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Gc Gap Analysis

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Gap Analysis: Global Communications
According to the University of Phoenix scenario, Global Communications, a competitor in the telecommunications industry, finds itself facing the all-to-familiar problem: too much competition (University of Phoenix, 2010). The problem, magnified by additional symptoms such as diminishing returns and a lack of a competitive edge, prompted the company to aggressively address the problem with a strategy that caused additional turmoil. The current dysfunctional environment at Global Communications is associated with a lack of quality communication between the Senior Management Team and the other key stakeholders in this scenario. Several concepts played a role in the current state of the company. These include expedient decision-making (Hoch, Kunreuther, & Guenther, 2001), lack of awareness of the antecedents for conflict (Kinicki & Kreitner, 2004), lack of planning in the area of desired conflict outcomes (Kinicki &b Kreitner, 2004) and the ethical dilemmas that resulted from the implementing each initiative.

Situation Analysis
Issue and Opportunity Identification
Like many industries, “telecommunications companies are under tremendous economic pressure and Global Communications is no exception” (University of Phoenix, 2010, para.1). Global Communications has seen the value of its stock decrease more than 50% (University of Phoenix, 2010). In an attempt to increase revenues, the senior leadership team assembled a “two-pronged aggressive approach” (University of Phoenix, 2010, para.3). They planned to introduce new products by partnering with local satellite companies, which also gave them a competitive edge. They also planned to implement “cost-cutting measures that will improve profitability” (University of Phoenix, 2010, para.4). Their plan was to outsource many jobs within the technical call centers to India and Ireland, reducing costs by 40% (University of Phoenix, 2010).
The plan was to be kept quiet until receiving approval from the board. The problem with this was that by waiting for approval before discussing it further, the decision was made so quickly that it left out input from other key stakeholders. Though including these stakeholders in the planning process takes more time, allowing them to provide valuable input increases the likelihood of a quality, well thought out, decision. “Western decision makers are often in a rush to make quick decisions. They want to outpace competitors to be the first to market or meet their quarterly earnings targets. As with NYNEX, this emphasis on speed can sometimes lead to negative results. In contrast, a patient decision maker is reflective and considers both short- and long-term payoffs” (Hoch, Kunreuther, & Guenther, 2001, p.1).
Though the senior leadership team was successful in ensuring that the board would approve their plans, did not have a firm grasp of the full scope of their decision. They did not communicate adequately because they left out communications with two key stakeholder groups, the union and the employees. Both the employees and the company are competing for a limited resource: money. The employees want to work for the company and to receive compensation for that work. The company also desires to increase profits and revenues and must find ways to decrease the amount of money spent, including cutting labor costs. Both of these pieces, inadequate communication and competition for limited resources, are considered “antecedents of conflict” (Kinicki & Kreitner, 2004, p.1). “Certain situations produce more conflict than others. By knowing the antecedents of conflict, managers are better able to anticipate it and take steps to resolve it if it becomes dysfunctional (Kinicki & Kreitner, 2004, p.1).

Stakeholder Perspectives/Ethical Dilemmas
Each stakeholder in this scenario approaches the situation at hand from a different perspective, which causes a variety of different dilemmas. First, the union and the employees, two of the largest stakeholders, were left out of the planning of this strategy. The Union exists to ensure quality treatment of its members. They work with the company to ensure the employees’ rights are being upheld. They make sure the employees are guaranteed fair compensation for their work. This includes fair wages, benefits, and education necessary for the job. The union desires to know about what decisions are being made that potentially affect the employees and their employment within the company. The union must also maintain the trust of its members. Next, the employees have a right to be gainfully employed. They have a right to be fairly compensated for all work that they do. The employees desire to be kept in the loop on all happenings within the company that have a direct effect on them, e.g.. proposed layoffs. This is in direct opposition to the company’s need to cut costs and their strategy to do just that by outsourcing some of the jobs. The senior leadership team wanted to keep discussions quiet while waiting for approval from the board. This conflicted with the employees’ desire to have a say in the decisions that directly affected them. The lack of communication between them caused a considerable amount of employee fallout.

End-State Vision
Global Communications dedicates itself to being a pioneer in the telecommunications industry, both locally and globally. To achieve this, our company embraces respect, collaboration and communication in all aspects of our business. Our company is committed to upholding the highest of standards in every facet of our company, from relationships with the people to the development of our technologies.

Gap Analysis
If Global Communications wishes to be a frontrunner in the telecommunications industry, they must obtain a competitive edge by partnering with the satellite companies. If this is successful, shareholders will see an increase in profits. If unsuccessful, they must work to create a new technology to gain the edge over their competitors. Global Communications must also work with all key stakeholder groups to effectively implement the initiatives while minimizing the direct effect to the employees. Using collaboration and communication, they must evaluate all aspects of the business to identify other areas in which to cut costs. To minimize the employee fallout, Global Communications must consider ways to foster respect between the company and the employees. This should include communication with the employees to identify their needs at this point. Their needs may include financial compensation for their suffering after a job loss or training to help ensure they can find a new job either within or outside of the company.

Conclusion
In conclusion, if Global Communications hopes to survive the tough economic times, they must adapt to the changing needs of the industry. By implementing the strategy they defined, they are likely to face conflict. The senior leadership team must address each area of conflict to promote the company’s growth.

References
Hoch, S. J., Kunreuther, H. C., & Guenther, R. E. (2001). Wharton on Making Decisions. Retrieved from University of Phoenix e-book library.

Kinicki, A. & Kreitner, R. (2004). Organizational Behavior. Retrieved from University of Phoenix e-book library.

University of Phoenix. (2010). Scenario: Global Communications. Retrieved from University of Phoenix, Scenarios, MMPBL/500 website.…...

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