copyright© 2002 avaya inc. all rights reserved avaya – proprietary use pursuant to company...

Copyright© 2002 Avaya Inc. All rights reserved Avaya – Proprietary Use pursuant to Company instructions

Avaya SMBS UpdateSMB Solutions at Their Path, Pace, and Choice

November 10, 2003

Industry Analyst Presentation

On NDA Until Announcement

2 Avaya – Proprietary Use pursuant to Company instructions

• Focus on Convergence/ Security/ Wireless/ Unified Communication• Avaya IP Office - Small Office Edition

– Compact platform for 2-28 users – Fast set-up, simple management, wireless voice and data, integral voicemail and

out-of-the-box compatibility with the latest broadband services• Avaya IP Office - Software Release 2.0

– Support for wireless LAN phones increases productivity in vertical markets– VPN option strengthens multi-site security of IP Office– Power Conferencing/web-based interface slashes SMB conferencing costs– IVR in VoiceMail Pro permits 24x7 customer service– Enhanced installation, remote management supports channel partners – System now scales to 360 users for the growing SMB

• Update on go-to-market strategy– Microsoft CRM, HP, Service Provider news

What’s New Improving Simplicity, Openness, Efficiency and Customer Service

On NDA until press release issued

GA November 19, 2003, in 10 of our target countries

Satisfying SMB business needs today, enabling them to move to IP Telephony at the path and pace of their choosing


• Sharp focus: primarily SMBs with <250 employees

– Additional focus on small of large < 50

• Leading solutions portfolio designed specifically for SMBs

– IP Office, Avaya MERLIN MAGIX® Integrated System, Avaya PARTNER® Advanced Communications System, INDeX® System

• Large installed base of SMB customers

– 1.2 million SMB communications systems installed

• Strong leadership position in the traditional and IP SMB markets

– 2Q 03: #1 U.S. Key Hybrid and #1 U.S. <100 IP market*

• Rapid growth in Avaya SMB IP telephony sales

– 20,000 IP Office systems sold since launch in early 2002

• Global reach and broad and growing SMB channel coverage

– 2,500 resellers in 59 countries and growing

– Alliances with market leaders like Microsoft and HP

• We can support SMBs if they grow to large enterprises

SMBS is Well Poised to Succeed!

3 Avaya - Proprietary (Restricted) Solely for authorized persons having a need to know pursuant to Company instructions

Avaya: Continued Leadership in the SMB Market

*InfoTrack for Enterprise Communications, 2Q 03


But the transition to IP Telephony is about

CUSTOMER CHOICEAvaya = SMB path, pace and choice

Why Avaya? Why IP Telephony?Avaya Solutions Allow SMBs to Reach>IP Telephony

Avaya IP Telephony Delivers Business Value:

Enhances value: people and processesExtends value: extending existing investmentsEnables value: enable new business models

Enabling SMBs to efficiently, seamlessly and securely drive their business from where it is today

to where they need it to be

Avaya Value Proposition

MessageIP Telephony enables SMBs to achieve superior business results by reducing costs, lowering risk, growing revenue


Security &

Business C

ontinuity

Convergence

Imp

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Netw

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Maintenance

Managed

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Gateways

Smart Devices

Avaya SMBSCommunications Applications

Telephony Contact Center Messaging

Communication Services

Servers

Appl

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Syst

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Net

work

Man

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Unified Access

Converged Infrastructure

Unified Communication

Network Infrastructure

User Agents

Business Applications

Avaya Global Services and BusinessPartners

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The Avaya Communications ArchitectureFor Large Enterprises

The Avaya Communications ArchitectureOpen Standards-Based Framework for the Converged SMB


Small & Mid Businesses: Avaya Vision for the Future

Converged Infrastructure

Communications Applications

Unified Access

CRM Services Contact Center

Choice of Endpoints Wireless, Mobility

Ma

na

ge

me

nt

Gateways Servers

Unified Communication

Security, VPN

• Ubiquitous access• Choice of devices and

appliances• Devices that interact with each

other’s applications• User control

Business Applications

Vertical Solutions Horizontal Solutions

• Converged infrastructure offering path, pace, choice

• Security for voice and data services standard

• Easy to own , easy to manage

• Management by exception

• Auto diagnosis and repair

• Connecting the right person, in the right place, at the right time, the right way

• Easy to deploy and own

• Business applications linked into communications offering a consistent customer experience and higher productivity

• Pre-connected to minimize systems integration


Avaya IP Office: A RefresherAll-in-One Communications Platform

• Market-proven – Announced Spring 2002– 20,000 sold since launch– Available in major worldwide markets

