Joel Spolsky suggests seven steps to remarkable customer service. Along the way (in step one), he used the industry category containing a certain large employer of mine as a counter-example.
When we handle a tech support incident with a well-qualified person here in New York, chances are that’s the last time we’re ever going to see that particular incident. So with one $50 incident we’ve eliminated an entire class of problems.
Somehow, the phone companies and the cable companies and the ISPs just don’t understand this equation. They outsource their tech support to the cheapest possible provider and end up paying $10 again and again and again fixing the same problem again and again and again instead of fixing it once and for all in the source code. The cheap call centers have no mechanism for getting problems fixed; indeed, they have no incentive to get problems fixed because their income depends on repeat business, and there’s nothing they like better than being able to give the same answer to the same question again and again.
Ah, but there’s the cost of fixing the problem. We have processes for increasing those so that out-sourcing is still cheaper.