Global Customer Support Strategies for Success in the 21st Century

1. Global Customer Support Ken Dixon General Manager Asia Pacific Global Customer Support Centre (GCSC)

2. Agenda • Introduction • Asia Pacific GCSC – what does it do • Follow the Sun technology • Strategies for success • Understanding your Customers • Metrics • Summary

3. Round the World Support The 21st Century has seen the evolution of a world where business never sleeps • Financial • Trading • Manufacturing • Telephony • Emergency • Airlines

4. Round the World Support The GCSC is built on a worldwide structure and processes that ensures those businesses are kept running on mission critical HP NonStop servers • Winning attitude • Passion for customers • Fast enough • Global mindset in action • Collaborating across boundaries • Leveraging diversity

5. Support history – then and now • 1970s • First ACD developed for Continental Airlines (by Rockwell) • Airlines become first adapters of call centres • 1980s • Economic downturn forces call centres to be more productive • The call centre is seen as an expense, not part of corporate strategy • 1990s • CTI becomes widespread, revolutionising the agent’s job • FAQs and emails become a popular, inexpensive way to engage customer support • Outsourcing service companies hit the street • Web enabled contact centres emerge with technologies such as Web chat, collaboration • Virtual call centres and SW based routing systems enter the market • 2000s • Call centres become part of a companies strategy, no longer just an expense

6. What is the cost of lost IT availability? Downtime impacts the bottom line • brokerage operations $5.6 - $7.3 million • credit card/sales authorization $2.2 - 3.1 million • manufacturing $1.6 million • home shopping $110,000 • airline reservations $90,000 • average per system $50,000 • average number of unplanned outages per year -13 • average duration per outage - 4 hours All costs are per hour costs. Sources: Find SVP, Contingency Planning and Research, Dataquest, Yankee Group

7. “Nearly half the companies that lose their data through disaster, never re-open, and 90% are out of business within two years.” • University of Texas Center for Research on Information Systems

8. Asia Pacific GCSC – what does it do • HP’s Global Customer Support Centre (GCSC) is a worldwide technical support team that provides a 24x7 support via “Follow the Sun” technology • Staff of 47 in AP • Focus is on Mission Critical Customer Support • Support over 2000 customers globally

9. Who do we Support ? 500 financial services • majority of all ATM and credit card transactions: Bank of America, CRESTCo, Barclays Bank, and Banamex • 75% of the world’s 100 largest electronic funds transfer networks 106 securities and commodities exchanges • 95% of the world’s securities transactions • 106of the world’s 120 exchanges, including New York Stock Exchange, London Stock Exchange, and Hong Kong Stock Exchange 135 telecommunications providers • most of the largest telecommunications companies, including AT&T, British Telecom, Motorola and NTT

10. Follow The Sun 17:30 GMT phones forward to U.S.A. Reading, U.K. Austin, TX 18:30 CST phones forward to APJ 18:00 local phones forward to EUROPE Melbourne, AUS “Follow-the-Sun” call processing provides 24 x 7 support

11. Case Flow – SW / HW Global Customer Support Center Voice Web Support specialists Gather information Problem analysis and determination - focus is on recovery and relief E-mail Single Clarify Server Customer FAX Dial-out Knowledge Database (Solutions) Global Dispatch Center Entitlements & Special Considerations Product Specialists (Software & HW Product Teams) Customer Self Help WWW SolutionsIPM ScoutTIM Express Notice KBNS CCN Development Defect & product support Field Engineers Third Party

12. Operations • Many will speak of FTS technology, few can demonstrate it • All major countries globally have toll free lines linked to our support centre (voice and data) • Extensive language support • Phone system shows country of origin, answer in their local language (business hours) • AP support focuses is on Asian Languages

13. Operations • Calls have the ability to travel around the globe 24x7 until final resolution • Warm handoff between specialists across Geos, customers do not need to repeat information • Full visibility of call history globally, one copy of support call • Handling of Third party applications – total customer support solution

14. Supporting HW & SW • Centralised CRM system (one database) for all global customers • Located in Austin, Texas • Clarify application running Oracle on HP Unix Servers • Primus Knowledge Base Solution • Extensive use of Dialin / Dialout technology