• Adapts to needs of growing businesses– Scales from 2 to 360 users– Supports digital, analog, IP appliances– Standalone single-site, networked multi-site or branch office

• Integrates with existing and evolving environments – Provides choice to the SMB: traditional or pure IP telephony -- or a mix– Traditional and advanced telephony including applications e.g.

conferencing, integration with MS CRM, messaging, wireless, contact center

• Enhancements since launch– Improved services, conferencing, expanded range of end points

supported, messaging integration with Microsoft Outlook, contact center solution embracing web chat and email, voice features to appeal to mainstream market, enhanced management

• Value proposition– IP-ready, feature-rich, breadth of applications


IP Office Release 2.0 and Small Office Edition: Key BenefitsSimple

New Small Office Edition platform right-sized for sub-20 station market

Pre-configured converged communications system

Set-up wizards for fast system installation and MACs

SNMP alarm management for multi-site networks

Open Interoperability with third party voice mail systems using VPIM

Interoperates with third party wired and wireless end points

Uses standards-based security and management protocols

Improved Business EfficiencyOnline management and collaboration with Power Conferencing

Secure Wide Area Networking with standards-based VPN

Call handling options now complemented by incoming call priority, IVR and TTS

Mobility benefits for specific verticals using Voice over WLAN

Enhanced Customer Service 24x7 information availability using IVR and Text-to-Speech

More efficient call answering with new Soft Console

Call handling methodologies can be fine-tuned to customer expectations


Small Office

Executive Home + Home Office

Branch Office Collaborative

Service ProviderChannel

Service Provider Network

Branch OfficeAutonomous

Small Office Edition: Target Segments

SMB Choice

Small Office EditionPBX, CRM ,Voice Mail, Auto Attendant

IP Phones

10/100LAN

VoWLANDevices

WLAN

Small Office: All-in-One Converged Solution

AnalogPhones

DigitalPhones

CordlessPhones

xDSL T1/E1PSTN ISDN

Integral VPN & Firewall


New for IP Office: Wireless LAN Telephony

Avaya 3616 Executive Handset • Ideal for busy office environments

• Lightweight design

• Feature integration with Avaya systems for ease-of-use and low TCO

• 802.11 standards-compatible

• Uses LAN-based Voice Priority Server unit to ensure QoS (required for all applications)

Avaya 3626 Industrial Handset• Designed for heavier usage

environments (e.g. warehouses)

• Push-to-talk “walkie-talkie” capability• Feature integration with Avaya

systems for ease-of-use and low TCO • 802.11 standards-compatible

• Uses LAN-based Voice Priority Server unit to ensure QoS (s/w upgrade to 802.11e once ratified)

Key Business Benefits

• Increased choice of functionality • Increased usability and convenience• Improved handling of calls with

suppliers and customers• Supports vertical industry needs

AVAYA

AVAYA

IP Office now supports the Avaya 3616 and 3626 wireless IP phones

Same sets as used on Avaya Communication Manager

Compatible with today’s and tomorrow’s WiFi infrastructures

Open standards support for third party wireless VoIP sets

Path, pace, choice in digital or wireless IP solutions

Complements our existing traditional DECT (EMEA) & 900Mhz (NA) solutions


Enhances in-store experience• Increases staff productivity • Provides less hold time for customers • Managers are always accessible • Eliminates paging delays• Text messaging

Maximizes efficiency• Maximizes uptime and minimize downtime• Eliminates paging delays • Guaranteed coverage throughout the plant• Speeds problem resolution

Retail

Education

Manufacturing

Improves learning environment• Increases school safety • Improves classroom management• Promotes parent involvement

Better patient care• Allows more time for patient care• Improves interdepartmental efficiency • Eliminates paging delays between nurses and physicians• Reduces overhead paging• Text messaging integrated with patient monitoring systems

Healthcare

Improving SMB Efficiency in Vertical Markets Avaya Wireless LAN, Wireless VoIP


VPN VPN TunnelTunnel

New: Integral Security and VPN Functionality

Open, Standards-Based VPN Integration


• Increased security for mobile work force

• Makes it easy for staff to work from home without compromising the network

2. Broadband Virtual Office

DSL or

Cable

IP Phone

VPN gateways with dynamic IP address support can be deployed anywhere,

T3

3. Main/HQ Site

Centralized VPNManagement

IP Office

1.Mobile Work Force

Notebook with VPNClient and IP Softphone

IP phones

PSTN

Service Provider Network

As a VPN gateway, IP Office encapsulates packets to send over

the Internet

Avaya DEFINITY®

Server & Avaya MultiVantage™

Communications Applications

EncapsulationA virtual circuit is created to

connect 2+ sites togetherCisco/Checkpoint/NetScreen

Avaya IP Office VPN solution

addresses 4 opportunities:

1. Remote workers

2. IP Office to IP Office VPN

3. IP Office to HQ multi-vendor VPN

4. Service Provider VPN

4.

