A Free-Reprint Article Written by: Nermine Shaker 

Article Title: 
Hosted PBX - What Is It and Do I Want One?

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Article Description:
You know how important telecommunication services are to
your business. They let you communicate efficiently with
colleagues, workers and customers. They also allow you to
serve your customers' needs directly by giving them direct
access to your goods and services.


Additional Article Information:
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882 Words; formatted to 65 Characters per Line
Distribution Date and Time: 2009-10-14 09:00:00

Written By:     Nermine Shaker
Copyright:      2009
Contact Email:  mailto:[email protected]



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Hosted PBX - What Is It and Do I Want One?
Copyright (c) 2009 Nermine Shaker
The Sygnal Group
http://www.SygnalGroup.com



You know how important telecommunication services are to your
business. They let you communicate efficiently with colleagues,
workers and customers. They also allow you to serve your
customers' needs directly by giving them direct access to your
goods and services.

Telecom services also provide one of the major components of your
public identity. Your phone number or website reminds customers
who you are, what you offer and what services you provide. Since
these benefits are important to make your business successful,
you should always be looking for new telecom services that can
increase your efficiency, help your bottom line and improve your
identity with the public. One solution that addresses these
issues is a hosted PBX.

What is Hosted PBX

PBX stands for Private Branch exchange. With traditional PBX, an
incoming call is routed through switchboard hardware to different
extensions throughout the company. This hardware is usually kept
somewhere on company premises. With a hosted PBX service, the
call will go to the carrier's central office, get processed
through the hardware at their site and then will be sent to your
phone extensions. So, Hosted PBX is an IP-based PBX (Internet
Protocol) service that is hosted by someone else and provides
call routing for your company. These systems have been in use for
decades.

Today, the technology has improved enough that firms should
seriously consider the advantages of using a hosted PBX network
before deciding what kind of telecom system they wish to use.

Why You Should Consider a Hosted PBX System

The advantages that a hosted PBX network provides may make a
convincing argument for using such a system. Businesses generally
save money on their phone and Internet bills by switching to a
hosted PBX network because all calls and data are processed at
one centralized location, which reduces the need to use a service
provider's resources. It also lets firms easily create as many
lines of communication as they need because all those lines are
also centrally located. In addition, it is easy to handle any
number of phone calls and Internet connections at one time.

So with a hosted PBX system, you won't have to invest in a new
on-site phone system, which can be costly. However, you may need
to purchase new Internet Protocol (IP) phone sets, but the
investment is minimal. You'll get all the features of
traditional PBX including auto attendant, voice mail, call
routing, and unified communications without the huge investment
of traditional PBX.

That Sounds Good, But What About...

There are some potential disadvantages that you must considered
before deciding on whether or not to use a hosted PBX system. For
example, some firms' existing telecommunications infrastructure
is too large and/or complicated to convert without an
unacceptable level of disruption to their communications.

Reliability is a huge concern with hosted PBX service. If your
connection to the Internet fails, for whatever reason, you will
lose your phone service. Make sure there is redundancy in place,
an alternative network that will take over if one fails. If the
telephone system is crucial to your business and even a short
disruption of service is unacceptable, you may want to reconsider
using an IP voice solution at all.

Another drawback is the potential time and effort to teach your
firm's workers how to use the new services. This difficulty may
lead to decreased short-term productivity and increased marginal
labor costs that may offset any cost savings the service would
provide you.

Finally, the short lifespan of the technology needed to implement
a hosted PBX network may make it impractical in the long run for
some firms to use. Computer technology changes often enough that
your firm must weigh the possibility of having to replace the
equipment against any benefits you may receive from a hosted PBX
service. Your individual situation will determine what's best
for your company.

Questions to Ask if You Are Considering a Hosted PBX Network

While considering the advantages and disadvantages of using a
hosted PBX system, you should ask several questions before making
your final decision. What kinds of businesses benefit from using
hosted PBX services? Smaller businesses have certain long-term
advantages that may make them better candidates for using hosted
PBX services that larger firms may not have. Will my business
benefit in the long run by using this service? If so, you then
should ask which service provider best fits your needs.

Telecom providers have hosted PBX systems that offer a wide
variety of services for your firm to consider. This makes it all
the more important for you to shop around carefully before making
a final decision. Finally, do you have enough time and resources
to use the service in the long run? Because there are many
short-term disadvantages in setting up the service, you must be
willing to commit to using the service for some time before you
will see any savings. Otherwise, it is a waste of your time and
resources.

Hosted PBX systems offer many benefits to firms who can best
utilize their services. Before deciding if you are one of them,
due diligence is needed to weigh the benefits against the
potential disadvantages that could make using the service
untenable. In the end, this careful analysis can make a huge
impact on your firm's bottom line.






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Nermine Shaker is a Partner at THE SYGNAL GROUP, a telecom 
consulting firm that offers telecom expense management, 
telecom auditing and VoIP management to businesses of 
all sizes.  Find out how to lower your telecom expenses 
at http://www.SygnalGroup.com/ or visit our blog at 
http://www.TelecomExpertise.com/


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