VoIP Savings Undermined by Short-Term Thinking

January 18th, 2007: A recent survey of UK businesses has found that short term costs are keeping many businesses from switching to VoIP services.

Conducted by e-media and commissioned by IP Telephony company ShoreTel, the survey found that while 70 % of UK companies cite cost reductions as the main reason for turning to VoIP, over a third are holding off due to the perceived high-cost of upgrading.

After canvassing 150 network and IT managers on their attitudes towards VoIP, the survey concluded that:

• 80 per cent agreed that IP telephony makes it easier to do business, however, more than a third (36 %) believe that IP telephony systems are complicated to manage.
• Further to this, 39 % perceived problems associated with configuring VoIP as the main challenge to IP implementations.
• While cost reduction is still seen as the main reason for implementing a VoIP system, respondents also expect benefits such as ‘managing calls more effectively’ and ‘ enabling home and mobile working’.

“While 70% of respondents are focused on cost reduction before they start a project, once the product is installed, it’s the productivity improvements that add the most value,” Geoff Gudgion, ShoreTel’s Managing Director EMEA. “Getting the caller to the right party quickly, connecting to people, not places, and improving speed and access to communications are what users love most.

Gudgion went on to claim that with a VoIP solution, a company of around 250 employees can expect to recuperate costs within one year and cut call costs by up to US$2,000 per month.

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