“Virtual Meetings: Smart Management”

CASE STUDY “Virtual Meetings: Smart Management” 1. Please read the case study that starts on the next page. 2. Answer all 5 questions below.

Executive Summary (DRAFT) The purpose of this case study is to provide an objective view to the viability of implementing Virtual meetings or video conferencing within an organisation. This study will analyse in Question 1 whether or not in the future, business travel between companies and external organisations will be necessary or will this become an out-dated form for business collaborations . The comparison of telepresence over video conferencing will also be discussed in Question 2, whilst there are indeed benefits using telepresence, the cost of establishing this type of communication can be prohibitive for many organisations. This report examines in Question 3 the actual value that is provided to an organisation that adopts video conferencing as a form of business communications and whether or not it is determined as being smart management. This report in question 4 will evaluate what factors should be considered in determining whether a small business is suitable for implementing video conferencing as a channel to support their business decisions and planning. Preparation for a web conference is discussed in Question 5, outlining the steps that are required and technologies to be used when commencing a web conference, taking into account the differences between web conferencing and face-to-face meetings. (WORD COUNT 201)

Introduction Virtual Meetings: Smart Management. When looking at Virtual Meetings: Smart Management we are not only looking at the technologies used but also the benefits they provide. The way the internet has developed has made things like videoconferencing, and its extension, telepresence, a much cheaper, easier and a more accessible way to do business. This report looks primarily at reduced business travel and its associated costs, the environmental benefits, the differences in videoconferencing and telepresence, how these systems add value to a business, if they are needed at all by a business and how they are changing the way we prepare for business meetings. It will also include any recommendations that become apparent from the research. (WORD COUNT 115)

1. One consulting firm has predicted that video and Web conferencing will make business travel extinct. Do you agree? Why or why not? (Marissa) We believe that video and web conferencing is a much more viable option for businesses in today’s day and age and will in deed supersede business travel. Businesses that are finding that they are spending a significant amount on unnecessary travel will soon be taking the video/ web conferencing option to save money. Case Study, Virtual Meetings: Smart Management states that “Videoconferencing is now growing at an annual rate of 30 percent”. This confirms that videoconferencing is on the increase therefore we can only assume that business travel must be decreasing and will eventually be non-existent. Video/ web conferencing has become easily accessible for most businesses around the world and is much more convenient than organising flights and accommodation to attend those important meetings. There is less risk of not being able to attend a meeting due to flight delays or cancellations and if a meeting has been cancelled at the last minute there will be no expenses due to flight or accommodation cancellation charges. There are a variety of video conferencing products in the market as well as web based programs making this option readily available to businesses. Videoconferencing products can be a significant expense incurred at the start but these costs will mean a large saving on travel expenses that will either be reduced or no longer exist. Most web based conferencing products are free so this would mean no initial out lay. These free programs are not always of the best quality but are a good option to test out if video/ web conferencing is the best way forward for a business. These options would take away the “face-to-face” factor of a meeting and the personal touch such as a handshake that some clients, customers or suppliers desire when they are having business dealings with a company but with the worlds advancing technology they can now make it feel like a person on the other side of the world is actually right there in the room with you. Benefits of Video and Web conferencing *Travel and associated expenses will be reduced *Increase in productivity as managers/employees will no longer be required to leave the office for hours or even days at a time for meetings. *The ability to communicate more often with others *Informed decisions can be made faster *Environmentally friendly, reducing the companies carbon footprint. (Polycom Fact Sheet "The Top Five Benefits of Video Conferencing ) All of these benefits far outweigh the benefits of business travel. (WORD COUNT 411) References: Case Study, Virtual Meetings: Smart Management Polycom Fact Sheet "The Top Five Benefits of Video Conferencing - http://www.ivci.com/international_videoconferencing_news_whitepapers.html

