Understanding correlation matters for Contact Center decision-making. It helps leaders predict how one change ripples across the business — influencing costs, efficiency, quality, and Customer Satisfaction.
In this article, I’ll explain correlation in simple terms, share a 5-question framework you can use, and walk through practical Contact Center examples.
1. Your Decisions Impact Business Outcomes
Every leader is expected to connect their decisions to business outcomes.
Hire more staff? Wait times go down, but labor costs go up.
Coach more effectively? Quality rises, but only if coaching is done well.
Seeing these cause-and-effect relationships is at the heart of strategy.
2. What Do We Mean by Correlation?
Correlation shows how changes in one variable are linked to changes in another.
Positive correlation: As one goes up, the other goes up. (An increase Rain → increase in Umbrella Sales)
Negative correlation: As one goes up, the other goes down. (An increase in Exercise → decrease in Body Weight)
No correlation: No clear link. (An increase or decrease in # of Books Read → increase or decrease in Amount of Ice Cream Eaten)
Correlation also has strength, measured by a coefficient (r) from −1 to +1. Because some correlations are ‘stronger’ than others.
+1: Perfect Positive Correlation
−1: Perfect Negative Correlation
0: No correlation
3. A Simple 5-Question Framework
Before making decisions, I test assumptions using five questions:
Our goal is to ______.
The two variables involved are X and Y.
I expect X and Y to correlate ______ (positively, negatively, not at all).
I believe this because ______ (my reasoning, data, or assumptions).
To ensure the outcome, we need to additionally ______ (processes, training, resources).
This helps align the team and surface hidden assumptions.
4. Positive Correlation in Action
When one variable increases, the other also increases.
Example 1: First Contact Resolution (FCR) and Customer Satisfaction
Goal: Improve Customer Satisfaction
Variables: FCR rate and Customer Satisfaction
Expectation: Higher FCR = higher Customer Satisfaction
Why: Customers don’t want to call back. Resolving issues first time drives satisfaction.
Additional work: Prioritize contact types and design journeys to support FCR.
(Insert FCR graphic/example here)
Example 2: Coaching and Agent Quality
Goal: Improve Agent Quality
Variables: # of Coaching Sessions and Agent Quality scores
Expectation: More coaching = higher quality
Caveat: Only true if coaching is well designed and delivered. Poor coaching can break the link — or even make things worse.
5. Not All Correlations Are Equal
Some correlations are scientific and guaranteed (e.g., more logged-in Agents = lower wait times).
Others, like coaching → quality, depend on execution. Poor planning or delivery may mean the expected outcome doesn’t happen.
So always ask: Is this a scientific correlation — or a human one that requires thought and effort?
6. Negative Correlation in Action
When one variable increases, the other decreases.
Example 1: Agent Capacity and Wait Time
More Agents logged in = shorter waits
Fewer Agents logged in = longer waits
This is mathematical. No debate needed.
Example 2: Service Level and Occupancy
Higher Service Level target = lower Occupancy
Lower Service Level target = higher Occupancy
You can’t keep Agents “busy” and answer all Customers quickly at the same time.
7. Trade-Offs and Balance
This is where “balance” comes in.
Contact Center leaders often ask: How do we balance fast response with labor cost efficiency?
The answer lies in recognizing this is a trade-off scenario. You decide what balance works best for your Customers, Employees, and Organization.
8. Don’t Mix Up Time Horizons
Short-term and long-term horizons often get confused.
Example: Cutting staff tomorrow lowers costs, but wait times spike.
Example: Investing in self-service today reduces demand — but only months later.
Both arguments may be “right,” but they operate on different time horizons. Always clarify which horizon you’re talking about before making decisions.
And remember: short-term wins that damage long-term outcomes aren’t wins at all.
Key Takeaway
Correlation is about seeing how variables move together — positively, negatively, or not at all.
When Contact Center leaders understand correlation, they make better decisions, avoid false trade-offs, and balance outcomes across Customers, Employees, and the Organization.
Thank you for reading!
I regularly share stories, strategies, and insights from our work across Contact Centers, Customer Service, and Customer Experience. If this resonates, I’d love to stay connected.
You can drop me a line anytime, or subscribe via our website.
Daniel Ord
[email protected]
www.omnitouchinternational.com
