What Does AHT Mean in Call Centers?

Read Time: 10 min.

Table of Contents

Introduction

In the fast-paced world of customer support, efficiency and satisfaction are the cornerstones of success. One of the most crucial metrics that bridges these two priorities is Average Handle Time (AHT). Whether you’re managing a large call center or looking to optimize a growing support team, understanding AHT can reveal powerful insights into agent productivity, customer experience, and operational costs. This comprehensive guide explores everything you need to know about AHT—from its definition and calculation to the strategies and tools that help improve it—so you can drive performance and deliver exceptional customer care.

Key Takeaways 

• AHT is a critical performance metric that influences operational efficiency and customer satisfaction. Average Handle Time includes talk time, hold time, and after-call work. Use AHT to assess agent productivity, optimize staffing, and identify areas for training and improvement.
• Reducing AHT requires the right mix of technology, training, and process optimization. Call scripting, AI tools, knowledge bases, and streamlined after-call work all contribute to lower handle times without compromising the quality of customer interactions.
• Striking a balance between AHT and customer satisfaction is essential. A fast call isn’t always a good call. Prioritizing first-call resolution, personalizing support, and measuring CSAT alongside AHT ensures that speed doesn’t come at the expense of quality service.

What is AHT?

AHT is the average time agents take to handle a customer call from start to finish. This includes talk time, hold time, and after-call work. Understanding AHT is vital to improving the efficiency of your customer support team and enhancing customer experience and satisfaction.

Components of AHT Calculation

Let’s break down the key components of AHT to inform your support strategies: 

1. Talk time: As straightforward as it sounds, this measures the total amount of time an agent spends actively speaking with a customer during a call. 
2. Hold time: Occasionally during a call, an agent puts a customer on hold so the agent can seek advice from a supervisor, look up additional information, or gather themselves after dealing with an upset customer.
3. After-call work time: This indicates the amount of time agents spend updating records, emailing customers, and updating notes about a call once it has ended.

Why AHT is Important for Call Center Efficiency and Customer Satisfaction

AHT helps contact centers track and evaluate the productivity of agents, identifying gaps in knowledge or skills by agent and across your team. Trends provide managers with topics to coach on or opportunities to make changes in policy or training that may improve efficiency.

While customers may not think about it in terms of average handle time, the metric also impacts customer experience and satisfaction. Generally, long handle times decrease satisfaction. Customers dislike waiting for solutions or spending too much time explaining problems. Prompt, efficient support demonstrates attentive and professional care.

AHT is also an important way to determine the cost efficiency of a contact center. Faster interactions with customers increases the number of customers agents can service in an hour, maximizing their time and the company’s resources on support efforts.

How to Calculate AHT

Understanding how to manually calculate Average Handle Time (AHT) is a valuable skill for contact center managers and agents alike. Even though most modern systems track AHT automatically, knowing the basic math ensures you can spot errors, validate reports, or keep operations running smoothly when technology isn’t available. Let’s walk through the simple formula you’ll use to calculate AHT by hand.

AHT Formula Explained

While many technologies calculate this automatically, the math is straightforward and can come in handy when systems fail. To calculate AHT for a given period of time, first add the total talk times, total hold times, and total after-call work times. Then divide by the number of calls handled for that time period.

Visually, the formula for calculating AHT goes as follows: 

(Total Talk Time + Total Hold Time + Total After-Call Work) ÷ Total Number of Calls

Example Calculation of AHT

Let’s practice. Here are five example talk, hold, and after work times in minutes for a fictional agent.

First, add the totals for each metric.

Next, add these totals together.

• 22.68 + 7.37 + 13.56 = 43.61

Finally, divide that total by the number of calls.

• 43.61 / 5 calls = 8.722 AHT in minutes

Tools and Software for Tracking AHT

Of course, manually calculating the math takes valuable time and introduces risk for human error. Sophisticated telephony systems automatically track these metrics, providing you with valuable handle time data for each agent and team. 

