Busting Telepresence Myths
Myth #1. Telepresence is practical only for large enterprises
Until recently, the claim that telepresence was primarily a large-enterprise solution was more reality than myth, but that has changed dramatically. The extensive network management requirements and substantial capital costs associated with earlier generations of video conferencing systems kept them out of reach for most SMBs. However, the development of new, more-affordable technologies is making all the benefits of telepresence available to businesses of virtually any size. SMBs are rapidly comprehending the business value and short-term ROI that video conferencing solutions offer," says Sanjeev Aggarwal, an analyst and partner at market researcher SMB Group. The global SMB telepresence solutions and services market opportunity is around $150 million in 2010 and forecast to grow at an annual rate of 9%, he adds. Standards-based, cost-effective solutions designed and built specifically for this segment, coupled with rapidly declining prices for high-throughput bandwidth, are making video a viable alternative for SMBs.
Myth #2. Web-based consumer services are good enough"
Consumer-grade video services, such as Skype, fall short of what SMBs need in a video solution in several key areas, including security, quality, flexibility and features. The best SMB video solutions provide enterprise-class security capabilities, eliminating the risk of network intrusions inherent in consumer-grade solutions that communicate over the open Internet. They provide HD video for an experience that rivals face-to-face meetings and is not available with consumer-grade services. Business-class telepresence networks can be centrally managed, eliminating the bandwidth demand issues that have prompted many businesses to ban consumer video services from their networks. Users control their personnel directories, restricting availability to other users within their network; open networks, on the other hand, make contacts available to everyone. Consumer-grade services also lack features such as multimedia file sharing that make SMB telepresence solutions such a powerful collaboration tool, and most do not support multipoint video calls.
Myth #3. Telepresence networks are difficult to manage and use
In a business environment where doing more with less has become standard operating procedure, IT managers and departments are often stretched to the limit. In the case of small enterprises, they may not exist at all. Choosing to add a new piece of technology and devote resources to implement and manage it is not a decision SMBs take lightly. However, the new generation of SMB video collaboration solutions makes that decision a lot easier, with networks that are easy to manage or, in the case of a managed service, are completely transparent to the IT manager. Just as important, they are easy for end-users to operate, which is a critical factor in driving adoption. The best systems feature intuitive interfaces, phone books and directories, all of which make it easy for users to place both point-to-point and multipoint video calls and to share documents, presentations and multimedia files.
Many SMBs are choosing managed services because they are easy to implement and upgrade and feature intuitive directories that provide ease-of-use for employees and foster quick and widespread adoption. There is no additional burden on the company's IT personnel because management of the telepresence network is handled by an experienced third-party provider. A managed service solution not only eliminates the need for additional IT resources, it reworks the cost structure to replace upfront capital expenditures with a fixed monthly cost. SMBs gain immediate access to the most up-to-date technology and software releases. They are able to reap all the benefits of a video collaboration solution without the responsibility of owning the network.
Myth #4. The payback isn't there for the smaller enterprise
In many cases, the reduction in travel budgets discussed above provides a bottom-line return on a telepresence solution that more than justifies the investment. For example, the cost of two state-of-the-art room-based systems may be covered by the savings from the elimination of just two international business trips. The best SMB telepresence solutions allow companies to limit capital outlays by starting small and scaling up as needed. Some vendors offer flexible financing options, which can blunt or even eliminate upfront expenditures; as mentioned, managed services may obviate initial capital costs in favor of fixed monthly costs.
In most cases, potential ROI goes well beyond that. Virtually any workflow process an SMB currently implements with telephone, digital channels, or travel can be improved with video, producing results that are measureable and quantifiable. Video collaboration applications exist for virtually every aspect of a business, from management and sales and marketing to human resources and R&D. Every time a small- or medium-size business replaces or augments a practice with telepresence, it gains an opportunity to measure ROI. An online self-assessment of potential overall savings can be calculated at http://tandberg-business-advantage.com; use the TANDBERG-Forrester Total Economic Impact Calculator (www.tandberg.com/services/professional_services/return_on_investment.jsp) to assess potential ROI for specific business functions within your company.
