A PUBLICATION OF THE OPAL GROUP Spring 2006
 
TechTalk
 

VoIP—What Can It Do For Your Business?

VoIPWith the costs of running a business mounting, more and more companies are turning to VoIP, short for Voice over Internet Protocol, to trim telecommunications expenses and improve productivity.

While the acronym may be clunky, VoIP technology is actually pretty sleek and enables voice conversations to be sent through the Internet. Specifically, sounds are compressed into data packets—just like the data in e-mail -- and then transmitted through a packet-switched network, aka, the Internet. With VoIP, voice and data are transmitted over the same cable and network and handled identically, which may be one of its most appealing advantages.

Admittedly, while many adults are still unclear on how VoIP works and its value, kids throughout the U.S. are already convinced of its usefulness; VoIP is the technology inside today’s hottest video games that enables players to talk to one another while competing. Microsoft’s Xbox Live is, in fact, among the nation’s largest VoIP providers.

While it may be relatively new, it is a telecommunications innovation that is here to stay. According to the Telecommunications Industry Association, VoIP usage is expected to explode to over 19 million users by 2007, more than double its current number of users.

How it works

The Benefits of VoIP

Now that you know how it works, let’s discuss why you may want to consider it for your company. In basic terms, it can lower your phone bills, deliver a wider range of unique services and improve employee productivity.

For the past two years, The OPAL Group has been using VoIP in both their Pittsburgh and Cleveland offices. While the Cleveland office relies exclusively on VoIP, the Pittsburgh office has a traditional phone network equipped with a device that routes calls over the Internet to the Cleveland office, which has cut down on the expenses of interoffice communications.

“We have saved significant capital in long-distance charges alone, but we also love the other time-saving features that have actually improved our operations,” says Jason Fondran of OPAL’s Cleveland office. Such features include web-based portals for voice mail and call management, including features that can route specific callers using Caller-ID directly to a cell phone, or directly to voice mail, with or without ringing the usual office phone first.

 

3 Ways To Utilize VoIP
•Equip your computer with a sound card and microphone
• Equip a normal phone with a VoIP adapter
• Use a stand-alone VoIP phone

 

But while cost savings are key, enhanced functionality and mobility are also huge factors in VoIP’s growing appeal. VoIP simply does things that are extremely expensive, or even impossible, with traditional phone networks. For example, many users enjoy the convenience of having their voicemail system notify them by text-message or e-mail whenever a new message arrives.

Best of all, most VoIP providers offer flat-priced bundles for both high-speed data and voice. One fixed monthly cost provides a fast, reliable Internet connection, as well as unlimited local and long-distance calling. While the initial investment in specialized VoIP equipment could involve significant up-front cost, that equipment generally pays for itself by reducing voice and data service costs and eliminating long-distance calling costs, within the first 12-18 months or even sooner.

Cost Savings

  • Calls can be made between multiple offices for free using inexpensive equipment and an existing Internet connection
  • Unlimited voicemail boxes
  • No need for separate cabling since both data and voice are sent over the same network

Mobility

  • Users can take their phone to another office or anywhere around the world and still receive calls at the normal number with any standard Internet connection

Functionality

  • Easily integrates with contact list in contact databases, including Microsoft Outlook. Simply click on a contact and the phone will start dialing.
  • Incoming calls can automatically activate pertinent information for that caller, which can enhance customer service
  • Users can check and configure voicemail through an Internet web portal

“The Internet has forever changed the way that we view images and receive information, now it’s transforming the way we talk to one another. It’s an amazing technology that has wide ranging implications for today’s cost- and customer-conscious businesses,” states Jason.

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