RUNNINGHEAD: RIORDAN MANUFACTURING
Problem Solution Paper: Riordan Manufacturing
Introduction
The purpose of this paper is to recommend a solution to Riordan Manufacturing (RM) for problems they are experiencing. The key areas to be addressed are the issues, the opportunities, the problem definition, the alternative solutions and benchmarking validation. This paper will analyze the alternative solutions, and state the risks and mitigation techniques to these risks. It will then recommend a final solution to Riordan Manufacturing. Finally, this paper will conclude with a plan to implement the recommended solution.
Situation Background
Riordan Manufacturing (RM) is a global plastics producer with projected annual earnings of $46 million. RM employees comprise three major demographic groups, baby boomers, generation X's and generation Y's. Riordan's major customers are automotive parts manufactures, aircraft manufactures, the department of defense, beverage makers and bottlers and appliance manufactures. Riordan has recently made several strategic changes in the way it manufactures and markets its products. They have adopted a customer-relationship management system. After which the company conducted an employee survey which revealed a decrease in job satisfaction in the areas of compensation and benefits. For these reasons Riordan is losing sales and key personnel. They are in the middle of making important decisions on how and when to proceed with solving their issues.
Issue Identification
Many employees are complaining about compensation benefits. Riordan is also underpaying key employees below the industry average.
Opportunity Identification
Riordan can revise the current compensation plan to fit the ne ...