Ridoran Manufactoring - 1389 Words

Riordan Manufacturing Compensation Plan Team B- Diana Barris, Nicole Bell, Jacqueline Chaney, Shawnda Davis, Hadeel Raouf, Kelly Tyler HRM/324 Annette Clark-Davis February 11, 2013 Riordan Manufacturing Compensation Plan Riordan Manufacturing is a worldwide plastics manufacturer that is headquartered in San Jose, California. Their organization has over 500 employees and prides themselves on providing their customers with high quality merchandise to satisfy their plastics needs. They hold an ISO 9000 certification which is an organization that establishes and measures quality control. In order to meet or exceed the level of quality required under ISO standards, Riordan Manufacturing will need to have knowledgeable and skilled†¦show more content†¦64). The external equity is based on how the employee sees the companys pay structure and compensation system. What the employer pays, relative to what other employers will pay for the same type of work. The Riordan Manufacturing Company works toward a fair base system, attracting, and maintaining good workers when considering internal and external equity. Implementing job analysis, employee evaluations, wo rk structure, pay ranges, and pay grades are ways the company endorse internal equity. Marketing surveys, supplying a competitive pay system, and salary surveys are used to implement external equity. This will allow the company to manage and implement a compensation structure that will add value and continue to make the organization successful. Wage Management and Rationale Riordan Manufacturing’s salary administration program was created â€Å"to achieve consistent pay practices, comply with federal and state laws, mirror our commitment to Equal Employment Opportunity, and offer competitive salaries within our labor market† (University of Phoenix, 2004, p. 11). Employee compensation is based on several factors including but not limited to job analysis, evaluations, the duties and responsibilities of the job, and salary survey data on pay practices of other organizations in