The TCO for VoIP should include the electrical power bill. The cost to power the IP phones can be much higher when comparing one vendor’s power consumption vs. another vendor. This becomes apparent in the Tolly Enterprise’s report “Avaya 9600 Series Voice [...]]]> From an article written by Gary Audin of Telecom Reseller –

The TCO for VoIP should include the electrical power bill. The cost to power the IP phones can be much higher when comparing one vendor’s power consumption vs. another vendor. This becomes apparent in the Tolly Enterprise’s report “Avaya 9600 Series Voice over IP Phones: Energy Consumption Evaluation versus Cisco Unified IP Phone 7900 Series”, http://tolly.com/DocDetail.aspx?DocNumber=210143.

The Tolly report came to three major conclusions:

1. In every scenario tested by Tolly, the Avaya 9600 phones consumed 40% to 60% less energy than the comparable Cisco offering.
2. Over 80% of the overall energy consumption of VoIP systems can be attributed to the VoIP phones.
3. Avaya VoIP solutions (gateways, servers, IP Phones) were validated by Tolly to use 45% less energy, produce 45% less CO2 and lower the electrical expense by 45% vs. Cisco.

So what does this mean in power and cooling? First, there are three classes of IP phone power consumption supported by PoE.

Class 1 devices consume fewer than 4 watts. There a very few IP phones in this category.

Class 2 devices consume 4 to 7 watts. A majority of the IP phones fall into this calls. These IP phones require only 4 watts and others that require 7 watts, both of which are class 2 IP phones.

Class 3 devices consume greater than 7 watts. An IP phone in this category usually supports 1Gbps, color screens and other advanced features.

A factor not included in the cost of power and cooling is the energy consumed and the heat produced by the power supplies in the LAN switch providing PoE. Nothing is 100% efficient. The LAN switch consumes 1 to 3 watts per port for PoE. The following calculation does not include the inefficiency of the LAN power supplies so that the actual savings by using a low wattage Class 2 IP phones would be even greater.

So let’s create a situation for an enterprise with 1000 IP phones and create a cost comparison. The average electrical power cost in the U.S. is about $.10 per kilowatt hour. The cost to cool the phones is an additional $.09 per kilowatt hour (Kwh is 1 kilowatt = 1000 watts consumed in one hour).

Most enterprises would leave the IP phone on and powered for the full 24 hours and 3651/4 days a year for 8766 hours per year. Consider a class 2 IP phone consuming 4 watts. It would require:

8766×4/1000 = 35.1 Kwh/year

35.1 Kwh x 1000 class 2 (4 watt) IP phones would require 35,100Kwh

35,100Kwh x $.19 = $6669.00 per year to power and cool 1000 class 2 IP phones or $6.67per phone/year.

If a 7 watt class 2 IP phone is deployed, then the cost would be 61.4Kwh per year at a cost of $.19/Kwh for a bill of $11,666.00 per year. This is a cost increase of $4997.00/year or $5.00 per phone/year for the 7 watt phone compared to the 4 watt phone. As energy prices increase, the advantage of the 4 watt phone only increases.

When evaluating IP phones:

Make energy consumption part of the RFP document and product evaluation processes. A more expensive IP phone may have a lower TCO when energy consumption is included in the vendor evaluation.
Determine the maximum and idle state power consumption.
Select IP phones that turn off the display when not being actively used
Buy single Ethernet port IP phones.
Do not buy features that you may never use such 1Gbps IP phones.
Consider power management software in the LAN switch that turns of PoE ports during evening, weekend and holiday periods. Turning off the PoE during these periods can reduce the power consumption up to 60%.

In this time when going green is being hyped for the data center, especially the virtualization of servers, many in IT do not look at the small things like phones. When you compare the IP phones to the legacy analog or digital phones you see even a greater cost difference. Legacy phones usually consume less than 1 watt, 25% of the wattage consumed by the class 2 phone that is rated at 4 watts.

I have rarely encountered an RFP or system procurement negotiation includes the energy costs in comparing products for purchase. When I have presented this thought process, many consultants have added energy consumption to the IPT RFP.

The Tolly mission statement is “to provide IT users and vendors alike with independent, objective, hands-on performance testing, benchmarking services and consulting designed to illuminate differences between strategic products/services and help IT buyers make informed technology decisions.” Tolly also has a number of other reports that include the energy consumption comparisons of IPT servers and LAN switches powering PoE.

I have written other blogs dealing with energy consumption and conservation. The most recent blogs are Green ICT Questions, Your 2010 IPT Energy Plan and Green IT Initiatives: The Investment Value.

