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Essay by 24 • December 25, 2010 • 1,380 Words (6 Pages) • 965 Views
Table 1
Issue and Opportunity Identification
Issue Opportunity Reference to Specific
Course Concept
(Include citation) Concept
Once a leader in the telecommunications industry, GC has become stagnant as the market has diversified and left them behind. Since those early days of Global Communications history many types of competitors have entered into the market. First long distance carriers and international carriers infiltrated the local market. The final setback came when cable companies such as Time Warner and Comcast entered into the market offering combined services including cable for television, broadband modems for internet access, and telephone. GC has the opportunity to become a leader again by diversifying the market through globalization and diversifying their services through strategic partnerships. GC has the opportunity to become a leader again by diversifying the market through globalization and diversifying their services through strategic partnerships. Reflection
Within the past six months Global Communications has hired a new Chief Executive Officer and a new Executive Vice President of Small Business and Marketing Sales. This may be seen by remaining executives as an infiltration or invasion creating a lack of trust especially by management who may be specifically affected by the closure of the technical call center and concerned about their own future. New upper management is key to bringing in new ideas and growing Global Communications in the future. The level of interpersonal trust between people can either be a barrier or enabler Communication barrier: trust
Issue - Global Communications recently asked the union for a 20% reduction in education and health benefits. Not long after the union uncovered the plan of Global Communications board to move technical call center operations to India and Ireland. The fact that the union uncovered this on their own makes the board appear as if they were hiding secrets from the union which has caused a serious distrust from the union. Global Communications can gain trust from the union by giving full disclosure in the future Telling lies, hiding key facts, and engaging in the other potentially unethical
tactics listed in Table 14-3 erode trust and goodwill, both vital in win-win
negotiations. An awareness of these dirty tricks can keep good faith bargainers from
being unfairly exploited," (Kinicki & Kreitner, 2003, p. 501).
Ethical Pitfalls
The ultimate goals of the strategies were to remain competitive, and increase their profits. In the past the organization made significant changes by requiring that the employees give up some of their benefits. Meetings and negotiations were done with the Union leaders with the employees coming away with a loss of their educational and health benefits. The employees were not happy with the loss. Now, the leadership, and Union representatives are faced with what they need to tell the employees about the upcoming layoffs and decrease in salaries for those that are reassigned to new positions in the diversification process which involves firms in India and Ireland. The interests of the employees have not been addressed. The issues of morale, retention, recruitment have not been identified or addressed. Improve employee morale and employee satisfaction which can affect recruitment and retention. "Corporate leaders have good reason to pay close attention to employee loyalty because it can be a significant competitive advantage." (McShane 2005 p19) Organizational Comittment
All of the stakeholders do not agree with the strategies and communication within the senior leadership team needs significant improvement. Better communication and all inclusive meetings to get a consensus of the decisions from the senior leaders and to disseminate information more effectively "Cognitive Dissonance occurs when we perceive an inconsistency between our beliefs, feelings, and behavior. This inconsisitency creates an uncomfortable tension (dissonance that we are motivated to reduce by changing one or more of these elements."(McShane 2005 p8) Cognitive Dissonance
Table 2
Stakeholder Perspectives
Stakeholder Perspectives
Stakeholder Groups
The Interests, Rights, and
Values of Each Group
The technical call center employees The employees of the technical center have the interest of keeping their jobs. Unfortunately if the company does not make these transitions no one may have a job. They have a right to disclosure. Career counseling is a good start, the top employees may be moved to other divisions or recommended to the companies that GC will be forming alliances with as these companies may need to hire due to the growth. Ethically they should be given some sort of severance pay. One of the fairest ways to determine severance is to offer employees one week of severance pay.
all other employees Employees in other areas than the technical call center have the interest of the company moving forward so they can keep their jobs.
The union The interest of the union is not always the same as the best interest of the company, or the employees. Take for instance Eastern Airlines. On January 18, 1991, the unions declared victory against Frank Lorenzo, the owner of Eastern Airlines when the airline closed it's doors for good. (Boser, R. 2005). The airline closed it's doors. Thousands of employees lost their jobs, yet the union still declared a victory. This choice lacked integrity and social responsibility. The union makes their money from dues from the employees (union members), this can cause an ethical conflict.
Upper management Upper management has accountability to the board, the employees, and the union. They have been accused by the union of nondisclosure and the union was correct. However, the upper management has a greater accountability to their employees. Sy and Joel have each been with the company over 25 years they have vested interest in the company and it's employees. It is clear that one of them have been disloyal to the new CEO by leaking the outsourcing of the technical call center.
Katrina and Nancy have been with the company less than six months. Each has a desire and need to prove themselves
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