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What to look for in a business phone system

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Based on an article by Doug Boyd, President, ESI
published by the American Small Business Association

Not all phones are created equal

It’s time to buy a business phone system. At first, it’s tempting to lump them all together by saying, “Oh, they’re all pretty much alike.”

But that just isn’t true.

Because of technological limitations, varying degrees of integration and different levels of design proficiency, phone systems are far more different than they might at first appear to be. While many manufacturers claim that their systems have similar features, a thorough investigation shows that supposedly comparable features are often radically different in application and operation.

For example, many phone systems require multiple keystrokes and hard-to-remember codes to perform even easiest tasks, such as picking up and transferring calls, retrieving voice mail and setting up conference calls. By contrast, the more progressive systems use single keys, intuitive functions and interactive on-board prompts to help you execute these everyday phone tasks quickly and easily.

Businesses need powerful and flexible features to improve productivity, efficiency and customer service. Yet the phone system must be easy to understand and use. It needs to provide adequate capacity for many years into the future. And, any potential system should first be demonstrated in real-world, business conditions with an in-office “live” demonstration.

When reviewing a phone system, it’s important to ask yourself three critical questions:

• Does the system include all the features, functions and capacity my business needs?
• Is it easy and intuitive to use?
• Can the dealer provide me a “test-drive” demonstration of the system so that I can experience the functionality first-hand?

Business phone systems today

It’s a fact: businesses depend on reliable phone systems as the heart of their companies’ communications needs. But the business that goes shopping for a new and improved phone system may find the many choices confusing and intimidating.

Today, phone system manufacturers are offering a huge variety of choices in every configuration imaginable. It’s difficult to cut through the clutter to see what really counts in a telephone system: the productivity you get for your money.

The best telephone system for your company is the one that delivers the most value, based on your specific and unique needs. It offers features and functions that will help save time, build customer relationships and increase revenues. You want to get the features that your business will actually use, and you want to get everything you need at a fair price.

The good news is that — no matter what your size or situation — there’s a business telephone system that fits your needs perfectly. There are some basic phone system features that virtually every business today expects: voice mail, phones with displays and programmable keys, and park/hold/transfer. But there are many other amazing features now being touted:

• The ability to capture name-and-number Caller ID on every call for instant redial, and “attaching” the Caller ID information to the message, even if forwarded to other extensions.
• The ability to greet callers with an automated attendant and route calls to the desired department or extension quickly and efficiently.
• The ability to instantly record a live conversation by pressing a single key.
• The ability to have your important calls automatically forwarded to you wherever you go — to a different office, a cell phone, to your home, anywhere.
• The ability to use the Internet as an alternative to traditional phone lines for office-to-office connections and to support teleworkers.

How do you sift through the hype to find the phone system that works best for you — one that really represents your best set of functions, reliability and price? In this report, we’ll explore what to look for — and avoid — in a business telephone system. You’ll discover just how to find the phone system that will maximize your efficiency, help you build strong customer relationships, increase your revenue stream and give you a competitive edge.

It all begins with features

It may surprise you to learn that there are huge differences in what business phone system manufacturers call “standard” features. To complicate things more, there are many different versions of most of these features, some much better than others, some are far easier to use. Many manufacturers list features as “capabilities” and then charge extra to actually add them to the system. Here’s a rundown of today’s most-needed business phone systems’ features, and some important tips on what to look for when evaluating a specific system’s offering.

Voice mail

Voice mail has become imperative for any business. A convenience for both callers and employees, voice mail allows the caller to leave a recorded message for a specific person 24 hours a day, whenever the person’s extension is in use (busy) or he/she is away from their desk (no answer). It increases efficiency because essential messages can be left without requiring both parties to be available at the same time. Coupled with Caller ID, voice mail allows employees to manage their incoming calls more efficiently by answering only necessary calls, while allowing others to be answered by voice mail.

