Gap Analysis: Global Communications

Gap Analysis: Global Communications

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Gap Analysis: Global Communications


Falling stock prices for three consecutive years has forced Global Communications to revamp itself. (UOP, 2004) This gap analysis will illustrate the internal and external struggles that are straining GC. Table 1 highlights the issues surrounding the conflicts at GC and also offers up opportunities for the company. Table 2 showcases the stakeholders in this struggle and their interests. Table 3 outlines end goals for GC to insure its survival.

Situation Analysis
Issue and Opportunity Identification
Global Communication is a company on the verge of transformation. Increased competition in the market has driven GC to reshape its' business plans. GC has already entered into partnerships with satellite and wireless service providers to attract more customers and offer more features to existing customers. Another phase of change will be the outsourcing of technical call centers to India and Ireland. This move will lower the costs of calls by forty percent. This move is in line with GC's goal to become a global company within the next three years stimulating growth and profitability. Unfortunately, the outsourcing of jobs is not an easy sell to employees who will become unemployed or motivating to those who stay and receive a ten percent pay cut. The union that represents the workers is furious with GC for proposing such a plan especially after the last round of negotiations, where the union gave up twenty percent of education and healthcare benefits in order help out GC. (UOP, 2004)

Stakeholder Perspectives/Ethical Dilemmas
There are several stakeholders involved with the fate of Global Communication each with something to gain and lose based on the decisions of the executive management. The group with the most to lose is the employees. A majority of the staff are facing a massive layoff due to their inability to remain cost competitive and technically proficient in the market place. This could partially be caused by their union contract that keeps GC from directly managing their employees effective and efficiently. The remaining staff will suffer a ten percent decrease in salary and relocation to soften the blow management has agreed to offer a fifteen retention bonus. This business plan is not what the GC employee are used to and there is a possibility that the employees that do stay with the company will not perform the same caliber of customer service as before. Executive management fears that some of their best employee will lost to competitors.

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(UOP, 2004)
The shareholders' interest is a return on their investment. The board members have approved senior staffs outsourcing plan in order to achieve this goal. The executive staff is feeling pressure from all angles; pressure from the board and shareholders for profit and growth, pressure form the union for sending union job over seas, pressure from the employees who want to be valued by the company. Being pushed in so many different directions, decisions designed to debunk this debacle will demand diligence and determination from the executive management. Global Communications' customers are potentially the winners in this dilemma. GCs' commitment to provide more services at a more affordable rate illustrates their commitment to their customers and quality.
The Technology Union and the local community will suffer greatly with the loss of local jobs. The union, like GC, is a business that is driven to turn a profit. The loss of jobs means loss of dues which equals loss of revenue. The community suffers as well as a large number of its residences will be unemployed and will spend less money in local businesses or they will relocate taking there revenue.
End-State Vision
Global Communication has several challenges to overcome: keeping customers, employees, and shareholders satisfied, expansion into the global arena, and to free itself form the shackles of union bondage, maintain viability, all while increasing profits and reducing expenditures. In the end, GC will emerge a global industry leader in the communications and information transfer market. Global Communications' new vision statement will be: "Global Communication is committed to quality customer service; the development and utilization of cutting edge communications technologies and, a global leader in communication solutions." In order to realize this vision Global Communication must implement an international marketing plan, resolve the conflict with the union, and restore faith in the employees.

Gap Analysis
Global Communications performance is waning, increased competition and plummeting stock prices have challenged the management. (UOP, 2004) Off in the distant horizon management sees a viable global giant. The road to success is riddled with pot holes. The unpleasant and unpopular plan of downsizing and outsourcing will force GC to put the company's' health ahead of its employees. This will be challenged by the union who will not go quietly into the night. GC will have to rethink its relationships and attitude towards its employees now and in the future. Future success will also depend on GCs' international marketing plans which will spawn future growth.

Conclusion
Global Communications is facing some tough challenges, however, with concise communication an equitable solution can be agreed upon. GC has already taken necessary steps to insure its survival it has many more difficult steps to take with its employees and the union. It is clear that a company has many responsibilities: customers, shareholders, employees, the community but, it ultimately responsible to fight to live another day.