2. What is the distinction between videoconferencing and telepresence? (Michelle) In many ways telepresence is an extension of videoconferencing; both systems allow for transmitting audio and video data, document sharing, computer displayed information and whiteboards. Telepresence differs in that it creates a more "in person" meeting experience over a converged network. (webopedia.com, 2010: Telepresences.) To create the more “in person” experience telepresence creates a “same room illusion” through a combination of technology elements and environmental design.(webopedia.com, 2010: Telepresences.) (Wainhouse research, January 2008, Telepresences Vs. Videoconferencing: Resolving the cost/Benefit Conundrum.) One of the main technology elements which telepresence uses is high definition video and audio. The other main factor in creating this illusion is the physical placement of the equipment and furniture in the room; this is managed by building telepresence conference suites. These suites allow for large screen displays and perfect placement of the equipment and furniture. Some of the disadvantages of videoconferencing that have been eliminated by telepresence include problems with eye contact, echo, lost packets during transmission making the audio and video choppy, complex set up and operational procedures, and the unreliability that sometimes exists. These problems have been resolved mainly due to the use of high definition transmission. For example the problem of eye contact could have been due to lag, but as telepresence is real time there is not lag and no longer an eye contact problem. The complex set up problems are eliminated as the systems themselves are more complex allow them to be more user friendly. Cisco has made their systems a simple single button operation to make a connection. (Wainhouse research, January 2008: Telepresences Vs Videoconferencing: Resolving the cost/Benefit Conundrum.) The other major difference to come from all of this is the price. Telepresence systems start at around about $200,000 per system/room to install, the average cost for a 6 seater room would be about $300,000.(Wainhouse research, January 2008: Telepresences Vs. Videoconferencing: Resolving the cost/Benefit Conundrum.) In contrast a Videoconferencing system starts at about $10,000, with the industry average at about $25,000.(Wainhouse research, January 2008: Telepresences Vs. Videoconferencing: Resolving the cost/Benefit Conundrum.). (WORD COUNT 339)

References Wainhouse research, January 2008, Telepresences Vs. Videoconferencing: Resolving the cost/Benefit Conundrum. http://www.ivci.com/international_videoconferencing_news_whitepapers.html www.webopedia.com, 2010: Telepresences http://www.webopedia.com/TERM/T/telepresence.html

3. What are the ways in which videoconferencing provides value to a business, in particular the business communication processes? Would you consider it smart management? Explain your answer. (Ray)  

Key Points Up to 20% of business travel could be replaced by virtual meeting technology Video Conference allows individuals at 2 or more locations to communicate simultaneously

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Allows for better meetings and is easier to meet with partners , suppliers , subsidiaries and colleagues in office or around the world

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Allows for meeting contacts that may have been inaccessible for various travel or budgetary constraints

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Helps , designers , marketers and manufacturers collaborate on new products

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Companies that are financially able to use this technology report large savings in travel and accommodation costs

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Helps companies meet its green environmental goals is necessary

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Especially helpful for training and sales presentations

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More employees may be able to work closer to home and balance work and personal lives more efficiently

(Rough Draft) The acceptance of videoconferencing as part of the normal business practice provides many organizations the ability to provide its stakeholders with a more complete and concise way of communicating within the internal environment of the business, it also allows the organization a deliberate form of communication that is directly related to its external environment. By utilizing the full potential of video conferencing facilities a business will be providing value to its organization in several forms , most notably, the ability to allow for better meetings with partners , suppliers and work colleagues either within the office or at various locations around the world. Video Conferencing also provides a collaborative forum for designers , marketers and manufacturers when preparing for the launch or pre design of new products and reduces the time to market for a new product by up to 24% (Polycom 2009 ,Benchmarking the Benefits of Videoconferencing Deployments) Video Conferencing also provides a clearer channel of communication that may be more accessible for certain stakeholders of the organization dependent on location or budgetary constraints , this allows for conducting meetings with other companies or employees that may be based in remote areas. The ability of organizations now to dedicate video conferencing aimed at their sales departments that can be used for training or presentations on various products or re-enforcement of core values of the business. The effectiveness of video conferencing is also immediate as it provides an opportunity of employees to interact with each other from various locations within the organization that may not have been possible due to various factors of geographical or cost. Video Conferencing can be considered smart management if it helps achieve the goals of the organization in an efficient and effective manner , by utilizing this form of communication it aids in the planning , organizing , leading and controlling of the organization whilst also nurturing a business that

is not constrained by geographical or regional conditions. Many organizations that have utilized this type of communication have realized costs saving on travel and accommodation of up to 20% whilst also reporting an increase in reaching customers and partners, so in effect providing an more effective and efficient way of achieving the goals of the organization. (WORD COUNT 500)

4. If you were in charge of a small business, would you choose to implement videoconferencing? What factors would you consider in your decision? (Marissa) If we were in charge of a small business we would certainly consider implementing video conferencing as it is becoming more and more common and beneficial for small businesses. Prices for these products are also decreasing which means they are much more affordable for smaller businesses that may be just starting out. Factors that would considered prior to implementing videoconferencing would be: 

Business Travel – Is this currently a significant cost to the business and would video conferencing reduce these costs?

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Client and Supplier base – Are clients and suppliers easily accessible for meetings or is distance/ time zones an issue? If these two things are issues then video conferencing would mean regular communication between the two parties.

