Why do companies use automated phone systems?
 

Big and local businesses, including government all employ the use of automated phone systems. Few, if any, customers report preferring a machine to a human, yet companies continue to use phone systems.

Reducing Costs

The top reason for businesses to employ automated phone systems are to cut costs. A Nov. 6, 2005, "Seattle Times" article stated that a company spends 50 cent to $1 a minute when a representative answers your call vs. 5 cents per minute when an automated phone system does. A similar article in the May 2, 2005, "Christian Science Monitor" claimed the cost of an in-house receptionist cost $4.25 per transaction, $1.80 for an overseas receptionist, and 65 cents to be handled by a computer.

Reduced Margins

Consumers comparison shopping online to find the lowest price, or visiting retail shops to see a product, then purchasing it online have forced companies to cut costs in order to remain competitive and still turn a profit.

Appearance

Combining a toll free phone number with an automated phone system and virtual assistants allows small and Internet-based businesses to appear as though they are a Fortune 500 company and to operate internationally.

The good side

Reverse 911 systems use automated phone systems to send out recorded messages to large amounts of residents and offices in a specific geographic area. This system was used in October 2007 to warn residents in the San Diego, California, region of a deadly outbreak of wildfires, urging residents to evacuate.

Intervention

The Federal Communications Commission proposed new regulations, in January 2010, to restrict the use of automated phone systems to wireless numbers and to allow residential numbers to "opt out" of similar calls. Telephone companies, airlines, banks, insurance companies, debt collectors, politicians and tax-exempt organizations seeking donations would all be affected.

Communication plays a very important role in the success of a business, especially in small business. There are number of different types of phones systems available in the market, but it is up to us to select the best phone system according to the need of the company.

Almost all the phones are designed to cater the needs of all types of organizations, home setup, and business establishments. Among all phones avaya phones comprise a series of products that aim to improve and lower the cost of operations of its users. These solutions are designed to satisfy the different needs of most businesses. With these phones, a company can enhance employee productivity, lower costs and improve customer service.