15. S-series Dial-out and Dial-in Process Global Customer Support Centre (GCSC) NonStop ™ Himalaya Site Secure, system initiated notification Synchronous Modem Synchronous Modem HP Remote Gateway (CRG) And Genesis Problem Management System TSM Console Secure, customer-controlled remote access GCSC Support Analyst Synchronous Modem NonStop ™ Himalaya System Voice call made to customer Field engaged As required

16. Electronic Support Tools • Express notice • Proactive notification for Support information, configurable to meet the customer’s needs • Scout • View, download or order Releases and SW fixes • TWS • Web based problem reporting / viewing application • KBNS – Knowledge Base for NonStop Systems • Customer accessible knowledge base for self support • CCN - Closed Case Notification • Notification of solutions and process used for case resolution

17. Proactive Initiatives – Closed Case Notification PHILIP MOSS, Your case, 10-040520-7267, titled 'Virtual Disk: QUERY re Virtual Disk Pools.', has been closed. To access your Case or linked Solution(s), first log on to Onepoint at: https://onepoint.nonstop.compaq.com/ To view the case history, visit TWS (Total Web Support) at: https://tws.nonstop.compaq.com/cgi-bin/channels/case_query?cust query=onecase&CaseID=10-040520-7267 To view the KnowledgeBase Solutions(s) used or created during the analysis of your case, visit KBNS (Knowledge Base for Nonstop) at: http://kb.support.nonstop.compaq.com/esupport.asp?id=1.0.1725036.2665953 http://kb.support.nonstop.compaq.com/esupport.asp?id=100.0.8621560.2937109

18. Strategies for success • Support model – Knowledge centre vs Support Centre • Removed 1st level / 2nd level support infrastructure • Consultation / Collaboration model • Support specialists retain problem until closure • No throwing calls over the fence • Customers not required to repeat information between support groups • Better knowledge sharing • Faster learning cycles

19. Strategies for success • Staff retention (staff turnover < 5% per annum) • Use staff from varying backgrounds and personalities • Creative abrasion is a good thing • Fully engage staff in support centre decision making – if they implement change, then they will also support it • Employee recognition is paramount • Localised programs are very successful • Lunch with the Boss • On the spot awards • Time off • Team lunches • Group awards • All work groups have stretch goals linked to quarterly awards

20. Strategies for success • Customer Satisfaction surveys are vital • Should be independent so no bias is shown • Conducted on an on going basis • All closed calls are given to survey company, random selection of calls are taken for surveying • Local language used for surveying

21. Strategies for Success • Understand your customers • Vital to understand the customers you are supporting, especially on a cultural level • Regional Support managers located in the support centre • Build relationships with customers, field staff and country offices • Monitor critical issues for key regional customers, assist with cultural issues • All staff go through cultural training to help understand: • Titles – how do I address customers from China, Korea, Malaysia etc • What are their expectations re support delivery

22. Understand your CustomersCase Study - Korea • Asian Customers are the most demanding in the world • Korean customers are the most challenging out of any we service globally • Work long hours, work hard and expect others to do the same - why is it so ?

23. Understand your Customers - Korea • Korean War after 36 years of Japanese colony. • The war destroyed almost everything in the country • Left Korea as one of the poorest countries in the world. • Have to survive. • Have to do anything to make money • Have to work hard hard • Hyundai A good example. – Very Aggressive • Korean War after 36 years of Japanese colony. • The war destroyed almost everything in the country • Left Korea as one of the poorest countries in the world. • Have to survive. • Have to do anything to make money • Have to work hard hard • Hyundai A good example. – Very Aggressive

24. Hyundai - the Korean Example Express way Seoul to Busan 1969, 460KM, 290 days to complete Hyundai president lived on site until completion

25. Hyundai - the Korean Example • Completed construction of a new Dockyard – (1973, 2 years) • At the same time, launched two massive oil tankers • The biggest Shipyard in the world http://www.hhi.co.kr/english/default.html

26. Understand your Customers - Korea • Korean customers continue with this cultural work ethic, believe they need to work hard to succeed • Expect others to work the same • Do not go home until the job is finished • Continue to work until closure, even if the problem is minor • Will not go home before their boss (shame it doesn’t work here !) • Everything needs to be fully explained in writing

27. Understand your Customers • Further examples • China – very unstructured in rules and procedures, not many formal processes. Organisation structure is very hierarchical, large % of business government owned. Do whatever it takes to achieve a positive outcome • Taiwan – Very structured, like it all in writing, will do what you ask as long as it is comes officially from the support centre (respect western knowledge). Always ask for RCA • Hong Kong – Will question everything and require thorough analysis, justification and technical explanations. Influenced through British colonization.

