Problem Solution: Global Communications

Running head: PROBLEM SOLUTION: GLOBAL COMMUNICATIONS

Problem Solution: Global Communications

Bradley S. March

University of Phoenix

31 March 2007

Problem Solution: Global Communications

Global Communications is trying to increase profit by being the industry leader in voice and data communications. Through my analysis I will present the problems Global Communications will face before and after the implementation of their strategic plan to become the industry communication leader. Global Communications is not able to offer a voice and data bundle in the international market; Global Communications is well behind the communication industry in this field. In this Gap analysis I will present the issues and the opportunities that Global Communications faces, then I will discuss the ethical dilemmas faced by all stakeholders. I will then discuss the end state vision of Global Communications Company. Also I will talk about where Global Communications is right now and where Global Communications wants to be in near future, the industry communication leader. Global Communications is feeling the pressure from their stockholders and feels they need to come up with an innovated idea to make them an industry communication leader. Global Communications needs to be able to offer better services then their competitors are offering their customers. The Unions feels that the most recent negotiations were a waste of effort, because Global Communications did not communicate that there were problems within the company. In addition, the Union feels like not all alternative were discussed or explored at most recent contract negotiations. The Union wants integrative negotiations. " Integrative negotiations call for a progressive win-win strategy" (Kreitner-Kinicki, 2003, pg. 504) The Unions feel so far that the company is involved in distributive negotiation, "negotiations usually involve a single issue in which one person gains at the expense of the others" (Kreitner-Kinicki, 2003, pg. 503). The last part of the paper I will discuss the alternative solutions to their existing problems, risk assessment for the suggested alternative solutions, the optimal solution, and the implementation plan to deal with the problem.

Situation Analysis

Issue and Opportunity Identification

Global Communications has been struggling to survive amongst it competitors for local and long distance communication services. Global Communications is facing major competitions within the communication industry. The Global Communication's stock has taken a major hit and went from $28 a share to $11 a share. Typically when this happens the stockholders and members of the Board request immediate corrective action be taken ASAP. The executives within Global Communications have made a pitch to outsource their technical call centers to India and Ireland. If the outsource happens the company will see a major fallout by the employees. The outsourcing might save money but at what cost to the human capital? In connection with the outsource proposal, Global Communications had failed to communicate with the Union and it employees. The Union representatives feel they were betrayed because they gave concession on the most recent contract talks. Global Communication as an organization should consider all possible ideas to resolve their issues and make the best decision possible for their company. By improving their decision making processes and putting their employees needs first, Global Communication can move forward and retain its communication industry name. The employees and Global Communications have opportunities within these decisions that need to me made to improve Global Communication as the communication industry leader. Global Communications is facing major economic issues. The company and the Union that represents the employees need to come together and create a strategy that will help Global Communication become the Industry leader in communications. So far Global Communications is having a major problem communicating the information to its employees. The executives fail to realize that the employees get most of their information through the grapevine. "The Grapevine is the oldest communication channel, According to estimate 75 percent of employee typically receive news from this channel instead of normal formal channels" (McShane-Von Glinow, 2005) Global Communication has always been known for how it treats it employees. The employees are a vital piece of the company's success. Global Communications has faced a major obstacle within the local, long distance and international market due all of them competing in the same business and they suffered a major blow at hands of the cable companies. Global Communications and made major strides in trying to improve its product and has taken steps to outsource the call center to India and Ireland. This could increase their profit margin by 40 percent.

Stakeholder Perspectives/Ethical Dilemmas

The stakeholders for this analysis are the union, employees, stockholders and Global Communications. Global Communications find themselves in tough situation; their stock has taken a major hit due to the competition within the communication industry. The stockholders have made a pitch that changes need to be made immediately. Global Communication has decided to introduce new services through their partners and outsource their technical call centers from the United States to Ireland and India. The biggest issue with this is the management failed to include a key stakeholder in this decision-making and the Union is talking about taking legal action. With the employees facing either a layoff or cut in pay the morale of the employees is very low right now. The Unions feels that the management did not negotiate faithfully in most recent contract talks. In addition the Unions feels that employees have already have given up too much. The interest for all is to have a contract in place that benefits all parties. For example the employee will need additional training to have the edge on the technical expertise within the call centers. Global Communication needs to be able to find a solution that will make them more in line to be the industry communication leader and turn a profit. The right for all stakeholders is to faithfully negotiate a fair contract for all parties involved. The union and the employee's ethical dilemmas are how much do they give before they say