A technology that—at least on the surface—looks like an expensive undertaking best left for larger companies actually can be a money saver.
Videoconferencing, which brings together video and audio communication
between multiple participants in disparate locations, traditionally has been
seen as an expensive, high-end solution best suited to large companies with
global offices and fat bankrolls. And while those enterprises still are
enthusiastic users of videoconferencing, the variety of solutions today, along
with a realization that travel takes a significant toll on companies of all
sizes, has caused many smaller companies to reconsider.
“The value of videoconferencing is much more than cost savings, but
for small and mid-sized companies, that’s usually what they look at first,”
said Rebecca Swensen, a research analyst at IDC of Framingham, Mass.
“Especially today, with the cost of travel skyrocketing.”
Although cost tends to be the primary driver for small and
mid-sized companies, increased productivity is a strong second, said Rick
Snyder, president of the Americas at New York-based Tandberg, which offers a
range of videoconferencing solutions from simple desktop models to high-end
room-based systems.
“They find that it accelerates decision-making,” he said. Even in
mid-sized company, the ability to get three executives in different cities to
look each other in the eye is valuable.”
Videoconferencing also helps companies disseminate information
more quickly and effectively to sales teams, channel partners, and internal
divisions. It also can help unify dispersed work teams, including those working
from home.
For the vast majority of smaller companies, high-end telepresence
solutions from companies like Cisco, Tandberg and Polycom are much too
expensive, but there are many lower-cost solutions and approaches that fit the
bill.
The best way to figure out what type of videoconferencing set-up
to consider is by first determining how your employees typically conduct
meetings, what technologies (IM, email, etc.) are used for communication, how
much travel your employees do—both to customer sites and to other company
sites—and the capabilities of your network.
Armed with that information, it’s time to consider the most
cost-effective options that fit your company’s style.
On the low end, there are actually a few free tools, but these are
best used for very small companies or companies with limited videoconferencing
needs. Skype, for example, offers free online videoconferencing. All that’s
needed is Skype software running in a Windows environment, a webcam, a dual
core processor PC and a fast broadband connection. Also free is ooVoo, which
allows users to talk face-to-face with up to six people, as is SightSpeed’s
basic offering. The drawback of these systems is that they are proprietary; an
ooVoo system can only talk to another ooVoo system, for example. Encryption
also tends to be weak or nonexistent.
These options, while very useful for small companies, don’t scale
well. The next level includes products like Microsoft Live Meeting, Adobe
Acrobat Connect Professional, which although are more suited to basic
collaboration, also offer videoconferencing capabilities.
Also part of that group is SightSpeed’s Pro service, which offers
video-mail recording, multiparty videoconferencing, and the ability for
non-SightSpeed members to participate in audio or videoconferences via a
browser.
Up another level are products like Radvision Scopia Desktop,
software-based solutions installed on a PC but requiring a multipoint control
unit, and hardware-based offerings like Tandberg 1700 MXP, a 20 inch HDTV
combined with a hardware-based codec that sits on the desktop. Most of the
products at this level are capable of talking to other standards-based systems.
The Tandberg system, for example, can talk to systems from Polycom, Sony and
LifeSize Communications.
Each of these systems has its own way of reaching the goal, but
are a step up from the webcam approach and scale much higher.
SightSpeed’s professional edition offers a host of features
including unlimited video calling, multi-party videoconferencing, video mail,
unlimited video mail storage, no long-distance fees and detailed call history.
For comparison, Adobe Acrobat Connect Professional has “always-on” personal
meeting rooms, options for archiving and editing online meetings, works with IM
clients and has compliance and usage reporting tools. And Radvision’s Scopia
Desktop uses a free browser plug-in to allow anyone at any location to
participate in a videoconference. It allows data shared from a room system to
be viewed on all other rooms and on desktops, while data shared from a desktop
can be viewed on all other desktops and in conference rooms.
Cost also runs the gamut. Microsoft Live Meeting’s professional
edition costs about $16 per user per month for a five-user license, while Adobe
Acrobat Connect Professional’s hosted offering costs from $400 to $500 per user
annually, but often requires the purchase of additional software. SightSpeed
Pro costs $1,500 for a 10-user pack and $7,000 for a 50-user pack, while
Tandberg has a 150-user system for about $3,000 and other viable systems for
less than $10,000.
“The technology has definitely become more affordable and practical
for smaller companies,” Snyder said. It doesn’t take a lot of trips to justify
the expense, and the technology tends to pay for itself in six to nine months.”
“It’s definitely getting
more popular with smaller companies,” Swenson said. “They are finding that
solutions like this can really help companies built more intimate relationships
with potential clients, not to mention making internal meetings more
productive.”
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