Suddenly you find everyone talking about the Voice over Internet Protocol, or VoIP, technology and the resounding effect it has to offset communication costs in businesses. True as it is, most enterprises have adopted the VoIP technology to effectively cut cost and operate in a smarter way! The idea is simple – instead of the maintaining existing telephone lines and making way for installing more, welcome to the age of business or enterprise VoIP communications where voice calls, teleconferences and video traffic is routed through the internet – the age of Voice over Internet Protocol.
How does VoIP work
The general features available on VoIP are:
- Caller ID
- Conferencing (including audio and video)
- Call forwarding
VoIP is different from traditional telephone services as phone conversations are treated as data traveling through the IP network. Through a VoIP service, the voice stream is first broken into encrypted data packets, compressed and sent over the web to the destination. At the destination end, the data is uncompressed, put back into the required order whilst reconverting it to voice to make it an audible message to the destination group to hear. It is a completely different process than establishing and maintaining a connection between the source and destination parties as in usual telephone conversations.
As nowadays broadband is cheap and easy to install, VoIP services is an impromptu solution to businesses that are trying to cut costs while using the available resources optimally and more effectively. To be precise, by circumventing the calls through internet, phone bill costs are a fraction of what they used to be! However, quality of the calls entirely depends on the speed of the web/Wi-Fi carrier. With the VoIP providers specifying the need of minimum bandwidth necessary to have optimal call quality and minimizing downtime and broadband space, this is not a grave problem at all.
How VoIP Helps in Cost Cutting Saves You Money
Until a few years ago, businesses were spending a lot of time setting up phones, phone lines and service providers for long distance calls. With the future-proof technology of VoIP, this has become quite obsolete. As a smarter way to handle communication, VoIP brings down business costs in ways more than one! For example, there is never a need to install new phone lines anymore. With the telephony services hooked to the broadband network, the new-age enterprises can enjoy competitive service rates from the VoIP providers with all-inclusive package per extension including advanced phone system features – a far better idea than traditional business phone plans.
To maximize mobility and maximize production, the services can be used to telecommute with employees even when they are not in the office. With the VoIP dialer application installed in their mobiles, they are always connected and reachable. As the voice data travels through an encrypted VPN connection, security is never a matter of concern. With the technology, small and mid-sized enterprises have more options today than ever.
The VoIP revolution has brought in truly a lean and efficient strategy for small and medium sized companies. With no hassle to set up the telephone systems and costs that would be prohibitive to the expansion plans in the long run, the technology has significantly multiplied options available for SMBs to save time and money.