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WHITE PAPERThe BusinessBenefits of VoIPAuthored by: CenturyLink Advanced Technology Solutions (ATS) Team1White PaperT he Business Benefits of VoIP

WHITE PAPERThe Business Benefits of VoIPMore than ever, enterprises are relying on technology to help solveAs with any IT project, budget is a consideration factor. Youtheir business issues while constantly seeking better technologicialhave to decide between continuing to spend capital andinnovations that improve both operational efficiencies and betterresources to maintain your current voice TDM architecture ormanage expenses. Nowhere is this more evident than withconsidering another course. With challenge comes opportunity.voice communications where companies, through growth andTDM’s impending sunset presents an opportunity to organize,acquisition, are maintaining and managing disparate phone systemsunify and standardize your network, as these forward-thinkingand multiple legacy voice networks. Additional concerns — suchenhancements will prepare your company for the future. Thisas equipment vendors phasing out support for some TDM (timewhite paper analyzes why a move from TDM to a Voice over IPdivision multiplexing) components and the need to support an(VoIP) is a beneficial solution for your enterprise.increasingly mobile and virtual workforce require companies toconsider new voice service options.VoIP is a Priority for Today's Enterprises 1Level of Priority of Data/Voice Network Management,Unification, and Innovation in Supporting BusinessGoals — Next 12 MonthsIt is important to understand the differences between TDM andVoIP call processing. For each TDM phone call, an analog call is transportedover copper wires from the caller to the called party. EachTDM call is a dedicated physical connection end to end andCritical PriorityVery Important1%16%33%requires a business line purchased from a carrier. 16%VoIP encapsulates the analog voice audio into digital datapackets. All voice, video, and data packets are simultaneouslyModerate Priorityprocessed on the local area network (LAN) or over theLow Priorityexternal wide area network (WAN) when required.36%As you are thinking about the move to VoIP, assess your currentdata network to learn how voice calls will affect its ability toVoice over internet protocol (VoIP) puts voice call traffic onthe enterprise’s existing Intranet — or IP-based network.It allows a person to make voice calls by converting soundto data and processing it across a data network rather thanusing conventional or analog phone systems with TDM lines.In today’s market, data bandwidth is less expensive thanever, so expanding its capability to handle voice is an optimaltransformation. Moving to VoIP enables you to use one networkfor both data and voice — removing the need to rely on thecostly and aging TDM technologies.2White PaperT he Business Benefits of VoIPfunction for simultaneous voice and data traffic. A correctly sizednetwork is critical for a successful transition. In addition to theLAN, will the WAN also be capable of handling VoIP call traffic?Both questions are valid and should be addressed.

