August 3, 20241 yr Hello I developed an FTE forecasting model utilizing the following variables: Activity AHT (Average Handling Time) Volume Net Available Hours To calculate the total workload, I multiplied AHT by Volume. I then divided the total workload by Net Available Hours to determine the required FTEs. Subsequently, I ran a simulation using the higher value between the MEAN and MEDIAN of the AHT's minimum and maximum values. I defined Total FTE as the Forecast, calculated in the previous steps. Q1. Is this the correct approach? Q2. How can I maximize the accuracy of the calculations? Q3. If I need to optimize the forecast, what should I use as the decision variables? Should it be Net Available Hours or another?
August 14, 20241 yr Hello Akkul Few pointers for FTE calculation 1. If there are different activities, then consider the volume and AHT for them separately to arrive at the total time required. 2. Generally for volumes, we do not consider the central tendency values. A good practice is to consider 85th percentile of the volume with an understanding that the team will be able to handle a stretched target of about 15 percentile 3. Whatever FTE number you get, it is also a good practice to apply a buffer of about 5-10% for trainings, team activities, reporting etc. 4. FTEs should be calculated separately for audits. The usual assumption is that audits will take half the processing time. However, it is best to do a time and motion study to determine it.
Create an account or sign in to comment