I really loved the system used in Firewatch. It was similar to the Telltale system where you have a set of dialogue options, a limited time to respond, and silence is a valid option, but the game didn't "pause" to let you choose. You could continue walking around and explore your surroundings during these conversations, which is very nice in a game about walking around in the woods. It also took into account context from earlier conversations to make later ones feel more specific and personal.

The developers gave a great talk about the dialogue system in GDC17: https://youtu.be/wj-2vbiyHnI