28. Understand your Customers • USA – love the Aussie accent happy to talk and work with Australians • Asian customers like dealing with our German support specialists as they are very structured, process driven and document very thoroughly • No IVR – Asian customers prefer direct voice contact

29. Metrics – Measuring Value, not numbers • Traditional quantative methods of measuring are less relevant due to changing methods of service delivery • Technical work is more “Collaborative” focused which affects the “Unit of Work” • New Units of work need to look at total value to the organisation • Use of customer published data (customer Knowledge base) • Contribution to customer solutions (collaborative input) • Customer cited and rated data vs non-cited • Consultations • Improving knowledge base solutions

30. GCSC Specialist Contribution to Workload GCSC Specialist Workload (Contribution to existing Activities) This chart shows the contribution made by Specialists to resolving cases (directly or indirectly via existing Primus knwoeldge), creating and improving reusable customer knowledge and raising issues to sustaining / development. CC Cases Worked; only 10% of Test Dial-Out and Duplicate cases counted 100% 90% 80% 70% 60% Workload Distribution 50% 40% 30% 20% 10% 0% March April May March April May March April May March April May March April May DEROZARIO_GARNETTE LEWIS_PETER LAI_RAYMOND JENSEN_THOMAS KOVOS_MIKE 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Psols Reviewed 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Clarify Solutions Reviewed 0 0 0 0 0 3 6 2 3 2 7 3 6 4 4 Primus Solutions Modified 4 6 2 11 4 7 39 24 19 26 18 7 19 12 26 PSol reused by others 0 0 0 0 1 1 0 0 0 0 0 1 0 0 0 Consults 97 80 53 82 48 77 12 7 28 3 6 2 1 2 5 CC Cases Worked 31 22 11 25 16 39 41 22 26 37 27 28 34 27 30 Cases Worked

31. GCSC Cases Resolved This chart represents Customer requests resolved. That is Cases logged with the GCSC via Voice, eMail, System etc. and those resolved using knowledge created and Published on KBNS and used by Customers accessing KBNS and self-solving. KBNS Cited; those solutions rated as a 5 or 3 on KBNS. KBNS Un-Cited; 25% of solutions viewed are considered to have assisted in resolution. CC Cases closed; Excludes CC "Test Dialouts" and "Duplicates" 160 140 120 100 Workload Distribution 80 60 40 20 0 March April May March April May March April May March April May March April May SCOTT_BARRY YOUNG_GARY ORTIZ_RENE CALDWELL_ERNIE CONOLLY_PAT 2 3 2 42 35 42 47 41 37 33 31 41 10 12 9 KBNS Solutions Un-Cited 0 0 0 2 1 2 4 1 2 4 0 1 1 2 0 KBNS Solutions Cited 61 72 120 22 49 38 0 0 0 1 5 1 4 2 1 CC Cases Closed 8 13 14 9 7 4 34 4 9 6 28 10 13 7 14 Cases Closed

32. Knowledge Base Users

33. Did the Solution Help % (Customers) 100% 90% 80% Yes 70% 60% % by Answer 50% 40% 30% Maybe 20% 10% No 0% Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04 Nov-04 Dec-04 Jan-05 Feb-05 72% 69% 64% 71% 69% 65% 73% 63% 76% 67% 69% 73% 5 Yes 12% 16% 20% 13% 23% 16% 15% 17% 11% 24% 16% 20% 3 Maybe 16% 16% 16% 16% 7% 18% 13% 20% 13% 9% 15% 6% 1 No Knowledge base Effectiveness

34. Knowledge Base Participation (SW)

35. Customer Satisfaction Rating

36. Customer Sat – Confidence Levels

37. Summary • Understand your customers and continually look for ways to meet their needs • Collaboration • Share knowledge above all else – both within your support group and with your customer base • Traditional support infrastructures are expensive & ineffective • Proactive not Reactive • Look for ways to proactively provide support information to your customers before they call you – call avoidance is cost avoidance • Provide multiple entry points for support • Rewards & recognition • Reward your staff and they will reward the organisation

38. HP logo