"The telephone's a terrorist I'm not even listening"

-Frente

Yes the telephone is terrible, but when should you use it?

I strongly believe in telephone use for nuanced conversations that can be quickly resolved using voice but could spiral out of control on email.  I would list in the bucket:
  • Price negotiations.  If you're a good negotiator or have read Getting to Yes, you can reach agreement on the phone, whereas email might lead to a deadlock.  If you can quickly give and take on the phone, you can nail down an agreement that might take days of frustration on email.  However, you need to be quick on your feet, have your data in front of you, and most importantly be empowered by your company to grant concessions.
  • Negative feedback that can be taken ad hominem.  I find critical feedback on important product or business decisions is best handled on the phone when it might be taken personally.  On the phone it's easy to make the distinction.  On email there is no tone, and ability to respond to a situation where you're being misinterpreted.  Also a corollary, in my time at Disney, I learned a rule: No negativity without alternative.  At Imagineering, you were not allowed to criticize an idea unless you had a better alternative.  I try and live by this rule.
  • When someone is unresponsive.  "I emailed three times" is unacceptable.  Did you call?  It's much harder for people to ignore phone calls.  They have the weight of certified letters.  This is why my deal close rate at Google was higher than my colleagues; I used the phone more, and I didn't schedule calls – I just call people's mobile phones.  But I'm polite, I call between 9 and 6 their local time, and always begin, "Hi, do you have a minute?"
Some issues with the phone:
  • Voicemails are ridiculous.  No one wants them.  They're bad unstructured emails.  I read an article saying that 20% aren't ever listened to.  Call, get voicemail, hang up, email with "I just rang you…" followed by message.  Also, don't phone stalk.  Assume that a person is aware of each time you call, even if you don't leave a voicemail because of caller ID.  
  • Phone calls are over scheduled.  Most of the phone calls that get scheduled, should just be people ringing each other when they have the impulse to schedule.  Otherwise you spend 10 minutes going back and forth scheduling a 5 minute call.
On this last point, the most over-scheduled over used call is the "let's have a call to see how we can do business together" call.  I think this is a case where email is better.  I think email and face to faces are the best way to explore business partnerships.  Documents and ideas can be exchanged over email.  All too often the phone call is of little value at the earliest points of a business discusion.  In fact, waiting for the "big call" to discuss things delays actual progress.  The call should happen once their are specific issues or nuanced questions, like the ones discussed above to work out.  All of my best, quickest deals, have been closed using this methodology.