Increase Thane contact-centre capacity?
Before the decision
Abandoned calls rose after a product rollout that doubled troubleshooting time. Customers often call back because the first agent cannot complete a request without a supervisor. Extra seats may shorten the queue without increasing the number of solved problems.
The problem
Should the team choose Dedicated team or Overflow provider for the next 12 months?
Decision owner: The business unit lead.
The provider’s average handling target can encourage repeat contacts.
Option economics
Scroll the table to see all figures.
| Option | Volume (resolved tickets) | ₹ per unit | Fixed cost | Net contribution |
|---|---|---|---|---|
| Dedicated team | 1,92,000 | 78 | ₹101 lakh | ₹48.76 lakh |
| Overflow provider | 1,80,000 | 52 | ₹57 lakh | ₹36.6 lakh |
Make the call
- Calculate net contribution for Dedicated team and Overflow provider. Which assumption makes the comparison most fragile?
- If the leading option delivers 10% fewer resolved tickets, does your recommendation change?
- What evidence would you ask for before the team makes an irreversible commitment?
Reveal the worked solution
Start by validating Dedicated team. It contributes ₹48.76 lakh after fixed costs and leads by ₹12.16 lakh. Treat that gap as the amount of unmodelled cost or lost contribution the option can absorb before the ranking reverses.
- Frame the decision
Check the bottleneck at the busiest point in the operating cycle. An annual forecast can fit on paper while a peak week still breaks the service promise.
- Calculate both options
Dedicated team: 1,92,000 resolved tickets × ₹78 less ₹101 lakh in fixed costs gives ₹48.76 lakh. Overflow provider: 1,80,000 resolved tickets × ₹52 less ₹57 lakh in fixed costs gives ₹36.6 lakh.
- Stress-test the forecast
Dedicated team leads by ₹12.16 lakh in the base case. If Dedicated team delivers 10% fewer resolved tickets (1,72,800) at the same margin and fixed cost, it contributes ₹33.78 lakh. Holding the other option constant, the stressed result falls behind. This isolates volume risk. Check whether both options would respond to the same change in demand.
- Set a decision threshold
Holding the other option’s result fixed, Dedicated team needs at least 1,76,411 resolved tickets to match or beat it under the model. Use issues resolved per customer and compare seven-day repeat rates.
The provider’s average handling target can encourage repeat contacts. Compare the cost of a limited test with the loss the business would face if the full commitment failed. Ask the team to agree the decision criterion before collecting more evidence.
What if the whole market moves?
The worked solution tests a change to one option at a time. Here, both options gain or lose the same percentage of volume. Unit contribution and fixed costs stay constant.
| Volume scenario | Dedicated team | Overflow provider | Higher contribution |
|---|---|---|---|
| Both lose 10% of volume | ₹33.78 lakh | ₹27.24 lakh | Dedicated team |
| Base assumptions | ₹48.76 lakh | ₹36.6 lakh | Dedicated team |
| Both gain 10% of volume | ₹63.74 lakh | ₹45.96 lakh | Dedicated team |
Explain which option you would take forward. Check whether capacity, price or customer mix would also change as the market moves.
Practise this case as an interview