Knowledge is like manure. It’s no good unless it’s spread around.

As a consultant and thought leader in the debt collection industry, I spread lots of manure I mean knowledge around the industry. But just like manure helps many plants to grow and flourish, so does knowledge in the collection industry. Does your company need some fertilizer?

As a consultant to the ARM industry, it amazes me just how few companies are looking for more knowledge. Most are just in survival mode; whether the industry is strong or weak, but there has always been enough companies looking to get better that I have remained busy for the last 17 years. Still, it amazes me that there are not a dozen other companies like Lighthouse Consulting offering the same services that I do. Do you want to know why?

It’s because of the type person who is drawn to debt collections is not a person who takes advice well. In most cases I am called when the owner or operator has reached the limits of their management capabilities. They call me to get past an issue or set of problems, but really do not want to be told what to do. So over the years I have learned that the hard part of consulting is not the solutions I present, it’s the way in which I present those solutions to the owner/operator that that determines how they will accept or reject my recommendations.

So I have learned how to get the buy-in from management and staff to get the changes not only implemented but embraced by the entire team. Changes that are not embraced, never become effectively implemented, and therefore have no positive  or lasting impact on the organization. I am hired to make an impact, and changes in operations, strategies, policies and procedures are at the heart of all the consulting I do. So I have learned to educate the client instead of tell them what to do.

Educating my clients is the core of what consulting is to me. I do not always just tell the client what they should do I lead them to the water and hope they get thirsty. If you want to help your company to grow, then invest the time to educate your team and then foster an environment to spread the knowledge within the organization and to each individual. If you need more knowledge to spread around, call Lighthouse Consulting.

The 3 Most Ask Questions About Agents in Jamaica

While I have been speaking to people regarding opportunities in Jamaica I have been getting the same three questions over and over so I thought I’d like explained them here.

The first question that is pondered is can you understand the agents? My answer is clearly yes. The first time I went to the island as an auditor for Bombardier Capital the language skills were very good along the call center workers yet there was a clear accent among other Islanders including resort workers.

Here is a link to a redacted call from a recent (August 2016) collection call from a Jamaican call center in Montego Bay. 

Over the last decade even those accents have diminished tremendously. I’ll tribute a large majority of this to the fact that the island started receiving Cable channels from the US and Canada about eight years ago. So they are watching the same channels you are in Fort Lauderdale, Chicago, Montréal, Los Angeles and Miami. This exposure to used car commercials and endless reruns of Seinfeld has changed their language skills and understanding of the US economy.

The second most ask question is do they have the infrastructure to handle my Technology needs. The answer to that has been yes for many years. Initially most of the infrastructure for call centers doing business on the island was created by the government in an area called the free zone. Nowadays the same infrastructure exist throughout the island but especially in Montego Bay and Kingston.

The final question everyone ask is is it safe? My answer is you’re just as say in Montego Bay as you are in Miami, Chicago, Los Angeles or most larger cities in the United States or the world. Jamaicans really want to be Americans therefore their attitudes towards foreigners are very positive. The Jamaican government makes sure there are only a limited amount of visas issued to the United States as it fears there might be mass exodus if borders were oped wide. I have traveled many places in the world and most places they do not like Americans, one of the reasons I have been traveling back to Jamaica over the last decade is the Jamaicans positive attitude towards Americans.

The ONE reason you can’t lose with a Jamaican BPO

Most people first think about near shore or off shore BPO when they are looking for better labor rates but they may be missing the biggest reason to use a BPO in Jamaica.

When you begin to look for better labor rates you are first lead to off shore options like the Philippines or India and when you get further into your due diligence you discover the labor rates are not as good as you were looking for, even though much better that what your paying in the USA.

As your research leads you to near shore operations you see more value for your dollar with the Caribbean workers. You find many English speaking countries with nice Universities and a labor force that desire to have a job not a labor force that feels entitled to work and benefits.

St Lucia, the Dominican Republic, Aruba, Puerto Rico all have BPO operations and the BPO call center crown jewel is Jamaica. Why Jamaica? The biggest reason is the exchange rate, yes the exchange rate. Yes the workers are priced appropriately, they are effective and experienced, they have excellent verbal skills and work ethic but the largest reason is the US$ to JD$ exchange rate.

“The value of the Jamaican dollar has depreciated by 4.8 per cent for the financial year to date compared with a depreciation of 3.2 per cent for the same period last year.” See reference 

There was also a notable increase in the employed labour force by about 40,100 people. Overall, GDP at best is projected to grow at anywhere between 0.5 and 1.5 per cent on average for the entire year”. See reference

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Where is Waldo Calling from? Near shore or Offshore. Where should you place accounts and BPO work?

There have been a lot of discussions over the last few months with my clients and in the media about collection agencies and creditors moving work offshore. The BPO (Business Process Outsourcing) biz is growing due to the reduced profits and squeezing of contingency rates that the industry is experiencing. The question is WHERE DO I PLACE MY BPO?

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So let’s explore the options, we have India, Philippines, the near shore Caribbean and Mexico.

Let’s start with India the labor force is large and well educated, but the language skills and understanding of US customs is very bad. The cost to rent a seat has increased steadily since 2007. It is my opinion that India is best used for highly skilled BPO such as computer programming, Remote hardware management and other skilled trades. Another problem is the time it takes to go manage the team or do training, 20+ hours from Washington, DC

Next is the Philippines, many people moved from India to the Philippines over the last 3 years. The language is better than India, but still a challenge. Their understanding of US culture is better, but still lacking. The cost was great till the last year, as costs have taken a sharp rise recently, doubling in many cases. The ability to pop in is also quite an investment as its 18 hours from Washington, DC. The skill set is good for most daily tasks like call center work and data entry, but the cost is becoming too high quickly.

Mexico has been a option for many years and most call centers are conveniently located right over the US border. Please call centers serve as bilingual call centers and the English skills are very good. Their knowledge of US culture, it Is obviously high. The difficulty is the cost of those employees has been high for many years but is very effective. This is a great Choice for US call centers they are based in Texas, Arizona, New Mexico, California.

Ok the Caribbean has been a hot spot for 20 years with the change from textiles to call centers in the Free Zone in Montego Bay, Jamaica. Now Costa Rica, Puerto Rico, Dominican Republic and St Lucia to name a few are in the call center biz. The labor costs in the islands is steady and the English is very good as many islands speak English as the primary language. The ability to manage the staff has been better as its just 2 hours from Washington, DC to Montego Bay, Jamaica or Santa Domingo. Most of the islands have a good understanding of the US culture and places like Jamaica get Cable TV from Miami, LA and Montreal, Canada. This has helped the work force become more accustomed to US culture, language and even slang terms. The skills are mainly called center oriented, but the ability to hire highly skilled labor are better in places Like Kingston, Jamaica and San Juan, PR where the large Universities are located.

So where should you place your BPO business? My answer is the near shore Caribbean if its call center work. I prefer Jamaica but that is a preference of mine as I know the people and have been going there since my first visit as an auditor for Bombardier Capital in 2000 to audit Alliance One a Philly based operation that had some of my files at their Montego Bay call Center.

If you desire to know more about near shore Caribbean call centers, call me at 904-687-1687 X 101

Phillip W. Duff