AT&T Call Center Solutions Announcement

Commentary from Sam Bloomfield, Contact Center practice leader at Telwares -

AT&T’s announcement that it will be offering a hosted solution for call center operations is consistent with the trend of moving more telephony and CRM application to the cloud. Like all solutions there are advantages and disadvantages to this approach. It is useful to have this solution if you are willing to surrender some control over some of the basics you were use to having. At the same time it demands reliable and fast connectivity and confidence in the available of ATT resources to make changes that you need, unless you have the access and staff to make those adjustments yourself. Most larger operations will probably be less interested in this service/product because of the control issues involved. Smaller shops could see real benefit to this approach and reduce overhead costs associated with some of the on-premise solutions. Be sure to create a solid business case to prove how this should work. Also understand how changes will be made and how quickly and above all understand the level of service and priority you will be getting form the carrier.

The trend to move more and more applications to a central host is rapidly picking up momentum. Carriers and providers like this approach because it allows them to control the relationship, and provide the outsourced solutions, often attractive to many organizations. If you have a hosted relationship the barriers to changing providers in some ways is higher. You may be less likely to make the switch because you are not as in control of the parameters as you were when it was all premise based. At the same time it could result in more movement because you have less control. You may be willing to find a new full service provider because you are used to having another party manage so much of the technology process, and you are used to fewer IT resources on staff. Carriers also like this approach operationally because they can control upgrades, sell in new services and provide the kind of direction they can control, and create trends that increases customer “stickiness.” Just like netbooks are begin to gain market share of significant size, SaaS is gaining in popularity. No new operation, or one that keeps up with emerging trends can afford to ignore this option. At the same time the decision to go with this approach must be decided, like all good business decision, with full visibility into the pros and cons, expense versus investment, and account management and support services and level of overall service level comfort from the provider.

AT&T / CWA Contract Expiration and Potential Strike – Update 2

Update Sunday #2 – From the CWA-Comtech website on “Legacy T” bargaining, which seems to summarize the entire picture right now (link below):

April 5, 2009

12:01 a.m. – We are currently working without a contract and maintain the right to strike whenever we feel it is necessary.  We are still very far apart on many issues.  The contracts in the Midwest and West Coast have not yet expired.  We will continue to bargain through the night and through the day tomorrow to try to develop a framework within which we can come to an agreement.

In the meantime, wages, hours, benefits, and working conditions remain in place.

Go to work if you are scheduled, but this is NOT business as usual.  Step up your mobilization activities.  Solidarity is more important now than ever.

http://www.cwa-comtech.org/barg_mobe/at-t-legacy-t-bargaining-report-23.html

Telwares maintains:

While a strike would clearly put a strain on AT&T’s resources, we do not believe this will materially affect continuing operations within AT&T in the short term. The Telwares concern for existing clients and prospects grows larger if a strike were to happen and extend for more than a few weeks. At that point, we believe there could be real jeopardy for clients relating to account support, service provisioning/troubleshooting, and network implementations/migrations.
KEY ENTERPRISE CONSIDERATIONS:
•Contractual risk mitigation ‐ how are labor disputes handled in your contract(s) and is there remedy available to you if needed? The majority of AT&T agreements to address labor disputes as part of Force Majeure language – due diligence is required.
•Account maintenance and support ‐ if resources are stretched within AT&T, what is the contingency plan specific to your relationship with them, in practical terms?
•SLA delivery ‐ what provisions are wrapped around the SLA’s in your contracts, and again, are there sufficient remedies in place if service were to degrade?
•Implementation and/or migration of new services ‐ if new services are planned or in‐flight, what is the contingency plan to accomplish the transaction? What remedy is available to your organization?
oIn addition, there may be implied delays in contract negotiations or legal review/approval process due to any labor dispute. This should be challenged aggressively.

