Hosted PBX -- What is it and Do I Want One?

now how important telecommunication services are toThat Sounds Good, But What About...
your business. They let you communicate efficientlyThere are some potential disadvantages that you
with colleagues, workers and customers. They alsomust considered before deciding on whether or not to
allow you to serve your customers' needs directly byuse a hosted PBX system. For example, some firms'
giving them direct access to your goods and services.existing telecommunications infrastructure is too large
Telecom services also provide one of the majorand/or complicated to convert without an
components of your public identity. Your phone numberunacceptable level of disruption to their
or website reminds customers who you are, what youcommunications.
offer and what services you provide. Since theseReliability is a huge concern with hosted PBX service. If
benefits are important to make your businessyour connection to the Internet fails, for whatever
successful, you should always be looking for newreason, you will lose your phone service. Make sure
telecom services that can increase your efficiency,there is redundancy in place, an alternative network
help your bottom line and improve your identity with thethat will take over if one fails. If the telephone system
public. One solution that addresses these issues is ais crucial to your business and even a short disruption
hosted PBX.of service is unacceptable, you may want to
What is Hosted PBX?reconsider using an IP voice solution at all.
PBX stands for Private Branch exchange. WithAnother drawback is the potential time and effort to
traditional PBX, an incoming call is routed throughteach your firm's workers how to use the new
switchboard hardware to different extensionsservices. This difficulty may lead to decreased
throughout the company. This hardware is usually keptshort-term productivity and increased marginal labor
somewhere on company premises. With a hostedcosts that may offset any cost savings the service
PBX service, the call will go to the carrier's centralwould provide you.
office, get processed through the hardware at theirFinally, the short lifespan of the technology needed to
site and then will be sent to your phone extensions. So,implement a hosted PBX network may make it
Hosted PBX is an IP-based PBX (Internet Protocol)impractical in the long run for some firms to use.
service that is hosted by someone else and providesComputer technology changes often enough that your
call routing for your company. These systems havefirm must weigh the possibility of having to replace the
been in use for decades.equipment against any benefits you may receive from
Today, the technology has improved enough that firmsa hosted PBX service. Your individual situation will
should seriously consider the advantages of using adetermine what's best for your company.
hosted PBX network before deciding what kind ofQuestions to Ask if You Are Considering a Hosted
telecom system they wish to use.PBX Network
Why You Should Consider a Hosted PBX SystemWhile considering the advantages and disadvantages
The advantages that a hosted PBX network providesof using a hosted PBX system, you should ask several
may make a convincing argument for using such aquestions before making your final decision. What kinds
system. Businesses generally save money on theirof businesses benefit from using hosted PBX
phone and Internet bills by switching to a hosted PBXservices? Smaller businesses have certain long-term
network because all calls and data are processed atadvantages that may make them better candidates
one centralized location, which reduces the need tofor using hosted PBX services that larger firms may
use a service provider's resources. It also lets firmsnot have. Will my business benefit in the long run by
easily create as many lines of communication as theyusing this service? If so, you then should ask which
need because all those lines are also centrally located.service provider best fits your needs.
In addition, it is easy to handle any number of phoneTelecom providers have hosted PBX systems that
calls and Internet connections at one time.offer a wide variety of services for your firm to
So with a hosted PBX system, you won't have toconsider. This makes it all the more important for you
invest in a new on-site phone system, which can beto shop around carefully before making a final decision.
costly. However, you may need to purchase newFinally, do you have enough time and resources to use
Internet Protocol (IP) phone sets, but the investment isthe service in the long run? Because there are many
minimal. You'll get all the features of traditional PBXshort-term disadvantages in setting up the service, you
including auto attendant, voice mail, call routing, andmust be willing to commit to using the service for
unified communications without the huge investment ofsome time before you will see any savings. Otherwise,
traditional PBX.it is a waste of your time and resources.