Global Communications
Running head: PROBLEM SOLUTION: GLOBAL COMMUNICATIONS
Problem Solution: Global Communications
Mark Racicot
University of Phoenix
Problem Solution: Global Communications
Global Communications is like many telecom companies of the mid- to late-90’s. In its past, it was a Wall Street favorite for its good return on investment, and it appeared to have everything going its way. However, over the past three years, its stock price slid over 50% as its profits narrowed. While it is not yet a losing company, without change, it may become one. Based on a review of the case study, there are several factors which led to the company’s current state. Underlying the company’s problems is a single theme: better (more ethical) behavior from key players would have prevented the company’s most recent problem of the genesis of anger over outsourcing. This paper reviews the problem, the key players, analyzes alternative solutions then explores an optimal solution. The analysis concludes with an examination of how to implement that solution and discusses what success will look like.
Situation Analysis
Issue and Opportunity Identification
In an effort to stop the company’s slide, upper management created a two-part plan to return the company to a more profitable state. The first part of the plan is to add services for small business and consumers, including enhanced local and long-distance, broadband, video, and wireless services. Second, the company will cut costs through outsourcing technical support to India and Ireland. Recent negotiations with the union resulted in some cost-savings measures, and management hopes to be able to convince the union that an even more aggressive plan is needed to ensure Global Communications’ health in the future.
Hasty Decisions. With a technology company, timing is perhaps more critical than in other industries. Technology itself improves so quickly...
View Full Essay