When deciding how to manage your business communications, many UK SMEs wonder whether to rely solely on Microsoft 365 email for messaging and calls or to use a separate Voice over Internet Protocol (VoIP) system for phone calls. Microsoft 365 does offer integrated calling features through Microsoft Teams, but understanding the differences and implications can help you make a choice that supports your business needs effectively.
Why this matters for UK SMEs
Choosing between Microsoft 365 calling and a dedicated VoIP system impacts more than just how your team talks to customers and each other. It affects your overall productivity, security, compliance with UK regulations like the Data Protection Act 2018, and resilience against downtime. For example, relying on email and Teams calling alone may simplify management but could introduce risks if your internet connection is unstable or if you need advanced call features such as call queuing, detailed call reporting, or integration with existing phone systems.
Conversely, a separate VoIP system might offer richer telephony functions and potentially better call quality or reliability, but it also means managing another platform, which can increase complexity and cost. Both options require good cybersecurity practices, including multi-factor authentication (MFA), access controls, and regular backups to protect sensitive customer and business data.
A typical scenario
Consider a UK-based SME with around 50 employees, many of whom work remotely or in hybrid setups. They initially used Microsoft 365 email and Teams for all communication, including calls. However, as call volumes increased, they found Teams' calling features limited for handling customer service queues and reporting call metrics. After consulting with their IT partner, they introduced a dedicated VoIP system that integrated with Microsoft 365 for presence and calendar syncing. This setup improved call management and customer experience while maintaining security standards through unified device management and MFA.
Their IT partner ensured that both systems complied with Cyber Essentials requirements and that call recordings and logs were stored securely to meet audit readiness standards. This hybrid approach balanced simplicity with functionality and helped the business maintain trust and productivity.
Checklist: What to consider and ask your IT provider
- Does Microsoft 365's calling plan meet your business needs for features like call queues, auto-attendants, and reporting?
- How reliable is your current internet connection for handling voice traffic without quality issues?
- What security measures are in place for your communication platforms? Check for MFA, encryption, and access controls.
- How do your communication systems integrate with existing tools like CRM or helpdesk software?
- Can your IT provider support both Microsoft 365 and a separate VoIP system if needed, including managing updates and backups?
- Are call logs and recordings stored securely and compliant with UK data protection standards?
- What are the costs and contract terms for Microsoft 365 calling plans versus standalone VoIP services?
- Does your provider offer monitoring and rapid incident response to minimise downtime?
Next steps
It's important to assess your business's specific communication needs, security requirements, and budget before deciding. Speak with a trusted managed IT provider or IT advisor who understands UK SMEs and can help you weigh the pros and cons of Microsoft 365 calling versus a dedicated VoIP system. They can guide you through implementation, ensure compliance with relevant UK standards, and help maintain smooth, secure communication channels that support your business growth.