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That is, a particular organization will not be successful due to failed organizational strategies, decision-making process, etc, as well as the inept functioning of the employees. In order to correct these mistakes and to put the organization on the successful path, effective at the same time strong decisions have to be taken, without any impassiveness. One of the strong and impassive decisions should layoff of the employees, who are expendable. Although this decision will be a difficult one to take, both from the organizational and ethical point of view, it has to be taken for organizational well being.
From employees’ perspective, they can be taken care, by finding other alternate options. “They got the right people on the bus, moved the wrong people off, ushered the right people to the right seats - and then they figured out where to drive it” (Collins cited in Grissom, 2006). So, this paper will discuss how Global Communication can reach its two important targets of achieving optimum growth as well as the tag of being the global player, through layoff of expendable workers, with the help of more innovations and plus outsourcing route.
Situation Analysis Issue and Opportunity Identification Global Communications (or GC for short) is in a tight situation because of financial downslides and also due to tough competitions. To further add to its woes, the entire telecommunications sector was also not showing good growth. The fact that validates the GC tough scenario is the 50 percent depreciation it suffered in its stock value, leading to a struggling financial situation. With many competitors fighting for the same local, national as well as international markets, offering slew of new services like complete solutions for computers, televisions and plain old telephone service (POT), Global is facing very tough competition.
To overcome this tough situation, beat off the competitors and increase the profits, the GC’s senior leadership team has come up with a two-pronged aggressive approach. The first plan is to, come up with their own new services, which can compete with the local telephone and cable companies. In that direction, GC got associated with a satellite provider, and has plans to offer value added services like video services and satellite version of broadband. This partnership with a wireless satellite provider can actualize a scenario where the small business owners can have anytime Internet access, just by using their wireless telephones or PC cards.
The second strategy as part of the two-pronged approach is cost-cutting through the removal of employees. For that, they have identified number of job designations, which can be removed, while absorbing a minor portion of employees in other departments. The laid off jobs will be moved to India and Ireland as part of outsourcing strategy. With GC’s analysis showing that outsourcing could reduce unit costs for handling calls by nearly 40%, and with GC wanting to become a global corporation, this plan appears feasible.
However, when viewed from another perspective, it raises some organizational and ethical dilemmas. Stakeholder Perspectives/Ethical Dilemmas GC GC to overcome its tough financial situation has come up with a twin strategy. Although GC’s first plan to introduce new services including value added servi
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