Global Communications

Gap Analysis: Global Communications

Global Communications is a company in the telecommunications industry, like other companies within this industry, having to compete with other business and unable to increase their profits. The local telephone and cable companies are truly making it difficult for them because they are able to satisfy all the customer’s needs, making Global Communications stock decline.

Global Communications feels to become more competitive and a global resource, some changes are going to have to happen. Some ways to achieve this is: to enhance products and services making them more marketable, outsourcing technical support call centers to Ireland and India, and implementing layoffs.

The Technologies Workers Union does not like the approach that Global Communications is taking regarding the outsourcing of jobs. They plan to take necessary actions to ensure they employees can keep their jobs from leaving the United States. The Union wanted Global Communications to come to them to negotiate, but instead Global Communications decided that their strategy was the best for the entire company.

Situation Analysis

Issue and Opportunity Identification

Global Communications has been through many downfalls in the last three years. Because of the declining stock prices and all the competition, Global Communications has been forced to create a strategy so that they can be more competitive and increase their profits and growth. In order to ensure that they stay competitive, they must enhance their products so that they are able to compete with the local telephone and cable companies that are causing them to fail. One of the problems is that they may have to outsource jobs to India and Ireland to meet the technical demands of their customers. They will be able to increase their technical expertise at a much lower cost and decrease the call volume in the United States at the same time. This in turn will help Global Communications become the global resource they so desire in becoming.

The Board of Global Communications agreed that this strategy would be best for the company, but when the Technologies Workers Union found out about the plan to move the technical calling centers overseas, they were not pleased. They believe that the Senior Leadership team should have come and told them the problems and concerns of the company and maybe they could have helped them make decisions that would benefit both the company and the Union. The Union they should have been able to negotiate with the Leadership Team because they had just cut their education and health benefits by twenty percent to help with the company’s long term growth, and then to hear about the outsourcing and cutting of domestic jobs did not please them. Global Communications had no other choice but to outsource or they would not be able to compete with the demands of the telecommunications industry. To the Union, they feel that Global Communications was only worried about the company and not the employees.

Stakeholder Perspectives/Ethical Dilemmas

Global Communications has interests in making sure that the company grows to be a global giant in the telecommunications industry. They want to also stay competitive so that they are able to increase their profits and ensure the company grows. In order to become a global resource, Global Communications must outsource to international countries so they can get the expertise needed to expand with the lowest costs. They do value the interests of both the company and the employees, but they must keep the company’s interests above all.

The Technologies Workers Union interests are that of the employee and the employee’s rights. They believe that their rights are that the company is to correspond with them so they know how to make decisions for the company and employee’s well being. The Union would like the company to look at them as a partner aiming for the same goal. They believe that the company should come and negotiate all the different avenues available. The Union might have come up with things that the Board did not even think about. They are sensing that the Leadership Team was trying to be real secretive to the point that the liaison did not know what they were doing. Global Communications hurriedly presented the strategy the Board so that there was no opportunity for the Union to object, which offended the Union because they have thought that Global Communications cared for their employees to come to them to help solve any situations that the company going through.

End-State Vision

Global Communications has a vision becoming a global resource by moving some of the company’s business overseas. Become is global resource is a sure way to help the company grow. The only problem about trying to get the international market is that domestic jobs must be cut. The advantage of going to India and Ireland is that they are experts in the technical support field and the cost of getting this kind of expertise overseas versus getting it in the United States is much cheaper. This in turn will reduce the domestic call centers call handling tremendously.

Another vision is for Global Communications is to cut costs and increase profitability. One way of cutting costs is taking the jobs overseas for a cheaper price, transferring employees to other departments of the company with salary cuts, and the cutting of domestic jobs. This will cut cost but at a price to the domestic employees. The jobs will increase profits because the experts overseas will be able to meet