Riordan Manufacturing Strategic Plan Essay

2041 Words May 1st, 2014 9 Pages
Riordan Manufacturing Strategic Plan Why is strategic management necessary? Strategic management, and business policies are essential for organizations to gain competitive advantage within their respective markets. Organizations like Riordan Manufacturing implement policies, and procedures to provide structure, and standardize operations in efforts to maintain proper control of production, inventory, and logistics. Developing a strategic plan focuses on the need for planning, roles of ethical and social responsibility, current competitive advantages, innovation, sustainability, internal dynamics, influence of business continuity, and assessment, and feedback. The following discussion details a strategic plan for Riordan Manufacturing. …show more content…
The first phase of the process is to determine what to measure. Managers need to specify what implementation process and results will be monitored and evaluated in a reasonable and consistent manner. This phase should focus on the most significant elements in the process. Phase two is to establish predetermined standards. This phase measures the acceptable performance results. It also outlines the tolerance range and any acceptable deviations. Phase three is the measure of performance, in which is done at predetermined times. Phase four determines if the performance match the standards. This phase determines if the actual performance results are within the desired tolerance range and if so, this phase ends. However, if not, then phase five is the corrective action phase where the undesired results, action must be taken. There are a series of questions that must be answered: 1) is the deviation only a chance fluctuation? 2) Are the processes being carried out correctly? 3) Are the processes appropriate to the achievement of the desired standard? And who is the best person to take corrective action. If the performance results are unsatisfactory due to the strategic management process, operational managers should be made aware so they can implement or modify a procedure. Generally, top management is often better at the first two steps of the phase, than in the last two steps (Wheelen).
Primary Measures

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