g to streamline its processes and command structure. Riordan Manufacturing has an excellent reputation in taking care of its personnel. It has an obligation to look out for its personnel. The first option is to offer early retirement. Those who are within five years of retirement may apply and be offered the same retirement package. The next option is to offer relocation and training incentives for those who are willing to relocate to other manufacturing plants. Those who volunteer to move to China will be offered supervisory positions. As a last resort, the company will implement lay offs. Personnel who are laid off will be given severance pay equal to their annual salary. The company will also pay for health insurance up to 2 years to include coverage for the families. The firm plans to conduct survey to increase situational awareness of the workforce climate as it goes through the though times. Managers and supervisors are the critical factors to help ease the transition.
External Issues Riordan manufacturing boasts an outstanding relationship with its customers. The PR department has been proactive with the current issues and has engaged the public. It has several actions to coordinate with the customers, government agencies, and the media. The first action is to inform the shareholders and the Albany city council of the impending plant closure. Advise them of the situation and coordinate resolutions to the problems. The next action is to conduct press conferences employing the media to spread the news to inform the customers. The advent of technology must be fully exploited as noted by Seitel (2004) by taking advantage of satellite and internet technology (p. 134). The firm may hold video teleconferences to include executives from China to participate in the news conference. The last action is to create a tiger team in-charged of complying with applicable environmental laws. The company uses chemicals and needs to ensure these ...