Abstract:Riordan Manufacturing Company has made several strategic changes in the way it manufactures and markets its products. Over the past two years, sales have declined and profits have been uneven. The declining sales and uneven profits is what caused the strategic changes that the company decided to make. Since the changes were made employee retention numbers have declined. This paper will analyze ways to improve sales and at the same time increase overall job satisfaction. The concepts that will be discussed are: incentive pay, transition management, corporate culture and the implementation and evaluation of the Human Resource plan (Scenario: Riordan Manufacturing Company, 2006).
Introduction:Riordan Manufacturing Company has changed the way it manufactures and market its products. Over the past two years, the company has dealt with declining sales and loss of revenue this has caused Riordan to undergo a major strategic change. This change has also prompted the company to adopt a customer-relationship management system (CRM).
Michael Riodan, Chief Executive Officer, is concerned with the value of this investment. He believes that Riordan takes good care of its employee and employee loyalty is the answer to the company's motivation problems (University, 2006).
Along with the strategic changes Riordan will have to implement an effective HR ststem, help employees manage through the transition, add compensation plan and encourage corporate culture in the organization.
Situation:Riordan Manufacturing produces global plastics and has 550 employees divided among its three plants. Which are located in Albany, Georgia, Pontia, Michigan and Hangzhou, China. Riordan is a fortune 1000 enterprise with protected yearly earnings of $46 million and revenues of $1 billion. Because of the declining sales and uneven profits Riordan has made several strategic changes.
The company has adopted the CRM system which forces employees to work with a team rather than individually. Customers are now...