Global Communications Problem Solution

Problem Solution: Global Communications

When an organization focuses on empowering their employees by building the union-management relationship it encourages both parties to act as enterprising professionals. This partnership removes the barriers to success that traditional organizational hierarchies create and establishes environments conducive to employee and customer-centric innovation. Global Communications must develop and implement a collaborative management approach to drive forward an organizational shift from short-term problem solving to people oriented solutions, from corporate processes to a collaborative environment. The following explores the impact of a shift in Global Communications organizational culture and corporate performance in becoming a more profitable organization by establishing business strategies and communication systems that allow for a quick turnaround of information, prudent decision making and innovative solutions in a highly volatile crisis situation.

Situation Analysis

Issue and Opportunity Identification

Global Communications is facing competition from local, long-distance and international markets for the same business forcing the company and senior staff to develop an approach that will aggressively market the company against competition. They plan to increase growth by adding new services, create alliances with a satellite provider, partner with a wireless provider, and outsource their technical call centers to India and Ireland. These initiatives will improve profitability and transform the company into a global corporation.

Outsourcing the domestic call centers has major implications in that a large portion of the call center reps will be laid off with only a small fraction being relocated to the small business centers. Those who are relocated will be expected to take a 10% pay cut. The Vice President of the Technologies Workers Union (TWU) was never notified of the new strategy of globalization and outsourcing until after Global Communications’ Board approved the plan. The TWU Vice President is very concerned about the new strategy.

The face-to-face meeting between Katrina Heinz, the CEO and Joel Thompson, the Executive Vice President of Human Resources and Public Relations, of Global Communications and Maria Antez, Vice President of TWU did not end well. Neither side has communicated nor collaborated with each other on the issue of layoffs as a viable solution to the company’s growth and profitability. Both sides are convinced that what they bring to the table is the solution to Global Communication’s long-term growth and profitability. The union gave up major benefits as a way to help the company with their financial pressures and Global Communications wants to outsource some of the technical call centers to cut costs and improve profitability. A request by the union Vice President to reconsider the new strategy was denied when Global Communications implemented the layoffs. The union Vice President issued a statement to Global Communications informing them that they will take action through all available resources.

Stakeholder Perspectives/Ethical Dilemmas

For Global Communications to maintain viability as a business where growth leads to profitability, they are closing some of their technical call centers and outsourcing to Ireland and India. The union wants Global Communications to reconsider their strategy. Outsourcing some of the technical call centers would cause significant layoffs. This would reduce the number of members in the union who have already given up a percent of their benefits to help the company. The recent turn of events is viewed as unethical and manipulative by union headquarters.

As a company Global Communications has every right to pursue business opportunities in order to make a profit. Global Communication’s senior staff rushed to make quick decisions to out-pace competitors, cut costs, and meet their growth targets. The emphasis on speed has led to negative results in regards to their relationship with the union. As an expedient decision maker the union Vice President did not consider both short- and long-term options concerning Global Communications’ financial crisis. Instead of focusing on what is right for the union employees, the union Vice President approved a reduction of employee benefits for the sake of the company without any respect to the long-term effects.

Being the union liaison, Maria needed to keep her sights on what was right for the employees. Did she do the right thing by negotiating the reduction of employee benefits?

Both parties approached the situation by focusing on moving quickly and assessing “their environment with a possibly irrational desire to take immediate action” (Jehn & Weigelt, 2001, p. 107).

The senior staff wants to move forward in implementing their new plan but appears to be more concerned with satisfying customer demands. They all want to share the new strategy with the employees in the hopes that the employees will understand why it’s happening to them. By not considering other resources or options the senior staff has limited their chances for a successful negotiation. Instead, Global Communications is set on following through with the new strategy.

With the proposed layoffs and the union President’s disappointment in the reduced benefits, Maria does not believe that Global Communications is conducting themselves in a manner befitting a partnership. She is made to feel a fool for not being part of the initial communication of the new strategy plan. Her assertiveness in pointing out the lack of benefits, lack of communication and that Global Communication’s behavior will set a precedent for the industry. It boils down to Maria looking bad for not knowing about the new plan, her trying to protect the union employees while trying to help the company. This has led to her stance for Global Communications to reconsider their new strategy.

Problem Statement

It’s imperative to constantly communication and collaborate in a simple and consistent manner to ensure clarity of both Global Communication’s vision and journey to become a successful international leader. In order for Global Communications to reach their goal of global success they must explore several alternative solutions and seize upon the best solution that will allow them to achieve their vision and journey.

Global Communications will need to improve their corporate function by developing