Gap Analysis: Riordan Manufacturing
Gap Analysis: Riordan Manufacturing
In this paper, I plan to use a business assessment tool called Gap Analysis to enable Riordan Manufacturing, an industry leader in the field of plastic injection moldings, to compare its current performance with its potential future performance. "The Gap Analysis process involves determining, documenting and approving the variance between business requirements and current capabilities" (Wikipedia, 2006).
Situation Analysis
Issue and Opportunity Identification
Declining sales and uneven profits have forced Riordan Manufacturing to change its sales process. The new sales process involves a team, as apposed to a single salesperson. This team will be composed of a salesperson, product engineer, and a customer service rep. Each team will focus on a particular customer segment. Riordan hopes that this sales process modification will improve sales and overall profits.
Riordan was smart to acknowledge the issue and see opportunity for change; however, change without adequate planning will have consequences. Main consequences include employee turnover, low moral due to uncertainty, and declining sales.
Stakeholder Perspectives/Ethical Dilemmas
"Stakeholder Perspectives -Not everyone's objectives will be the same. An understanding of the objectives of the various participants will facilitate support for the process" (Shlomo, 1983). In the case of Riordan, there are three main Stakeholder groups, (1) Michael Riordan, the founder, president and Chief Executive (2) Riordan Leadership, which is comprised of seven executives, and (3) Riordan Employees, ranging from R&D to sales and engineers from three different locations.
Mr. Riordan, CEO, believes he treats his employees great and needs their support in this financially difficult time. The executive leadership consensus is to increase compensation on all levels and aligned reward programs to match new sales tactics. Employees are...
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