Embrace the future with A Dodo s guide to;



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Embrace the future with A Dodo s guide to; Buying a Telephone System As functionality of telephone systems has increased, the buying process has inevitably become more involved. By providing an introduction to the features of modern phone systems and their business benefits, this guide will make the buying process a little easier.

2 Introduction Telephone systems today fall into four principal categories: Conventional systems based upon switched architecture. IP Enabled Phone Systems IP PBX Based systems Hosted IP Telephony 1. Conventional Systems The sales trend over the last few years has changed significantly due to the demands to integrate voice and data applications in an open rather than a proprietary architecture. Whilst the modern conventional PBX systems have moved on significantly in the last few years and remain the most popular type of PBX by volume of sales, the trend is changing rapidly. The emergence of VoIP as a viable business application has influenced the new demand for hybrid PBX, IP enabled phone systems and the IP PBX. 2. The Evolutionary Approach IP Enabled PBX For many companies particularly SME s the case for implementing VoIP is compelling but in reality the technology still had to show a clear return on investment (ROI) that made it deserving. One solution to this issue of justification has been the introduction of an IP enabled PBX. There are a number of advantages to this option: Product life cycle of original system can be extended by making an IP gateway available to provide the advantages and core VoIP functionality. It means that users can begin to deploy the leading edge applications at their own pace. There is also the option of safely investing in a new phone system that will provide a full feature set and a clear migration path to VoIP and other key telephony and CTI applications.

3 3. The Revolutionary Approach Pure IP Systems Originally the IP PBX had feature sets that reflected their origins. For example, those designed by data communications vendors were weaker on voice integration that those by the traditional voice vendors whilst the reverse was true of data communications features. Today those differences are barely visible. IP Systems are well featured and users have a choice of either single vendor or best of breed solutions to meet the end users communications needs. IP Systems are based on the open standards architecture of IP telephone systems so third party applications are often used to extend their functionality. 4. Hosted Telephony Unlike most telephone sytems, that will require connection to public trunks for voice, hosted IP PBX is delivered by Broadband IP or SIP Channels. Service providers will often bundle the Internet connectivity with additional services such as web hosting and email. IP Centrex is a hosted serivce that provides the end user with PBX like functions without having a phone system in the office. The end user simply needs quality IP handsets. Service providers usually charge a fixed monthly fee per handset and the IP telephony call control and feature applications are owned, hosted and managed by the provider in its own network.

4 Implementing IP Technology The three pre-requisites for a telephone system are reliability, the clarity of voice transmission between callers and cost. The key issues to consider: 1. Quality of Service Also known as QoS guarantees voice priority over data packets across the network. It s a generic term for a number of techniques that intelligently match the needs of specific applications to the network resources available. The result is that applications identified as business critical can be allocated the necessary priority and bandwith levels to run effeciently. Whilst applications that are identified as less critical can be allocated best efforts bandwith, and will run at a lower priority. Voice is then transmitted in a constant stream whilst data packets are qued. The network performance will need to be evaluated at its most vulnerable, (busiest time of the day) so that congestion can be considered. Sufficient bandwith must be made available for future applications such as videoconferencing. And QoS needs to be balanced with the business requirements of that service. For example, an individual home worker would be less likely to require QoS guarantee s compared to a call centre because of the level of usage. 2. Network infrastructure In order to maximise on the investment of a telephone system, early consideratoin needs to be given to the existing network. Many potential suppliers will offer their prospective clients a network health check service to verify whether a users wide area network (WAN) or local area network (LAN) is suitable to support VoIP. Carrying out checks like this at an early stage will identify any potential quality related issues such as insufficient bandwith.

5 3. Costs Like all investments the potential benefit of said investment needs to be balanced with the potential expenditure. Health checks will produce a list of actions required to upgrade the network so that it is capable of running integrated voice and data. The cost of this upgrade needs to measured against the increased functionality and long term cost savings to your business. This is something that needs to be considered carefully within your business, as each business has different requirements and bespoke solutions will be desired. Traditionally the core costs of a telephone system are comprised of three main elements; Equipment Costs the sum of physical parts and applications that make up the telephone system. Installation Costs The costs of an engineer to come to your site and physically fit those parts. Service Costs Ongoing maintenance contract, usually annually. It is also worth considering that there may be a need to account for ongoing network costs because many users forget that the original configuration of a telephone system is normally out of date within a month as new users are added, moved or changed. When you agree to a maintenance contract, it is important to find out whether these changes would be accounted for within your contract or whether they would be charged seperately. Round-up The trend is driving the market towards VoIP systems because of the reduction in costs and the new, faster applications that can improve productivity. There is no question that the return on your VoIP investment is much faster if you are on a greenfield site. However, with work increasingly becoming recognised as an activity not a place, the benefits of remote offices are growing in importance.

Buying a Telephone System: May 2009 6 Choosing the right provider Whichever option you take, a number of considerations need to be considered, and the raft of today s options may be overwhelming, so it is important that you select the right provider. Many PBX manufacturers choose to sell their systems to end users through a network of specialist resellers and dealers. They are appointed on the basis of their capability to professionally sell and support the vendor s products. Vendor s tend to formalise their selection of resellers using an accreditation process based on performance, commitment, skill levels and ability to provide the highest level of customer support and service. The assessments of these tiers of accreditation are monitored throughout the vendor/reseller relationship in order to maintain the standard. We recommend considering a supplier that provides the whole solution rather than multiple suppliers and that includes equipment. Providing you with a single point of contact. When you have a short list of possible suppliers, there are two standards to adhere to when making your final decision. Ask for a product demonstration of the features you are interested in. Find out, how the product looks and the level of functionality available now, and in the future that you consider suitable for your business. A demonstration may not be a live system so it is recommended that you ask to see systems up and running in a business that is a similar size to your own. That may not be possible or realistic, but either way ask for references and recommendations.

Buying a Telephone System: May 2009 7 Conclusion No one solution that we have mentioned within this document is right or wrong, they all have their own benefits. Telephone systems have a lifecycle, which historically has been on average about 5 to 7 years, and are changed for a number of reasons. You may have outgrown your system, or you may be moving premises, or there may even have been a significant change in technology that dictates you change out your current system. If you have a traditional telephone system and want to move towards a VoIP system, it may be worth exploring whether the vendor has an upgrade path. This will extend the benefit of your original investment, and provide you with the array of functionality that your require. If there is no upgrade path available, your choices are not limited but your budget may need to increase. You will need to replace you current PBX with a new PBX with IP cabability via a gateway, or to install a full software based IP PBX or to explore a managed or hosted service option. We are here to help so call us now on our freephone number; 0800 092 1471