Gap Analysis: Global Communications

Gap Analysis: Global Communications

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Gap Analysis: Global Communications

Global Communications has, in the past, been a large player in the telecommunications industry. Today Global Communications faces challenges from an over saturated market and new services to consumers. It must find a way to restore its place as an industry leader and raise the declining stock price. To do this Global will employ cost cutting strategies not seen in the industry before which will also lead to new challenges. Challenges to ethical questions, resources and the ability to adapt to an international market.(4)

Situation Analysis
Issue and Opportunity Identification

Evolution and change are constants in any industry. Telecommunications is no exception, it seems that telecommunications has to change, evolve and adapt as quickly as any other industry. Global Communications is currently in a market that requires change in order for it to survive the aggressive competition and the variety of services that are being offered by other companies within the industry.

Global Communications senior leadership has developed a plan to combat its declining stock price and make Global an industry leader. Global's plans include layoffs at North American call centers and new international call centers that reduce average cost per call by 40%. Global has also created alliances with strategic partners to expand the services that they offer. These plans will make Global an industry leader on a global scale and set a new standard for others to follow when considering international employment as a cost cutting tool.

These opportunities will also challenge Global's ability manage conflict and negotiations.(3) Managing communications barriers between the company's new international teams, deal with the ethical dilemma that they will face when restructuring and layoff employees. These issues and opportunities are critical when considering whether Global will succeed. If Global can effectively execute will set a new standard in the industry but if it can not use problem solving techniques: using tools, processes, and creative approaches it will not survive.(2) Global has obligations to share holders, employees, business partners and ethical standards of practice. (3)

Stakeholder Perspectives/Ethical Dilemmas

Global has set a plan in place for grow and cost cutting, in order to do this employees of one of it's North American call centers will lose their jobs due to the new international call centers. Some may be asked to stay but will do so at a pay decrease that would follow a decrease in benefits, recently agreed to by the workers union before they were aware of the layoffs.

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Global must also consider the ramifications that moving their call centers, to cheaper international locations, may have on the industry in terms of setting a new standards that would affect the U.S market.

Global employees as a whole must see that these changes are necessary in order for Global to continue to operate but many may not see the benefit, particularly those that are slated to lose their jobs. Employees may see this as a sign that Global is losing its employee focused environment to one of numbers first at any cost, even if this means backing out of union contract and sending hundreds of jobs overseas. This may hurt moral and ultimately productivity. The workers union sees the changes as just that and is in direct conflict with the direction Global has chosen to take.

The leadership at Global must play a very delicate balancing game between employees and shareholders. The goal is for Global to be a profitable company for its share holders but it must do this at a cost that is not too costly to its employees. Employees are what make up Global and if the changes it intents to make hurt employee moral and possibly even consumer perception of Global it may not succeed do to lack of support. Global must consider its ethical responsibility to those employees that will lose their jobs by evaluating compensation packages for employees, to ease employee and consumer tensions. In line with protecting its image Global faces the challenge of dealing with an opposing workers union and the challenge of being one of the first in an industry to move hundreds of jobs over seas.(3)

Shareholders have a very simple interest and that is profit. Short term losses for longterm gain are acceptable. Shareholders must remember their obligations to employees, communities and the industry when they pursue profits.

End-State Vision

Global will become and international player in the telecommunications industry by implementing innovative ways of expanding its current product line and cutting operational costs. These innovations will lead Global to the top of the industry and in doing so Global will be able to rewards its employees and consumers. Global's success will lead to more jobs, better benefits and opportunities for existing employees, which will give global management the tools needed to succeed in an international market.(4)

Gap Analysis

In order for Global Communications to successfully pull through its plan of international leadership it must deal with the challenges set from by these new ideas. First global must deal with the loss of the employees in North America. The layoff will no doubt hurt the company image and employee moral, to counter this Global should closely consider severance packages that compensate employees enough to alleviate some of the stress to losing there jobs. They must also clearly define that without these changes and unfortunately, loss of their colleagues they all may loss their jobs because without these changes Global will no longer be able to keep up with the competition. Global must strike a deal with the workers union to ease opposition and better company moral. This may include promise of replacing jobs when Global has reached a specific end point or the improvement of benefits for those employees staying. Although, difficult to speculate what will ultimately come of a compromise talks need to restored with Global leading the way.(3)