Choose among these popular software tools for automatic AHT tacking and accurate performance monitoring:

• Five9: An industry leading AI-powered contact center telephony platform, Five9 transcribes and records all calls and reduces after-call work by tracking insights and providing post-interaction summaries.
• Level AI: Level AI’s Agent Assist turns every agent into a top performer. Real-time guidance, AI-powered summaries, and instant access to critical information improves satisfaction by resolving calls faster and more efficiently.
• NICE: NICE utilizes generative AI to improve workflows. Automated processes reduce manual work, reducing handle time by providing real-time assistance to agents and post-interaction summaries.
• Playvox: Now partnering with NICE, Playvox leverages historical data and automates real-time data to gain insights into workforce management, helping businesses reduce staffing costs while increasing efficiency.
• Talkdesk: Talkdesk Copilot assists agents in all communication channels by offering steps for next actions, accessing topics in your knowledge base, providing step-by-step guidance for resolving queries, and summarizing interactions and retaining interaction history.

Why is AHT Important in the Customer Service Industry?

AHT is a standard way of assessing support agent performance across industries. Evolving strategies are revolutionizing the way agents interact with customers, setting higher standards for success and better engagement.

Impacts Call Center Operational Efficiency

Improved efficiency in one call center leaves a lasting impact in the industry as customers gravitate toward businesses that streamline calls with better handling techniques.

Directly Affects Customer Satisfaction (CSAT) Scores

Few key performance indicators have as direct an influence on customer satisfaction as AHT. Lead your industry in exceeding AHT goals with efficient processes and tools that empower agents to handle calls faster than ever.

Plays a Role in Staffing and Resource Allocation

AHT says a lot about your team’s ability to handle normal and peak season demand. Analyze historical AHT data to determine when you need to dedicate more resources to training for better performance. Efficiently managing your workforce also means forecasting demand and preparing your staff to handle it, reducing call overwhelm and handle times.

Serves as a Benchmark for Service Quality Improvement

Measure the impact of your outsourced contact center by evaluating AHTs before partnering, at the start of partnership, and throughout the relationship to determine how effective this solution really is for your business. Evaluate significant decreases in handle time with employee satisfaction and celebrate your wins or set clear goals to improve performance.

How AHT Affects Customer Experience

AHT plays a critical role in shaping how customers perceive your service. Reducing AHT can lead to faster service and happier customers—but only if it’s done thoughtfully. By focusing on the right strategies, you can create quicker, smoother interactions without sacrificing the personal touch that builds loyalty.

Reducing Customer Wait Times

As your team’s AHTs decrease, their service capability increases. Automated processes, including after-call work and summaries, allow quicker turnaround between calls, reducing wait times and improving customer moods.

Ensuring Quick and Efficient Issue Resolution

As you’re evaluating call handle times, address the most common issues or topics that cause agents to put customers on hold. Implement AI Agent Assist tools to help agents answer questions in a fraction of the time they previously would, seamlessly resolving issues and raising customer satisfaction.

Balancing Speed with Quality in Customer Interactions

Reducing AHTs should never come at the price of quality interactions. In fact, some businesses encourage agents to prioritize building rapport with customers, regardless of long AHTs. Find your sweet spot of efficient call handling times by automating routine processes, empowering high-performing agents, and minimizing hold times and after-call work.

Impact on Customer Loyalty and Retention

When customers know they can look to your support team for professional, responsive service, they’ll keep coming back. Efficient call handling establishes trust in your business as an authority in your industry, reducing customer churn.

What is a Good Average Handle Time?

Establishing AHT goals depends on your business, industry, audience, and busy and normal seasons. Let’s explore the nuances to these factors to help you determine an ideal AHT range. 

