PROBLEM SOLUTION: RIORDAN MANUFACTURING
Problem Solution: Riordan Manufacturing
Beth Sarachman
University of Phoenix
Problem Solution: Riordan Manufacturing
Riordan Manufacturing has recently made changes in the way it manufactures and markets its products. These changes are producing issues associated with employee motivation and satisfaction. The company has sent some of their manufacturing offshore to China, and their plants have been restructured into self-directed work teams.
Riordan has also changed their sales program into a customer-relationship management (CRM) system which serves its customers with a team made up of a salesperson, product engineer and a customer service representative. With jobs being re-defined and sent off-shore, employee satisfaction and turnover is becoming prevalent. The Executive Leadership team is becoming concerned and realizes that something needs to change. Employees are citing in exit interviews that pay is one of the reasons they are leaving. They believe that they will be compensated better elsewhere.
With employee unrest, Riordan is not moving smoothly into the CRM system. Before this system can become effective, the Executive Leadership team must discover and agree upon the underlying problem. Once the issues of employee value, fairness of pay and unchallenging jobs are addressed, the unrest will dissipate into an excited, motivate team effort.
Situation Analysis
Issue and Opportunity Identification
Employee turn-over, morale and work ethic is declining with-in Riordan Manufacturing. Currently, employees are reporting upon exit interviews that they are leaving because they are not valued or challenged and do not have opportunities to grow within the company. Employees believe that they will be able to leave the company and make much more money elsewhere.
Due to declining sales and profits, Riordan has made several changes in marketing and manufacturing their products. They have...