Essay PreviewMore ↓
With the onslaught of competition in the telecommunications industry, Global Communications has come under tremendous economic pressure. Over a three-year period, stockholders have seen their investments decline more than 50% and are now questioning the ability of the company to rebound. Global Communications publicly announced that it will outsource thousands of its technical support jobs overseas and a layoff is expected. Citing contract manipulation, the Union has spoken out against the strategy stating that Global Communications failed to look at the Union as a partner and all other options should have been evaluated prior to the decision to send union jobs overseas. The Union is threatening legal action. This analysis examines Global Communications' current situation, issues and opportunities, and the stakeholders' perspective. This analysis concludes with the considerations of the desired end-state vision, the current situation, and the course concepts.
Issue and Opportunity Identification
Increased competition in the telecommunications industry and a significant 50% depreciation in stock value have jeopardized shareholder value, decreased confidence in the industry, and placed Global Communications under extreme economic pressure. The industry suffered a tremendous loss in market share when cable companies began offering complete solutions to its customers providing voice, data, and video services. The decision to implement off-shore outsourcing places Global Communications in a position to expand and grow its market share by turning its goal of becoming a highly profitable global source of telecommunication services into a reality.
Stakeholder Perspectives/Ethical Dilemmas
The various stakeholders involved in the Global Communications scenario include shareholders, senior management, employees, union, and customers. Shareholders have a vested interest in seeing the company become more profitable and yield a good return to the hard earned investment dollars. Shareholders expect the managing directors and board members to act with due diligence to grow the company and increase returns. Shareholder values focus on investments and the success or failure of those investments. Shareholder values could differ from with the company directors and impede the company's future direction.
The executive managers of Global Communications have a variety of interests in the company's success. First, many managers receive excellent compensation for effective corporate success. Second, managers derive a series of esteem needs from undertaking the complicated tasks of overseeing a large corporation and being successful. The right of the managers to make decisions without undue influence is paramount. Managers value autonym, independence and flexibility to manage the company and pursue success.
How to Cite this Page
"Gap Analysis: Global Communications." 123HelpMe.com. 06 Dec 2019
Need Writing Help?
Get feedback on grammar, clarity, concision and logic instantly.Check your paper »
- Gap Analysis: Global Communications Telecommunication companies were faced with an enormous decline in profits; Global Communication implemented a forceful plan. Global Communications, is a well known company in its industry, providing exceptional services to its’ patrons and valued its’ employees the most. However, the Senior Leadership Team has constructed a competitive plan that will single out it employees best interest. Since business communication is not effective, as it should Global Communication were unsuccessful with the implementation of the plan.... [tags: Gap Analysis Business Strategy]
1420 words (4.1 pages)
- Gap Analysis: Global Communications Global Communications (GC) is faced with a situation common to many industries today, increased competition and dwindling profits. GC’s stock value has fallen over 50% over the past few years. Decisions need to be made and consequences considered. Situation Analysis Issue and Opportunity Identification GC has experienced an increase in competition, an increase in consumer demand, and a drop in stock value of more than 50%. Opportunities that exist for consideration include outsourcing to foreign countries, layoffs of current employees, a change in the working relationship with the union, and the possibility of telecommuting.... [tags: Business Analysis Global Communications]
1078 words (3.1 pages)
- In this analysis I will present the ethical and financial problems Global Communications faced prior to senior staff introducing a two-pronged aggressive approach. I will identify the issues and opportunities faced by Global Communications followed by the stakeholder perspective and end-state vision. A gap analysis is also included for Global Communications explaining where the company is today and where they would like to be. Situation Analysis Issue and Opportunity Identification Global Communications has become aware of some uneasy issues the company will have to face.... [tags: Global Communications Case Study]
1750 words (5 pages)
- This Gap Analysis will show the situation analysis on Global Communications and the company’s issues and opportunities as to move forward into the future by focusing on customer satisfaction. I will attempt to show the stakeholder perspectives of the company with the workers Union and the consumer marketing and sales division. The Gap Analysis will include and end-state vision by explaining the path in order to reach the desired goal of making the company a true global company that has a strong customer relationship.... [tags: Global Communications Case Study]
1868 words (5.3 pages)
- Global Communications is struggling to compete in the telecommunication industry. Management has put in place an aggressive plan that will address the company’s 50% depreciation in stock value over the last three years. Kreitner and Kinicki quote "Change begets conflict, conflict begets change" (2004). Global Communications was already facing an uphill battle because of the planned changes and they made a critical mistake by not including all critical stakeholders in the planning and implementation of these initiatives thus isolating the stakeholders and endangering the success of the plan.... [tags: Global Communications Case Study]
1719 words (4.9 pages)
- In this paper, one will find a gap analysis between Global Communications (GC) senior management and other key stakeholders in the organization. The current situation is that of Global Communications, a telecommunications company that is in the need of changing its strategies of competition in the growing market in order to maintain its presence in the industry. If changes are not made, Global Communications will no longer exist in the ever growing telecommunications market. This change consists of outsourcing and forming new call centers that will increase technical sophistication and improve profits along with increasing the company's growth.... [tags: Global Communications Case Study]
1756 words (5 pages)
- Gap Analysis: Global Communications Global Communications is company that wants to expand it’s market and broaden its horizon like any other businesses out there. Their company is starting to diminish and there is a need to do something quick about it. In the past three years, their stock has depreciated in value and there is a great deal of competition. The head of the company has come up with a plan to revive the company, but in some cases of having a business you have to loose some to win some.... [tags: Gap Analysis Business Expansion]