For Immediate Release:24 May 2011

New support model provides globally consistent and streamlined support options aligned with today’s advanced communications needs
Customers to experience accelerated responses and simple, flexible packages

BASKING RIDGE, N.J. – Avaya, a global leader in enterprise collaboration systems, software and [...]]]> Avaya Support Advantage Offers Simplified Approach, Greater Choice

For Immediate Release:24 May 2011

New support model provides globally consistent and streamlined support options aligned with today’s advanced communications needs
Customers to experience accelerated responses and simple, flexible packages

BASKING RIDGE, N.J. – Avaya, a global leader in enterprise collaboration systems, software and services, today introduced a new support model that offers simple, flexible options and faster response times for Avaya solutions. Avaya Support Advantage is a comprehensive maintenance model comprised of 24×7 remote software and hardware support, with additional modular options that can be added to suit a customer’s needs.

The new support framework will be consistent globally for all new Avaya system solutions. It provides around-the-clock maintenance support coverage for both software and hardware, and enables effective troubleshooting of communications as well as streamlined pricing and invoicing.

The new Avaya Support Advantage model features two packages:

Essential Support is the basic level of support for customers requiring solution level remote technical support as well as software updates and patches. It offers 24×7 remote technical support and sets specific response time parameters to address issues, depending on problem severity. Included are access to Avaya’s Web-based customer support tools, remote technical support of hardware and software, and coverage to ensure required parts are delivered on the next business day.
Preferred Support encompasses the Essential package plus remote monitoring that alerts Avaya within 90 seconds of receiving an alarm. It can drive up to 20% faster resolution times, on average1, due to increased visibility through around-the-clock monitoring. The Avaya EXPERT SystemsSM monitoring remotely clears virtually all system-generated alarms. With this package, Avaya aims for response times of 15 minutes or less for major incidents.

Avaya Support Advantage also includes simplified add-on options that enable Avaya’s maintenance partners and customers to select services in various combinations. These include:

Upgrade Advantage for subscription access to the latest major software upgrades.
Onsite support for critical parts replacement at the customer’s location.
Terminal replacement for next-day deliveries to replace defective terminals.
Software release management and back-up and restore services.

Quotes
“In today’s 24/7 world, companies require a support solution that can proactively monitor communications networks around the clock and quickly resolve any communications disruptions. Avaya Support Advantage provides a new level of flexibility, a broad range of support options and global consistency – all important elements to help ensure our customers are covered with the right level of support to protect their communications investments.”
–Mohamad Ali, senior vice president and president, Avaya Global Services

“Avaya Support Advantage delivers a range of new benefits for both customers and business partners. The simplified model eliminates any confusion among customers and Avaya’s technology partners and the model’s consistent global pricing methodology increases customer confidence. Avaya’s new support program should increase client renewal rates significantly.”
–Vel R. Johnson, vice president, operations & service, SPS and an Avaya business partner

“Customers are seeking new and enhanced ways to drive operational efficiencies. Avaya has changed their support model to provide that added value. The offering is comprehensive, yet easy to understand in terms of the cost and benefit. Support Advantage, Avaya’s new offering, will provide customers across global markets with consistent and simplified service, regardless of geography.”
–Rob Brothers, program director, Software and Hardware Support and Deployment Services, IDC

Avaya Support Advantage will be available August 1, 2011. For more information on Avaya Support Advantage, please visit here.

There is nothing inherently wrong with this approach, but it [...]]]> When it comes to mobile communications, most businesses take the following approach: ‘Yes, we need to keep our employees in touch all the time. You never know where they need to be working. But let’s get the best possible mobile plan and stick with that.’

There is nothing inherently wrong with this approach, but it is incomplete at best, and at worst risks missing out on some of the major developments that are transforming the way businesses of all kinds and sizes use mobile communication.

Here’s why:

Mobile communications isn’t just about making phone calls. Mobile communications has come a long way in just the last few years. Web-enabled smart phones, 4G networks, social media, location-based services, etc., have all seen to that. According to the Pew Internet and American Life Project, the use of mobile phones is about a lot more than just talk: the use of data applications on mobile devices is growing dramatically each year, from accessing the Internet and e-mail, to texting, taking pictures, recording videos and more.

Being mobile isn’t just about traveling. Mobile solutions were once primarily aimed at business travelers, but today every employee is a potential mobile employee whether they are traveling, working from home or working at their business location, but not necessarily in their office. Interestingly, even if they are in the office, they are still ‘mobile;’ by some estimates, as much as 60% of cellular calls are made and received while the user is in the office.

Being mobile isn’t just about being reachable. People used to use a mobile phone so they could be reached quickly. Now, smart companies are factoring mobility into their business processes, from approval chains to juggling workforce requirements. Mobility can is still about convenience, but more and more it is about productivity and differentiation.

