Existing Collector Training Randy Kamm, Vice President The CBE Group, Inc. [email protected] 1 Existing Collector Training GRCA Annual Conference, May 2010 Training existing collectors can be challenging and rewarding. Effective trainers take into account the uniqueness of each individual with whom they work. How do you help your existing collectors stay actively engaged on the job? In this session, we will look at how one collection firm helps keep this important set of team members fresh, focused and contributing to the bottom line. Together we will look at a proven training and organizational development program that keeps these valuable veterans contributing to organizational success. • Iowa-based debt collection firm currently employs nearly 1000 people celebrating its 76th year of service • With more than 850 clients, CBE represents many of the nation’s most renowned and respected organizations. CBE serves a variety of industries including government, healthcare, utilities and telecommunications, financial services, and education. • Corporate headquarters located in Waterloo, Iowa, with additional facilities in West Des Moines, IA; Overland Park, KS; and Atlanta, GA The CBE Difference “Defining the future of debt collection”™ • Investment in and integration of past, present and future initiatives that identify weaknesses in both the debt collection industry and within CBE – and develop solutions that meet weaknesses head-on: • Workforce Philosophy – Satisfied employees create satisfied clients, consumers and working relationships • Strong competitive performance without generating complaints or sacrificing quality service • Innovative and intuitive technology that facilitates high productivity, regulatory compliance & data security Core Values form our foundation • Leadership, Integrity, Respect, Innovation and Continuous Improvement • Leadership – We develop leaders... We foster trust and collaboration to develop leaders focused on sustainable, superior performance. We set positive examples and invest in others so that they can follow the guidelines of leadership. • Integrity – We do the right thing… We conduct our business in accordance with the highest standards of professional behavior and ethics. We are transparent, honest and ethical in all our interactions with employees, clients, consumers, vendors and the public. Core Values at the heart of our decisions and actions • Respect – We treat others as we expect to be treated… We embrace each individual’s unique talents and honor diverse life and work styles. We operate in a spirit of cooperation and value human dignity. • Innovation – We anticipate change and shape it to fit our purposes… We acknowledge the weaknesses within our industry and create ethical, forward thinking solutions to overcome them. We identify, develop and deploy leading edge technology, employee development programs and process improvement tools. Core Values guide our way to the future of debt collection • Continuous Improvement – We are a learning organization… We measure, monitor, analyze and improve productivity, processes, tasks and ourselves to satisfy clients and stakeholders. We work with enthusiasm and intellect, and are driven to surpass what has already been achieved. We are not afraid to stand alone, especially when it is the right thing to do. To learn more about CBE, visit our website: www.cbegroup.com CBE’s Commitment to Training • Dedicated effort helping our people have the tools they need and an environment that’s richly geared for productivity and satisfaction • Strengths, Engagement, and Teamwork • Training, Instruction and Testing • Accountability, Measurement and Results • Management commitment key in fostering a meaningful learning environment • CBE collectors’ rallying cry: “The future of debt collection starts with ME!” ™ 8 Why invest in training? • Investment in our most valuable resource – Our People • Satisfied employees create satisfied customers and consumers • Makes life easier for each other and focuses energy in the right direction • Breaks down silos and creates high level of synergy • Encourages and cultivates best practices • Reduces turnover, mistakes and errors • Lowers expenses and litigation costs • Enhances revenue and profitability • It’s the right thing to do! 9 Strengths & Engagement How do you help your employees massively outperform? Find their talent. Focus on engaging your people’s strengths! 