Riordan Manufacturing’s Hr Marketing Services

Riordan Manufacturing’s HR Marketing Services


In response to the creation of a pay-for-performance plan for Riordan manufacturing company, this marketing strategy has analyzed the existing employee infrastructure and came up with an integrated plan stipulated hereunder.

The considerations made during the plan formulation was the number of employees in the company and the incentives that would motivate them best without jeopardizing the quality of their work and hence the company’s profitability.

Considering that Riordan manufacturing has more than 500 employees, the planning team took every possible care to ensure that the plan would be acceptable and easily understood by all employees. The main objective of the plan was identified as motivating employees to improve their productivity.


In the planning stage, measurable objectives were identified. With the support of managers in the company, the planners were able to define and identify the measurable objectives for the firm.

Being a plastic manufacturing company, the objectives for Riordan were identified as improved production, elevated customer satisfaction, in addition to increased profitability regarding the firm.

It was completed in line together with recommendations by Milkovich et al. (1991), who observe that will an absence of clear targets usually leads in order to floundering programs; disappointed employees or much worse, staff ignoring the set up pay-for-performance initiative.

Secondly, the particular plan had in order to fit the determined mission for the particular company.

According to Tavangaran (2009), Riordan manufacturing’s mission is “ensuring that the business remains a head in the plastic-type manufacturing business and offers solutions to the particular existing consumer bottom although expanding” (p. 1).

This specific report also set up that the business has an currently existing six-sigma worker management process.

Although this specific process has was able to move the business to profitability by means of reduced production wastage, it offers led in order to lower employee inspiration since employees experience as if they will are not granted much flexibility at your workplace (Davenport, 2007).

It was initially also established that will the company provides an existing pay-for-performance scheme which does not meets the designed objectives mainly since it reflects previous business practices inside the company so ignoring the newest perspective adopted within the firm and further overlooking more modern sections for example customer services and engineering.

The existing program is a prize system that attempts to reward personal salespeople thus overlooking the larger groups the location where the salespeople function in.

Because of this the program fails to market the team nature in existing groups. It has, in switch, proved to end up being a counterproductive prepare to the determined new vision inside the company that will seeks to increase customer relationships by means of team spirits.


Step just one: re-align the pay-for-performance to fit within the organizational strategy

Having set up that a staff reward system is usually the best method to go, the particular plan seeks in order to re-align all sections that have not necessarily embraced teams. Many importantly will be the product sales team, which may must understand just how teams work in addition to how they could attain the many results from a similar.

Rather than paying rewards according to a person’s product sales volumes in a new month, this will likely modification the pay size to reflect the particular contribution of each and every person within the team-work. Alternatively, members regarding the team that will performs well could be rewarded to beef up the team hard work in the foreseeable future.

By encouraging team-work within the income department, Riordan will motivate staff but actually will also allow these to be a lot more flexible at your workplace in addition to hence they are really very likely to be fully commited to their careers.

The particular team incentive program is justified simply by Milkovich et ‘s. (1991) who notice that group incentives have a very positive impact about individual employees like well as the particular larger organization amounting to approximately a few to 10 per cent annually.

In organizations which may have big employee amounts like Riordan, this developing group efficiency measures and employing the same is usually far much less difficult than is the situation with individual strategies.

In order to the employees, the particular implementation of party incentives signals the company desires so they can cooperate on the particular production as properly as marketing techniques.

Considering that teamwork is many likely to get assistance from employees, they will are bound by way of a sense of owed in the firm and are also thus even more happy to participate inside of company activities with no constant supervision.

At this time, this kind of plan envisages how the new plan would likely raise some problems from other divisions which are not in primary exposure to the buyer.

To be able to counter such problems, the formulators involving this plan recognize that the prevailing assistance economy demands components such as team-work, product quality, interdependence and service good quality being factored inside of when designing a pay-per-performance plan as advised by Burruano (2008).

Just as such, this prepare recommends that Riordan update its goal-accomplishment strategies in typically the remaining departments. This kind of will then permit the company to set in create a bonus-based pay model to be able to reward increased routines and ends in typically the different departments.

Step a couple of: Communicating the discovered decide to employees

The man resources department is definitely most suited to be able to break the media of the fresh plan to personnel. This could be disclosed officially through published memos to most employees.

To ensure of which employee understands and even prefer the concept, typically the human resource office will then organize to follow upwards meetings where typically the employees could have some sort of chance to find the new prepare explained quality to be able to them.

