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. Recently, 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. Faced with lower job satisfaction and increased turnover, employee motivation has become a major issue. In order to decrease employee turnover and increase job satisfaction careful restructuring of the reward system and new motivational strategies must be put in place (University of Phoenix, 2007).
Situation Analysis
Issue and Opportunity Identification
When issues or problems surface they lead to opportunities. It may be more difficult to identify the opportunities than to identify the problems and challenges. However, by scanning the entire environment and focusing on defining opportunities, rather than just challenges or problems, the possibilities expand. Additionally, as the company moves forward the possibilities adds value and expands as well (Maul, n.d.). In the past 10 years, several factors have developed at Riordan Manufacturig increasing turnover and lower job satisfaction. Organizational factors, such as desire to increase innovation, recognize the value of teamwork, and reach new customers with new products have come into play. But simple things like how to reward equally and motivate employees with different needs also deserve consideration,” (University of Phoenix, 2007).