Open standards-based solution complementing our integral firewall to give secure networking solutions

VPN VPN TunnelTunnel


22

“Power Conferencing” in version 2.0 adds:

Public/PrivateTDM/FR/IP

VoiceMail Pro

Soft Console

IP Office

Avaya™ IP Office Conferencing SuiteWeb Browser

• Web-based Reservations*• Email Confirmation*• Voting*• Presentation area*• Streaming Media*

• Increased functionality for internal calls

• Increased usability & convenience

• Increased functionality for incoming calls

• Increased employee productivity• Business infrastructure

improvements / TCO• Improved handling of calls with

suppliers and customers

Key Features Key Business Benefits

Real time conference supervision and control

• Guidance

• PIN codes

Converged IP Converged IP Telephony & Telephony & InfrastructureInfrastructure

Unified Unified Communication Communication & Mobility& Mobility

R2.0

• Ability to set up a Future Conference• Web interface for the host to view &

change delegate status on line• Operator ability to set up an Ad Hoc

Conference by pointing and clicking at names on the BLF & phoning external delegates on Soft Console

* Regional availability

•Small Office: 3 parties max

• IP401 *: 3 parties max• IP403/IP406: 64 parties max• IP412: 2x64 parties max

Host can change participant status to

“Listen only” or “Speak & Listen”

Document to be reviewed e.g. PowerPoint presentation saved in html

Web chat and voting

communication with conference

host

Real-time view of participants including

voting status

New: IP Office Power ConferencingUnified Communication for the SMB


Customer enters 123456

123456

12,000 points

• Complements existing SMB high touch customer service • Simple for SMBs to deploy and manage – visual call flows• Open: IVR applications connect to most industry standard databases (using

ADO: ActiveX Data Objects and visual SQL query builder wizard)• Integrated to IP Office Compact Contact Center (CCC) reporting• Attaches data to a call control command e.g. transfer for customer identification• Replays database information to caller using Text-To-Speech

New: IVR Support for Third Party Databases IP Office Easily Automates Common Call Types

Avaya IP OfficeAvaya IP Office Public

Network

IP OfficeIP OfficeVoicemail Voicemail Pro ServerPro Server

CustomerCustomerDatabaseDatabase

Hello, please enter your account

number to check your balance

You currently have 12,000 points. To

redeem your points, press 1; to ask for a call-back press 2 or

simply hang up

• Improves business efficiency • Frees staff, thus reducing costs• Increases convenience for customers who need help after business hours • Excellent for customers checking order status



Installation• Tool for reducing repetitive tasks

• Pre-inspection tools to proactively identify and solve network problems – facilitates smooth install

• Installation less labor-intensive; reduces risk of human error• Import of directories (departments, users) • Class of service templates

– Call barring– Button assignments

• Uses most common defaults• Off-line system design and configuration• Automatic configuration validation• Dramatically reduces time to installMoves, Adds, Changes• Designed specifically for end users• Helps execute changes quickly, including:

– Adding new users– Changing class of service– Moving users

• Easy to add/ modify call routesDiagnostics• In-service monitoring and diagnostics

– New diagnostics application for BusinessPartners – Standards-based SNMP alarms

• Reduces configuration time

• Reduces errors

• Proactive fault management minimizes downtime


New services complement existing Avaya network assessment offer

New: Installation and Maintenance Tools Designed for Channel, Usability, and Low TCO


IP Office: Enabling SMBs to EvolveAt Customer Path, Pace, and Choice

IP Office: a simple solution for any SMB– PBX, Internet access, voice mail

–PBX–Soft phones–Soft console*–Voice mail–Auto attendant–Unified messaging–Personal numbering–Conferencing,collaboration–Informal contact center application*–Contact center suite*–Contact center messaging apps–Microsoft CRM capability–Multimedia interaction and collaboration*–CTI –IVR*–TTS*–ISV developer program*

Or, a feature- and applications-rich all-in-one solution delivering added value – and

incremental revenue to the VAR - at the path, pace and choice of the increasingly

sophisticated SMB:–Router–Internet access–LAN ports–WAN edge device–Remote access server–DHCP server–Firewall–VPN*–Wireless*–H.323 gateway–H.323 gatekeeper–--QSig*

* =chargeable upgradePro version of many free apps also available


FutureFirst Half 2004Today

Avaya SMBS Product and Services RoadmapOn NDA Until Announcements

• IP Office Release 2.0 11/19/03: Convergence/ Security/ Wireless/ Unified Communication focus:

• Small Office Edition

• Wireless & Wireless VoIP

• VPN

• Power Conferencing

• IVR

• Expanded ISV activity• More communication-

enabled business applications including deeper Microsoft CRM integration

• Enhanced VPN and security• SMB security services• Expanded and simplified

management capabilities

• Presence-based and mobile productivity applications

• SIP rollout• Web services• Leverage Avaya-Motorola-

Proxim capability for SMBs• IP Office/MS CRM phase two

of product integration:–MS CRM availability in

EMEA–Deeper integration with

Microsoft CRM –On-line help and

demonstration functionality • HP alliance expansion

–Broader set of compliance tested products

–Launch of ProLiant and IP Office solution in EMEA


SMBS Strategy Review: Go to Market

Open standards reliable and cost effective servers with differentiating applications and appliances

Avaya Global Services: Professional Services, Implementation, Maintenance, Managed Services

World’s best partner/supplier with training, pre-sales, marketing and tech support

Most competitive and flexible customer financing offers

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SMBs with <250 employees in total and small-of-large or remote offices with <50 employees per location

in the U.S., U.K., Germany, Italy, Netherlands, Russia, China, Japan, Korea, Brazil, Mexico


SMBS Channel Update: SPs, HP, ASAP• Service Provider success

– SBC, Cincinnati Bell, TelMex, PRTC, others • HP

– On July 22, Avaya announced joint marketing agreement to bundle IP Office with HP ProLiant ML310, ML330 and DL320 servers

– Avaya and HP building a common channel; will expand worldwide

• Avaya Sales Authorized Partner (ASAP) Program– 82 new North American recruits: retail, professional services,

real estate, medical, manufacturing and government verticals– Newly created Avaya SMBS Vertical Sales Kit and CD supports

ASAP program• New marketing materials feature Avaya ISV partners and their

focused vertical applications

Providing BusinessPartners with a comprehensive portfolio and support, for any size SMB, and margins that are truly best-in-class


• Since the US product launch in July 2003– 75 MS CRM BPs trained– 4 customers in Beta testing– 11 sales during controlled introduction of Avaya middleware– Avaya and MS CRM BPs making a good match: Avaya BPs sell the

hardware solution with Avaya’s Compact Contact Center application, (most popular go to market model); allows Microsoft and Avaya BPs to collaborate and provide the customer an end-to-end solution.

• IBIS, Microsoft Business Solutions Gold Partner, installing Avaya Microsoft integrated solution and porting over their mortgage lending solution application.

• 31 new contracted North American Microsoft channels recruited through Avaya ASAP program

• Avaya sponsored the Microsoft Worldwide Partner Conference in New Orleans October 8-11, 2003

• Publication of first joint Microsoft and Avaya case study at http://www.microsoft.com/resources/casestudies/casestudy.asp?casestudyid=14315

Channel Update: Microsoft Alliance


IP Office/MS CRM Customer Adams Keegan Expands Customer Services

• Adams Keegan’s Challenges• Memphis, TN-based integrated HR management company • Local and global competition• Needs screen pop to allow quicker/more accurate decision making during

client service and employee relations

• Avaya Solution• IP Office with Compact Contact Center and MSCRM Adams Keegan

gains visibility into all of their touch points with their clients. Whether it be phone, fax, web, or email, all of the touch points are automatically logged in conjunction with current service activities.

• Results• Adams Keegan manages costs, increases speed of service delivery,

increases accuracy and speed of decision making. When the company grows, will IP-enable system to decrease cost of infrastructure build out.

Case study example

Satisfying SMB business needs today, enabling them to move to IP Telephony at the path and pace of their choosing


• Clear non-disruptive migration to IP telephony

• Open standards-based voice, data, VPN, wireless

• Strong applications portfolio– Integrated Power Conferencing

– Compact Contact Center optimized for the SMB

– Microsoft CRM and HP strategic partnerships to benefit the channel and the end user

– Integral VPN for remote workers and branches

– Integrated wireless AP and wireless feature-rich VoIP sets

• Avaya or partner services: assessment, installation, management

• Sustained market leadership

Satisfying SMB business needs today, enabling them to enjoy benefits of IP Telephony at the path and pace of their choosing

Avaya Small and Medium Business SolutionsBest Value Telephony at SMB Path, Pace and Choice

copyright© 2002 avaya inc. all rights reserved avaya – proprietary use pursuant to company...

Documents

avaya vision

business value

pure ip telephony

converged smb slide

smb business needs

choice security

branch office

breadth of applications