10 Definition of a Strength • Which definition is better? “a strength is something you are good at” OR “a strength is an activity that leaves you feeling strong” Marcus Buckingham Strengths are opportunities • Most learning programs aim at what you are not “You can be anything you want to be, if you just try hard enough.” • Maybe it really should be… “You cannot be anything you want to be-but you can be a lot more of who you already are.” • Managers have a responsibility to manage around weaknesses • Focusing on strengths is the greatest opportunity for success Tom Rath, Strengths Finder 2.0 12 Strength’s Importance • Studies indicate that people who have the opportunity to focus on their strengths every day are • six times more likely to be engaged in their jobs • three times as likely to report having an excellent quality of life in general • Every person has strengths waiting to be uncovered Tom Rath, Strengths Finder 2.0 13 What happens when you’re not in the Strength Zone • Dread going to work • Have more negative than positive interactions with your colleagues • Treat customers poorly • Tell friends what a miserable company you work for • Achieve less on a daily basis • Have few positive and creative moments Tom Rath, Strengths Finder 2.0 14 Top 5 Collector Strengths Collectors • Empathy • Strategic • Achiever • Relator Management Administrative • Responsibility • Achiever • Responsibility • Responsibility • Achiever • Strategic • Harmony • Competition • Relator • Relator • Strategic GREEN = Striving BLUE = Thinking PURPLE = Relating RED = Impacting 15 What is Engagement? People Culture Engagement 16 …And why it’s so important for your collection results Engaged or Sweet Spot 21% Not Engaged or Neutral 63% Actively Disengaged or Bitter 16% “Show me the Money!” “The Improvement Zone!” “…Retired On Active Duty” Towers Perrin Key Elements of Engagement • Understand collectors’ different “learning styles” and how to engage their differences • Emotional • I care about the future of my organization • I’m proud to work for this organization • My organization inspires me • Rational • I understand how my department contributes to organizational success • I see how my role impacts the organization • I am willing to put in extra effort for organizational Towers Perrin success Why does Engagement matter? • Engaged collectors “go the extra mile” • Employee’s willingness and ability to help their organization succeed by freely and consistently delivering discretionary effort on the job • • • • • • • Higher job satisfaction, positive culture and teamwork Improved retention and productivity Lower costs and improved quality service Satisfied consumers treated fairly and respectfully Satisfied and loyal clients More consistent and dependable collection results Stronger revenue growth and profitability The Gallup Organization Engagement + Teamwork = Satisfied Employees Teambuilding Exercise The Service-Profit Chain Harvard Business Review 22 New Hire Professional Training Existing Collector Training Management Training Personal Team Building Issues CBE Online Quality Assurance Team Building with Clients DA CBE’s Issues “Circle of Learning” Annual Trainings Recap Client Implementat ion E-Learning New Hire Transfer Meet and Greet Training Covey Kolbe Strengths 23 All for One and One for All Operations Organizational Development Compliance 24 Desired Training Outcomes Know what you want to build • Be professional and courteous at all times • Provide Mini-Miranda/Quality Assurance at the beginning of each and every call • Listen to the Consumer • Determine ability-to-pay, seek Consumer-specific solution and ask for payment • Control Third-Party disclosure • Manage appropriate use of talk time • Clearly summarize Consumer commitment • Professionally close the call Maintain, Repair, Enhance Continuously • Communicate your expectations and requirements • Inspect what you expect • Review, Remind, Reinforce • Look for ways to make your concepts “sticky” • Coaching/Mentoring • Stories • Activities • Seek continuous improvement New Hire Training Course Titles • FDCPA and State Laws • Talk off and Negotiations • 8 Steps to a Collection Call & Time Management • Collection System & Dialer • Skip Tracing • Action Result Codes • Testing and Certifications • Common Objections/Rebuttals • Voice Rapport • Team Building • Guest Speakers • Shadowing • Live Calls with Trainers Training Length • 3 weeks (High Volume High Balance/Low Balance, Healthcare, Utility and Telecommunications) • 4 Weeks (Government, Education & Specialized Programs) Training, Instruction & Testing Existing Collectors • Individual Collector QA Reviews (Monthly) • Cross functional teams (Operations, Compliance, Organizational Development) review seven call recordings and voice analytics with each collector • Collector