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Because of that, cost per call is widely considered as the foundation of all key performance indicators in a call center business. Costs or expenses on labor like wages, employee benefits, and payments to incentives, and costs for contractors should be given much leverage. That is because it has been found that in any call center business; about 67% of overall costs are accounted for labor. Therefore, it is certain that costs on labor are indeed the biggest factor that should be reduced if the company is aiming to lean or trim cost per call. Of course, all call center operations should strive very hard to lower total cost per call so that profits could be maximized and efficiency be made better.
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These setbacks and challenges about costs per call are the reasons why in the past several years, call center companies have been actively putting up operations in emerging economies like India, Sri Lanka and the Philippines. To begin with, labor costs in those countries are significantly lower as compared to those in major countries like the United States and the United Kingdom. The rise of numerous cal centers in those cheap-labor nations are apparently attesting the profitability of putting up businesses in those countries, as quality of services are ensured though costs are dragged down.
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Other than that, labor costs are also taken against expenses on other operational factors. For example, because call centers basically involved operations using telephony, it is just natural that costs of using telecommunication or telephone equipment and services should also be accounted for. Because call centers are now usually outsourced from third world countries and emerging economies, call costs are usually higher. Those expenses are logically added on top of the costs spent for labor.