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Riordan Manufacturing Gap Analysis

Submitted by shansimons on April 16, 2007

Category: Business
Words: 1832 | Pages: 8
Views: 1175
Popularity Rank: 4,630
Average Member Grade: N/A (Add a Comment / Grade this Paper)

Gap Analysis: Riordan Manufacturing
Employee motivation is an issue that organizations face on a day to day basis. It can cause job dissatisfaction and turnovers for an organization. Organizations should develop strategies that would increase innovation, recognize the value of teamwork, and equally reward and motivate employees. How well an organization handles issues that may arise from employees can mean the difference between an energized, productive workforce and a languid non-productive one.
Riordan Manufacturing is a global plastics producer employing 550 people with projected annual earnings of $46 million. Riordan made several strategic changes in the way it manufactures and markets its products. Declining sales and uneven profits over the past two years not only forced the company to change its sales processes, but prompted them to adopt a customer-relationship management (CRM) system. Customers are now serviced primarily by sales teams rather than single salespeople, with each team focusing on a particular customer segment.
This paper will address the issues that Riordan faces as well as opportunities that will address the issues, the stakeholders involved and their interest, rights and values, and end state goals that Riordan can implement to benefit all employees and the company overall.

Situation Analysis
Issue and Opportunity Identification
As changes have been implemented at Riordan, employee retention numbers have declined. The company conducted an annual employee survey, which showed a decrease in overall job satisfaction, particularly in the areas of compensation and benefits. Riordan's reward system is not based on performance, instead the company recognizing cost-of-living increases, seniority, and position.
The issues at Riordan can be addressed as follows:

• Employee Pay - Riordan should incorporate a merit pay system. In the typical merit plan...

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