Industry Averages for Different Sectors

According to Nextiva, a call center software company, the typical Average Handle Time (AHT) for call centers is approximately 6 minutes and 10 seconds. However, AHT can vary widely based on the industry, the nature of the call, and the complexity of customer needs. AHT measures the total time an agent spends speaking with a customer, placing them on hold, and completing any necessary follow-up work after the call ends.

Here’s a look at AHT averages across different industries according to Nextiva:

• Telecommunications: Around 8.8 minutes
  
• Retail: Approximately 5.4 minutes
  
• Financial Services: Roughly 4.7 minutes
• Healthcare: Close to 6.6 minutes

Factors Influencing What’s Considered a “Good” AHT

Any of the following factors can influence your parameters for a good AHT because they require various strategies, as well as more or less time, to provide relevant high-quality assistance to customers.

• Business goals
• Call complexity
• Agent experience and skill level
• Customer interaction and mood
• Technology and system efficiency

Balancing AHT Goals with Customer Satisfaction Goals

Striking that balance between peak efficiency and customer satisfaction requires carefully analyzing data, automating processes, and engaging meaningfully with customers. Implement surveys to capture valuable Voice of the Customer insights and understand exactly the type of care they expect from your contact center. Analyze and sort data according to the above factors to determine realistic parameters for quality performance.

How to Set Realistic AHT Targets for Your Call Center

Don’t be afraid to spend time developing standards for quality care before focusing on reducing AHTs. Once agents are comfortable understanding common problems, allow them to then focus on streamlining processes or reducing handle time. Evaluate efforts against regular customer satisfaction surveys to determine your ideal target AHT.

Factors That Affect AHT

Understand how these factors require agents to dedicate more or less time streamlining operations and meeting goals.

Business Goals

High-quality customer relationships take time to establish, so many businesses allow their agents extra flexibility in call handling time to build rapport with customers to boost behavior such as product sales or subscription sign-ups.

Call Complexity

Routine calls are more straightforward to handle than complex ones. Escalations require  agents to wait for other agent or manager availability, which increases hold times and AHTs. Complex inquiries shouldn’t be held to the same standard as routine ones, but looking for ways to automate processes can reduce complexity, reducing AHT.

Agent Experience and Skill Level

Experience brings proficiency, confidence, and comfortability handling interactions and guiding customers through processes. Evaluate data among your team to determine a realistic speed to proficiency. Constantly reviewing performance will help you implement meaningful coaching and training efforts and know when to take corrective actions. Hands-on learning can increase proficiency and confidence, reducing onboarding times as well as AHTs.

Customer Interaction and Mood

Customer mood can significantly increase or decrease call handle time. Sometimes an agent needs to spend time just listening to frustrated customers. Other situations require active de-escalation techniques to help a customer accept the solutions provided. Train your team on call center de-escalation tips to encourage the seamless handling of a variety of moods.

Technology and System Efficiency

Clear, comprehensive, straightforward processes not only improve the quality of the interaction but also provide opportunities for automations, which reduce work and handle time. Integrate your technology with industry-leading tools that automatically track and analyze call data and automate processes to increase satisfaction and efficiency.

Common Mistakes to Avoid While Calculating AHT

Maintain accurate and realistic AHT goals for a clear understanding of your contact center’s performance.

Excluding After-Call Work from the Calculation

After-call work may not be part of the speaking time, but it’s still an important portion of call handling time. This work is included in AHT because follow-up efforts, note taking, and summaries are vital for ensuring accountability amid transfers and accuracy in reporting. After-call work is vital to AHT because it helps contact centers assess how long it takes to complete an entire interaction, increasing your ability to accurately forecast workloads.

Not Accounting for All Call Types

Accurately analyze your data by sorting AHT first by channel (voice, chat, email, or social media). Communication varies according to each, drastically affecting and explaining differences in AHTs. 

Additionally, breaking down AHT by call types helps agents understand how much time they should dedicate to each interaction. Routine calls, for example, will be much shorter than complex calls with angry customers. Proper training on policies, paired with accurate expectations for how long each corresponding interaction should take, will ensure agents stay on task and make the most of the time with the customer.

