Problem Solution: Riordan Manufacturing

Running head:   PROBLEM SOLUTION: RIORDAN MANUFACTURING

MBA530 Final Paper

Problem Solution: Riordan Manufacturing
Keith Todd
University of Phoenix Online
MBA530
March 26, 2007
Instructor: Michael Geraghty


Problem Solution: Riordan Manufacturing
The objective of this paper is to demonstrate a systematic approach using the 9-step Problem-Solving Approach to provide Riordan Manufacturing with valid solutions to their challenges. In addition, this paper identifies opportunities and issues, defines the problem, and develops a set of alternative solutions. In conclusion, this paper recommends the paramount alternatives to implement in order for Riordan Manufacturing to be the global industry leader in plastics production.
Situation Analysis
Wholly owned by Riordan Industries, Riordan Manufacturing is the industry leader in plastics production with projected annual earning of $46 million. Riordan's customers include the Department of Defense, automotive parts manufacturers and beverage makers and bottlers. Recently Riordan changed their strategic objectives and implemented changes in their manufacturing and marketing practices that resulting in declining sales and uneven profits over the past two years.
In efforts to rectify declining profits, Riordan Manufacturing changed the company's strategic direction. First, Riordan changed its sales process to a customer-relationship management system resulting in a change from a single salesperson to a sales team, which provides the customer with a team of sales associates to address various customer segments in expectations of improving declining sales. Secondly, Riordan Manufacturing implemented a Six Sigma quality approach and certified ISO9000 after redirecting work to its new manufacturing facility in China. Disappointingly this resulted in a decline in employee retention and overall job satisfaction, particularly in compensation and benefits. Riordan Manufacturing must address these issues with human... [continues]

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