As a default, the system uses the server mail settings to send out emails (transcripts, offline messages, etc). However, if the department SMTP values are provided, emails will be sent using the external SMTP provider.
» The feature can be accessed at: Setup->Extras->SMTP
SMTP libraries require PHP 5.2 or greater
Send emails from an SMTP provider for all outgoing email messages sent by PHP Live!
SMTP settings for each department