Information technology affects on Riordan Manufacturing Overall Effects of IT on Riordan Manufacturing Information technology affects on Riordan Manufacturing Overall Effects of IT on Riordan Manufacturing Riordan Manufacturing is one of the global leaders in the field of plastic injection molding owned by Riordan Industries. The company employing 550 people with projected annual earnings of $46 million. The corporate headquarters and research and development are located in San Jose, CA. The various manufacturing plants are located in Albany, GA, Pontiac, MI and Hangzhou, China.The company customers include some of the top automotive manufactures, airplane manufactures.
From the company financial statement shows that the company in a good position on the market but the profits needs to be increased. The profit margin is lower than the industry average for Riordan . This means that Riordan have to keep its costs low and maximize profits to meet with than other companies doing the same business. The company current asset to liability ratio (current ratio) is approximately 2. 7, which means that the company has twice current assets to the current liabilities.
By examining the riordan system many gaps was found and Many of improvements that can take place to the current systems and subsystem to provide increase in the benefits and skills and production line. Taking a look at the current system for the finance and accounting riordan stated that each location has its own F and A system which report back to San Jose. The F and A Department have been unable to achieve anything remotely resembling “seamless compatibility. Some F and A data is provided to corporate via data files; some data is provided via hardcopy reports and must be re-entered; some data is provided via data files but must be converted (redirected) to the proper account codes and the list goes on. Riordan will need to implement a new system to communicate effectively and remotely sharing of the files and reports.
That will help riordan to have an updated in real-time reports instead of just waiting for the hardcopy. By looking at riordan sales and marketing department, I noticed that riordan need many improvements to increase sales.As the world growing fast, customers expect high level of service and products that meet with today’s technology. Using the last IT technologies in marketing and sales would increase sales and profit for Riordan. Implementing new technology in marketing and advertisement is a must nowadays to attract the customers. The Two year plans to reach the $50 million revenue mark for riordan which planning to achieve this objective through 3 strategies: 1-Part 1: Strategic sales objectives with corresponding financial goals and roll-out schedules. -Tactics by marketing mix, timing, and relationship to strategic sales objectives.
3-Customer Relationship Management Strategies Implementing new business system to handle the new and the existing customer info would be critical for success. What I noticed also that riordan have a very little number of customer service clerks. Increasing the number of customer service representative to handle the The new operations and the current operation are recommended. The customer service is what will keep the current customer as customer not a former customer.First thing that attract customers is the service after the sale.
If Riordan did not take care of its current customer some other company will. Focusing and researching on the market needs and changes is critical to fulfill the current customers’ needs and to attract new customers then Analyzing the output information from the research and apply new systems and techniques to adjust to the current market needs and reach the customer satisfactions level. Market is always at change and never stay still, adjusting to the new market needs is the primary rule for success.Examining the human recourses system at riordan manufacturers, stating that riordan human resources HRIS system was installed in 1992. This system is a part of the financial systems package and keeps track of the following employee information.
This system it outdated and very old, Upgrading to a newer system is a must to handle. Upgrading to new systems that provide a network real-time access operation will definitely help the HR affectively to perform their job. Installing new systems that provide more option about the employees like full history on the employee and provide an overall picture on the employee status is recommended.This software should be installed on the center office and have the branch offices connect to it remotely would by the solution to bring human recourses department up-to-date with the new technology. Satisfying the employees by fulfill their needs would be one of the primary goals for company’s success. Taking care of their employees by updating the employee’s skills must be administrated by the human resources that can provide an overall picture of the employee status and skill by upgrading the HRIS to up-to-date software.
By looking at the operation department at riordan manufacturers, a recommendation would be updating the machineries systems. Updating the machineries systems to the latest model would help save and improving the production. As the new machines would save the waste of material involved in the molding as save power costs by shorten the producing time. Not showing in fact, on the website if riordan is using the latest technology and machines into the molding operations, by upgrading to new and latest machine riordan manufacturers will be able to lower the costs of the producing which automatically will increase profits.Having the company required amount of the skilled labor would be critical for success. Implementing a new system to report the employee’s status, history and skills to the human resource department will help Riordan update their employees to the required skill level and maintain the required level of skilled labor.
By examining the legal department at Riordan manufacturers, turns out that all the legal matters are handled by Lowell Bradford, Chief Legal Counsel, which is located, oversees. For all legal matters for Riordan Manufacturing, All contracts have to be approved by Mr.Bradford before they can be signed. Department heads forward all legal questions to Mr.
Bradford who answers them from his personal knowledge and experience or after consulting with the attorneys at Litteral and Finkel, the law firm retained by Riordan Manufacturing. This will slow any legal operation to send the case overseas for approval or consultation. Recommendation for Riordan is to get a leg counsel to each branch that can approve any legal issues without have to wait from the approval to come back from overseas.