References
Reid, S. (June 2005). Eight steps to collaborative order management. Manufacturers' Monthly, 30. Retrieved January 8, 2008 from http://web.ebscohost.com EBSCOhost database.
Ossip, A. (October 1985). Ethics- everyday choices in market research. Journal of Advertising Research, 25(5), RC-10-RC-12. Retrieved January 7, 2008 EBSCOhost database.
Hearle, E. F. R. (December 1968). A symposium computers in public administration. Public Administration Review, 28(6), 487-488. Retrieved January 8, 2008, EBSCOhost database.
Vitell, S. J. & Paolillo, J. G. (July 2004). A cross-cultural study of the perceived role of ethics and social responsibility. Business Ethics: A European Review, 13(2/3), 185-199. Retrieved January 8, 2008, EBSCOhost database.
University of Phoenix. (2004). Scenario Two. Global communications. Retrieved December 28, 2007, from University of Phoenix Student Resource Web Site, MBA/500, week four

Table 1
Issue and Opportunity Identification
Issue Opportunity Reference to Specific
Course Concept
(Include citation) Concept
The entry of cable companies into the telecommunications market has magnified the competitiveness of the industry. Existing companies have long been battling each other over local, long distance and global markets, with additional competition, companies like Global Communications are partnering with satellite and wireless service providers to keep competitive.(UOP, 2004) By partnering with other service providers, GC can offer more services to customers and become more competitive I the market. "collaborative commerce
streamlines all operations that directly
serve the customer" (Reid, S. 2005).
Critical thinking, problem solving, and developing alternative solutions, collaboration

The technologies union is at odds with Global Communications' plan for outsourcing, downsizing, and pay-cuts. The union feels betrayed after taking a 20% cut in education and health care benefits. The union is ready and willing to battle GC. .(UOP, 2004) This tension between GC and the union is an opportunity to dissolve relations with the union and increase profitability. "First is the value of having overt
role discussions with those you work
with your clients and your suppliers." (Ossip, A. 1985).
Collaboration, professional competence and values

GC's stock is down, at less than 50% than three years ago.(UOP, 2004) With the price of its stock so low, the opportunity lies for GC to become more employee owned with a stock purchase/bonus incentive plan literally acquiring employee buy-in for the new plan. "Management is largely a process of handling information: selecting it, comparing it, and acting upon it." (Hearle, E. F. R. 1968). Information utilization, symptoms and problems
GC faces an enormous morale problem with the roll out of this new plan. There is fear that the employees that are left will be unhappy, unmotivated and there is a potential for good employees to jump ship.(UOP, 2004) Global Communications is making a move into a larger market growing pains are inevitable; now is the time to evolve the corporate culture to reflect the new vision. "A critical factor in developing successful ethical
and socially responsible marketing programs is
the ability of management to integrate core ethical
values into the corporate culture" (Vitell, S. J. & Paolillo, J. G. 2004).
Communication, Impact of Personal, Cultural, and Organizational Values on Decision-Making

Table 2
Stakeholder Perspectives
Stakeholder Perspectives

Stakeholder Groups
The Interests, Rights, and
Values of Each Group

Employees Employment, Competitive wage and benefit package, To be valued by the company and treated fairly with honesty and integrity.
Shareholders Profit maximization, Growth, Accountability, Responsibility, Integrity
Customers Superior quality service, State of the art technology, Customized options, Value
Local Communities Social responsibility, Keep and increase jobs in community
Technologies Workers Union Profit maximization, membership growth, keep jobs local, Accountability and responsibility to members, Integrity
Global Communication Executive Management Keep Global Comm. viable and profitable for both the shareholders and the employees, minimize negative affects of outsourcing


Table 3
End State Goals
End-State Goals
Establish Global Communications as a global corporation within three years.
Increase stock value by 50 percent within two years.
Dissolve relationship with Technologies Union within one year.
Established call centers in India and Ireland within six months.
Develop downsizing transition roll out plan within one month, including a press conference and career counseling.
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