at Level n (Infrastructure, Appl ications or

Web). Service Desks can improve their Level 1 Resolution Rates through

tra ining, and investments in certa in technologies such as remote diagnostic

tools , and knowledge management systems.

Expected Outcomes

CSFs

Tota l Cost of Ownership

i s reduced by

resolution at Fi rs t Level

compared to higher

costs at Level 3 level 3

resources are free up for

va lue added project

work.

Continuous

learning,

knowledge

sharing,

ownership, not

esca lating, growth

Expected SDA

Behaviours

Definition Why it’s important Expected Outcomes

CSFs

1

First Level

Resolution (FLR)

rate

FLR is the percentage of requests resolved by the IT

Service Desk (Helpdesk plus SD Level 2). Any request

resolved by another IT team (Infrastructure,

Applications or Web) is, by definition, not resolved at

our First level. Typically this is considered a cost

metric since it has a strong impact on Total Cost of

Ownership for end-user support, however we are also

using this to measure our ability to free up Level Three

resources so they can focus on value added project

work

FLR is a measure of the overall competency of the Service Desk,

and is a proxy for Total Cost of Ownership (TCO). A high FLR Rate

helps to minimize TCO because each contact that is resolved at

Level 1 avoids a higher cost of resolution and free up resources

at Level n (Infrastructure, Applications or Web). Service Desks

can improve their Level 1 Resolution Rates through training, and

investments in certain technologies such as remote diagnostic

tools, and knowledge management systems.

Total Cost of

Ownership is

reduced by

resolution at First

Level compared to

higher costs at Level

3 level 3 resources

are free up for value

added project work.

Continuous

learning,

knowledge

sharing,

ownership, not

escalating, growth

2Customer

Satisfaction

Customer Satisfaction is the rating of the quality of the

overall experience of the service delivered by IT. This

metric is measured via a customer satisfaction survey

within our Service Portal triggered every 1 in ten

requests logged

Customer Satisfaction is the single most important measure of

Service Desk quality. Any successful Service Desk will have

consistently high Customer Satisfaction ratings.

Customers are

satisfied with the

quality of the service

provided by the

Service Desk.

Increased employee

productivity

Professionalism,

active listening,

politeness,

teaching,

prevention

3

First Contact

Resolution (FCR)

rate

FCR applies to all forms of contact be it via telephone

call, email, self-service or walk-in. It is the percentage

of requests that are resolved on the first interaction

(contact) with the customer, divided by all resolved

requests. Calls that require a customer call-back, or

are otherwise unresolved on the first contact for any

reason, do not qualify for Net First Contact Resolution

FCR is the single biggest driver of Customer Satisfaction. A high

FCR rate is almost always associated with high levels of

Customer Satisfaction. Service Desks that emphasize training

(i.e., high training hours for new and veteran Agents), and have

good technology tools, such as remote diagnostic capability and

knowledge management, generally enjoy a higher than average

FCR Rate.

The majority of

incidents should be

resolved by the

Service Desk on first

contact

Continuous

learning,

knowledge

sharing,

ownership, not

escalating/calling

back/log and flog

4Request Closed

in SLA (Priority)

The percentage of requests resolved within SLAs

(success rate ). Requests are assigned Priorities based

on business impact in order to measure whether

resolution times meet agreed timeframes.

Expectations are set by business through SLAs which IT needs to

deliver against. Depending on the demand for requests this can

help in remedial action such as resource allocation planning or

training.

Incidents are

resolved within

timeframes agreed

with the customer

Efficiency,

research,

communication,

updating, time

5

Average Speed to

Answer (ASA)

(sec.)

ASA is the total wait time that callers are in queue,

divided by the number of calls handled. This includes

both IVR handled calls as well as calls handled by a

live Agent

ASA is an indication of how responsive a Service Desk is to

incoming calls.

Customers can reach

a Service Desk

Analyst when

needed

Readiness, log

and flog, brevity,

call backs

6SDA Job

Satisfaction

Agent Job Satisfaction is a measure of how engaged

the service desk staff member is. Also known as the

“happiness factor”. Typically above 70% is engaged,

40% - 70% ambivalent, and less than 40% disengaged

Gives an indication on how we are tracking of rather stocktake

employee engagement. It is a proxy for morale, while difficult to

measure, is a bellwether metric that affects almost every other

metric in the Service Desk. High performance Service Desks

almost always have high levels of Agent Job Satisfaction. Perhaps

Agents are satisfied

with their job and

are engaged with

PGW

Engagement,

presence,

longevity, loyalty,

growth

Expected SDA

BehavioursPerformance Metric

After

Situation

Your primary channel for logging non urgent IT issues and

requests

IT Service Portal* new

IT Service Portal DIY #1

Channel

Moni

tor

and

Upda

te

See

Latest

Alerts

Log non

urgent

requests

Monitor

and

Update

Requests

Feedback

Survey

Reduced

call hold

times

http://pggwapp04/LaytonServiceDesk/EUserAuto.aspx

Dec-2014 Feb-2015 Mar-2015 Apr-2015

Bushw ire Forms 0.00% 2.287% 4.879% 5.447%

Email 47.913% 51.659% 50.385% 49.463%

Phone 36.754% 39.507% 38.194% 37.691%

Self Service 3.337% 2.451% 4.381% 4.419%

Unknow n 11.729% 3.424% 1.052% 0.00%

Walk In 1.091% 1.617% 1.765% 3.57%2.178%

1.108%

50.29%

38.313%

1.956%

7.342%

% of Requests by SourceBetween 01/12/2014 and 30/04/2015

Jan-2015

Rob Higgins IT Service Desk and Telecommunications Manager

Email. rob.higgins@pggwrightson.co.nz

https://nz.linkedin.com/in/robertghiggins