Global Communication Corporation

Problem Solution: Global Communications Corporation

Linda G Nichols

University of Phoenix

This paper deals with a holistic approach to problem-solving and solution development. In this paper, this writer will attempt to show how Global Communications, a leading telecommunication company, handles industry economic pressures brought forth by too much competition. For Global Communications and companies similarly situated, leadership is a key component. Leadership can be seen as a process of identifying opportunities and solving problems. Problem-solving is a core capability required to realize these opportunities. This paper will go through the 9 step problem-solving process using the company Global Communications as a case study. Using this 9 step problem-solving process will help Global Communications make some complex decisions in a complex and declining industry.

The telecommunication industry is a very competitive industry, and Global Communications is an industry leader. In order for Global Communications to continue to show leadership in this industry, they must be able to identify opportunities and issues, define the challenge in terms of the right problem, select alternative solutions and implement these alternative solutions to increase the value of stock to all shareholders.

In order to understand the issues facing Global Communications, one must first understand Global Communication's situation. One must start the process by collecting information from all appropriate sources. Global Communications faces competition in local, long distance and international markets. They are competing for the same business as all other major telecommunications companies. Diminishing returns and speculation have caused the shareholders of Global Communications (hereinafter Ð''GC') to question whether they can rebound from their recent economic decline. GC needs to grow and improve their profitability. GC's primary objective is to increase both revenue and profit through more aggressive globalization. In their attempt to create more revenue and profit, GC's first objective is to attempt to realize growth through the announcement of new services. These services would be directly marketed to small businesses and consumer customers. GC's second objective is to form partnerships with satellite and wireless providers. This will allow GC to offer internet services to new markets. GC's third objective is to identify cost-cutting measures that will improve profitability. In attempting to obtain these objectives, GC faces several obstacles. This writer has identified the underlying issues below:

Issue Identification

1. High cost for handling calls through the current technical center.

2. Eliminating jobs by moving the Information technology center to India or Ireland.

3. Competition with other communications companies.

4. The depreciation of stock value to shareholders.

5. Identifying cost-cutting measures.

The use of a more state-of-the art process also incorporates appreciative inquiry, which helps to reframe the problem into an opportunity. Reframing the problem into an opportunity defines success in terms of the desired future end stated goals and factors for success.

GC must turn their issues into opportunities and identify those opportunities in order to develop solutions. Below, this writer has identified some of the key opportunities for GC.

Opportunity Identification

1. Global Communications can continue to compete in local markets and potentially become more of a presence in the global arena by outsourcing their IT.

2. GC can form partnerships with satellite and wireless providers.

3. GC can potentially increase the stock per share by lowering the expense of unit cost by nearly 40%. This will increase profitability.

4. GC has the opportunity to create a new market niche by providing services to small businesses.

5. GC has the opportunity to outsource the technical call center. By moving the technical call centers to India and Ireland, they have the opportunity to reduce their unit cost by nearly 40%.

By maximizing the opportunities stated above, GC has an opportunity to increase their share of the market; however, downsizing GC's domestic call center and implementing the above-stated opportunities will have ethical implications. Below this writer has identified different ethical dilemmas.

Stakeholder Perspectives/Ethical Dilemmas

Global Communications will face some ethical dilemmas by implementing the opportunities this writer has written about in the previous section. The following ethical dilemmas are potentially present.

1. The local community will be adversely affected if GC moves their call center overseas. There will be a loss of jobs, a loss of tax dollars, and a loss of company good will.

2. Shareholders for GC will questions the decision of moving the technical center overseas if they do not see an increase in profits.

3. The Union for GC will possibly mistrust GC and GC's good will could potentially be ruined. Prior to the knowledge of the company making the decision to move the technical center, the union negotiated a deal to give up 20% of their education and health benefits.

4. Global Communications will have to eliminate jobs as result of moving the technical center. Although the company can relocate some of their employees, those employees will encounter a 10% pay cut. Global Communications has to make this sound attractive to the employees they retain.

Based on the opportunities or challenges presented above, Global Communications has to develop a problem statement ensuring they are solving the "right" problem.

Problem Definition

Global Communications has the potential to gain a competitive advantage in the telecommunications industry. The senior leadership team has determined that in order to improve the company's market position and add value for their shareholders, they need to redefine their strategic focus, implementing information technology (IT) solutions. GC also needs to reduce the internal cost of IT which would potentially increase GC's profits. By implementing the opportunities