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Phone Systems

Overview

Office phone systems, also known as private branch exchanges (PBX), provide businesses an internal phone network much like that of a nation-wide telephone network. PBX facilitates the internal extension system of a company and enables a faster communication flow within an organization.
If you use an internal phone system, you just need to dial an extension number to call someone in the company. PBX enables businesses to have extension numbers, which saves time by bypassing the need to go through a switch board. With PBX, employees can reach others in the office directly and instantaneously.

How It Works

A PBX is a telephone communication switch that connects many internal telephone lines to a few external Plain Switch Telephone Network (PSTN) lines. All internal phones in a PBX system have a designated extension number that can be connected to any external line through a PSTN or to any internal system by dialing the appropriate extension number. Other capabilities of PBX include call forwarding and conference calling, which are handled by the integrated software that manages the PBX system.
A building needs to be wired properly to receive phone service. All lines must go to a centralized location where the necessary hardware can be attached. One important piece of hardware is switches, which automatically direct calls internally and externally. There is also hardware needed for answering systems, menu systems, and other sorts of automated systems that customers and callers are accustomed to.

Benefits

The benefit of an internal phone system is that it facilitates communication between employees and provides higher efficiency when it comes to business communication. Emails and other electronic communication are convenient but do not provide the benefit of person to person communication. Phone communication conveys much more than the words because people can hear each other's voices. A business phone system also provides a business with many lines at the same number. A single number makes it easier for customers to reach your business, whether it is for tech support or other business inquiries.

Costs

The cost of a phone system varies greatly depending on the needs of a company. A simple two or three line system can cost as little as $1,000 dollars, while larger systems that can fulfill the needs of large companies can cost upwards of $50,000. The main factors that determine the cost are the hardware needed at the company's end and the system requirements at the phone provider's end. Each of these systems and pieces of hardware contributes to the cost, which is in addition to the phones needed at employee desks and monthly fees for use.

Timing

When you have your own office space, you should theoretically have a line for each of your employees and offices. Your system should also have simple internal extension calling and call routing. It isn't necessary to invest in an elaborate phone system when your company is small, but as your company grows and your needs develop you should consider upgrading your phone system.