Video Conferencing – Smart Management

A video conference allows individuals at two or more locations to communicate simultaneously through two-way video and audio transmissions. The critical feature of videoconferencing is the digital compression of audio and video streams by a device called a codec. Those streams are then divided into packets and transmitted over a network or the Internet. Until recently, the technology was plagued by poor audio and video performance, and its cost was prohibitively high for all but the largest and most powerful corporations. Most companies deemed videoconferencing a poor substitute for face-to-face meetings.

However, vast improvements in videoconferenc­ ing and associated technologies have renewed inter­ est in this way of working. Videoconferencing is now growing at an annual rate of 30 percent. Proponents of the technology claim that it does more than sim­ ply reduce costs. It allows for “better” meetings as well: it’s easier to meet with partners, suppliers, sub­ sidiaries, and colleagues from within the office or around the world on a more frequent basis, which in most cases simply cannot be reasonably accom­ plished through travel.

You can also meet with con­ tacts that you wouldn’t be able to meet at all without videoconferencing technology. For example, Rip Curl, a Costa Mesa, California, producer of surfing equipment, uses videoconferenc­ ing to help its designers, marketers, and manufactur­ ers collaborate on new products. Executive recruit­ ing firm Korn /Ferry International uses video interviews to screen potential candidates before presenting them to clients. Today’s state-of-the-art videoconferencing systems display sharp high-definition TV images.

The top-of­ the-line videoconferencing technology is known as telepresence. Telepresence strives to make users feel as if they are actually present in a location different from their own. You can sit across a tabl e from a large screen showing someone who looks quite real and life-size, but may be in Bruss els or Hong Kong. Only th e handshake and exchange of business cards are missing. ‘Ielepresence products provide th e high­ est-quality videoconferencing available on th e mar­ ket to date. Cisco Systems has installed tel epresence syste m s in more than 500 organizations around th e world.

Prices for fully equipped telepresence rooms can run to $500,000. Companies able to afford this technology report large savings. For example, technology consulting firm Accenture reports that it eliminated exp endi­ tures for 240 international trips and 120 domestic flights in a single month. The ability to reach cus­ tomers and partners is also dramatically increas ed . Other b usin ess travelers report tenfold in creases in the number of customers and partners they ar e able to reach for a fraction of the previous price per person.

MetLife, which installed Cisco Telepresence in three de dicated conference rooms in Chi cago, New York, and New Jersey, claims that th e technol­ ogy not on ly saved time and exp ense but also helped the company meet its “green ” environ mental goals of reducing carbon emissions by 20 percent in 2010. Videoconferen cing products have not traditionally been feasible for small businesses, but another com­ pany, LifeSize, has introduced an affordable line of products as low as $5,000.

Overall, th e product is easy to us e and will allow many smaller companies to use a high -quality video conferencing product . Ther e are even some free Internet-based options like Skype videoconferencing and ooVoo. These products are oflower quality than traditional vid eo­ conferenc ing products, and they ar e proprietary, meaning th ey can only talk to others using th at very same system. Most videoconferencing and telepres­ ence products are able to interact with a variety of other devices.

Higher-end systems include features like multi-party conferencing, video mail with unlim ited storage, no long-distance fees, and a detailed call his tory. Companies of all sizes are finding Web-bas ed onlin e meeting tools such as WebEx, Microsoft Office Live Meeting, and Adobe Acrobat Connect especially h elpful for training and sales presenta­ tions. These products enable participants to share documents and presentations in conjunction with audioconferencing and live video via Webcam .

Cornerstone Information Systems, a Bloomington, Indiana, business software company with 60 employ­ ees, cut its travel costs by 60 percent and th e average tim e to close a new sale by 30 percent by performing many product demonstrations online. Before setting up videoconferencing or telepres­ ence, it’s important for a company to make su re it really needs th e technology to ensure that it will be a profitable venture. Companies sho uld determin e how th eir em ployee s conduct meetings, how they com­ municate and with what technologies, how m uch travel they do, and their network’s capabilities.

There are still plenty of times when face-to-face interaction is more desirable, and often traveling to m eet a client is essential for cultivating clients and closing sales. Videoconferencing figures to have an impact on the business world in other ways, as well . More employees may be able to work closer to ? ome and balance their work and personal lives more effi­ ciently; traditional office environments and corpo­ rate headquarters may shrink or disappear; and freelancers, contractors, and workers from other countries will become a larger portion of the global economy.