Performance Metrics • Best Practices and Areas of Opportunity • Identify issues and trends that will help training • Refresher Training (On going schedule) • • • • Talk off & negotiation refresher Collection System enhancements Compliance & quality control After Call Work (ACW) and documentation Training, Instruction & Testing Existing Collectors • FDCPA and State Laws (All employees – 2x year) • Privacy and Security training (All employees – 2x year) • One-on-one sessions • Recognize positives and focus on improvement areas • • • • Portfolio/Client/Department Updates Off-Site Teambuilding and “booster shots” Mentor Program Management Development Training, Instruction & Testing Every Employee in the Company • CBE University and CBE Online (Voluntary) • Technical - Excel (Basic), Skip Tracing, Project Management, Advanced Excel I, II, III, Voice Rapport, Understanding performance reports… • Interpersonal - Understand your Personal Strengths, Advanced Strengths, Dealing with Difficult People, Communication, Tough Talks, Time Management, Stress Management, Preparing for Promotion, Neutralizing Negativity, Negotiation, Generational Issues… • Managerial and Leadership - 5 Dysfunctions of a Team, 3 Signs of a Miserable Job, Team Building Ideas for Leaders, Tough Talks, Time Management, Motivating Your Employees, Managing Millennial, Leading with your Strengths, Effective Meetings… Training, Instruction & Testing Every Employee in the Company • 7 Habits of Highly Effective People – Franklin Covey – Certification Training (Every employee) • Habit 1 – Be Proactive • Habit 2 – Begin with the End in Mind • Habit 3 – Put First Things First • Habit 4 – Think Win/Win • Habit 5 – Seek First to Understand, Then to Be Understood • Habit 6 – Synergize • Habit 7 – Sharpen the Saw • Seeking balance, satisfaction and effectiveness in one’s personal life and work world E-Learning Initiative • E-Learning is major initiative now underway • Implement at all levels of organization to meet increasing future demands and needs of the organization • Deliver in employees’ preferred learning styles • Increase efficiency and effectiveness while removing need for a training facilitator for many applications • Deliver on-demand training presentations, testing modules and recordkeeping to measure improvement Taxpayer Satisfaction Accountability, Measurement & Results • IRS Contract demonstrated superior taxpayer satisfaction ratings, compliance, professionalism and recovery performance • Virtually no validated complaints (4 out of 100,000+ accounts handled) • 99% (Regulatory, procedural and customer accuracy) • 99.4% (Timeliness of collection actions) • 99.9% (Professionalism) • Less than one-half percent asked to be returned to IRS • $82.5 million collected and 31% of all accounts resolved in 30 months of IRS project CBE University Participation and Performance • 60% of all employees attended at least one CBE University session in 2009 • 54.7% (380 of 694) of collection staff attended CBE University sessions • 95% Retention Rate for collectors who participated in CBEU – a major factor in our low turnover rate • 82% Improved Monthly Performance Scores – compared to 60% improvement for non attendees Collector Performance after CBE University 90 80 70 60 50 40 30 20 10 0 Average Average CPM CPM Score Score Improved Declined CBE U Participants Non - Participants Complaints & Lawsuits Accountability, Measurement & Results • Low number of lawsuits and validated complaints for agency our size • Of Top 200 collection agencies in nation, CBE ranked with fewer federal lawsuits filed in 2009 • In 2009 no judgments and nearly 60% of all lawsuits dismissed as frivolous • Each year fewer ‘serial’ lawsuits filed by consumer rights attorneys because of our superior record for FDCPA compliance and documentation (100% call recording) • Annual survey finds we are highly rated and respected by states’ Attorneys General Turnover & Retention Accountability, Measurement & Results Employee Turnover by Year* Company Wide CBE University Participants 2007 2008 2009 82% 70% 36% 7% 5% 4% * Industry statistics indicate typical collection agency turnover/attrition rates exceed 100% on average, per year. Summary Existing Collector Training • “Success Factors” for training, motivating and engaging collectors to do the right things • • • • • Know what you want to build Choose people who fit Focus on strengths, engagement and teamwork Provide solid footing with effective training Build strong management to offer support and leadership • Maintain, repair, enhance continuously Thanks from the CBE Group Enjoy your 2010 GRCA Conference!