Running head: PROBLEM SOLUTION: GLOBAL COMMUNICATIONS
Problem Solution: Global Communications
University of Phoenix
Problem Solution: Global Communications
Global Communications has decided to layoff a large division of its domestic call center, citing cost cuts as their reason. Global Communications has lost 50% of its stock value over the course of 3 years. Global Communications plans to save costs by outsourcing these jobs to India and Scotland, where those employees are cheaper to employ and have more technical training than their US counterparts. This has caused a major backlash from the Union, and a strike seems imminent. In the following, you will see an alternative solution to solving Global Communications cost problems and failing stock price. You will see how financing debt for expansion can save a company from lost employee morale and excite growth within the company and turnaround Global Communications financial outlook.
Situation Analysis
Issue and Opportunity Identification
Global Communications hires a new chief executive officer to lead and expand the company into a global market. This particular CEO, Katrina Heinz was a former employee of a large global long distance provider based in Europe. Ms. Heinz was brought on board just 6 months ago to help Global Communications expand globally and implement a cost cutting plan that would stop the devaluation of the company stock. Ms. Heinz does not have the social awareness skills to empathize with the union members. She approaches the company’s problem with a strong authoritative stance and is not received well by her own management team. Her team appears to placate to her demands be ...