Essay on Riordan Problem Solution

Decent Essays

Problem Solution: Riordan Manufacturing
Riordan Manufacturing is a global plastics producer employing 550 people with projected annual earnings of $46 million. The company is wholly owned by Riordan Industries, a Fortune 1000 enterprise with revenues in excess of $1 billion. Production is divided among three plants: plastic beverage containers in Albany, Georgia; custom plastic parts in Pontiac, Michigan; and plastic fan parts in Hangzhou, China. Research and Development is conducted at corporate headquarters in San Jose, California. Riordan's major customers are automotive parts manufacturers, aircraft manufacturers, the Department of Defense, beverage makers and bottlers, and appliance manufacturers.
Recently, Riordan made several …show more content…

Riordan, based on employee surveys, needs to discover the best practices of companies that have solved issues similar to their concerns. Riordan Manufacturing will need to engage and motivate employees by transforming this low morale culture and retain existing employees through new reward and incentive programs. This paper will address motivation as it applies to Riordan employees and rewarding their employees. It will also explain the importance of effective communication through management.

Situation Analysis
Issue and Opportunity Identification
Riordan Manufacturing needs to include their HR division on decisions that are made throughout the company and discovered through surveys. The company has a communication barrier leaving out the HR division because of the department isn't aligned to the President of the company, Michael Riordan. Michael Riordan needs to communicate to the investors how he is planning on improving sales and profits. His staff is scattered and lost. Charles does not believe there is enough time. Sales is continuing to decline, as they have for the past two years, and the switch to customer-focused teams is proceeding slowly, thus suggests revamping the sales incentive system. Kenneth would like to add incentives for R&D staff. His rationale is that R&D staff is now expected to support the customer sales teams, so they should earn incentives when those sales are completed. Maria believes that IT staff is underpaid

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