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Gap Analysis: Riordan Manufacturing

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Gap Analysis: Riordan Manufacturing

Jennifer Hansen

University of Phoenix

MMPBL/530 Human Capital Development

December 7, 2009

Gap Analysis: Riordan Manufacturing

This paper will reflect the issues and opportunities that are surrounded by a company called Riordan Manufacturing, a global plastics producer who is presently experiencing diminishing sales over the past two years and has struggled to maintain its existence within the industry. Riordan Manufacturing has been resistant to change within its organization and the industry causing the organization to suffer overall. CEO, Michael Riordan recognizes that change is needed must take place for the company to survive, but there has been conflict within the organization among the leadership team, human resources and employees. Various members of leadership have developed their own theory as to what the actual problem is within Riordan. The organizational culture of the company needs to be redesigned to minimize dissension among upper and lower management and employees within the organization. We will look at the interest rights and values of all stakeholders involved, such as leadership team, human resource department and employees.

We will also discuss the End State goals and visions for the company and what its end state vision is and how the company will get to the end state vision by way of the end state goals and what they are in detail. This section will be the possible opportunities that can also be possible solutions for issues at hand for Riordan Manufacturing.

Situation Analysis

Issue and Opportunity Identification

Riordan Manufacturing has been very resistant in the past to face changes to keep the organization relevant such as diminishing sales and profits in the plastics manufacturing industry. The plastics industry has been changing and Riordan has had to change its processes from an individual sales person to a new customer relationship management system (CRM) that will focus on customer segment versus individual needs in hopes that a team approach will improve sales within the organization. Riordan employees are losing morale in several departments as well as employees because of low job satisfaction and an increase in employee willing to leave the Riordan because of better pay and compensation at other companies. Leadership needs to address this issue because of major projects that are coming due in the near future. Riordan also possesses an inadequate reward system that is not comparable to its competition. It also needs to increase overall profitability by successfully implementing manufacturing and marketing of products and future projects. The leadership and human resources department must align themselves to infuse motivational behaviors and increase employee retention.

Riordan Manufacturing needs to better align its employee reward and compensation plan along with its organizational culture to enhance employee's motivation and retention as well as increase overall profits. This can happen when Riordan restructures its human resource departments system and practices allowing it to infuse the elements of motivation and opportunity necessary for growth and cultural consistency within the company.

The leadership team can also produce a better organizational environment by birthing a better equity relationship among each other and fellow employees during the process of change that is presently taking place by becoming more informed about approaching the needs of the employees.

Stakeholder Perspectives/Ethical Dilemmas

There are various stakeholders in the present series of events that are transpiring with the organization of Riordan Manufacturing and the plastics industry. As this industry is changing to a relational trend versus addressing the individual, it is requiring Riordan to reassess who they are and how they operate and the possible opportunities that they may face as well as the issues that must be addressed. The company's mission, values and strategic plan has been challenged with the present issues and everyone involved must take a look at themselves to evaluate where the change must begin, it looks like every department needs adjusting.

The leadership team, namely CEO Michael Riordan has been looking at this situation earnestly for the past two years. The leadership team has struggled with making the necessary decisions, whether they be from avoidance or lack of how to knowledge as how to approach the situations successfully by increasing profitability and simultaneously implementing new organizational processes. The leadership team has their individual views about the company's reward and compensation model that is presently being used and unsuccessful. They would like to resolve this problem with the least amount of out of pocket costs but with expeditious results to increase employee motivation and retention issues in the organization.

The human resource department has insufficient system and practices to fulfill the objectives of the organization successfully. With a devalued sense of equity and expectancy of the HR and employee relations, any attempt of a flourishing organizational alignment is dismal. A human resource department is vital to the success of the management of people within an organization. The leadership team should realize this and utilize the strength that lies within the HR structure to its own advantage.

The employees of Riordan Manufacturing are comprised of several bands of professionals, generations and various skill levels of staff members with interests that are valid to the contentment of the workforce at Riordan. The employees are facing low morale and job dissatisfaction along with an inadequate reward and compensation system that is not fulfilling. Along with limited opportunities within the organization without motivation to produce high performing job behaviors for the company.

All of these elements are of interest to each person at Riordan Manufacturing with the hopes of some resolve in the near future.



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