There are at least four reasons as to why more and more businesses are adopting video conferencing technology. Those include the facts that:
1. Video conferencing, properly used, can significantly reduce business travel costs. More and more businesses are becoming awake to the fact that a very considerable percentage of their total costs incurred are on account of business travel and related expenditure.
It emerges that in most cases, business travel costs don’t just entail the fares paid (although even those typically turn out to be considerable sums of money). But more often than not, beyond the fares, expenditure has to be incurred on accommodation for the traveling business parties. Further expenditure has to be incurred on allowances (mileage or ‘expense account’ payments) for the traveling business parties. And then again, for the duration the staff members are on the road traveling, their input in the respective organizations ends up being sorely missed, and that too can be quantified in monetary terms.
All said and done, we end up in a situation where the average business organization expends as much as ten percent of its revenues on business travel for its managers as well as rank and file staff. And to the extent that video conference technology can help avert some of these costs, businesses end up being very enthusiastic about it.
While some business travel may still be necessary in spite of video conference technology adoption, it is widely accepted that this is a technology through which all ‘unnecessary’ travel expenditure can be eliminated.
2. Web conferencing, properly deployed, can reduce business decision making latency times. As it turns out, video conferencing makes it possible for businesses with multiple branches to make decisions in ‘real time.’ That is as opposed to the situation where, without adoption of this technology, the managers from the various branches would have to organize for face-to-face meetings, to discuss the pertinent issues, before making business decisions. Through video conference technology, it becomes similarly possible for businesses to interact with clients in real time, get clarifications on orders and other issues, and then start acting immediately – rather than having to wait for face-to-face meetings to be organized. All these translate into improved business efficiency. And as more and more business organizations are coming to realize, the price for inefficiency in business can be too hefty: hence the need to do everything which can enhance business efficiency.
3. Video conferencing, properly deployed, can translate into better talent retention rates. This is where, for instance, through the use of video conferencing, it becomes possible for organizations to allow some of their workers to telecommute. Such workers are bound to be very happy with the arrangement, and subsequently show enthusiasm to continue working with the organizations which give them such ‘concessions.’
Again, through video conference technology, it is possible to cut down on work-related travel, which is important given the fact that many workers soon or later show the desire to leave jobs which entail constant travel. Thus, through video conferencing technology, such business-related travel can be cut down. That would potentially translate into better talent attraction and retention rates, for talented staff who may abhor jobs which involve constant travel.
4. Video conferencing, properly deployed, can translate into greater overall business profitability. This is generally the case to the extent that adoption of video conference technology can lead to reductions in business travel costs and business decision making latency rates, among other things which have a direct bearing on business profitability.