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IP Telephony (VoIP): A Technology for SMEs? Introduction: What is everyone else doing regarding IP Telephony (and VoIP)? According to new research from BT, 37% of SMEs have migrated to fully converged voice including data networks – almost two-thirds making the switch in the past twelve months. In terms of payback, half of these reported significant reduced infrastructure costs, productivity increases including improved organisational agility. However, nearly 1 third of SME surveyed admitted to having little or absolutely no understanding of what a converged network actually is. What is your situation? What is VoIP including why is it such a big thing now? Voice over Internet Protocol enables telephone calls to be made over the Internet. A high speed Internet connection is essential to ensure quality of service that is comparable to landline calls. at the time you speak into a VoIP phone or headset your voice is converted into digital packets including then it is transferred down the connection much like a particular email. At its destination the process is reversed. For many years VoIP was considered too unreliable for business use but now it is difficult to find organisations that are not either in the process of adopting VoIP, or at the very least contemplating how VoIP should help their business. Business analysts argue that VoIP has moved from being a particular ‘emerging technology’ to a ‘critical business solution’ faster than any other previous telecommunication development including the is solely due to the ongoing need to drive down costs. Market forecasts indicate phenomenal growth in VoIP deployment. Why bother with VoIP at all? VoIP should deliver significant cost savings by: • Drastically reducing long distance call charges • Delivering free inter-office calls (and calls between the home worker including the office) Further cost reductions should be gained from ‘convergence’ – with a converged voice including data network there is only 1 set of hardware to implement including manage. the helps cut the cost of set-up, support including bandwidth between sites. With only 1 network to manage maintenance becomes simpler including cheaper. Administration pertaining to the converged network is the responsibility pertaining to the IT department or external IT support company – absolutely no need to use expensive telecoms service firms just to add another telephone extension! Efficiency gains should additionally be discovered in the additional functionality that IP telephony brings to a particular organisation. A recent Telindus survey highlighted that 42% of IT managers stated productivity gains as the main reason to move to VoIP, especially in the areas of: • Simplified remote working including improved communications for remote/mobile employees • Simplified network – as all devices are IP, absolutely no TDM • Ease of adding new users (no need to call out a particular engineer) • IT convergence – linking with e-mail including web facilities • Computer telephony integration – making a call using the PC rather than a telephone • Simplifying the management of internal communications • Reducing technical including operational staffing costs • Lower cabling costs – fewer CAT-5 sockets required The functionality enhancements that new IP telephony systems deliver include: • Simple integration with software packages, such as CRM or accounting software • Voice message forwarding including remote access to voicemail • Direct dial • ‘Follow me’ (where the system should track you down, wherever you are, including put a call through to you still using your extension number!) • Personal messaging • Voicemail password protection • Automatic call routing, e.g., most valued customers routed immediately to specified call centre staff • Voice guided menus • Waiting call management • DECT hand sets (for mobile use within including outside buildings) • Bluetooth headsets • Call monitoring including recording ROI Siemens calculates that the average business should reduce its annual phone bill by 31% through IP. BT is reporting a £6000 saving per head on the cost of calls for their home workers. Return on investment usually ranges from 25% -50%. In addition to bottom line savings, recent research highlights that organisations are achieving productivity savings in terms of: • Flexible location of office staff • Improved communications for mobile staff • Reduced technical staffing costs • Improved customer service Implementing VoIP solutions Organisations are currently implementing VoIP enabled solutions but typically only route certain calls through the IP network relying on traditional PBX (private branch exchange) for the majority of calls. Often these organisations install a particular IP PBX including migrate to IP telephony slowly at the time business drivers call for changes in telecommunication processes, such as a particular office move or cost pressures. a particular IP PBX switches calls between a VoIP including a landline user or between 2 traditional users just like a conventional PBX but works with a single converged network instead of requiring separate voice including data networks. Companies such as Alcatel have developed products that enable companies to migrate gradually. There should be a downside to implementing a VoIP solution including it certainly is not the solution for every organisation. 1 common problem is the quality issue with the lines. Relying on growing band width could not resolve the problem. Continuous proactive management of data including voice traffic is the key ensuring optimal performance pertaining to the network. a particular audit pertaining to the network is essential to ensure that it should handle both data including voice. Older networks are at greater risk including should require a particular upgrade. Business continuity plans must be in place including reflect that voice including data now rely on the same network: If the email goes down how are you going to call your IT support company – the telephones including the email are on the same system! Any IT provider worth their salt could be remotely monitoring the network including could be aware of problems – including rectify them - before the end user is even alerted that a problem exists. Summary: Not if, but when The question for SMEs is not if, but when, to start on the road to converged data including voice solutions. The evidence indicates that the VoIP technological movement is a particular unstoppable force. Start contemplating IP telephony now so that you don’t miss out on real business benefits or worse, saddle your business with a telephone system that you could be replacing within 2 years! IP telephony should provide proven cost savings for the right sort of company as well as a whole host of additional functional benefits that your employees and, more importantly, your customers could take note of.
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