Riordan Manufacturing’s main focus is to find solutions for their customer’s challenges and not be the challenge. In order to do this and maintain these long-standing relationships there will need to be changes to the company’s management and communication plans. These changes will provide more employee satisfaction and efficiency throughout the company. Unfortunately change always comes with some resistance from employees but Riordan Industries will strive to keep employees well advised and well supported throughout this change to maintain our innovated work environment. Power Structure
Riordan Manufacturing infrastructure revolves around informal and formal power structures and like many other manufacturing organizations, its vision starts from top management. According to Riordan Manufacturing (Organizational Charts- Executive), the information displays a narrow span of control, with product base and manufacturing decisions are based solely on a centralized view. Formal power structure in Riordan is mechanistically based on a clear chain of command that processes a more managerial hierarchy. Formal power structures based on a narrow span of control negatively affects Riordan’s informal structure bases and instances including employee turnover. Power structures that are present at Riordan Manufacturing have both negative and positive outcomes. The CEO’s emphasis is on cost minimization, which is “tightly controls costs, refrains from incurring unnecessary expenses, and cuts prices in selling a basic product.” (Robbins & Judge, 2011, p.504) The main political power structure in the organization is employee development in spite of low job satisfaction and internal growth.
Riordan Manufacturing formally based power structure can work if communication levels and management develops a more diversified plan to increase job satisfaction through improving channels of communication. Riordan needs to place emphasis on retraining employees through professional development training. The steps for reformation of a highly centralized company is providing a channel that can remain anonymous for employees to express concerns or suggestions and employee and manager have monthly meetings to place emphasis on diversity, organizational worth, and presenting organizational goals and visions. Riordan lacks an efficient database system that connects all four plants with appropriate information to conclude if sales cannot be me. The system should be re-evaluated to strengthen a centralized organization. Employee Behavior
The effects of this structure on employee behavior can go a number of ways. The suggestion box can bring about more trust from employees to the management or to some employees may feel management is not taking their opinions seriously. The monthly meetings will help in creating a better understanding and communication between employees throughout the company. Taking time to address their employees will allow for interaction with management and boost morale as well. Overall this type of structure will strengthen the company by bringing strong trust from the employees. Companies Culture
Riordan Manufacturing employee base is predominately Caucasian between the ages of 18 to 39 with the majority of upper management also being Caucasian as well. The Caucasian culture is likely to have a corporate cultural influence within the company which indicates many are likely to be set in their ways based upon their age groups. Those nearing retirement age 50-59 and in the 40-49 age groups are likely to not want change within the company and may show more resistance than the younger age groups. The younger age groups could possibly clash with the older age groups when changes are implemented. Resistance for Change
Due to the lack of a formal system for managing customer information, employees have been left to come up with...