Using Inconsistent Timeframes for Data Collection

An easy mistake to make, failing to maintain consistent timeframes in your data analysis will skew the data and all goals. Once realized, you’ll have to double back for accurate information, wasting further time and resources. 

Collect data for each call in seconds or minutes—however appropriate for your business—and clearly display data by day, week, and month for each agent. Then compile averages across your team, clearly labeling the results to understand changes from month to month or year to year. Use AI automation technology to generate regular, accurate reports and gain valuable insights.

Strategies to Improve AHT in Call Centers

Improving AHT isn’t just about working faster—it’s about streamlining processes, giving agents better tools, and empowering them to resolve customer issues more efficiently. Here are a few proven strategies call centers can use to lower AHT while maintaining a high level of service.

Implement Call Scripting and Knowledge Bases

Use structured call scripts and knowledge bases to guide agents through conversations efficiently. Scripts provide clear responses for common inquiries, reducing hesitation and call handling time, while knowledge bases allow quick access to product information and troubleshooting steps.

Use AI and Automation for Faster Resolutions

Implement AI-powered tools like chatbots and automated response systems to handle routine inquiries, freeing up agents for more complex issues. Automation speeds up resolution times and minimizes the time agents spend on repetitive tasks, positively impacting AHT.

Train Agents in Efficient Problem-Solving Techniques

Train agents to focus on rapidly identifying customer needs and solutions. Techniques such as active listening, effective questioning, and quick resolution strategies help agents reduce handling time without sacrificing quality.

Optimize After-Call Work (ACW) Processes

Streamline after-call work by automating tasks like data entry, follow-up scheduling, and call summarization. Minimizing the time agents spend on ACW tasks helps reduce the overall AHT and allows agents to move more quickly to the next call.

Provide Self-Service Options

Empower customers with self-service options such as interactive voice response (IVR) systems and online FAQs. By addressing common issues through self-service, customers can resolve their own problems quickly, reducing overall call volume and the need for live agent interaction.

Monitor Agent Performance

Regularly track agent performance metrics related to AHT, including talk time, hold time, and after-call work. Monitoring these KPIs helps identify areas where agents may need additional support or training, ensuring consistent improvement in handling times.

Offer Proactive Support

Implement proactive customer support by reaching out to customers with anticipated issues before they contact the center. Addressing common pain points preemptively reduces call volume, allowing agents to spend less time on routine calls and more time on complex issues.

Use Insights to Improve the Customer Experience

Leverage customer insights from previous interactions to tailor support and streamline future calls. By understanding customer history and preferences, agents can anticipate needs, resolve issues faster, and reduce AHT, all while delivering a more personalized experience.

Balancing AHT with Customer Satisfaction (CSAT)

While improving AHT is important for operational efficiency, it should never come at the cost of the customer experience. True success in a call center lies in finding the right balance between speed and service quality. Here’s how to manage AHT without sacrificing customer satisfaction.

Why Low AHT Isn’t Always the Goal

While reducing AHT is beneficial, the goal is a balance between efficiency and quality. Allow agents time to fully understand customer sentiments and needs to provide relevant, comprehensive excellent service. Understand that it takes time to guide customers through certain processes. Help agents maintain efficiency with data-informed strategies.

Prioritizing First Call Resolution (FCR) Alongside AHT

Resolving issues the first time a customer calls reduces the need for repeat inquiries, wait and hold times, and long talk times as agents catch up on previous interactions. FCR works in tandem with AHT to create a positive customer experience, demonstrating your expert, time-conscious care.

Measuring AHT and CSAT Together for Holistic Performance

Monitoring AHT and CSAT is vital to effectively evaluating performance. Analyze how customers respond to your efforts to optimize AHT to offer them the level of service they expect. Prioritizing customer satisfaction will show you value their experience, not just their business, proving your trustworthiness and care.