Human Capital Essay Example | Topics and Well Written Essays - 1250 words

Human Capital - Essay ExampleThis is a issue analysis of the Riordan Manufacturing, a global plastics producer employing 550 people with projected annual earnings of $46 million. The company is wholly owned by Riordan Industries, a mickle 1000 enterprise with revenues in excess of $1 billion. Production is divided among three plants plastic beverage containers in Albany, Georgia custom plastic move in Pontiac, Michigan and plastic fan parts in Hangzhou, China. Research and Development is conducted at corporate headquarters in San Jose, California. Riordans major customers are self-propelling parts manufacturers, aircraft manufacturers, the Department of Defense, beverage makers and bottlers, and appliance manufacturers.The cause of the problem that Riordan Manufacturing is facing is rooted from several strategic changes in the way it manufactures and markets its products. The declining sales and uneven lolly over the past two years not only forced the company to change its sales p rocesses, but prompted them to adopt a customer-relationship management (CRM) system. So now customers are serviced primarily by sales teams rather than single salespeople, with each team focusing on a particular customer segment. Teams typically include a sales person, product engineering specialist and customer service representatives. The company is hoping that the team approach will improve sales. With some work out being redirected to a new manufacturing facility in China, and plants have been restructured into self-directed work teams, the changes implemented have caused the employee retention numbers to decline. An employee survey showed a decline in overall job satisfaction, particularly in the areas of compensation and benefits.Riordans employees comprise three major demographic groups. Baby boomers make up the pouch of the managerial and about half of the manufacturing