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Mba 500 Global Communications Gap Analysis

Essay by   •  June 30, 2011  •  Research Paper  •  1,616 Words (7 Pages)  •  1,997 Views

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Gap Analysis: Global Communications

The purpose of this gap analysis is to take the current situation at Global Communications and outline problems and opportunities, identify stakeholders and the roles they play in the decisions Global Communications are making to outsource jobs, and discuss the end-state goals that the company needs to reach to be successful and analyze what they have accomplished and what it will take to achieve. Global Communications is a successful telecommunications company that recognizes the advantages of global competition and through recent decisions, has forged a plan that could launch them to a successful place in the world of global telecommunications.

Situation Analysis

Issue and Opportunity Identification

According to the introduction in the Global Communication Scenario, Global Communications stocks sell for 11 dollars per share, 17 dollars down from three years ago when it sold for 28 dollars per share, yielding more than 50 percent depreciation. Because of the immense growth in all industries, specifically telecommunications, too much competition has been created. As a result, Global Communications decided to work to create more solutions for smaller businesses and consumers while attacking the competition of local telephone and cable providers offering similar services by creating an alliance with a satellite company to allow consumers to access broadband internet anywhere, anytime. The scenario also detailed how the senior management team also plans to make Global Communications a truly global company by marketing GC internationally.

One issue brought up is the price of the stocks. One cause for the depreciation is definitely too much competition. One opportunity for Global Communications is to look at the current consumer situation and identify upcoming needs and create solutions based on those needs. By recognizing the cable companies and telephone companies that offer cable, telephone and internet bundles, and creating similar, but better packages, GC is better able to compete and can also expand resources by becoming an ally to the satellite provider for broadband wireless internet. In meeting the needs of the consumer, GC will be a front leader in the market, obtaining new customers and maintaining established customers, driving the stock price back up.

One problem internally is the lack of communication within Global Communications. The senior management team gave wind of a decision to make drastic changes to GC to the union liaison, but did not follow proper steps to ensure the side of the union or the employees was heard when considerations were made for this decision. This has lead to distrust between the union and GC. Marketing the company on an international level can also increase market share and can give Global Communications the ability to access markets that were only previously available to its competitors. In doing so, they will outsource call centers and cut jobs and/or pay within the United States. The issue is reducing the number of jobs available to employees who have already received a decrease in benefits and have been completely loyal to GC for quite some time. Morale will fade for existing employees and a negative outlook on the company may become inherent. The opportunity that arises from this issue is new growth created by the jobs in Ireland and India. These employees will not only have a positive view of Global Communications to help make it successful, but will also strive to help GC achieve its end-state goals. With the move to India and Ireland, GC will be able to execute new services to their target small business and consumer customers all over the world, increasing growth and answering the questions of supply and demand created by the consumers/general public. Through this comes increased profits and more jobs, rekindling the relationship between Global Communications, the employees/potential employees and the union.

Stakeholder Perspectives/Ethical Dilemmas

Within Global Communications, several ethical conflicts arise. Senior management was faced with several issues and created a few of their own. Not only did they have to quickly come up with alternatives to drive profits up and costs down to compete with other companies, but they were faced with the ethical dilemma of what to do with the trusting employees they had previously treated fairly. They determined the only way to solve the problem in front of them was to outsource jobs to Ireland and India which meant cutting jobs and pay for the remaining employees. In the end, it will create dissatisfied employees. Sy, the member of senior management most concerned with the feelings of the employees and the retribution that may be taken against the company, recognized this and feared the work ethic of the remaining employees that would feel burned by the company. Sy is a seasoned manager who recognizes that without a high morale or any encouragement to achieve the goals of the company, it would be more difficult for the company to progress to the level it strives to be. Senior management is faced with the opportunity for Global Communications to rise to become a better company within the communication world and advance in not only technology, but in market share.

There are several dilemmas that affect the union. During the decision to outsource, senior management did not completely disclose the decision to the union until after it was already made, putting the union in a bad position with the management and the employees. The input of what might be best for the employees was not heard by the senior management for consideration. Unfortunately, the union also recognizes that if something is not done to help the company advance, there will be no jobs or employees; therefore, they would not be needed.

Unbeknownst to the employees, they too have an ethical dilemma in front of them. Do they put their own needs such as income, job security and personal happiness ahead of the company? Or do they recognize the problems the company faces, put the company first and take the pay cuts?

The consumers/general public are also stakeholders in a different perspective within Global Communications. Without the supply and demand created by the consumers for faster, more advanced, more convenient, cheaper technology, companies would not feel the need for cutthroat competition and create layoffs and pay cuts. Unknowingly the consumers/general public creates the havoc produced in the economy that costs our country jobs, forces companies within the United States to outsource to other countries, and creates dissatisfaction

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