What to look for:

• A voice mail system that’s built-in, not added on. — Today’s most advanced phone systems integrate the voice mail functions and call management into a single platform. Only true integration using digital signal processing (DSP) technology allows advanced features and functions such as live call recording and the ability to attach Caller ID* name-and-number information to voice mail messages for later callback, transfer, copying or moving.
        Messages are recorded as digitized files; the best systems maintain recorded voice quality that sounds like the original, while others greatly compress file to save storage space at the expense of the audio quality.
        Many systems claiming to have integrated voice mail have merely placed the hardware board for the auto attendant and voice mail system into the same box with the call-processing system. Independent components won’t offer the advanced features found on a true, fully integrated system. Be sure to look for a fully integrated telephone and voice mail system that delivers all the productivity-boosting features you want and need.
• Enough voice mail ports to handle your needs. —Another key issue in choosing a system is the number of voice mail ports (or channels) that are offered. Think of a voice mail channel as a lane on a highway: the more lanes you have, the more traffic the highway can handle. Many voice mail systems use as few as four voice mail channels. To get a larger number of voice mail channels, you pay more money. And that’s not the only limitation. In most systems, each voice mail channel must use one of the system’s call processing ports, diminishing the overall system capacity (lines and extensions).
        Look for a phone system that supplies six or more channels for voice mail functions and does not diminish overall system capacity. As you add more phone lines and extensions, you will need more voice mail ports; a business with 24 lines and 60 extensions would likely need as many as 16.
• Easy voice message-handling functions. — The most advanced phones also feature a fixed voice mail key on the phone for one-touch access to the user’s mailbox. These systems include displays on each phone and help the user by showing message status. During message retrieval, the display shows message length and Caller ID information (if service is available from the local carrier). Less capable systems just offer a blinking light, which forces the user to call into the system to get the message or learn message status.

Live call recording

This feature lets you instantly record conversations, conference calls, intercom calls and even personal reminders and store them in your voice mailbox (or others’ mailboxes) for future reference.

What to look for:

• The ability to record a call instantly by pressing just one key. — Some systems have a complex method to activate recording, and some will record only if you set up your phone for recording prior to initiating the call. A dedicated “RECORD” key on the phone makes this important feature easy to use.
• The ability to record any and all calls. — Some systems can record only incoming calls. Others record only incoming calls that are processed through the auto attendant. Still others waste resources by recording all calls, forcing you to decide whether to store or delete the recording; this can also needlessly tie up the voice mail and auto attendant features. Many systems provide only a limited number of recording channels (or “talk paths”).
        By comparison, advanced systems let you selectively record all incoming and outgoing calls (including conference calls, intercom calls and personal reminders) at any time during the conversation. The best systems also offer enough voice channels so that multiple calls can be recorded, even when several users are using voice mail or are transferring through the auto attendant. (Laws governing recording of calls vary by state, so check your local regulations first.)

Advanced Caller ID

Caller ID can let you know who’s calling before you answer the phone. The name and number of the calling party is shown on the telephone’s display (information must be supplied by your local provider). However, Caller ID features vary significantly among phone systems. With some phone systems, Caller ID information reaches the telephone display, but it is lost when the call is processed through the auto attendant or is transferred to another extension. Most systems do NOT retain the Caller ID name and number when the call goes into voice mail.

What to look for:

• Caller ID information stored with voice mail messages. — Only the most advanced systems embed the name and number and pass it along when the call is transferred or goes into voice mail. Automatically storing Caller ID within the voice mail message allows instant auto-redial by simply pressing one key.
• Instantly adding Caller ID information to speed-dial. — Caller ID information should be easily added to each user’s phone’s personal speed-dial directory, without having to enter the caller information manually.
• Caller ID on all phones. — Some manufacturers charge more to include Caller ID functionality on individual phones. Caller ID is such an integral part of efficient phone systems’ usage that it should be standard for every business phone user, and not an extra-cost option.
• Missed-call log — The most sophisticated systems’ Caller ID automatically remember and list the last several callers, whether they left a message or not.

Live call screening

Live call screening allows you to listen to a voice mail message as it’s being left. Many manufacturers call this feature “monitoring” or “monitor mode.” When you’re at home, it’s easy to perform live call screening through your answering machine: you just listen as the person leaves a message, and you can pick up the call at any time. However, only advanced business phone systems provide this level of simplicity.

