Mba 530
...Solution: Riordan Manufacturing
An organization is a group of people who perform individual duties to meet a common goal. It must communicate effectively and manage conflicts to meet that goal. Everyone who works for an organization should hold the same values and goals. It is important to know organizational culture in order to make improvements to the work environment when necessary. The purpose of the exercise is to examine Riordan Manufacturing's organizational culture. Its goal is to come up with a plan that is thoughtful of future profitability and fair to long-term employees.
Situation Background (Step 1)
Riordan Manufacturing is a global plastics producing company with annual earnings of $46 billion dollars. The company employs 550 employees across three plants: Albany, Georgia; Pontiac, Michigan; and Hangzhou, China (University of Phoenix, 2008). Riordan wants to evolve its business focus by offering tailor-made service packages to clients. The company has changed the way they manufacture and market its products, which is causing uneasiness among its staff. Riordan is moving away from a single salesperson to a sales team system that is not making many employees happy because of compensation issues. Some employees have left the company because of this. The leadership team is in conflict over how to implement changes, if any, to the compensation and reward systems.
Issue Identification
The first major issue that Riordan is facing is low morale amongst its employees. This stems from needs not being met. Riordan's Human Resources department details the company's compensation and reward packages. The company maintains that they will provide an innovative environment and assure that all employees are well informed and properly supported that focuses on the long-term viability of the company. According to the consultant's findings, employees are...
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