With computers, smartphones and tablets flooding workspaces today, employees have multiple methods of communications available at their fingertips. However, you understand that it is still important to invest in a telephone system, but the system has to match the ever-evolving communication requirements of your company.
PBX and VoIP are the two primary on-premise options, and each serves a unique purpose ñ making it clear which will work best for your organization.
Private Branch Exchange
A PBX, or Private Branch Exchange, is the traditional phone system that has existed in offices since the telephone was introduced. The simplest PBX phone systems available feature a box in your office that connects the internal devices and lines within your office to external lines, and is capable of carrying out basic functions such as call holding and forwarding.
Voice over Internet Protocol
Voice over Internet Protocol (VoIP) phone systems represent new technology that challenges the traditional PBX with a more flexible (and generally more affordable) option for businesses. The average VoIP phone system performs many of the same functions of a traditional PBX setup, but does so by using Internet protocol. The system works by converting voice signals into data packets that are transmitted over a data network to another caller, and unpacked on the other end as voice signals.
A traditional PBX system offers greater reliability because of the physical connection that exists between all of the devices in the network. A call placed on a PBX system is routed along physical lines that connect phones in your office to the PBX box, and the PBX box to the local phone grid. Generally speaking, PBX phone systems enjoy a slight advantage in terms of voice quality on calls, but that is due largely to the fact that not all companies enjoy the same high-speed Internet access.
On the downside, PBX systems are rigid and often not flexible enough to grow and shrink with your business needs. For example, adding new lines to your office requires the physical addition of new telephone wires and the installation of new wall jacks to support connectivity. As you can imagine, this also adds to the cost of a PBX phone system.