Global has been successful in the past in the U.S. market but now faces the tasks of becoming an international company. Training for current and future employees on communicating within an international, cross cultural work environment will be a key to the transition. Global will also be asking its staff to use new and creative approaches to solving problems. (1) Not only will the employees of Global need these tools so will the senior leadership. Global has made alliances with other companies to bring on the additional services needed to be competitive. Senior leadership must also be ready to deal with the challenges that communication on an international level will bring with these strategic alliances.(4)

Global Communications faces the challenge of making a large scale corporate change without damaging the company moral or image to a point where it could not recover. Senior leaders have obligations to shareholders, employees and industry alike while facing the challenges of moving the company international. While the risk seems high the reward will be even higher if Global is able to accomplish its goals. It will require new training for employees, balancing layoffs and company image as well as the successful partnership with new alliances. If Global Communications can effectively execute all aspects of the strategic plan then they with become the industry leader in telecommunications.

1) Bateman, S. & Snell, S. (2004). Management: The new competitive landscape.(6th ed.) New York: McGraw-Hill
2) De Janasz, S. (2002). Interpersonal skills in organizations. New York: McGraw-Hill
3) Kinicki & Kreitner. (2003). Organizational behavior (6th ed.). New York: McGraw-Hill.
4) McShane, S. L. (2005). Organizational behavior (3rd ed.). New York: McGraw-Hill.

Table 1
Issue and Opportunity Identification
Issue Opportunity Reference to Specific
Course Concept
(Include citation) Concept

Global Communications has to make changes to survive in the world marketplace, this comes at a cost of laying many employees off, moving centers out of the country and dealing with and upset workers union GC has an opportunity to reduce the cost per call as much as 40% by moving call centers out of the country "Make no mistake about it. Conflict is an unavoidable aspect of organizational Life."(Kreitner and Kinicki, 2004) Managing Conflict and Negotiation

Global has chosen to make a very risky move in order to save the company. This move to become an international player is done so at cost to employees and if this move is not thought out it will cost the company its success. If Globals decision is well executed it will achieve all the goals set out by the Executive Board. "Lacking a disciplined approach to problem solving-like the dog chasing it's tail-can be costly in terms of time financial and human resources"(Suzanne,Janasz,Dowd,Schneider,2002McGraw-Hill Companies Problem Solving: Using Tools, Processes, and Creative Approaches
Global now faces the challenge of having a significant numbers of employees over seas. Communication is going to be key to the success of Global. Global has the ability to have a team of technologically advanced employees that will lead them to global success. "Effective communication is vital to all organizations because it coordinates employees, fulfills employee needs, supports knowledge management, and improve decision making."(McShane and Glinow, 2005 McGraw-Hill Companies)
Communicating in Teams and Organizations
Global has an ethical responsibility to evaluate its current course of action to determine whether the benefits out way the loss of jobs and the impact on the industry. Global will be setting an industry standard and by doing so may lead the future of telecommunications. "The bottom line for many interviewees was that very few companies embodied values consistent with those they hoped to live by." ( California Review Management, Winter 1995 Vol.37 No , page 23) Business Ethics

Table 2
Stakeholder Perspectives
Stakeholder Perspectives

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

Share Holders Financial interest and a right to protect their investment. Although they may have other values the primary goal is to secure their investment.
Global Communications The senior leadership of Global has an interest in keeping the shareholders and its employees happy while maintaining ethical business practices. What is best for the shareholders may not always be what is best for employees.
Employees of Global Employees have an interest in seeing the company do well because that leads to job security and opportunity within the company. Short term changes that lead to long term growth may conflict with employees, in particular if that leads to job loss.

Table 3
End State Goals
End-State Goals
Global will reduce the cost per call by at least 40% after calls centers have been moved.
Implementation of new services for small businesses and consumers.
Provide management with the tools necessary to problem solve, communicate and effectively manage internationally.
Reward employees for company success
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