The real cost of telecommunications faults and what you can do to avoid them.

Business Phone systems and what it costs you when you have telecommunications faults

Thanks to the Internet of Things (IoT), phones and internet play a critical role in the functioning of businesses. From making calls to surfing the internet, companies rely on these services to carry out their daily operations. However, despite the advancements in technology, telecommunications faults remain a persistent problem, causing businesses to lose productivity and revenue. In Australia, this issue is no different, with companies suffering from significant losses due to telecommunications faults. Most businesses move forward accepting that these interruptions are unavoidable.

Telecommunications faults can result from various issues, such as system failures, equipment malfunctions, and network disruptions. These faults can affect various aspects of a business’s operations, including communication with customers, suppliers, and employees, access to critical data and applications, and the ability to process transactions. The impact of these faults can be severe, resulting in lost revenue, decreased productivity, and damage to a business’s reputation.

According to the Australian Communications and Media Authority (ACMA), telecommunications faults are a significant problem in Australia, with around 91,000 complaints received by the Telecommunications Industry Ombudsman (TIO) in the first quarter of 2021 alone. These complaints ranged from internet and phone connectivity issues to billing disputes and service quality concerns. The TIO has reported that telecommunication faults remain the most common complaint category, with more than 50% of complaints being related to faults in recent years.

The impact of telecommunications faults on productivity can be significant. A survey conducted by the Australian Information Industry Association (AIIA) found that businesses lose an average of $3000 per hour due to telecommunications faults, with small businesses being the most affected. The study also revealed that businesses lose an average of six hours per week due to these faults, resulting in a loss of approximately $18,000 per week.

The loss of productivity due to telecommunications faults can also have an indirect impact on businesses. For instance, delays in communication and access to data can result in missed opportunities, delayed projects, and lost customers. These losses can compound over time, affecting a business’s long-term growth and sustainability.

To minimize the impact of telecommunications faults, businesses can take several steps. Firstly, it is essential to choose a reliable telecommunications provider and ensure that there are service level agreements (SLAs) in place. SLAs establish the level of service that businesses can expect and the compensation they are entitled to if the provider fails to meet these standards.

Secondly, businesses should invest in backup systems and redundant infrastructure to minimize the impact of disruptions. These systems can include backup internet connections, secondary phone lines, and disaster recovery plans.

Finally, businesses should have clear communication protocols in place to ensure that employees are aware of what to do in the event of a telecommunications fault. This can include backup communication channels, escalation procedures, and clear lines of responsibility.

In conclusion, telecommunications faults are a persistent problem in Australia that can cause significant losses in productivity and revenue for businesses. To minimize these losses, it is essential for businesses to choose reliable providers, invest in backup systems, and have clear communication protocols in place. By taking these steps, businesses can mitigate the impact of telecommunications faults and ensure their long-term growth and sustainability.

SJH are the NBN and communications experts in Newcastle & the Hunter Valley.

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