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Working from home – “Studies show that nearly 80% of Americans say they’d like to telecommute. Retaining valuable employees who relocate or need to work from home a few days a week saves on office space, costly recruiting and retraining”. (June Bower, Vice President of Cisco’s online software collaboration group, 02 June 2011, 4 Ways Video Conferencing Can Benefit Small Businesses) As most small businesses are trying to save on costs then rental of a large office space and the retraining of new employees would be a huge saving if video conferencing was implemented. And not only can working from home save money it also means that there is a balance between you and your employees work life and personal/ family life. Working from home means less travel and more time with family.

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Decision making process – Is the decision making process being delayed due to lack of communication? If a business is only able to have monthly or even half yearly meetings to discuss the businesses activities due to employees/ clients/ suppliers being too far away, videoconferencing would mean that everyone could get together more often ensuring that the business is running well and important decisions could be made then and there rather than waiting until the next monthly meeting.

All of the above factors would assist in making the decision whether or not we should be implementing video conferencing as part of the day to day running of our small business. All of the facts show that it is a widely used product therefore our business may be left behind if we did not implement it. We believe after reviewing the businesses position, video conferencing would be the smart way ahead in a new and ever changing world of technology.(WORD COUNT 406) References: June Bower4 Ways Video Conferencing Can Benefit Small Business

- http://mashable.com/2011/06/02/online-meetings-small-biz/

5. Describe the steps you would take to prepare for a Web conference as opposed to a face-to-face conference. What technology would you use to support this process? (Ray) Key Points a. Set date, time and web location and time zones b. Develop form of contact or invitation for prospective participants c. Establish marketing and promotion guidelines d. Payment processor if it is fee based e. Ensure adequate bandwidth and toll free lines have been ordered or allocated c. Develop Content and determine platform that this will be delivered via d. Ensure technical support is available during the chosen timeframe e. Allow start time to be offset slight from main hour , ie 1.15 this allows people to log in on the top of the hour and be prepared for start time (DRAFT) Preparing for a web conference presents many challenges that requires a different approach to a face-to-face conference , one of the first steps required to bring a web conference into play is to set the date time and web address location, consideration of time zones that allow for this type of global communication event. Adapting the form of communication or invitation for prospective participants, this may be a simple email invitation or a more complex marketing and promotional campaign that may provide a short description of the content and agenda. Create interesting content and a descriptive agenda using latest technology software, this will ensure that all participants are actively engaged and a suitable web conferencing software should be utilised , many of the web conferencing software's allow for power point presentations , screen sharing , multi point videos and video streaming , this will ensure that all participants are collaboratively involved throughout the conference and will allow for seamless integration of existing formats. Technical expertise also forms a major component of planning for web conferencing, ensure that the necessary bandwidth is available and that technical expertise is on hand if necessary, redundant connections should be available, plan and integrate how files will be transferred and via what platform, if this is a fee payment web conference than also a payment processor will need to be implemented and all participants notified of the requirement of payment prior to commencement. The timing of a web conference can be critical to its success , it is advisable to commence a web conference at around 15 minutes past the hour , for example 11.15am , this allows for participants to login and setup at the start of the hour and be well adjusted to their settings by the time it starts at quarter past the hour. (WORD COUNT 406)

Conclusion (Word count 396) The use of Virtual Meetings is very much on the rise and with it so are the economic savings and environmental benefits. This report has shown that there are so many advantages to using virtual meetings. The biggest advantages would have to be the saving of time and money, both of these come from the reduced amount of travel. The saving of money benefits the company and the saving of time benefits both the staff and the company, staff no longer need to be away from home which can lead to a better work/life balance and the time they would spend travelling can now be spent being productive at the office. Another benefit is to the environment, with reduced travel comes reduced carbon emissions, the use of this technology is going a long way to help companies meet green targets. The invention of telepresence will only add to the number of meetings that will be able to take place virtually. As the quality of videoconferencing has been poor and unreliable in the past, some virtual meetings would not have been able to take place, but now that telepresence , with its high definition video and audio, is here these virtual meetings are possible. Virtual meetings add value to a business in many ways. As well as the above mentioned benefits, these products now allow meetings between people that may never have been able to meet face to face. Other value that is added is better communication/collaboration, this can be achieved because using virtual meetings, rather than face-to-face, means that people can meet more often. Even for small businesses the use of videoconferencing can be beneficial; even if regular travel is not an issue it could mean that managers/ employees would be able to work from home or closer to home. Another benefit for small businesses could be quicker decision making, making the company run smoother. Setting up for a web conference is quite involved, not only do you need to make sure you have your presentation organized, you need to ensure that it is in a format that will be acceptable by the web conference system by everyone else. The other important thing is making sure the web conference is all set up, that people know all the details and give them time to login and set up. (WORD COUNT 388)