1991 words (5.7 pages)
- Global Communications needs to address the current state of the company’s financial position in the telecommunications industry by coming up with a plan that will reduce operations expenditures and expand the company’s consumer base and market share internationally, all without negatively impacting the company’s long-term relationships with key stakeholders, and while continuing to strive to deliver an ever increasing array of high-quality services and products to the company’s end users. Situation Analysis Issue and Opportunity Identification As of late, interests in the telecommunications industry have been struggling in the stock market.... [tags: Global Communications Strategy Case Study]
1836 words (5.2 pages)
- Recently the telecommunications industry has been a disappointment. Stockholders are in an uproar over plummeting returns on their investments and fear that the trend will not return to normal. There has been a drop in stock prices that top over 50%. The harsh environment has put Global Communications under the microscope to perform economically. The market is saturated with companies domestic and abroad vying for the same business. Cable companies have dealt a devastating blow by bundling services that were once sold separately, such as computer, television, and telephone.... [tags: Global Communications Case Study]
1612 words (4.6 pages)
- Global Communications is having a hard time achieving its goal for globalization. During the formation of this goal they developed a two pronged strategy to implement it. First they want to outsource the technical call centers to India and Ireland and restructure the Global Communication workforce. Both of these actions will result in employee layoffs and has upset the Union. After talking to the Union, the board failed to get the Unions’ endorsement of the plan and caused them to seek action from the government and other available resources.... [tags: Global Communications Case Study]
1796 words (5.1 pages)
Global Communications workforce has a vested interest in a successful corporation to provide each employee with a means to earn a wage, support his or her families and provide employment security. Global Communications workforce have rights to be lawfully treated, receive just compensation and the opportunity to pursue promotions. The values that each employee subscribes to with respects to Global Communications may vary from the desire to perform well, support the organization or of a personal nature.
Global-Union, a collective bargaining organization associated with the corporation workforce, has an interest in equitable treatment, expansion and success of the membership. Global-Union desires to have open and honest communications with the executives of the corporation in order to have the company and its membership flourish. The rights that Global-Union are entitled to pertain to the collective bargaining contracts that have been negotiated in good faith with the corporation. Global-Union has expectations of being treated as an equal partner in the future of Global Communications.
Finally, the customer has significant interest and impact on the success of Global Communications. Customers possess the buying power and determine what products or services will be purchased from the corporation. Customers have the right to excellent services, high quality products and dependable customer service. Customer values are not dependent on an organizations internal issue. Customers seek out the best value for their money.
Utilizing off-shore outsourcing facilities in India and Ireland, Global Communications has successfully reduced unit costs and improved profitability. Global Communications has moved forward with their new strategy of globalization that will position them as a leader in the telecommunication industry. Shareholder satisfaction with these measures is evident with the steady increase in stock price. Global Communications will achieve and sustain excellence in its business practices and be considered a forerunner in the telecommunications industry which will be reflected in its' administrative, management, and operational processes and will serve as a model for the industries "best practices." Global Communications consumer services and business practices will be appropriately integrated, effective, streamlined, efficient, and flexible enough to accommodate inevitable change in future technology and industry standards.
In order for Global Communications management to transform the company from its current situation to the company in the end state vision they must accomplish several goals:
1. Global Communications management must successfully implement the outsourcing of the call centers to reduce the handling costs for unit calls.
2. Global Communications must introduce new services to small business and consumer customers.
3. Global Communications needs to provide complete solutions to customers' video, data, and telephony needs by partnering with satellite and wireless providers.
4. Global Communications must launch an aggressive international marketing campaign.
With changes come challenges and Global Communications is no exception. The decision to outsource some of the call center duties brings the possibility of disgruntled employees due to potential layoffs. Employees may proactively seek positions with other companies to avoid a layoff and loss of income. This loss of manpower can lower the call centers service level. GC management must also ensure the outsourcer has sufficient staff to handle the call volume. Increasing marketing efforts will increase call volume for the call center. If they are not prepared to handle the call volume they will not be able to maximize sales and company growth.
Global Communications has an opportunity to bring success to the organization involving all stakeholders if management implements a plan to rebuild organizational culture. Management needs to involve Global Union in future planning specifically as those plans affect union membership. Over the last three years Global Communications has fallen from its position as a communications industry leader. To get through this adverse time, they developed a plan that will take roughly 3 years to show real gains. Although, many employees will be adversely affected by the outcome of this plan, they would be worse-off if the plan is not followed through with. Global Communications must compete with all other companies and there will always be costs associated with competing. In this case, it is the employees that are affected most.
DeJanasz, , Dowd, , & Schneider, (2001). Interpersonal Skill in Organizations. New York: The McGraw-Hill Companies.
DeJanasz, , Dowd, , & Schneider, (2001). Interpersonal Skills in Organizations. New York: The McGraw-Hill Companies.
Kreitner, R., & Kinicki, A. (2004). Organizational Behavior Managing Conflict and Negotiation (6th ed.). New York: The McGraw-Hill Companies.
Maul, J. (n.d.). Generic Benchmarking: For Solving Problems and for Life. Retrieved February 11, 2007, from University of Phoenix, MBA 500 Foundations of Problem-Based Learning, Week Four, White Papers