What to look for

• Call screening that is transparent to the caller. — One method of call screening requires a caller to state his or her name so that it can be recorded. The system then puts the caller on hold; the voice mail system calls the user and plays the recorded name to the user. The user then can either take the call or let it go into voice mail. This is not only time-consuming; it can also be offensive to callers! Preferred systems allow users to easily listen to any message as it’s being left by the caller, without the caller’s knowledge.
• The ability to screen any call. — Some systems that offer call screening cannot do so on calls that have been transferred. With more advanced phone systems, however, users can screen all calls with just one keystroke. Callers never know they’re being monitored as they leave their message. And the most efficient systems also provide enough voice channels so that several users can monitor calls simultaneously without affecting other call processing functions.
• Security and privacy issues. — The call screening feature should offer the option to be password-protected so that others can’t listen in on messages being left at an extension while the user is not present.

Music- or message-on-hold (MOH)

Having a music- or message-on-hold (MOH) feature lets you connect with your customers when they’re waiting to be connected. You can offer music to entertain them while they’re on hold, or you can record and then play a message that will tell them about other products or services you offer.

What to look for

• No hidden costs — Most phone systems require a peripheral plug-in device for nearly any MOH activity. This additional equipment not only increases system cost, it also can add other expenses for installation and service. Further, these systems offer the system administrator very little flexibility to create or select MOH materials. Avoid add-on MOH options.
• MOH built-in, standard. — The most cost-efficient and flexible phone systems include MOH functions as a standard feature. This allows the administrator a higher level of control than with peripheral-based systems. Look for systems that offer prerecorded tracks plus the option to custom-record music and messages or connect to an external source (such as a CD player).
• High-quality audio and start-of-loop capability. — The best systems provide outstanding sound quality, so that the time spent on hold is as pleasant as possible for the caller. When promotional messages are going to be used, look for systems that always play recordings from the beginning (start-of-loop) when a callers are placed on hold so they can hear your message from the beginning.

Auto attendant

With an auto attendant, your phone is always answered 24 hours a day   during office hours, nights, weekends and holidays. It can forward the call to the proper person or department, and it can invite the caller to leave a message. Recent studies indicate that most callers now prefer to be greeted by an auto attendant because they can be connected with the desired person or department more quickly.
      Even when a live operator answers most of your calls, the auto attendant enhances your company’s productivity. When calls come in faster than your operator can handle, the auto attendant acts as a backup, answering overload calls on a pre-determined number of rings. This eliminates long ring periods and hangups, and minimizes the aggravation your customers experience when being placed on hold.

What to look for

• Multiple levels & branches.— Look for a sufficient number of automated attendant levels and branches to handle your current and future call distribution needs. Ask your sales representative to help you diagram your anticipated auto attendant use so you will know your needs.
• Several greeting message options. — You will want multiple main-greeting options, such as day/night, weekday/weekend and holiday modes. Also, the ability to call in and remotely record and activate greetings can be important, especially during inclement weather.
• Various call-routing options. — Does the system you are considering offer multiple call-routing options, including overhead paging, off-premises transfer (follow-me) and pager notification?
• Easy to use. — An auto attendant is a powerful tool, but can be very complex to program and know it is working properly. Look for very easy self-administration, programming and recording of auto attendant prompts and functions.

Automatic call distribution (ACD)

Automatic call distribution (ACD) typically answers calls that come into a specific department, places in queue the calls on hold, then connects each caller to the next available agent within the department as agents become available. It assures callers of the fastest response time, and can better manage the time of agents that receive the calls.

What to look for

• ACD vs. UCD. — Some systems offer UCD (uniform call distribution) instead of ACD. While UCD is sufficient for some applications, be aware of the differences. UCD systems merely allow you to set up a rotating list of extensions to which calls are routed in order, “hunting” for an available agent. This is a much less flexible approach. For instance, the extensions that are higher on the list will always end up receiving a larger number of calls. True ACD allows you to modify the calling parameters to meet your departments’ unique needs.
• Programming flexibility. — Some ACDs have “fixed” call-routing plans. Look for one that allows you to easily change the criteria used for routing calls in queue, and one that automates most of the log-in/log-out process, as agents become available/unavailable. Some preferred features are: ring-all-extensions or pick-up departments.
• Built-in, integrated ACD. — Not only do some systems charge more to add ACD, it is often an add-on and does not work as smoothly as one that is integrated within the DSP system processor. Don’t pay extra to get poorer performance. Insist on an ACD that is integrated with the system’s fundamental call-processing functions.