There are a number of ways to provide adequate call quality.can use call admission control (CAC) mechanisms and VLANsQuality-of-Service (QoS) network capabilities help manage theto protect voice traffic from competing network traffic andLAN and WAN so call quality does not suffer in the convergedprevent excessive voice traffic from flooding the WAN network.environment. The LAN and WAN class of service and qualityCAC rejects calls when there is insufficient CPU processingof service (CoS/QoS) can provide for voice prioritization overpower, when the upstream and downstream traffic exceedsother traffic. On the LAN, separate virtual LANs (VLANs) can bepre-specified thresholds, or when the number of calls handledcreated for data and voice in the local network. Data and voiceexceeds a specified limit. Combined, these tools have made VoIPtraffic can compete with one another on the network, which mayeasier to manage without a negative effect on voice quality.cause uneven voice audio quality. To mitigate this problem, youBenefits of VoIPThere are many benefits of moving to VoIP, some of which are not even offered as an option with TDM. The cost to maintain andmanage TDM infrastructure is reflected at both the customer level and the carrier level. Operating costs of VoIP service providersare lower than traditional TDM phone companies, which must contend with expensive-to-maintain telephony architecture and costlyregulations. Lower costs allow the VoIP provider to charge less while providing more features.Many features and services are built into the VoIP platform or included by the provider-saving businesses from spending on the samefunctionality at the enterprise level. With TDM, you pay monthly for many of the features you need, such as caller ID, call forwarding,three-way calling and more. In contrast, VoIP providers include these features in the monthly cost of the service. These can beimplemented user by user or location by location.Increasing ProductivityVoIP services make your voice communication capabilities more flexible. They enable cost savings and productivity features that TDMhas trouble matching: Always available: Today, many VoIP offerings are configured eliminates the need for employees to master multiple phonecell — making it easy for customers and partners to reachsystems as they move around the organization. Employeesyour employees thereby reducing “phone tag” situations.can be responsive and productive on day one, with lessAchieving this “always available” feature with a TDMsystem would require additional lines to forward the call training required. Portability: Once an employee has a phone number, thatto a secondary device and possibly additional PBX (privatenumber can follow him or her throughout the enterprise. Ifbranch exchange) equipment.an employee moves to another physical location either withinEnable a virtual workforce: As long as users have accessthe building or to another location, he or she can take theirto a broadband connection, they can continue to handlephone, plug it into a LAN port and along with the number, allcalls outside of the physical walls of the office — even whilefeatures and capabilities will follow. This saves IT staff timetraveling — via software installed on PCs and mobile devicesas there is no need to physically move equipment —that enable users to make and receive calls. External callersadministration is managed via a provider web-based portal.can reach employees using their published company phoneTechnicians are no longer required to move users to anumber while keeping the employee’s mobile number private.new cube or physical location as this can now be easilyVoicemail via email: With VoIP, voicemail can automaticallyaccomplished via an online portal.be forwarded to the user’s regular email box as a wavfile attachment or transcribed and sent as text. With allmessages in one archive, employees can read or listen totheir messages and forward them if necessary.3Combine and simplify features: VoIP standardizationto simultaneously ring on multiple devices — such as yourWhite PaperT he Business Benefits of VoIP

Business EfficienciesVoIP can assist enterprises by increasing efficiencies in IT operations: Virtual numbers anywhere: Many enterprises are Easier migration and deployment: VoIP can be deployedexpanding their services into markets where they do notwith little cost because it operates on your existing LAN andhave a physical presence. With VoIP, you can have a localWAN. Performing network assessments can identify whatphone number in an area code you select. You don’t need ais needed to introduce VoIP into your ecosystem. Migrationphysical system in that location. The VoIP line can connectto VoIP is easy to deploy. It is a matter of setting up thecalls to a location in a different region of the country.service with a VoIP provider and migrating to the convergedBecause of TDMs rigidity and regulations, a local phoneLAN and WAN architecture. VoIP can coexist with a TDMnumber in that market must be purchased requiring a formenvironment, with the migration coordinated over time. Noof call forwarding redirecting the call to another device ormore “flash cuts” into a new architecture.location. In these cases, there is a cost monthly in eachmarket and often a cost per minute for each call processed.Reducing Costs Ongoing monthly savings: Today your TDM bills are basedPBXs and other voice hardware requires an enterprise tohave one or more technical resources available to performIf you are in an area of the country where minute-of-useactivities on the equipment. For some of these systems,charges exist for local calls, this cost does not apply whenthe available resources are limited as the equipment mayusing VoIP. It is important to note that standard long distanceno longer be supported by the manufacturer, and thereforerates on VoIP are often less expensive than traditional TDM.you may pay a premium for maintenance and techniciansBetter bandwidth utilization: Did you realize that duringto support your environment. As stated earlier, the phone isa voice conversation there is an average of 35-50% ofanother data device and managed using the data technicalsilence during each call? When moving to VoIP this utilizationresources. You are no longer required to hire, train andsavings can be applied so more calls can use the samemanage legacy TDM IT staff. With VoIP, this can free upamount of bandwidth. During those periods of silence, thethose IT resources to focus on strategic efforts aligned withbandwidth is available on the network for other voice, datathe core business objectives.Moves, adds, changes and deletions (macd) activitiesvia portal: Most VoIP providers offer online access forperforming user-level changes as well as administrationactivities such as, moves, adds, changes, and deletionsand modifying the features available for the enterprise. Nomore dispatching technicians or paying for MACD changesin the environment.4Technical resource cost management: Today, most TDMcompanies on the same network with no additional charges.or video communications. on regulated fees and services. With VoIP, you can call otherWhite PaperT he Business Benefits of VoIP