What Is a PBX Phone System

What Is a PBX Phone System

What is a PBX and what can it do for your business?

Do you want to expand your business to new horizons? Do you want to increase productivity and be more efficient in your business? Would you like to increase coordination amongst your employees and increase your output? Well, if any of your questions fits the ones above, then you are in safe hands. This post has been specifically written to help you grow your business. So before we begin, let me ask if you have heard about PBX? PBX simply put stands for Private Branch Exchange. Wondering what it means? No worries. We’re here to answer your questions about PBX.

A PBX is a system that allows your business to manage incoming and outgoing calls and also allows communication within your organization. A PBX is made up of both the hardware and software and connects all communication devices in your business organization such as telephones, hubs, switches, routers and telephone sets.

Thanks to the ever-developing technology, we now have PBX systems that have many features to make communications easier and more powerful within your organization hence boosting productivity.

The size of a PBX set up varies. It will depend on the size of your business organization. PBX sets range from expensive and complex communication systems to basic plans that are hosted in the cloud for a small reasonable fee.

What does a PBX Do?

So now that we know what a PBX is, it would be nice to know what it does. The function of a PBX can be very complex but basically, knowing what it does is enough to help you employ this technology in your business. Listed below are the functions of a PBX.

  • Allows free communication within your organization.
  • Employs the use of more than one telephone line in an organization and manages outgoing and incoming calls.
  • It splits one single phone line into several lines which are identifiable through three or four-digit numbers known as extensions and also switches call to the appropriate internal line. This saves a business from having to pay for several lines and allows all departments of an organization to be reached through one single line.
  • It empowers all communications with VoIP (voice over IP) which cuts down on costs.
  • Ensures a good interface with customers through features like voicemail, call recording, IVR, etc.
  • Automates responses to calling customers with interactive voice response and directs customers to the most appropriate line through voice menus.

The Hosted PBX.

A hosted PBX commonly known as a virtual PBX, is a service that takes all the PBX hardware and puts it in the ‘cloud’. Simply put, Hosted PBX is a VoIP based PBX that is maintained by a hosting company and allows businesses to access all the PBX features via the internet. As a customer, this will greatly reduce the hassle that comes along with maintaining and running a PBX system in your business. You will not have to pay for maintenance costs, go through the long processes of upgrading software and service breakdowns that could take weeks to fix. All of this will be taken care of by the hosting company. All you will have to do is pay a monthly fee and access all the features of a PBX via the internet.

Using a hosted PBX system will cut upfront capital expenditures making it the best fit for small and medium-sized businesses. Most hosting companies will require customers to buy only the IP phones. These hosting companies also provide browser-based administrative portals that give account owners full control over how the service is used in the office.

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