Verbal help and tutorials

You want an easy way to learn how to use the system and ask for help when you need it. The best phone systems have built-in help/tutorials that you can access quickly from a single key. Watch out for systems that use “feature codes” instead of verbal help and programming. These are difficult-to-remember codes that must be keyed-in to activate a feature or to program keys. Instead, insist upon a one-touch HELP key that can be accessed quickly, even when the user has a caller on the line.

What to look for

• Dedicated HELP key with recorded assistance — Pressing the HELP key should connect you with an easy-to-use topical interface; e.g., “If you need help programming your phone, press 1. If you need help with voice mail, press 2 [...etc.].” It should be instantly accessible, even when you are on a call. This is much more efficient than having to look up instructions in a user manual.
• Built-in tutorial for quick learning — Premium systems include a verbal tutorial that will provide new users a personal “guided tour” of the phone systems’ functions and features, so they quickly understand and can use the system to its fullest potential.

Other advanced features

The most productivity-enhancing phone systems offer a variety of additional features designed to make employees more efficient, including:

• Conference bridges — Lets multiple extensions and/or external callers be linked together into a conference call.
• Automated paging — Lets a caller forwarded to your voice mailbox page you during the personal greeting. The page operates on your internal overhead paging system.
• “Follow-me” call forwarding — Allows a caller forwarded to your voice mailbox to reach you at an external number, such as your home phone or cell phone.
• Background announce — Sometimes called “whisper announce,” this allows your operator or another user on the system to dial your extension when you are on a call and speak a message that is heard only in the earpiece of your handset.
• Multi-purpose programmable keys — Each extension should include many “soft feature keys” that can be easily programmed by each user to be a station-monitoring, intercom or speed-dial key for one-touch connection to most-used features and extensions.
• Virtual Answer Key — Allows you to program a special message to be played only for certain callers. For instance, let’s say an important call you’ve been expecting comes in while you are on the phone; toggling the Virtual Answer Key will allow your important caller to hear the special message you’ve recorded: “Bill, I see that your call has come in, and I need to talk to you right away. Please hold for a moment while I get off this other call.”
• All extensions are “premium” sets — Some systems tout wonderful functions that can be accessed only with an upgraded, more expensive “premium model” extension phone set. Look for a system that includes all the premium features (programmable keys, display, Caller ID, speakerphone, speed dial, etc.) in every set.
• Trunk-to-trunk transfer — Can the phone system transfer an incoming call to an alternate outside line without requiring Centrex service from the local phone provider? This is particularly important for programming calls for “follow-me” service when out of the office.
• TAPI support — Advanced phone systems provide a connection through each extension to connect directly to a desktop PC, allowing phone and PC to work together when using certain contact manager software.
• Options for digital lines — Does the system you are considering allow you to connect either T1 or PRI data lines? Depending on local availability, each form of digital line service provides unique benefits.
• Expandability — Some systems have a limited ability to add lines and extensions, and they must be replaced when need exceeds capacity. This is very costly. Look for a system that can grow and be upgraded without having to replace all your extensions and base system.
• The option to add VoIP capability — In the future, most phone conversation will take place over data lines rather than phone lines. This exciting new technology is called voice over Internet protocol (VoIP), or often just “IP.” Will your new system allow you to add IP capability to provide remote extension capability and link multiple locations together using broadband connections? Most digital systems are unable to offer this dual-mode capability; systems that do will be less likely to become outmoded as you start using IP connectivity.
• DSP system architecture — In much the same way as the microprocessor chip revolutionized personal computer technology, the digital signal processor (DSP) has radically improved call processing efficiency. DSP-driven telephone systems are now recognized as the most reliable and flexible on the market. DSP system design can replace many common telephone hardware components with software. This lets manufacturers include more advanced functions and improve existing features without requiring expensive hardware modifications.

The bottom line

Be aware that there are distinct, discernible differences among telephone systems. It is essential to compare features and functions to find out which will deliver the best long-term value for your business.
      As you investigate various phone systems, be sure to find out how each system’s features and functions will benefit you directly. Be sure that everything you need is included, not an extra-cost add on. Make sure you try each function and understand its benefits and how to use it. Then you’ll be in a position to make a solid decision that will pay for itself many times over.

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* Requires Caller ID service from your telephone service provider.

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