Voice over Internet Protocol (VoIP) is a method for making phone calls via the Internet. This technology takes analog audio signals and converts them into digital form for Internet transmission. There is a tremendous advantage in doing that, because other than the cost of a high-speed Internet connection, the calls are free, as they no longer involve the telephone company.

VoIP is a new technology that has the potential to completely change the world's telephone systems. VoIP technology is adopted by many companies, which due to its cost advantages is likely to replace the Public Switched Telephone Network (PSTN) in the future.

Knowing that with VoIP the phone calls are essentially free, does it still make sense to have a telecom expense management (TEM) system? Yes, it does, because TEM is not just used to calculate the cost of phone calls, using call details records (CDR). It does a lot more. A telecom expense management system can assist in the following:








* Inventory Control. By knowing what resources are unused, under-used or overloaded, much expense can be saved and the telecommunications network made considerably more effective, as well as avoiding future expenses.

* Operation Costs. Having a centralized receipt point for processing vendor invoices provides an effective method of measuring total telecommunications costs and a way to keep them in check.

* Audit Controls. Telecom vendors frequently make billing errors, mostly in their favor. The TEM system compares invoices against computed costs and show up any discrepancies.

* Fraud Control. The TEM system can show up unauthorized or fraudulent use of telecommunications resources, both from outside the enterprise, as well as from within. In today's world security is of vital importance.

* Activity Analysis. By knowing how communications are being used in the corporation, it is possible to improve on the existing structure and thereby enhance productivity and profits.


* Performance. Knowing who is using the company's equipment and when provides an indication of productivity, as well as assists in planning for the future.

* Work Flow. Tracking work orders, trouble tickets and service requests assists in the rapid correction of problem areas in the communication system.

VoIP and TEM provide a winning combination, which can result in reduced costs and improved productivity.

For further information on telecom expense management visit the Telsoft Solutions website.


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