Riordan Benchmarking Benchmarking Case

Running Head: RIORDAN BENCHMARKING

Riordan Benchmarking

Earl Burgess, Crystal Diaz, Mavis Echols, and Stephanie Figeroux

University of Phoenix

July 16, 2012

David Barlage

Riordan Benchmarking

Riordan Manufacturing has dealt with quite a few strategic alterations in its marketing and manufacturing departments. This has caused for a major decrease in retaining employees. Employee survey results show that the reason that there is a decrease in the holding of employees for the long term is because the benefits and compensation. Riordan Manufacturing's present rewards program is not grounded on performance; instead it focuses on aspects like the cost of living, seniority, the position regardless of current performance information and data, classifying a good amount of its employees as mid-tier workers. There is also a small portion of employees not doing well. Management is a bit concerned because morale and work ethics are decreasing, and want to take action. The organization needs to work on the current system while and remain aware that constructing and delivering a complete compensation program needs a compensation concept that forms measurable principles for employees to shadow and uses those standards to appraise employee performance and distribute rewards (Ulrich & Brockbank, 2005, p. 23). This paper will show how different organizations have dealt with similar situations as Riordan and what actions can help solve the problems.

Concepts

Successful organizations, businesses, or companies are continually developing plans to be better than the year before. Every business starts off small and develops into something bigger. Many businesses, organizations, or companies desire to go global or international. Globalization is the process of social, political, economic, cultural, and technological integration among countries around the world (Hodgetts, Luthans, & Doh, 2005). A successful business will focus on analyzing the effects of cultural dimension on management, examining challenges from cross border external environments, and identifying requirements for a successful management, when developing a successful business.

Analyzing the effects on management functions created by cultural dimension such as developing people skills and ultrafast track has a multicultural edge. Diversity is another advantage the United States has over other countries (Hodgetts, Luthans, & Doh, 2005). Diversity also includes understanding and accepting a multicultural group. A multicultural group is a group in which there are individuals from three, or more different ethnic backgrounds, such as three United States, three Germans, three Uruguayan, and three Chinese managers looking into mining operation in South Africa (Hodgetts, Luthans, & Doh, 2005).

Challenges can be overwhelming to company unaware of the laws, culture, and customs in that country. Examining additional challenges from cross border external environment such as globalization, and training staff will aid in overcoming some of the challenges for the business, organization, or company. Globalization is the production and distribution of products and services of a homogeneous type and quality on a worldwide basis (Hodgetts, Luthans, & Doh, 2005). Training is a process of altering employee behavior and attitudes in a way that increases the probability of goal attainment (Hodgetts, Luthans, &Doh, 2005). Training the local staff will educate them on the practices, procedures, ethics, and values of the company, organization, or business. During the training the company can also introduce cultural sensitivity training or team building. Team building is an extension of classic T-group and sensitivity training to enhance organizational effectiveness through cooperation and a team effort of key personnel (Hodgetts, Luthans, & Doh, 2005).

Finally, identifying requirements for successful management team of a global business should include a mediator and acquiring motivation. A mediator is a person who brings both sides of a disagreement together and helps both sides reach a settlement mutually acceptable (Hodgetts, Luthans, & Doh, 2005). Many major companies, organizations, and businesses have mediators to settle disputes with union representative and management representatives. Motivation is a psychological process through which unsatisfied wants or needs lead to drives to finish goals, or achieving the incentives (Hodgetts, Luthans, & Doh, 2005). Many managers have motivation to complete task given to them and desire to pass that motivation on to the staff. Encouraging the staff to complete goals on time or ahead of schedule is beneficial to the success of the company.

Compare and Contrast

Several facts are evident in Riordan management issues. First, recreating a functional reward program is beneficial to the growth of the company because high retention means that the company is in a constant cycle of training new employees. Management would have to consider a reward program that would involve every employee on every level to make if fair and just. Second, to decrease employee turnover, it would be best for Riordan to develop a working relationship and possibly fashion company's events around various cultures and customs to show the employees that they are an essential part of the business. Third, employee empowerment could evolve through trainings and sharing pertinent information about the decision-making process, production guidelines, and employee surveys.

Benchmarking is good method to find new creative and innovative idea that will help thrust a business forward, however, benchmarking is also essential in ascertain what to avoid in certain situation. Riordan can look at businesses such as Apple, Inc. Apple had severe issues within their global business ventures that also lead them to have high retention ratios. Apple, however; unlike Riordan, had already built diverse relationships, which assist them in developing a management team conducive to rebuilding their employee base. Riordan also can open their jobs to other employees from neighboring regions. One interesting method used by Sony that would prove beneficial for Riordan is their selected management structure. Sony has a mixed global structure allowing them to be flexible within and throughout individual foreign markets. If Riordan would take on such a management structure, they could transfer and transplant employees from

...