Running head: GAP ANALYSIS: RIORDAN MANUFACTURING
Gap Analysis: Riordan Manufacturing
University of Phoenix
Gap Analysis: Riordan Manufacturing
Employee motivation is an issue that the most of companies faces. Organizations of all sizes struggle with it, and those who do not are at disadvantage facing with lower job satisfaction and increased turnover. Factors such as organizational strategy factors, recognize value of teamwork, desire to increase motivation and reach new customers with innovative products need to be applicable and supported in order to avoid employee turnover. EmployeesвЂ™ benefits such as equally reward and motivation can also make a difference and also deserve consideration.
The latter is particularly true in manufacturing companies -- especially high-tech ones -- with a broad range of employees with myriad motivational needs. A typical manufacturing firm employs manual laborers, skilled trades, administrators, professionals, technical employees, sales and managerial staff. Usually, these workers represent multiple educational backgrounds, generations, ethnicities and family situations. How well the organization addresses these differences can mean the difference between an energized, productive workforce and a lethargic, non-productive one. In order for an organization to achieve the highest-level performance from its employees, it is important to understand what motivates the employee. The motivation and reward that an employee needs from their employer and what his or her employer may be offering them most times will have different measurements. Higher employee motivation will lead to greater creativity, productivity, high morale and minimal turnover within an organization (University of Phoenix, Scenario).
Riordan Manufacturing is a global plastics producer employing 550 people with projected annual earnings of $46 million. Recently they made several strategic changes in the way it manufactures and markets its products and there has been a decline in sales and profits. Many internal changes have been made and there has been a consistent drop in employee satisfaction and an increase in voluntary terminations. If something is not done quickly to improve the structure of the organization, the entire organization will feel even more loss. In order to keep up with the competition, Riordan Manufacturing must implement changes immediately. This paper will address the issues and opportunities within Riordan Manufacturing, the stakeholder groups and the interests, rights and values of each group, the end-state vision that will project to the company if its goals have been achieved and will include a gap analysis of it is suggested to change to improve human resource practices and provide Riordan Manufacturing a sustained competitive advantage (SCA) in the global marketplace (Dreher& Dougherty, 2001).
Issue and Opportunity Identification
External and internal issues have been affecting Riordan Manufacturing organization. The following are some of the issues that have been identified and analyzed to create opportunities for a rapid strategy to identify where improvements needs to be put into practice. Each of these issues represents opportunities for Riordan Manufacturing to learn and develop new strategies.
Employee retention is deteriorating and many key elements may be leaving the company. It is obvious that employees are seeking for higher pay and better job satisfaction according to the standard of their jobs. Due the current situation of Riordan Manufacturing, their salaries may not be what the market average for a similar position in the industry is offering. This is also a major concern for the research and development (R&D) department since they do not want to lose a key employee with vital company knowledge. Riordan Manufacturing can design more effective compensation packages and incentive and also learn better retention methods to gain a leading perimeter on their competitors. The organization better prepared and with the best recruitment and retention plan remains if business.
The employee incentive and satisfaction program is an issue for both management and the current employees. Currently, the sales incentives are structured around an individual rather than a team and this issue has come about as a result of the change in the sales approach from individual accounts to a team approach. Employee satisfaction has declined in the past year. Employees are not feeling challenged due to lack of direction of the companyвЂ™s