Benefits of Migrating the old On-Premise Phone Systems to Cloud Based Systems



Cloud based services are widely accepted by small and medium-sized businesses (SMBs) as the expenses for storage and bandwidth continues to drop fast. The legacy on-premise system has reached the point where it needs replacement. Cloud based contact centres are a better option as they offer lower total cost of ownership, more deployment options and better service results. The problem with on-premise phone systems in this changing business environment is that it’s hard to change it for new innovations, and is expensive to own and to operate. Cloud based phone systems has removed or significantly simplified these issues.

Hosted Services provide a future-proof solution

While launching a new business it’s difficult to predict the future communication needs. Installing a Hosted IP PBX configuration can make a lot of sense in this kind of situations. Expanding and reconfiguring an IP PBX phone system costs more than that of a Hosted PBX phone system. You can also implement changes exactly when it suits your business best. On-premise systems can be selected only when it’s absolutely sure that the communication needs won’t change, and then investing in equipments may make sense.

Management of the system

Hosted business phone system solution provides a handful of configurations to select from. The traditional system is not custom built to suit the changing requirements of the business. Dealing with system management is very easy in cloud PBX systems and helps to focus fully on the core functionality – growing the business.

New features and upgradations

Both Hosted PBX and On-premise IP PBX solutions allow adding features and taking advantage of upgrades. The difference is in the timing. With a hosted system, the business communication service provider will be implementing solutions across the board for all of its customers, which is a time consuming task and you’ll be left waiting to be serviced. While using an on-premise IP PBX system, it can provide tight control over the system and the installation of new features and upgrades can be done quickly. But the problem is that the cost associated with the new features and upgrades may not be affordable by the budget. In short, an on-premise IP PBX system can easily implement future upgrades or features faster, the business might not be able to afford them.

While choosing between Hosted IP PBX and an on-premise IP PBX, consider these factors that best meet your business needs:

  • Saves money

The only up-front capital expenditure is for the actual phones companies will use. With cloud based PBX setup and installation costs are far less, and companies only need to pay for the lines they need at the time.

  • Highly Scalable

It avoids paying for installation of lines that may or may not be used in the future by the company. Adding or deleting lines in a hosted PBX system is very easy task which can be done often through a web portal. Rather than taking several days, to add new users, a Hosted PBX system makes it possible in a matter of hours.

  • Disaster Recovery plans

Hosted solutions have the added benefits of keeping you connected even if the office is out of commission. A phone system which can provide remote connectivity over mobile devices can perform better when the main office become incapacitated.

  • Simpler moves and Reconfigurations

In Hosted PBX system, the phone system and its features are hosted in the cloud. So no on-site management is needed. Moving office, adding or removing users, etc. can be done remotely through a web portal.

  • Feature Rich

Hosted PBX phone systems are feature rich. Features like call-waiting, conference calling, and caller-ID are standard on hosted PBX systems, and have many more features like auto-attendant, find me/ follow me, calling groups, call screening, voice mail to email transcriptions and many more.

  • Reliability

Hosted PBX systems are extremely reliable. In this system when the active server goes down, the system is instantly connected to a working site. The change can happen so quickly without being noticed by anyone. Problems are handled by the service provider externally, at their locations, providing continual service.

Selecting the right phone system is important for the success of any business. Determining the right solution might involve multiple factors, including whether you are interested in a capital expenditure or in the ease of a month-to-month expense. After a well research on the pros and cons of hosted PBX system and an on premise IP PBX system, decide which features are the most needed for your business, choose a phone system that gives you the greatest return on investment. 


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