Problem Solution: Global Communications

Problem Solution: Global Communications

Global Communications is a telecommunications provider that is facing economical pressure. They are encountering competition with other local, long distance and international markets for the same business. With profitability at a low, Global communications must step it up to increase revenues and profits. Global Communications has prepared a plan to an effort enhance the companies performance, and profit locally and globally. This plan is targeted at an international level with a goal of becoming an accurately global resource for small business and consumer customers. In this paper, a solution will be proposed for Global Communications to expedite the companies plan to improve profitability and continue to treat its employees well, “happy employees make happy costumers” (Kinicki &Kreitner, 2003, p. 125). Global Communications having a strong background of loyal employees will help the company pursue their strategic plan improvements.

Situation Analysis

Issue and Opportunity Identification

The telecommunication industry are competing for the same business, there is too much competition with local and international markets. Competitors are offering new features that costumers and consumers want, this makes jobs more proactive and affective. Global communication needs to offer innovative packages to surpass leading competitors. This will allow Global Communications the opportunity to create a sales pitch to bring in new costumers and consumers, as well as to keep its current costumers and small businesses with the up to date technology that will make business work efficiently. Global Communications has a focus to continue treating its employees well, and producing top of the line costumer service.

To provide the sophisticated technical support Global Communication needs, they are looking into outsourcing call centers to India and Ireland, were costumer support is at an expertise level for an economical rate. Delta Airline Inc. is showing interest to open their Call Center in India and Philippines in an effort to save $26 million (Blogger, 2007). Situating new call centers in India and Ireland will reduce unit costs for handling calls by almost 40% for Global communications. Moving the call centers to another country can cause layoffs and current employees being relocated to other call centers around the country or globally.

Global Communication needs to communicate to their employees that there will be various changes to the company, before Global Communications employees hear it from somewhere else. Global communication has an obligation to their employees; Global Communications needs to consider how their employees are going to feel about possible layoff because of the outsourcing of call centers. “Don’t let the grapevine become your source of communication.” To protect morale and retain control over how information is communicated, be candid with your employees (ABA Staffing, 2005 15).

Global Communications also has a commitment to the Technologies Workers Union. Global Communications new strategy of globalization concerns the union. The union has given up 20% of their education and health benefits. Global needs to provide avenues that will encourage the union worker to stay and continue its partnership with Global Communications. According to ABA staffing, suggesting a few alternatives can help employees to stay, one alternative is “Ask your people to take a temporary cut in pay” (ABA staffing, 2005). Although the union will not take the news well, Global Communications should let them know that the strategy will benefit the members with higher salaries and more career opportunities. That will let the union know that there is something in it for them.

Stakeholder Perspectives/Ethical Dilemmas

With layoffs as a possibility for Global Communications employees, Global is also at risk for competitors using the opportunity of layoffs to go after Global’s best employees and managers. New features will provide better services to its customers. While Global communications will be downsizing it domestic call centers to increase profitability. Global will market itself globally in an aggressive approach to gain confidence from all around not just in the local market, but in the international market as well.

Current employees will be laid off because of the downsizing of Global Communications domestic call centers. Some will be left with out a job and bills to comply to, other will have to take a pay cut in order to keep their jobs. Those that decide to stay will also have to relocate to other area, that’s not to mention their 10% pay cut they will have to worry about. Employees that make the decision to stay in order to avoid searching for