Slashing Over 1 Billion in Costs with Cloud CS Tools! The CS System Planning Department is Dedicated to Enhancing Group-wide CX

2024.09.10

Welcome back to PayPay Professionals, a snapshot into the incredible professionalism of the pros that drive the PayPay group. This time we interviewed Sugiyama-san, head of the CS System Planning Department, about his recent major projects, motivation, and values at work.

Nobuyuki Sugiyama

Head of CS System Planning, CS Strategies, and Product Support Departments

Sugiyama-san joined Yahoo Japan Corporation (now LY Corporation) in 2010. After managing B2B customer support for the ads business and taking up a project manager role for an advertisement product, he joined PayPay in March 2019.
Currently, Sugiyama-san leads the CS System Planning, CS Strategies, and Product Support Departments while also providing support related to CS systems through a secondment arrangement to PayPay Card.

Turning Setbacks into Growth in the Chaotic World of PayPay

Can you tell us about your career so far?

To be honest, I didn’t have much of a career for about ten years after graduating high school. I started thinking about my future at some point in time and wanted to become an engineer, but I hadn’t even touched a computer until I was around 25. I got a job at a call center but couldn’t even type properly and got fired after three months because I couldn’t use polite language.

Determined to make a name for myself in this field, I’ve been working in the CS domain, including call centers, ever since. I got an opportunity at Yahoo Japan Corporation, where I worked as an operator in the CS domain. Over nine years, I took on roles like center operations leader, customer support planning leader, and project manager on the product side.

How did you end up joining PayPay?

At the time, my office was next to PayPay’s call center, and I had colleagues who had been seconded there, so I was aware of PayPay’s situation from the time the service was launched. While PayPay’s call center was getting overwhelmed during the “10 Billion Yen Giveaway Campaign,” the project that I was working on was winding down, and I found myself with some spare time. That’s when a senior colleague seconded to PayPay invited me to join, and I immediately said, “I’m in.” I thrive in high-pressure environments, and knowing PayPay’s situation and with my experience, I felt that I could contribute in one way or another.

What is the mission and scope of the CS System Planning Department that you lead?

The CS System Planning Department is responsible for everything from planning to operating and maintaining the CS systems used in customer support. We handle chatbots, FAQ sites, IVR (Interactive Voice Response) systems, and more. Our mission is to build contact channels that allow PayPay users, including merchants, to resolve issues effortlessly and to enhance the user experience.

Achieving Billion-Yen Cost Reductions Through Group Synergy and Boosting Productivity by 27% with AI Utilization

Can you share a particularly memorable project?

There are two initiatives that stand out in my mind. The first is our support for the implementation of a cloud PBX (Private Branch Exchange: a system that manages internal and external phone connections) for PayPay Card, aimed at generating group synergy. Previously, PayPay Card had outsourced the development of its telephone system, which posed challenges not only in terms of cost but also in flexibility and response speed.

We formed a joint team with PayPay and collaborated with PayPay Card to internalize most of the development, maintenance, and operation. This initiative is expected to save over 1 billion yen and speed up system improvements. For instance, improvements to the IVR system that used to take months can now be done in about two days.

One challenge was dealing with credit card-specific systems like debt collection, which PayPay doesn’t have. PayPay Card also has its own needs and challenges, which resulted in heated discussions with opinions from many different perspectives at times. And yet, we all shared a genuine desire to contribute to PayPay Card, so none of us gave up — we engaged in thorough discussions and worked tirelessly on the project.

The second initiative involves an AI-driven operational efficiency project managed by our in-house AI promotion team. AI utilization has primarily advanced in the call center domain, enabling the realization of features such as Active Follow, where supervisors can monitor multiple call interactions by converting call content into text through voice analysis. Other achievements include automating the process of evaluating call quality by supervisors and categorizing and summarizing call content after customer interactions.

Initially, we started by establishing a lab center within the Kitakyushu call center on a trial basis. Although productivity temporarily declined post-implementation, the proactive input and efforts of supervisors and operators aiming for improvement have led to a 27% increase in productivity.

What makes this job rewarding for you?

The scale and intensity of creating methods and systems to solve user issues for PayPay, which serves 65 million users (as of August 2024), is immensely rewarding. Our actions directly impact the user experience.

Also, the opportunity to take on many challenges is appealing. While there’s a responsibility to deliver results, both successes and failures contribute to growth. One year at PayPay feels like gaining 3-5 years of experience elsewhere.

What’s the team atmosphere like?

We have a flat, open team with no barriers between superiors and subordinates. My photo is even used in Slack stamps by the team, so there’s no undue deference just because I’m the boss. However, we do maintain a clear distinction between work and non-work matters. I provide candid feedback because I want my team members to grow, but once the conversation is over, we move on without dwelling on it.

Another important aspect is being genuine. If the team doesn’t know what their leader is thinking, they can’t open up. I show everything, even my weaknesses, and apologize in front of everyone when needed. Being genuine, I believe, is crucial for building trust.

Building a Robust Platform as the Final Line of Defense for CX

What’s important in your work at PayPay?

It’s crucial not to lose sight of the purpose behind overcoming the challenges in front of us. For the cloud PBX project, the purpose is enhancing the user experience and realizing a joint center, along with creating group synergy. While there are challenging moments, the strong desire to create a user-first service helps us overcome obstacles.

What are your future plans and vision?

As our services diversify, user issues will become increasingly complex. As the final line of defense, we aim to build a fortress for the PayPay group where all issues can be easily (preferably autonomously) resolved in one place.

One goal is to build a CS platform as a joint effort of the PayPay group center. We also plan to maximize group synergy by rolling out initiatives taken by PayPay’s CS team within the group, such as leveraging AI or driving self-resolution by users through voice bots.

A Message to the readers

PayPay’s CS environment is more exciting than anything I’ve experienced before. We genuinely practice user-first principles, and our CS opinions and values are recognized, allowing us to take on challenges. It’s a workplace that makes you feel the significance of your work. If you want to fill your days with excitement and challenges, and give your all at work, this is the place for you!

*Job openings and employee affiliations are current as of the time of the interview.

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