Here’s the question …. how can you convince your management that a VoIP solution will support your small business?

The best argument for VOIP is lower communication costs … but it’s not the only reason.

I would suggest using hybrid solutions. Where the bulk of communication, voice, and video are done through VOIP …. and emergency services “fall back” in case of Internet fail is done with minimal classical PSTN solutions.

When I say VOIP from now on I mean 90 % VOIP and some minimal PSTN add-ons.


1- Lower communication costs ….

While this is basically clear it still needs to be demonstrated. Assume you have a company that most of its calls are from “overseas” to the USA and vice versa.

You need to get the cost of all such calls currently on one side …. and then compute what would be the cost in case all Intercontinental calls went through a VOIP system.

Now you have the number of calls * local call quantity* local call cost.

You can compare the costs in both situations.

a. I would take the worst case scenario where none of the calls in either side ends in a VOIP end station like Packet8. To make the comparison complete you should add all static costs as well: equipment cost, support cost etc.

b. Simply compare the price of adding a 2MBPS PRI line to increasing your company’s Internet connection BW by 2 MBPS. That will show a lot to VOIP’s favor.

c. Long distance calls are severely affected by duration of the call. While local calls and VOIP goes into the PSTN, are much less affected by the duration. In some places in state calls are not charged individually but a monthly payment is done.

d. Equipment cost per end station is lower. While this is almost always true you need to prove that too by talking to a VOIP equipment provider, for example AVAYA, Cisco, NORTEL. And comparing the prices in both instances.

2. Adding new features to an existing PBX is messy most of the time …. while adding new features, capabilities and capacity is easy in VOIP.

3. A unified communication that has VOIP and IP running on the same enterprise infrastructure is easier to manage …. but of course needs more expertise.

4. You can have ‘local’ numbers anywhere a VOIP provider has a presence. Want to establish a presence in another state or country – start with a VOIP number in the new location that is answered by an existing office.

5. It allows you to virtualize your office. For example, a company provides after hours customer support by employing people to work from home in four time zones. VOIP allows the company’s PABX to be extended cheaply and easily into their home … even though they are in different countries and serviced by different telcos/ISPs.

6. Besides lower costs in contrast to PSTN, VoIP services provide better roaming, a possibility to quicker office relocation and total independence from local telephone companies (meaning that in theory you can buy VoIP services from any service provider on the globe). With VoIP services you can build a PBX which serves the same voice services to all employees around the globe thus making it possible to build virtual offices. You can also easily integrate voice, e-mail and presence services with VoIP technologies.

7. More advantages include …. Ubiquity through Unified Messaging, phone mobility, geographic growth through MPLS networks using centralized services, 50% less cabling in LAN, use a portable with VoIP Client plus headsets and digital/voip phones cease to be necessary, corporate voice can go through a data MPLS network, you can receive calls over the internet on your contact center.

Keep in mind that while trying to convince your company to favor a VOIP solution … it is also important to be open and explain all the pros and cons, everything.

* Quality of voice is similar to regular PSTN solutions but not exactly the same as POTS. It might be undiscernibly but still some difference exists. How close the quality of VOIP depends on how well your company’s infrastructure is ready for VOIP, how good an SLA (Service Level Agreement) you have with you Internet Service Provider.

* When the Internet is attacked intentionally or unintentionally all VOIP equipment, end points, VOIP phones will be affected. It is very rare that a PSTN system is brought down except when a catastrophe happens and everyone is trying to call everyone.

* Voip gained such a bad reputation over the last few years, as everyone still keeps talking about low call costs and free calls. VoIP is a reasonable cost installation but not Cheap at least if you use decent kit. If you try and do everything on the cheap then you get bad call quality etc and loads of hate mail from management.

There you go … most everything you need to develop a strong argument for implementing a VoIP solution in your company. For additional assistance to work through all the specifics …. and find the most cost effective providers (hardware and services) …. I suggest using Their help is NO COST to you …. another advantage.

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