Gap Analysis
Essay by 24 • December 25, 2010 • 1,885 Words (8 Pages) • 1,109 Views
Running head: GAP ANALYSIS: GLOBAL COMMUNICATIONS
Gap Analysis: Global Communications
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University of Phoenix
Gap Analysis: Global Communications
Global Communications, a leader in the telecommunications industry wants to expand into global market due to competitive pressure and looking to maximize profits and reduce cost by layoffs. This paper identifies the issue that led to the problems and the opportunities, the dilemmas facing stakeholders, employees and the Union, and establishes the end goal and course of action. The paper will use the problem- based diagnostic approach, analyze alternative solutions, and understand a solution.
Situation Analysis
Issue and Opportunity Identification
Global Communications, who at one time was a major company in telecommunications was challenged with stockholders complaining of failing returns and depreciated stock values. An abundance of competition was aggressively growing with local, long distance and international markets vying for the same business, and the cable companies were offering complete solutions with cable television, high speed internet service and digital telephone service packages together. Global Communication is on a current mission to reposition it self to become a global leader in communication. The opportunities will come from outsourcing and forming new call centers to India and Ireland that reduce costs and will increase technical sophistication and improve profits along with increasing the company's growth. They have grouped with a wireless provider and now offer satellite broadband and video services. This allows the focus on the small business owner to have unlimited access.
Stakeholder Perspectives/Ethical Dilemmas
The Board is concerned about the rebound of the company. In comparing the stock from three years ago to today, the stock depreciated more than 50 percent. They need to upright this and answer to the Board or they will be out of jobs. The ethical dilemma here is trying to have loyalty and compassion for their employees, yet they have to do what they have to do at all costs.
Sy Rodriquez, a key stakeholder stated "I know we have to work with the Union, but we also have an obligation to our people."
The Union is threatening legal action .By displacing local union jobs and transferring to foreign markets could weaken or disband the union. They are also not getting any support from the Union because they were left out of the strategy planning, negotiations, and benefit reductions. The Union headquarters feel Global Communication are scheming and unethical bring to maneuver around current contract conditions.
A major ethical dilemma is the care and concern of their current employees, who will most likely lose their jobs. They publicly announced that it will outsource thousands of its technical support jobs overseas and a layoff is expected. Their whole image is that they are loyal to employees and have the "Our Edge Is People" philosophy....... yet they want to outsource technical support jobs to new call centers in Ireland and India after cutting major benefits such as education and health? They are also not getting any support from the Union because they were left out of the strategy planning...which could have softened the blow. Salary cuts and layoffs is always a major moral issue.
End-State Vision
The company must determine future end-state goals while making critical changes to the company and possibly the loss of local dedicated and skilled employees. The senior team members the company must go globally with drastic changes. In doing so they must communicate new strategy to address employees and unions concerns. They should identify and measure cost cuts and impact on profitability growth using metrics and target indicators. They can offer 15% retention bonus to offset salary cut, then raise salary as business grows. Maintaining an alliance with partners such as satellite and wireless providers is their objective as well as improving all-around communication though out the organization. "Effective communications is vital to all organizations because it coordinates employees, fulfills employee's needs, supports knowledge management and improves decision making. (McShane, Chapter 11).
Gap Analysis
The issues are that they facing could have been addressed by understanding the competition and cable companies before financial pressures were felt. Their whole image is that they are loyal to employees and have the "Our Edge Is People" philosophy....... yet they want to outsource technical support jobs to new call centers in Ireland and India after cutting major benefits such as education and health? They are also not getting any support from the Union because they were left out of the strategy planning...which could have softened the blow. Salary cuts and layoffs is always a major moral issue. But as Joel said, "Without this strategy, Global will not survive the changes in the telecommunications industry." And everyone would be out of a job. The opportunities that this new strategy presents are the opportunity for employees to travel overseas or get interesting assignments. The leadership team has the support of the board members and I think the new alliances and customer focus is the correct strategy needed. The individuals on the team certainly have the experience in place to make the plan work.
Conclusion
As corporations seek growth, globalization is unstoppable. The pressure to communicate quickly and effectively globally becomes greater as more products are created and moved into foreign countries on fixed and tight budgets. Global Communications is under pressure. Not only is it necessary to communicate globally, a successful company must communicate within. The implementation of their strategy as well as effective communication will help the leaders
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