Gap Analysis: Global Communications

Gap Analysis: Global Communications

Global Communication is a company that is facing a financial dilemma and needs to exhaust all avenues to find a reasonable solution. The company needs to improve profitability, increase stockholder value, and cut overall cost. Additionally, Global Communication situations become more complex when dealing with its employees and a union. The company is suffering internally do to the lack of communications between its Leadership Teams. The company needs to deal with this and make the appropriate organizational adjustment.

Situation Analysis

A severe financial impasse has forced Global Communication to make some tough decision with regards to the business and its employees. Global Communications has created an alliance with satellite providers. Competition in the local and long distance markets Global Communication has decided to lay off many employees and outsource their technical support call center to India and Ireland. Consequently, they made this decision with out involving the union and seeking the advice of some of its well-experienced and knowledgeable members of its Leadership Team.

Issue Identification

Global Communication will not survive unless some drastic measures are taken. In order to reduce cost two measures were taken, outsourcing and layoffs. The company decided to relocate some employees with a ten percent decrease in salary, and layoff the rest. Moreover, relocating the technical support to Ireland and India and scaling back domestic call centers has caused a problem with the union, whereas they feel that all opportunities were not exhausted. They were not even evolved in the process at all. What other options could Global Communications look at to resolve there issues?

Opportunity Identification

The upside for Global Communication is by creating this new alliance the company will be able to provide it customers with new video services and a satellite quality version of broadband. Furthermore, the joint venture will allow Global Communication to offer new and existing customers wireless data access from any location on the globe. Unfortunately, the organizations did have to downsize, however this gives the remaining employees an excellent opportunity to advance their position within the company. Another opportunity for Global Communication was to build on its emotional intelligence with in its Leadership Team. Coincidentally, this was the perfect moment for members of the Leadership Team to step to the plate and show their skills and abilities. To use their years of knowledge and company culture and say that everyone should be involved in the decision making process to voice their opinions so that no one group feels alienated.

Stakeholder Perspectives/Ethical Dilemmas

Global Communication is faced with a significant ethical decision, whether to lose valued employees to increase shareholder value? Employee job security is now in question because of the need to outsource and layoff workers. Also, Global Communication decision will affect many people besides the employees and the union; there are the stockholder and its customers as well. Although, stockholders reserve the right to determine what measure should be taken to increase share value, the union values the rights of the employees and wants ethical decision-making, whereas the balance the right of the employee with the requirements of the employer. Additionally, what do the customers think about the companies decisions? Will the customers value the company enough to still value their service and continue to purchase their products?

There may be other companies that can provide a better quality of service because of their name recognition, history, and experience with the products. Identifying and addressing the problem my potentially answer all these questions.

Problem Definition

Global Communication should address its company's emotional intelligence first; this step was of significant importance to the building of the communications between the Leadership Team. "Emotional intelligence skills such as vision, building relationships and developing people are more important to leadership success than typical leadership traits, such as external/market orientation, financial acumen and planning, according to a study involving 265 corporate executives, directors, managers, business owners, and consultants into 20 core leadership attributes" (Benjamin, 2004). Consequently, some employees will be lost to the downsizing; however those that survive will have a great opportunity for success within the new company structure. Various people have a valued stake in what Global Communication decides to do, employees, unions, customers, and shareholders alike. What's more, ethical dilemmas arise when the company tries to balance the good of the employee versus the good of the organization. According to the union, the company is making some very debatable decisions and some may even be unethical. "Faced with near-financial collapse, Copia intends to dramatically reshape itself, turning exhibit galleries into conference rooms and selling off five acres to a hotel developer. A third of Copia's 85 employees were scheduled to get pink slips Monday as the center tries to pare operating costs by ab1out 25 percent, nearly $3 million" (Courtney, 2006).

"For all the wonderful things we've accomplished in the past year, we've been economically unsustainable," Jacobus said. "There was eternal optimism that the money will be raised through philanthropy or an angel will show up" (Courtney, 2006). If the customer values the company enough to buy its products the company will survive it state of turmoil. However, will the company be willing to tailor its products to value it customers. "Once you have identified the needs of your customer base and the weaknesses of your competitors, you may be able to find a niche for your product. Small companies generally cannot serve the needs of an entire market. By specializing your product, however, to fit a small group of needs, you can play a role in a niche market, catering exclusively to customers with specific needs and dominating market share in that category. For example, you want to start a company that makes laundry detergent. You can't possibly overtake some of the major name brands and there is no room for another generic product. Instead, you make a special detergent designed specifically for people with a certain allergy triggered by most detergents. By catering to this group, you pull them away from other detergents on the market and become the exclusive provider of allergy-free detergents.