VOICE OVER IP - THE GOOD, THE BAD AND THE UGLY

VOICE OVER IP - THE GOOD, THE BAD AND THE UGLY

Voice over Internet Protocol (VoIP) has been around for some years now. It is quickly becoming a popular way to communicate with people, especially over long distances. The recent explosion in broadband Internet services, such as ADSL and cable, is positioning VoIP as a viable alternative to the traditional phone systems that we all know today.

But is this technology suitable for your business? We'll show you the good, the bad and the ugly sides of VoIP that will help you evaluate whether it's right for you.

So, what is VoIP? Put simply, it's the conversion of voice signals from your phone handset into small packets of data. These packets can then be sent over the same lines as your inter-office data connections or the Internet.

Sounds simple? Wait...there's more! There are some key things you need to be aware of before you rush out and buy your new VoIP system.

The Good…

Cost Savings: The most popular reason for considering VoIP is cost savings. VoIP may reduce your communications costs, particularly on long distance or inter-office calls. If you do lots of long distance and/or inter-office calls, VoIP may be for you.

Management: VoIP-based systems are generally much easier to manage than conventional PABX systems. If you have staff joining or leaving your organisation regularly, or they are frequently relocating, you could do all these changes yourself rather than paying a PABX technician each time.

Integration: If you run a Client Relationship Management system for example, your VoIP and CRM system can be made to integrate with each other, enabling you to enhance your service to customers and increase revenues. When a customer calls, a window can automatically pop up on your computer showing their details and trading history with you. Now that's service!

VoIP systems also give you the ability to integrate all your voicemail, fax and conventional email using what is commonly called “Unified Messaging”. This enables you to manage all your emails, faxes and voicemails in your email mailbox and have access to them while on the road or working from home.

Consolidation: As VoIP systems use your existing data connections and infrastructure (like switches, routers etc), there is no need to manage two sets of cabling systems or other telephone specific infrastructure. As VoIP is essentially another “application” on your network, all you need to manage is your data network.

The Bad…

System Cost: Costs associated with the new system may far outweigh any savings you might gain. Virtually all VoIP system implementations will require at least some changes to be made to your existing communications lines and/or LAN infrastructure to cater for this new traffic.

Without a thorough analysis of your existing voice calling patterns and costs, you may find that the new VoIP system will actually increase your overall communication expenses. This is not a good situation if you were looking to cut costs.

Quality of Service: Although the quality of VoIP technology is getting better all the time, it is very easy to encounter quality of service issues if the system is not designed correctly. The quality of calls may end up significantly less than your current phone system depending on many factors such as; the encoding algorithm (how the voice signals are converted into the packets of data); the speed of your data/internet connections and type of connections.

This severely impacts on your ability to provide a professional service to your customers. Common symptoms of calls made over poorly designed VoIP systems are; echo, parts of your conversation missing, calls dropping out, or calls not connecting at all.

The Ugly…

Get the right advice from the beginning. Employ a consultant to assist you with your initial analysis, evaluations and implementation of the new system. As you can see, there are network redesign issues to consider.

It is essential that you perform an initial analysis of your current telephony costs and calling patterns. These issues have a significant impact on the return on your investment. An incorrect implementation of VoIP could end up ugly for your staff, and even more ugly for your customers.

The last word…

VoIP is here to stay and the technology is continually improving. Major carriers and service providers here in Australia are beginning to launch their VoIP services. Within several years, it will be likely that VoIP technology will have matured significantly to be a common, widespread service offering. However, you need to assess whether this technology is suitable for your business.

As a last word of advice: if you are currently looking at purchasing a new PABX and VoIP sounds too daunting, it may be wise to purchase a “VoIP-capable” PABX. This will allow you to use the PABX with conventional phone lines and handsets, but give you the opportunity to “turn on” the VoIP components later on, at a minimal cost, when you need it.

If you are interested in discovering if VoIP is suitable for your business, please contact us for a no obligation, free assessment.

Newpath IT – Business Powered Technology.

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