How can you make mobile communications a strategic part of your overall business planning? The key is to look at your communications holistically-integrating and streamlining communications whether it involves the office communications system, voicemail, e-mail, IM, presence, calendar, smart phone capabilities, in-building wireless, etc. By taking a holistic, unified approach you give employees the ability to

· Move transparently and securely among all their communications channels.
· Begin a communications thread on one device and pick it up later on another.
· Synchronize e-mail, contacts, and calendar entries, call logs and text chats across all their devices.
· Have one identity for making and receiving calls (i.e., when making a business call from home, the person being called sees the office number, not a personal number.)
· Receive alerts on their mobile device when a voicemail is left at the office.
· Get presence status on colleagues and others so they can be reached quickly.
· Place calls over Wi-Fi, including when calling from a location out of the office, such as a hotel in a foreign country, eliminating toll charges.

They key to doing all of this is to manage your mobile communications through your office communications system. This is what enables employees to take advantage of all of the features of their office communications system while the business manages and controls usage-for example redirecting mobile calls over the Internet to save on toll charges while overseas.

Mobile communications goes from being a convenience to becoming an essential part of an overall communications strategy.

For more information on cost-effective mobile communications, contact us at:sales@mabc.com

You keep hearing about all of the features that are now available in a new piece of software. They sound great, but not compelling. You like the familiarity of what you now have and, truth be told, you don’t want to lay out the money.

But then you do upgrade, and [...]]]> Is this you?

You keep hearing about all of the features that are now available in a new piece of software. They sound great, but not compelling. You like the familiarity of what you now have and, truth be told, you don’t want to lay out the money.

But then you do upgrade, and lo and behold you discover that you don’t care about 95 percent of the new features. But that other five percent? Those features are so spectacular that they alone justify the entire cost of the upgrade and more. Welcome to Economics 101. You have just experienced a variation on what is known as the ‘opportunity cost.’

There is no escaping the opportunity cost (OC). We are always making choices and there is a cost to every choice. You accept your friend’s invitation to a ‘free’ lunch-but in reality it’s not free: you might have done something more productive with that time, such as meeting with a major client and winning a big sale or attending a class and learning a new skill.

Holding on to technology is a choice. You keep using the same computers, software, copiers, routers, etc. and in theory, you use the capital that would have gone into an upgrade to invest in other things that you deem more important.

Many businesses take this ‘buy-and-hold’ approach to their office communications system. They wait until it starts failing or they are moving and it is simply not worth the trouble to take the old system along.

But in recent years, this buy-and-hold approach to communications systems became suspect. One factor was the accelerated depreciation on new capital equipment included in government stimulus efforts: many small businesses were ‘stimulated’ into upgrading their communications by the ability to expense so much more of the purchase and see it come off their taxes.

But an even bigger factor has been the growing recognition that there is a significant OC in holding on to your current system: you are foregoing the opportunity to benefit from the many advances that have taken place in small business communications.

How important is that to your business? Only you can decide. But if you value communications-if the phone, mobile, e-mail, IM, etc. are something you use every day, it’s probably worth taking a close look at how business communications systems have changed in ways that can save you money, increase sales, keep customers more loyal, make your business more productive, etc. In particular, here are five key things to look at:

1. Unified Communications: If communications is important to your business, you probably take advantage of many different communications tools: the office phone system, mobile/cellular communications, e-mail, etc. Traditionally, all of these have been separate solutions that worked independently of each other. Not anymore. Today’s small business communications systems get them all working together. A voicemail left on your office phone system can appear on your mobile phone. You can have calls ring simultaneously on your office phone, your mobile, your home phone, etc. By unifying your communications, today’s small business systems give you more options and more control.
2. Mobility: Does the ability to work from anywhere appeal to you? Would you like the option to have all your communications tools available whether you are at home, staying at a hotel or simply down the hall in another office? With today’s small business communications systems, being away from the office no longer means accepting watered-down communications. You can get access to all your tools-online phone book, speed dials, conferencing calling, unified communications, etc. from anywhere.
3. Customer Sales/Service: Customers like to have their calls answered promptly. They like to be recognized. They hate having to repeat the same information over and over. The makers of today’s small business communications systems have recognized all of this. There are dozens of capabilities in today’s systems designed to turbo charge your sales and service, from instantly routing and recognizing callers to connecting the phone system directly to sales programs (such as salesforce.com) so every customer interaction is smart and personal.
4. Conferencing/Collaboration: Communications systems used to be designed for one-to-one communications: make a call, hang up and make another call. Not anymore. With more and more people working remotely, the ability to have team meetings on the phone is critical. Getting a dozen people on the line is as easy as getting one person, and you can also use your communications system to share files, conduct training, alert people to regularly scheduled meetings, etc.
5. Lowering Communications Costs: For many small business, the savings in operating expenses-lower long distance charges, lower call handling costs, reductions in conference calling fees, the ability to use SIP trunks and share resources between offices-can alone justify the decision to upgrade a communications system.

Any one of these five capabilities can more than justify an upgrade. How much can you really benefit? Avaya offers a free online calculator at www.avaya.com/ipofficeroi that you can use to see how different communications capabilities can impact your bottom line. It takes just a few minutes to complete and you can use the report to help choose which new system is right for your business.