Gobal Communication

Global Communications Problem Solution

University of Phoenix

Global Communications

Global Communications is under tremendous economical pressure due to increased competition in the telecommunication market. In an attempt to save, the company from more financial crises, Global Communications' senior management team has developed two specific strategies both are very aggressive approach, first to outsource jobs to Ireland and India, and second to layoff employees within the company. The senior management team has the board of directors' approval to implement an aggressive approach; however, the Technologies Workers Union is against both strategies. Global Communications wants to utilize new strategies to improve profit and now the union threatening to take legal action against Global Communications. As per union outsourcing, approach will set an alarming precedent for the whole industry.

Situation Analysis

Global Communications is facing several issues. The first issue is that the current stock price has dropped more than 50 percent within last three years. The second issue is the competition within the telecommunication market for the same business. The third issue is the lack of internal organizational communication among employees and senior management as well as other stakeholders in the company. The fourth issue is Global Communications failed to consider all possible solutions to increase profitability. Issues always bring opportunities if companies can frame the problem correctly. Global Communications is building alliances with a satellite provider to offer video services and the partnership with a wireless provider will allow better connectivity, introduce new services, as well as improve current technical sophistication within the company. Once they have new service plans to offer for small business and consumer they can attract more customers that are new and generate more revenue that will increase profit margin.

Global Communications senior management did not involve Technologies Workers Union in the decision process and now they are threatening legal action against the company. Within the company, employee morale is down because of uncertainty of their job, reduction in benefits by 20 percent, and possibly more salary cuts in future for employees who will be relocated to new call centers. The company's senior management team thinks that without the employee layoffs and outsourcing of jobs to new call centers in Ireland and India, they cannot increase profitability and will not survive in the telecommunications industry. New changes will make the company more profitable and desirable to stockholders, businesses, and consumers. If Global Communication does not increase profitability and productivity, there is a possibility that they may not survive the financial pressure and end up losing more business and their stock value.

Problem Statement

Global Communications has many issues and opportunities as a corporation; they are trying to solve their problems by applying aggressive approaches. The company's senior management team was unable to establish some common ground and consider a win-win situation with the union, now they have missed the opportunity for the best solutions to their problems of decreased profits and productivity. Global CommunicationsÐ''management should reestablish open lines of communication within their organization and with the Technologies Workers Union. "Effective communication is vital to all organizations because it coordinates employees, fulfills employee needs support knowledge management, and improves decision making" (McShane & Glinow, 2005). Resolving the union conflict will promote employee morale and result in a win-win situation where both parties have something to gain. Entering into a strategic partnership with the union will increase more productivity and will increase the company profit margin.

End-State Vision

Global Communications is facing industry wide competition and do not have best technology losing stock value to overcome the problem; the company is planning to grow into the international market level and become a true global resource. Global Communications plans to introduce new services to small businesses and general customers this approach will grow the current business and improve profitability. Building alliances with satellite companies and partnerships with wireless providers will increase its marketability. Applying cost-cutting measures will improve profitability and increase stakeholder's confidence in the company. Global Communications growth will lead to more jobs in consumer market and large business markets. Global Communications will maintain good employee morale, build stronger partnership relations with the union, create effective communication within the organization, involve more employees in decision-making processes, and become the leader in the telecommunications industries in next 3 years.

Stakeholder Perspectives/Ethical Dilemmas

There are many stakeholders who have vested interests in the company. The stockholders are looking for better stock price, company employees want to retain their job, consumers wants better and affordable services, the Technologies Workers Union team members wants a balance between employee and employer, and the board of directors, all wants Global Communications to be a successful company. All stakeholders are looking fort better return for the investment invested in Global Communications. The company stock price is declining and stockholders are asking for immediate corrective actions. There is no room for negotiation between senior management and the Technologies Workers Union. Company's senior management team will like to layoff and outsourcing jobs to new call centers in Ireland and India. The union wants to take legal action against the company. The Ethical dilemmas is should employees be laid off to increase the stock value? The union wants to protect their employees' rights and provide job security to their members. The union should balance employees' rights and employer requirements by establishing some common goals and a win-win situation for both parties. The consumer wants to see the company's over all stage, its services, and products before they buy their services.

Global Communications Possible Solutions

Global Communications should apply the SMART strategy concept (specific, measurable, attainable, realistic, and timely) to solve their issues. First, the