What is PBX?

 What is a Business Telephone System?

A business telephone system is a multi-line phone system used in a professional environment. If you have more than one phone in your office space, you likely use some kind of business telephone system to manage incoming phone calls. 

With analogue phone systems producing more and more expensive phone bills, more efficient digital solutions have appeared over the last few decades. Digital business telephone systems have expanded what’s possible with communications - additional features like custom greetings and virtual receptionists help to create a more positive and seamless experience for clients, customers and employees alike.

What is a PBX Phone System?

A PBX, or Private Branch Exchange, phone system is a key component to a business telephone system: It is essentially a private network used to organise internal and external calls, regardless of whether you use analogue, ISDN or VoIP channels. 

It gives the connected devices one IP address and one outbound channel, helping to make internal and external calls, forward calls and so on. Digital transformation has also made PBX phone systems more sophisticated - all you need is a good internet connection, and you have a comprehensive and infinitely scalable solution to business communications.

Traditional PBX vs Hosted PBX

There are two main types of PBX: traditional PBX, and hosted PBX.

Traditional PBX may be where your mind goes first - offering a limited number of telephone lines (trunks), traditional PBX involves on-site hardware that the business has to find a home for. This option is only possible if you have a large enough office space to accommodate the technology.

Nowadays, traditional PBX can be difficult to manage: 

• It can be costly; you need experienced administrators to set it up, and any repairs needed are your responsibility to deal with.
• Traditional PBX is also more vulnerable from a cyber security perspective, as anyone who can access your office space can access it. 

But what is hosted PBX?

With hosted PBX, you don’t need to worry about housing, installing, fixing or upgrading your PBX system - your host company manages all this for you, so you can focus on making the system work for you. With unlimited trunks and integration options, you can personalise your PBX system to work for you. Cloud working also makes it possible for your employees to do their jobs anywhere in the world, as long as they have a connected device.

How does Hosted PBX work?

Hosted PBX is simple to set up and operate. It connects nicely with VoIP (Voiceover Internet Protocol) technology, which allows phone calls to operate over the internet instead of through traditional telephone networks. 

Calls from external companies go through your host’s VoIP software and through the internet to reach company phones - with traditional PBX, it would also have to go through the on-site hardware first, meaning you have to rely on that hardware to perform the way it should for calls to come through.

All users get an extension before the PBX system goes live so they can get used to the software, and then business telephone numbers are transferred from the legacy system to the hosted system for a smooth transition. Any device can be connected, from mobiles to desktop browsers, so it’s easy to manage everything.

Features of PBX

Hosted PBX comes with a wide range of fantastic features that you can pick and choose from to make it as beneficial to your business as possible. 

Here are the 10 best features of PBX:

1. Call transfers. You can transfer calls between users easily and quickly without risk of dropping or losing calls, helping to create a seamless customer support experience.
2. Call management. You can permit and restrict calls based on your specific requirements - for example, if your office runs from 9-5, you can set an out of office so calls that come through at other times are restricted.
3. Voicemail. In the instance that no one can come to the phone, you can encourage incoming callers to leave a message - this helps prevent important business from slipping through the cracks.
4. Call recording. This is great for training and monitoring purposes, but also provides a layer of protection as it is useful for avoiding or resolving large miscommunications with clients or customers. This can be an important part of your Document Management architecture.
5.  Interactive Voice Menus (IVRs). With this feature, you can present an array of options in an easy-to-understand way, so callers are always directed to the appropriate team to handle their queries.