Employees who telecommute or work from their home is something that is becoming more and more common, especially amongst startups and small businesses. Even if you do have employees on site it is likely that at some point along the way you will end up having at least one person who works for you from their own office.
Utilizing video conferences can both cut costs and help maintain an important connection with those working at locations where meeting in person may not be practical according to the great article by June Bower. It allows you to speak face to face with miles between you. The connection that can be built and maintained this way is crucial in keeping a team on track with your business.