Riordan Manufacturing

Gap Analysis: Riordan Manufacturing

Riordan Manufacturing is a Fortune 1000 company that develops and sells plastics. It was founded by president and CEO Michael Riordan and surpasses revenues of $1 billion dollars. Their Research and Development is conducted at their headquarters in San Jose, California and have factories in three additional locations, each specializing in something different. Their Albany, Georgia plant produces beverage containers, Pontiac, Michigan produces custom plastic parts and Hangzhou, China produces fan parts. They have many clients like: automotive parts manufacturers, aircraft manufacturers, the Department of Defense, beverage makers and bottlers, and appliance manufacturers (Riordan Manufacturing, n.d., p. 1).

For the past two years, Riordan Manufacturing has experienced a decline in both sales and profits which led to a restructuring of the company’s business plan. Consequently, with the restructuring came a decline in employee morale and job satisfaction, employee turnover is on the rise and some members in upper management are conflicted with regard to a solution. Moreover, some managers believe there truly is no problem. CEO Michael Riordan realizes that in this competitive global job market, he will need to review and augment his current employee reward system to retain his valuable employees. This following paper will discuss company issues, opportunities, stakeholder perspectives, ethical dilemmas and desired end-state goals.

Situation Analysis

Issue and Opportunity Identification

Riordan Manufacturing, like many large companies in today’s economy, has human capital issues to resolve. Several years ago, the company restructured its business processes in order to supplement both its declining sales and profits. Subsequently, it’s adopted a customer-relationship management (CRM) system. Unfortunately, during this process, employee morale has plummeted, turnover rates have increased and the company has not used...