Top Tips for Managing Shrinkage

Managing shrinkage effectively in the workplace is essential, but it’s not just about making it as low as possible. Shrinkage affects both operational efficiency and employee wellbeing, so finding the right balance is crucial.

By addressing it thoughtfully, you can create a productive and supportive work environment, which is why we spoke to Dan Smitley, Founder of 2:Three Consulting, for his advice on how to manage shrinkage in the contact centre.

4 Key Strategies for Shrinkage Management

Shrinkage management isn’t just about lowering numbers – it’s about creating an environment where employees can perform at their best while feeling valued and supported, so follow these four tips to manage shrinkage in your contact centre:

1. Define Your Comfort Level

The aim isn’t to get shrinkage to its lowest point. Instead, find a level that works for your organisation.

Sometimes, increasing shrinkage can improve the employee experience. Assess what your team needs to thrive, and adjust accordingly.

2. Take a Holistic View

Shrinkage comes in two forms: external and internal.

External shrinkage includes time lost to sick leave, planned time off (PTO), or unplanned absences before employees even arrive at work.

Internal shrinkage covers time spent in meetings, training, or coaching sessions.

Evaluate both types to understand the full picture.

3. Encourage a Healthy Approach to Time Off

Look at how PTO is being used—not just by those who take too much but also by those who take too little. Encourage employees to take time to recharge and step away when needed.

Also, think about the culture surrounding time off. Are employees comfortable taking the breaks they need? Creating a supportive environment helps ensure your team stays motivated and refreshed.

4. Have Conversations Before Coaching

For employees with excessive internal shrinkage, such as frequent breaks or personal time, start with a conversation.

Understand their needs and challenges before jumping into coaching. This helps build trust and ensures they feel supported.

Video: Top Tips for Managing Shrinkage

Watch the video below to hear Dan’s advice on managing contact centre shrinkage:

With thanks to Dan Smitley, Founder of 2:Three Consulting for contributing this video.

If you are looking for more great insights from the experts, check out these next:

• Quick Wins to Get the Most Out of Your WFM System
• Best Statements to Use When Closing a Live Chat
• How Does CCaaS Drive Innovation in the Contact Centre?
• Agent Self-Evaluation – The Pros and Cons

Author: Robyn Coppell