Gap Analysis: Riordan Manufacturing
Organizations of all sizes face the difficult task of motivating and providing a challenging and rewarding atmosphere for their workforce. An organization’s business strategy and technology is the driving force for developing the organization’s design and work processes. These work processes will determine the behaviors and roles the organization desires from the workforce. The firm’s compensation and reward system can become a powerful mechanism to encourage the desired behaviors to achieve the organization’s strategic goals. (Dreher & Dougherty, 2001)
Developing a total compensation strategy can be further complicated by the organization’s business environment, changing workforce demographics, employee needs, cultural values, competitive dynamics, and the guiding values for an organization’s behaviors and underlying treatment of employee’s. The company’s image and reputation is reflected in the organization’s compensation and reward systems. (Milkovich & Newman, 2004)
A human resource management (HRM) system and compensation strategy will need to be developed that will fit the business strategy and business environment of the organization while satisfying all the stakeholders needs.
Situation Analysis
Issue and Opportunity Identification
Riordan Manufacturing is a global multi-million dollar manufacturing firm headquartered in San Jose, California that is wholly owned by Riordan Industries, a Fortune 1000 enterprise with revenues that exceed $1 billion. Riordan Manufacturing manufactures plastic products used by appliance, aircraft, automotive parts manufacturers, beverage makers and bottlers, and the Department of Defense with manufacturing plants in ...