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In Panasonic, a DSS console is separate from the phone and some system functions can only be programmed on a DSS key. You can program some buttons to Directly Select Extensions, but they only select extensions and can't be used to replace DSS keys.
Yeah, I know it's confusing, but that's the nature of Panasonic. Other systems have DSS keys also and use that term.
If you are using a DSS button(direct station select button) to do the transfer ,verify that the button is programmed for the correct station by pressing the button when you are not trying to do a transfer, if the button does not ring the desired station you can do the transfer manually by pressing transfer button while on the call followed by the station number dialed using the dial pad. If the DSS button is correct, then try making the transfer while on a call by pressing the DSS button then hanging up(in this method do not use transfer button)
The easiest way is to assign a DSS button for each person. When their phone is ringing, the DSS button will flash (on most systems - older systems don't do it and newer systems can be programmed not to).
We have a support package that allows us to make all the changes you need over the Internet for a flat annual fee. If you want your whole system to work properly and all changes to be made for you at a flat budget, call us at 877-236-8376.
For the green light, you can turn it off from DSS. On the bottom left hand side of DSS, it is a message button. You can press the button and then your extension button. The green light will go away from the DSS and on your phone. I hope this helps.