Hosted or Premise-Based, Voice over IP systems are opportunities businesses should explore. Offers Big Advantages

What is VoIP? technology is affecting virtually every aspect of how businesses operate today. Perhaps First it is important to understand that there is VoIP none is impacted more than telecom. New Voice service and there are VoIP phone systems. Voice over IP (VoIP) capabilities are enabling companies over IP service, Voice over Interdinet Protocol and to communicate more effectively, economically and VoIP all refer to phone service delivered over the reliably. They are also providing the opportunity for Internet or a private IP network. Voice and unprecedented business flexibility and mobility. multimedia sessions can be transmitted by Both premise-based VoIP and hosted systems are digitization of the analog voice signal, encoding, dramatically improving how small and medium-size creating data packets and transmission as Internet businesses serve their customers, enable their Protocol (IP) packets over a packet-switched employees and achieve greater levels of success. network. The bandwidth efficiency and low costs that can be achieved with VoIP technology are an Premise-based Voice over IP phone systems can attractive incentive for many businesses to migrate provide large businesses with real cost savings and from traditional TDM to VoIP telephone service. other potential benefits of situating the equipment Today, the majority of new phone lines being within their facilities. Hosted (cloud-based) VOIP installed are VoIP. can offer other businesses a variety of advantages, from scalability, reliability and minimal capital A Voice over IP phone system is the equipment and investment to functionality, productivity and a software a business uses. It can include enabled lower total cost of ownership. Hosted VOIP also phones and devices in virtually any facility or removes the tethers to telephone closets, moves location if properly configured. VoIP phone system the management of the phone system to a cloud- equipment can be premise-based or reside in the based provider and opens up a wide array of cloud, at a hosted data center. In both cases, the productivity enhancing capabilities. actual desktop phones are, of course, located in the premise. A VoIP phone system can also connect to In today’s hyper-competitive environment, the either VoIP service or traditional TDM service from benefits of VoIP through premise-based and hosted a carrier with the proper equipment.

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VoIP Service and Phone System Advantages other exchanges and rate centers. This offers extensive flexibility in routing calls to virtually VoIP solutions open up a broad range of capabilities any phone in any location without long distance and advantages to businesses that can be grouped or forwarding charges. There are some into these categories: limitations that are important to know, but the  Cost-effectiveness – This is one of the primary benefits are great. reasons businesses chose VoIP service. Transmitting calls over the Internet and private  Mobility – A VoIP phone system makes it IP networks can significantly reduce costs possible to have different phones or devices in because telephone company charges can be almost any location appear to have the same reduced. In the vast majority of cases, VoIP number, from a local facility, headquarters or provides a lower total cost of ownership. other recognizable place. An employee who is on the road or in a virtual can make and  Scalability – VoIP phone systems make it easy, receive calls on a designated number anywhere fast and cost-effective to add, remove, change that has a network connection. It offers “find and move phone lines utilizing customized me, follow me” single number reach for Web-based portals, accessible by anyone with mobility, efficiency and economy. the proper security credentials, anywhere there is a network connection. There is far less need  Productivity – Utilizing Internet-based or for the telephone company or vendor to come private IP network-based service can to the facility to make changes, which saves significantly enhance business productivity. time, cost and administrative complexity. Employees are able to work anywhere with full Technical expertise and industry knowledge are access to telephone functionality. Time is saved necessary to address the many factors that by immediate and directly receiving calls; must be considered when provisioning the accessibility to the right person and resources is optimal solution. If such resources are not increased by easily changing where a number available in house, it is wise to get assistance rings; communication is improved with from a professional. customers, coworkers and others; issues can be

 Number Portability – VoIP service can enable a immediately addressed without messages and business to utilize SIP Trunking to enable call backs; and VoIP can create the appearance powerful portability. In that all calls are with the corporate many situations, this can eliminate carrier headquarters. VoIP makes it possible and restrictions that prevent porting of numbers to practical to create a virtual company.

