Riordan Gap Analysis: Strategic Problem Solving

Riordan Gap Analysis: Strategic Problem Solving

  • Submitted By: 123sue
  • Date Submitted: 12/12/2008 9:57 AM
  • Category: Business
  • Words: 2476
  • Page: 10
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Gap Analysis: Riordan Manufacturing
University of Phoenix

Gap Analysis: Riordan Manufacturing
Riordan Manufacturing has “made several strategic changes in the way it manufactures and markets its plastics 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” team approach to managing sales and service (University of Phoenix, 2008, p. 1). Not only have sales been declining but the company has also been experiencing challenges with regard to employee satisfaction and increased employee churn. Identifying the issue, stakeholder perspectives, and end-state vision will be helpful in identifying the gap, which exists between where Riordan Manufacturing is today and what will be necessary for the company to realize objectives.
Situation Analysis
Issue and Opportunity Identification
Michael Riordan is concerned about company profitability and the future direction of the company especially because of the drop in sales performance, and Michael implemented a new team sales strategy instead of the previous individual approach in order to improve sales revenues although the company continued using an individual compensation structure (University of Phoenix, 2008). Manufacturing employees at Riordan are also working on self managed teams, and the plant has experienced increased employee churn and decreased job satisfaction since implementing these two changes (University of Phoenix, 2008).
Although the decreasing sales revenues and profitability is alarming, one of the most concerning issues at Riordan is the differing opinions of the staff. Michael Riordan and the leadership team have different views on the needs for compensation overhaul while some team members do not think compensation changes are necessary but believe processes need changing instead. Associates and managers are dissatisfied with the...

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