Problem Solution: Global Communications
Global Communication (GC) is facing a significant challenge in maintaining its competitive while honoring the rights of all stakeholders. Handled improperly, a push to increase the bottom line can result in a worse financial situation simply due to organization behavior. To accomplish its goals, GC must not only keep the end state in mind, but also address the method by which goals are achieved. Communication between stakeholders is essential to provide a foundation of needs and resources GC has to work with. The effect of emotion on work product makes it essential that options to outsource and other changes are fully explored for all costs. A consistent delivery to stakeholders, such as union representatives is necessary for a cohesive plan to form. Absence of these characteristics is a plan that will not succeed. Describe the Situation
Issue and Opportunity Identification
Senior leadership has developed a two-pronged approach to address declining profits and rising operating costs by outsourcing technical positions while developing new product offerings and an aggressive marketing strategy. The initial reaction from both union and press is less than favorable and may end up being costly, in terms of legal action and public approval. Before GC moves forward with implementation, several issues needs to be addressed. First is whether outsourcing is the most effective approach are their hidden costs that have not been evaluated, such as quality differences and protections afforded by the union contract. Second is to communicate that there is a need for technical expertise in the sales and product development areas, with GC being willing to subsidize the transition between pay scales and thus demonstrate a corporate commitment to workforce retention. Third, outside of senior leadership, it does not appear that stakeholders are involved in development of corporate policy, limiting the creativity that additional perspective can bring in developing a holistic solution. Fourth, GC does not have a systematic way of disseminating information to stakeholders the patchwork nature of communication to now have left some stakeholders with an incorrect perspective of the situation and prevents their positive contribution to a goal-oriented strategy. Fifth, this "patchwork" approach extends to corporate decision-making, as initial handling of the new strategy seems disjointed; development of a ethics code that all employees and vendors are to practice daily should bring cohesiveness to the process and strengthen a comprehensive corporate vision.
Stakeholder Perspectives/Ethical Dilemmas
This solution addresses many of the ethical dilemmas identified in Table 2. Shareholders receive the benefit of a reduced operating overhead while employees maintain employment. Union commitment is rewarded by the time management is willing to invest in finding an amenable solution. Consumers can expect a consistent quality product. The only stakeholder ignored is the vendor, who is not a permanent stakeholder in the GC future.
Frame the "Right" Problem
GC will regain leadership of the telecom industry by developing its customer base and using employee strength as a competitive advantage.
Describe the "End-State" Vision
A bright future for GC involves developing and practicing policy and skills that provide a competitive advantage. Success can be measured in our flexibility with staffing assignments to meet market demands, development of new product lines to capture a greater market share while meeting or exceeding current quality standards, and implementation/practice of internal policies that continually strengthen organizational commitment at all stakeholder levels.
Identify the Alternatives and Benchmarking Validation
To stimulate new development and streamline decision-making, Kraft reduced its executive management team by 33% and openly acknowledged its flaws and declared a path for the...
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