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Problem Solutions: Global Communications

Essay by   •  July 17, 2011  •  Research Paper  •  2,591 Words (11 Pages)  •  2,216 Views

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Problem Solution: Global Communications

According to Miciak and Desmariais (2001), service quality is a major concern of all organizations and call centers play an important role in both consumer and business markets. Global Communications faced several challenges after deciding to move their technical call centers to India and Ireland. The communication channel between the Executive Team and the Workers Union is at an all-time low. Global Communications issues to increase profitability, dealings with layoffs, and reestablishing communications between the Workers Union are the challenges they must resolve.

Considering important past events that led to the issues and opportunities identified for Global Communications, in this paper the subjects to examine is the perspective of stakeholders involved, a proposed problem solution, and an analysis of alternative solutions. Identification of risk, probabilities, severity, and mitigation techniques for each alternative solution, which identifies risks connected to a best practice used by other companies for benchmarking purposes. Finally, the optimal solution is examines how the recommended solution can help Global Communications achieve its end-state goals and vision.

Situation Analysis

Issue and Opportunity Identification

Global Communications stockholders are experiencing diminishing returns with more than 50% in depreciation because of economic pressures and too much competition in local, long-distance, and international markets. Wall Street's confidence in the telecommunications industry is diminishing and the stockholders concerns whether Global Communications will be able to bounce back from these pressures. Global Communications had mixed results when faced with how productive they may be by entering the international markets.

Global Communications must develop an aggressive approach to cutting cost and improving profitability. The decision to move their technical call centers to India and Ireland has struck a sore spot with the Workers Union and the employees who are affected by this decision. Global Communications must consider alternatives that will ensure continued growth in the organization and protect their employees (University of Phoenix, 2011).

Some of the opportunities for Global Communications are the ability to reduce unit cost by 40% and improve profitability by moving their technical call centers to India. According to Pradhan and Abraham (2005), India is a world leader in outsourcing and is the leader in the information and telecommunication technology-based offshore services in call centers. The quality of India's telecommunications infrastructure has improved with numbers above 35,023 telephone exchanges. India's improvement over the years have moved their ranking of 14th position in the world in 1995 to 7th place in 2001 based on size of operating telephone lines. This is why India has 44% of the global offshore outsourcing market for software and back-office services and stands as the most preferred outsourcing destination in the world (Pradhan & Abraham, 2005).

Global Communications can become a global resource corporation by seeking new business overseas and introducing new services to small businesses and consumer customers globally and locally in video and wireless. Global Communications has the opportunity to rebuild employee loyalty through its corporate commitment of maintaining the reputation as a company that takes care of its employees. Offering bonuses and new job assignments are incentives Global Communications can consideration as a method to retain quality employees. Treating their employees well and opening doors of opportunity to develop their technical skills for higher pay after the company has growth are alternatives that Global Communications can consider (University of Phoenix, 2011). In order for Global Communications to move toward rebuilding loyalty and trust from their employees, including the Workers Union, collaboration between all parties involved must take place.

Stakeholder Perspectives/Ethical Dilemmas

From the customers' perspective, they want better service locally and remotely with the latest technology. The small business owner and the consumer customers want access to the Internet using wireless via telephone and PC. Global Communications does not currently provide those services and is losing market share to local telephone and cable companies. Small business owners are ready for the technical sophistication readily available and provided in India. When customers contact customer service, the customer expects the call to be answered promptly, a courteous representative on the other end of the call, knowledgeable, and the customer wants resolution immediately as if standing in front of the representative (Miciak & Desmariais, 2001).

The customer's ethical dilemma is whether to remain loyal to Global Communications and support its decision to take away American jobs and move its call centers overseas as well as concerns whether the quality of service will increase or be jeopardized.

The Workers Union and employees have a high interest in job security, new assignments, and layoffs. The Workers Union believes their right has been violated when they were not included in the business decision to move the call centers overseas. Global Communications method of communication is of a hierarchical concept, information is exchanged downward from manager to employee and from one of whom has formal authority to direct and evaluate the activities of other organizational members (University of Phoenix, 2011).

The employees see themselves as not valued or important. Trusting the company at this point is an issue and by outsourcing, the employee and the Workers Union has concerns that this attitude will set precedence for the industry (University of Phoenix, 2011).

The Executive Team has a stake in the business because it is their job to increase profits for the organization and maintain viability in the industry. They have the right to take appropriate action to ensure the company stays afloat and survive. Seeking ways to stay viable, the Executive Teams ethical dilemma of maintaining valuable employees and restoring a good relationship with the Workers Union while cutting cost and making a profit is a challenge.

Problem Statement

Global Communications will rebuild confidence in their stockholders, employees, and the Workers Union by developing a plan that cut cost, increase profits, and incorporate new values and goals that reflect continued growth and globalization of the company.

End-State Vision

Global Communications



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