Global Communications was a leader in the telecommunications industry until several competitors began to enter market with lower prices and a wider variety of services. The current situation has awakened interest of several stockholders and forced the company to reevaluate its current processes, as the loyalty of employees and allegiance of customers has seen a significant decline in recent months. In order to assist with raising stock value, the company has decided to outsource technical jobs overseas but has yet to announce this plan to current employees in view of the fact that it will mean innumerable layoffs. This is one of many challenges that lay before the company as the quest to secure a position in the marketplace begins.
In order to reacquaint itself with the industry, Global Communications must build a loyal and dedicated workforce by confirming with employees that their jobs are safe while also concentrating on assuring stockholders, members of the Union and the Board of Directors of future profitability. This paper will take a look at opportunities and issues facing the company, current conditions of the environment and alternative solutions for running a successful operation.
Situation Analysis
Issue and Opportunity Identification
Global Communications recently initiated mass layoffs and started outsourcing major projects in order to assist in cutting company costs. This has caused the company to come under attack because of poor office morale and a steady decline in employee loyalty because employees found out about this through rumors and office gossip. “Although the grapevine can be a source of inaccurate rumors, it functions positively as an early warning signal for organizational changes, a medium for creating organizational ...