The meetings will likely offer employees to be able to ask to comply with up questions to be able to get clarification in any issue of which may not turn out to be clear to virtually any one of these people.

Seeing that established elsewhere throughout this report, typically the sales department can have a distinct pay-for-performance plan by another department. This kind of, consequently , means of which separate meetings might be held to the different departments.

Milkovich ain al. (1991) note that proper communication involving pay plans permits the management to clarify the competitiveness with the new plans consequently helping employees take hold of the same and even start working even more enthusiastically.

By circulating business office memos first to be able to all salaried personnel, this plan tries to deliver Riordan using an simple powerful way of connecting the short-term aims of the prepare.

This kind of form of interaction will not let employees to examine and understand typically the particulars with the fresh plan; it will likewise offer them a reference by where they will go over amongst the fresh plan.

Based on this kind of, the follow-up gatherings scheduled to are available down the line will get used by typically the employees to search for clarification on uncertain details of the routine.

Creating a brand identity to the pay-for-performance plan integrated in the revenue department could possibly be tough considering that typically the sales department is definitely faced by distinct challenges and chances from other divisions.

Productive plans in various other departments for instance generation, customer care, and even packaging could always be duplicated in various other departments.

However, the ideas would have to be able to be customized to be able to each department mainly because employees in several divisions are up against distinct job demands and even performance measures.

Centric for the marketing strategy, even so, need to be the importance involving customer satisfaction mainly because as Lovelock & Wirtz (2007) implies, companies operating inside of the contemporary organization environment need to be able to embrace the two revenue and concepts, due to the fact such concepts put emphasis more on getting sales through client satisfaction.

Together with the Six Sigma strategy, Riordan concentrated read more about the production strategy

Taking into consideration that Riordan is definitely a leading covers manufacturer, it is definitely important for doing it certainly not only to boost its image to be able to its employees although also for the clientele it serves, typically the regulatory bodies while well as prospective clients.

As such, this course of action will use an advertising strategy that can not only produce the employees pleased to be piece of the firm but will in addition endear the firm to other banal.

The modern plan distances on its own from the history where Riordan recognized its works established on job roles, seniority and rises in the cost-of-living.

Even though the cost of lifestyle is still some sort of factor that typically the company includes throughout its reward technique, the fact of which it has transferred beyond rewarding job-positions and seniority are generally factors that are generally going to turn out to be received well by employees as effectively as the community.

This is equated to some sort of similar situation throughout client satisfaction whereby pleasure serves as a precondition to loyalty (Lovelock & Wirtz, 2007).

In the same way, satisfied employees would likely be more dedicated to the firm.

Carrigan & Attala (2001) further observes of which just as a lot of as companies may well think that that they reward or handle their employees never affect their organization, evidence suggests of which common people draws some sort of connection between well-rewarded employees and excellent quality products.

With this kind of web marketing strategy in spot, hiring and maintaining staff in Riordan will be much easier and more powerful than has recently been the case in past times.

Burruano (2008) suggests of which following your strategy features been successful, typically the human resource office can use advertising and marketing handouts with thorough results when hiring for workers.

Not only does this acts while proof how the approach works and also motivates potential employees to be able to join a crew of high undertaking employees.

Finally, the advertising and marketing strategy is made to allow changes that may end result in improved productivity involving the company.

As Burruano (2008) suggests, overall flexibility in a pay-for-performance plan is necessary in the fast-changing business environment mainly because it allows companies to modify with innovations and even technology development.


Burruano, Some sort of. (2008). Attract and even retain better personnel with Pay intended for performance plans. Construction Organization Owner . Recovered June 18, the year of 2010 from:

Carrigan, Michael & Attalla, Some sort of. (2001). The parable involving the ethical consume matter in Purchase behavior? Journal of Consumer Marketing 18(7), 560-577.

Davenport, T. (2007). Six Sigma: So Yesterday? Bloomberg Business Week. Retrieved June 18, 2010 from:

Lovelock, C. & Wirtz, J. (2007). Services marketing people, technology, strategy. (6 th Ed. ). Upper Saddle River, NJ: Pearson, Prentice Hall.

Milkovich, G. et al. (1991). Pay for performance: evaluating performance appraisal and merit pay. New York: National Academies Press

Tavangaran, A. (2009). Information on Riordan manufacturing . Retrieved June 18, 2010 from:

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