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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.
Issue and Opportunity Identification
In an effort to cut cost and recover from a decline in market share, Global Communications senior leadership team pitched a plan to the board of directors. The plan was accepted by board members, which pleased the senior leadership team. The plan would result in downsizing the domestic call centers, lay offs, and call center reps that remained will be relocated but had to suffer a 10 percent salary cut. Before the senior leadership presented the plan to its’ employees and union members, they attempted to filter the information in away that would make it appeasing to employees whom just suffered a 20 percent lost in benefits through the renegotiation of their contract. Maria Antez, the union liaison has had the task of renegotiating the worker benefits packages, due to financial pressures the company is suffering from. Finally the workers did give in thinking this will be beneficial for them in the long run. Now Maria has suffered a hard blow learning through the grapevine that the company is planning to outsource jobs overseas. Maria is furious and feels the leadership team was disloyal and not honesty since the leadership did not included at the beginning of the plan. Maria is the voice of the people, and she just has put herself on the line in the recent cuts. Maria will lose her credibility when the truth is revealed to employees. Now she must face employees who will question her knowledge of the information and her loyalty. There is no way the plan will be received well by the employees or the union.
Stakeholder Perspectives/Ethical Dilemmas
There are many stakeholders within this scenario. The first stakeholder is Global Communications. The company finds itself in a dire situation that effect current employees the most. The company has one major interest and that is to increase profitability. In doing so the company will have outsourced an immensely large amount of its work overseas.
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The members of Technologies Workers Union (Global Communication employees) were also stakeholders. The livelihood and careers are at state for the TWU members. These members were aware of the company’s financial pressures and believed they were doing a noble duty by taking a 20 percent cut in education and health benefits. The vice president Maria Antez, oversaw and renegotiated the entire benefits reduction, but these workers where deceived and received yet another slap in the face when finding they would also suffer layoffs and a decrease in salaries. The lack of effective communication, mixed with receiving information through the grapevine and filtering will result in, low employee moral, trust, dedication and loyalty.
The last stakeholder is the stockholder. Global Communications does have a right to ensure that they maximize profits and ensure the investment of the stockholders, but not at all cost. Communication should have been clearly defined in the beginning through the implementation of new ides
Global Communications will establish a clear line of communication when and issue or situation may arise that will affect its employees. The management will be cooperative with all developments and their effect on the organization as a whole. Information and ideas will be constantly exchanged, meeting will be conducted, and the team think approach will be possibly implemented. When considering or trying to come up with new ideas and approaches representatives from each level of organizations will be present to provide suggestions. Other alternatives must be identified and assessed before finalizing on a specific strategy. Most important risk factors will be well thought-out before finalizing a decision. Te plan will be fully developed and implemented with professionalism. Global Communications will try in all efforts to protect the best interest of the stakeholders, and also uphold the moral values and ethics that Global Communication is know for representing.
Effective communication is the key concept that needs to be implemented. Global Communications plan to out source could have been better accepted if it were delivered and better explain in a professional manner to those whom the change effect. There are instances that decisions with unfavorable results, however, how the plan is carry out makes all the difference in how it is accepted by those whom are effected by it.
University of Phoenix. (2008). Scenario: Global Communications. Retrieved April 2, 2008, from
University of Phoenix, Week Four Resources. MBA500 - Foundations of Problem-Based
McShane, S.L.,& Von Glinow,M.(2005). Organizational behavior: Emerging realities for the
Workplace Revolution, 3E. New York : The McGraw-Hill Companies.
Issue and Opportunity Identification
Issue Opportunity Reference to Specific Course Concept (Include citation) Concept
Maria Antez, is the Vice President of Technologies Workers Union, was not fully aware of the plans Global Communications’ Senior Leadership Team made to help regain a competitive advantage in the telecommunications market. Global Communications’ had a dual plan that not only included TWU negotiation of benefits but also to include increasing services offered and out sourcing overseas. Global Communications can explore each option to cut cost and regain their competitive advantage within the telecommunications market but also include the stakeholders in the negotiation process. “Communication refers to the process by which information is transmitted and understood between two or more people (McShane & Glinow, 2005,p.5).” Communication
The Executive Joel Thompson of GC did not make the union, TWU, aware of the proposed strategy. Also once the plan was approve GC Leadership team tried to make the plan seem as if it would benefit the employees. GC will inform the stakeholders of any proposed strategy before the union makes any negotiations, when especially based on a reduction in benefits. “ Filtering is deleting or delaying of negative information so the event sounds more favorable (McShane & Glinow, 2005, p48).” Filtering
Maria Antez was not informed of GC proposal, but she also had to hear of the changes through other sources leaving her to meet with GC to request further information. Global Communications will also maintain formal communication with stakeholders to ensure that there are know miscommunications nor distorted information, “Grapevine is defined as the unstructured and informal communication network founded on social relationships rather than organizational charts or jobs descriptions (McShane & Glinow, 2005, p.87).” Grapevine
Maria discovered GC dual plans though the grapevine and lost her credibility with the union, this resulted in an emotional charged email sent to the GC Sr. Leadership Team. Maria will maintain professionalism when interacting with the leadership team; she will also meet with them face to face to discuss her concerns. “Flaming is the act of sending emotionally charged electronic mail messages to others (McShane & Glinow, 2005, p.22).” Flaming
Stakeholder Groups The Interests, Rights, and Values of Each Group
Global Communications Their interest lies in regaining a competitive spot in the telecommunications industry. In order to accomplish this goal, a solution has to be found that will cost and offer the customers more services. In order to do so GC propose to outsource labor and increase services. The company has always been accredited for how it values their employees, although the loyalty is not shown this time in their recent decision to downsize and layoff employees and have know other alternatives at hand.
TWA union members These individuals are interested in their livelihood. After being deceived to accept a reduction in benefits, they also learned some will be layed-off, while other will suffer a pay cut. The rights of these individuals were not represented at all.
Stockholders Their interest holds high in the dollar value.
End State Goals
Global Communications will provide organizational communication skills.
Global Communications will provide communication methods to management.
Global Communications will provide creative problem solving and business intelligence to management.