AT&T / CWA Contract Expiration and Potential Strike – Update

Update Sunday: Negotiations are continuing past the strike deadline. According to various statements by the CWA and AT&T, the two sides remain focused on wages, health care costs, and job security. More detail will be posted as appropriate. Telwares maintains:

SUMMARY OF ISSUE:
•On April 4th 2009, a series of five regional union contracts will expire between AT&T and the Communications Workers of America affecting 112,000 employees. A sixth contract due to expire later this year is also in scope.
•Members of the CWA have ratified a strike if negotiations are unsuccessful.
•AT&T is seeking concessions related to active and retired employee health benefits, essentially sharing more of the burden with employees.
•The CWA is seeking to finalize a variety of wage issues and mitigate the AT&T position on sharing more of the medical costs.
•AT&T has been preparing for several months to accommodate a strike by training non‐bargained employees for assignment throughout the organization.
TELWARES PERSPECTIVE:
While a strike would clearly put a strain on AT&T’s resources, we do not believe this will materially affect continuing operations within AT&T in the short term. The Telwares concern for existing clients and prospects grows larger if a strike were to happen and extend for more than a few weeks. At that point, we believe there could be real jeopardy for clients relating to account support, service provisioning/troubleshooting, and network implementations/migrations.
KEY ENTERPRISE CONSIDERATIONS:
•Contractual risk mitigation ‐ how are labor disputes handled in your contract(s) and is there remedy available to you if needed? The majority of AT&T agreements to address labor disputes as part of Force Majeure language – due diligence is required.
•Account maintenance and support ‐ if resources are stretched within AT&T, what is the contingency plan specific to your relationship with them, in practical terms?
•SLA delivery ‐ what provisions are wrapped around the SLA’s in your contracts, and again, are there sufficient remedies in place if service were to degrade?
•Implementation and/or migration of new services ‐ if new services are planned or in‐flight, what is the contingency plan to accomplish the transaction? What remedy is available to your organization?
oIn addition, there may be implied delays in contract negotiations or legal review/approval process due to any labor dispute. This should be challenged aggressively.

AT&T / CWA Contract Expiration and Potential Strike

Update to previous entries…negotiations are continuing.

SUMMARY OF ISSUE:
•On April 4th 2009, a series of five regional union contracts will expire between AT&T and the Communications Workers of America affecting 112,000 employees. A sixth contract due to expire later this year is also in scope.
•Members of the CWA have ratified a strike if negotiations are unsuccessful.
•AT&T is seeking concessions related to active and retired employee health benefits, essentially sharing more of the burden with employees.
•The CWA is seeking to finalize a variety of wage issues and mitigate the AT&T position on sharing more of the medical costs.
•AT&T has been preparing for several months to accommodate a strike by training non‐bargained employees for assignment throughout the organization.
TELWARES PERSPECTIVE:
While a strike would clearly put a strain on AT&T’s resources, we do not believe this will materially affect continuing operations within AT&T in the short term. The Telwares concern for existing clients and prospects grows larger if a strike were to happen and extend for more than a few weeks. At that point, we believe there could be real jeopardy for clients relating to account support, service provisioning/troubleshooting, and network implementations/migrations.
KEY ENTERPRISE CONSIDERATIONS:
•Contractual risk mitigation ‐ how are labor disputes handled in your contract(s) and is there remedy available to you if needed? The majority of AT&T agreements to address labor disputes as part of Force Majeure language – due diligence is required.
•Account maintenance and support ‐ if resources are stretched within AT&T, what is the contingency plan specific to your relationship with them, in practical terms?
•SLA delivery ‐ what provisions are wrapped around the SLA’s in your contracts, and again, are there sufficient remedies in place if service were to degrade?
•Implementation and/or migration of new services ‐ if new services are planned or in‐flight, what is the contingency plan to accomplish the transaction? What remedy is available to your organization?
oIn addition, there may be implied delays in contract negotiations or legal review/approval process due to any labor dispute. This should be challenged aggressively.