Having the latest gadgets and software is great, but if your business phone system isn’t reliable, you might struggle to keep up with competitors.
In this guide, we’ll explore different types of phone systems for businesses and key factors to consider when choosing the right one for your organization.
We’ll begin by looking at the main types of telephone systems available for business users:
A traditional, landline telephone system may be an option if you’re in the early stages of enterprise development, own or currently rent your on-site hardware, and are hesitant about new technologies and their possible complications.
While this type of phone system traditionally offers quality and reliability of service, it may prove problematic if you or your employees spend a lot of time working remotely. With the increasing need for modern business communications to incorporate aspects of other elements, such as the sharing of documents, images, or large data files, the limitations of this technology may soon become apparent.
As you step away from traditional cable-based phone systems, smartphones and other mobile devices will play a significant role in any option you consider. At the scale of the smallest enterprises (where the number of people making up an organization may be very few), it’s possible to get by with a telecoms system based entirely on individually owned mobile phones.
Typically, this will involve paying for a subscription to a cellular service provider, with its attendant charges for international and long-distance calling, data plans, international roaming, and so forth. Rates and service levels are only as good as the network provider you choose.
A private branch exchange, or PBX, is a type of private telephone network for internal and external calls. It allows for calls to be switched between local lines, which means employees can call each other internally using extensions. It also allows users to share a limited number of external phone lines to make calls outside the organization.
On-premise PBX systems usually include useful calling features like call forwarding, call waiting, call recording, and auto attendants or interactive voice response (IVR).
In their original form, on-premise PBX systems were known for their reliability. However, they typically cost businesses a lot of money to get started and maintain. They are also expensive to maintain and difficult to scale.
An especially popular type of phone system amongst small and micro-sized enterprises, virtual phone systems allow existing landlines to be diverted to your designated mobile phone numbers. This extends business phone availability to remote and mobile workers, who can be connected to a designated office site whose number is registered with the system. Some providers also offer virtual receptionist services.
Voice over Internet Protocol, or VoIP, is a telecommunications technology based on digital data transfer that allows for easier integration of desk-based and mobile telephone equipment. IP telephony (a general term for phone systems using the Internet as a transmission medium) uses both the Internet and your organization’s Local Area Network (LAN) in conjunction with a virtual Private Branch Exchange (PBX).
Related: What is VoIP?
This type of business telephone system is largely software-based, so there’s little outlay required for on-premises hardware. Service plans vary, but it’s now generally accepted that VoIP phone systems for businesses are considerably more cost-effective than landlines. Calls to phone numbers within the same network are usually free, while long-distance and international calls may be charged at local rates as they’re carried over internet channels.
Related: VoIP Migration Plan
For those without the staff or expertise to manage an on-premises VoIP solution, a VoIP system hosted and managed by a service provider in the cloud is the next best bet.
With your infrastructure resident in the cloud, you'll have decreased hardware needs, installation, and maintenance requirements. This means you’ll also be relieved from the burden of housing equipment on your premises—ideal in these times of escalating office rents. If your organization has several branch sites or remote offices, this type of phone system can be configured to assign phone numbers based on any location that you designate.
This coverage extends to mobile devices, so remote and mobile workers can be connected to your business phone system regardless of their location. Systems can be scaled up or down easily, with a subscription payment model typically based on monthly charges.
Related: Hosted PBX Vs Onsite PBX. The Key Differences
Larger enterprises and those wishing to extend the life of their existing hardware may opt for a hybrid system, something that combines the calling features of traditional telephone systems with VoIP technologies and even other communication methods.
For example, net2phone offers users the flexibility to make calls not only via a desk phone but also through our mobile or web app. Users can connect wherever they are through their device of choice.
When it comes to choosing the right phone system for your business, it depends on your needs, the size of your company, geographic locations, financial capabilities, and equipment availability.
In the meantime, here are some considerations to bear in mind:
Related: VoIP vs Analog Phone System
Not sure which system is right for your business? Contact us today, and our experts will assess your current setup and recommend the best solution for your needs!