23 September 2017

Alex Noble

Alex Noble - McAfee

53Posts 281,785Views 21Comments
A post relating to this item from Finextra:

Lloyds TSB offshores 450 IT jobs

14 May 2008  |  16588 views  |  0
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UK bank Lloyds TSB is transferring up to 250 permanent IT jobs and 200 contractor positions to offshore centres in India.

Lloyds TSB offshores IT, not call centre

16 May 2008  |  6375 views  |  1
An interesting article on Finextra about Lloyds TSB offshoring 450 IT jobs.

What it makes it interesting is that Lloyds TSB has opted not just to keep its contact centres onshore, but create new contact centre jobs onshore.

I've covered this in past posts like "Onshore still growing - Lloyds TSB" but it makes clear that if customer service is important, then onshore has a lot of attractions. Interestingly, I was in a presentation from a senior Lloyds manager on Wednesday and he was explaining that the contact centre (especially the self-service part) is very well regarded by their customers.

The bigger issue here is whether you view contact centre as a cost or part of your brand. I've talked about this before (e.g. "Is cost a contact centre issue or a symptom?"), but it's an issue that still isn't well understood. My view is that if part of your organisation is going to interact with customers regularly and represent you to them, then managing that part as a cost centre is not sensible. If consumers form their impression of you from direct experience, then vast amounts of marketing spend will struggle to overcome that.
TagsRetail banking

Comments: (2)

A Finextra member
A Finextra member | 18 May, 2008, 13:35

Hi Alex,

I think it's a smart move not to offshore the call centre operations. Lloyds correctly chose to keep the customer contact where it is most valuable, with their customers. Back end outsourcing is less apparent to customers but call centres are critical. I don't think vanilla flavoured foreign call centres are a good move, especially if you want to keep customers close to your brand. I've certainly switched banks because of it.

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Alex Noble
Alex Noble - McAfee - London | 27 May, 2008, 13:54

Hi Dean,

I agree completely. It seems crazy to cut a (relatively) small cost around customer service and then incur huge costs around brand damage and lost business.

Best wishes,

Alex

 

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job title Account Director
location London
member since 2008
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I specialise in solutions for complex banking processes. Current areas I'm working on include Security, contact centre, improving compliance and digital transformation. Previously, I've worked...

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