1 - The (Business) Value of VoIP

Abstract

Voice over Internet Protocol (VoIP) promises to reduce the total cost of ownership of telecommunications and networking through the elimination of various charges and services by reducing equipment expansion and cutting ongoing costs; avoiding private branch exchange, service costs and support contracts; empowering employees with integrated services and increasing productivity; providing cost-effective unified messaging; and reducing system downtime and increasing performance; allowing for a flexible call center configuration, improved customer support, reduction in abandoned calls and call times, increased customer satisfaction, and improved security. As with all technology, VoIP is not without its risks. Potential risks that should be considered include quality of service/performance, user acceptance, user and staff training, support of varying skill levels and administration resources, and interoperability with existing and future systems, proprietary versus open systems technology, and related interoperability issues. The time is coming to an end where one can have the advantages of gaining a competitive edge from investing in VoIP as an early adopter of this emerging technology. In today's era of tightened spending, the need to build a solid business case is critical and will be necessary to win funding approval. This chapter serves as a general overview of what to look for when making the business case for the investment in VoIP technology.