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 Quality – with the right network capabilities, What is a Premise-Based VoIP System? VoIP service enables companies to achieve high- With a premise-based VoIP phone system, the quality, HD voice communications. To achieve equipment resides in the business’s facility. It Quality of Service (QoS), however, a dedicated connects to the local area network (LAN) and calls network connection is required. It is important are routed to IP phones through the LAN. The to work with telecom professionals to ensure equipment and software are owned or leased by that the right capabilities are in place. the company and are managed internally or through a contracted service. Incoming and  Functionality – VoIP service and phone systems outgoing calls go through a service provider over can offer a wide range of features that cost- traditional telephone lines or over the company’s effectively improve flexibility, productivity, Internet connection or private IP network. A customer service and other benefits. premise-based VoIP system is installed by company . Seamless number forwarding. IT staff or by an outside service provider. . Find Me, Follow Me – also known as single- number reach, this is the ability to receive Premise-Based VoIP Advantages

calls at any number of designated phones, While every situation varies, premise-based VOIP whether ringing all at once or in sequence. can provide real advantages for some businesses, . Multiple, situational protocols, such as depending on its needs and preferences: various greetings and routing, which can be preprogrammed and remotely selected by  While the immediate capital expenditure is users as needed. much more than with hosted VOIP systems, the . Voicemail forwarding to accounts that company owns the system and does not have to can be retrieved anywhere. make ongoing payments. . Mobile phone calls can display a caller ID  All of the equipment remains under the physical from the main office. control of the business. . The ability to move IP phones anywhere  Some argue that security is greater than hosted within a facility and still have the same services because all messages and data are extension number without any rewiring or onsite, though a trusted cloud-based service reprogramming. can offer extensive security assurances. . Extension dialing (3 or 4-number dialing) to  For large companies with extensive in-house IT any location with Internet connection, such capabilities or a trusted, responsive as remote , hotels, residences, etc. vendor/partner, premise-based VoIP can be less . Video integration. costly and provide more control.

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What is a Hosted VoIP System?  Automatic, seamless service rerouting during power outages, line breaks, etc. Hosted VoIP, also referred to as hosted PBX or  Minimum IT support is required. virtual PBX, runs on equipment that resides in a  No equipment or specialized software to house, remote data center and is owned and maintained maintain, update and troubleshoot. by a service provider. The business accesses it through broadband Internet or private IP network  No licensing fees or service contracts for connections. A hosted VoIP phone system is a premise-based systems. subscription-based service that is typically billed on  Extremely low downtime for productivity and a per-seat basis. IP phones are included in the fee. A business continuity. summary of hosted VoIP systems follows:  Upgrade of equipment without capital expenditures.  All hardware and software is in the cloud – except phones. Call Center Support  Service is hosted by a professional service provider. Both premise-based and hosted VoIP phone  It offers special capabilities and features. systems can support call centers, utilizing VoIP to  Security, maintenance and management are efficiently and economically accommodate a wide part of the cloud-based system. variety of needs like call queuing, call recording and  It is billed on a per-seat subscription basis. more.

Hosted VoIP Advantages For inbound call centers, a hosted VoIP phone As Internet and private IP network capabilities have system provides excellent advantages: become more robust and cost-effective, businesses  No equipment investment for the call center. have increasingly recognized the many benefits of  Pay only for the lines used and calls made, cloud-based services, like hosted VoIP. rather than paying for lines that may be idle a  No capital expense. significant amount of the time. This can be  Lower total cost of ownership for small and especially important for small call centers, medium-size businesses. which can share resources in the cloud.  Pay for only what you use.  Excellent trunking benefits.  Cloud-based reliability – no on-premise  Cost saving by eliminating software licensing, equipment failure. maintenance, upgrades and more.

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It is important to note that call center capabilities important to perform a thorough assessment of the are not included in the per-seat fees charged for company’s local area network (LAN) to ensure that hosted VoIP phone systems unless they have been it can effectively support the new VoIP specified. This can be done for selected phones in a requirements. Among the considerations are: business to provide and pay for the capabilities for  Does the LAN switch have power over Ethernet only those who need it. This will significantly (POE) capabilities, or will the new VoIP phone increase the cost per seat. For outbound call require an external power source? centers, premise-based VoIP is usually best. It  Is the existing cabling adequate? accommodates auto dialers and other special  Is existing network speed sufficient for the new capabilities. phone system?  Are there fully enabled network connections Is a Hosted VoIP System Right for Everyone? everywhere that phones will be located? While every situation is different, hosted VoIP  And other issues that can impact the system. phone systems generally offer compelling advantages for small to medium-size businesses, as Summary outlined above. Large companies with highly capable IT departments and trusted, responsive Businesses that have not yet migrated to VoIP partners may realize cost savings from a premise- telephone systems are very likely missing out on based VoIP system, as well as maintaining hands-on significant benefits, from cost savings and staff control and security of the system. The most productivity to extensive new capabilities, flexibility important thing is to do a clear, informed analysis and dependability. Exploring the differences and up front to assess current need and capabilities and advantages of premise-based and hosted VoIP will design the best, customized solution. An outside reveal which system is best for individual business’s telecom and IT professional can be invaluable in the needs and preferences. Regardless of the choice, process. going VoIP is a good move into the future of communications. LAN Assessment

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