Evaluation of Results
The only way to gauge whether the solutions worked well or not is to first look at employee attitude in relation to sales. Once the employee morale goes up, if the sales trend is even remotely correlated, sales will also go up. Both employee morale and sales revenue are measurable in regards to results. Lastly, based on the above results, senior leadership can decide whether the new compensation plan can be executed in the 6 month timetable or not. If sales have not increased significantly enough, Riordan can opt to wait on investing the 25k into creating more proportionate salaries.
Riordan Manufacturing was started from the ground up by Michael Riordan. He has invested years and money into making the company what it is. However, there are times when senior leadership members are so focused on the client, the revenue, the business side of everything that the most important thing is forgotten; the employee. Riordan is used to success but at times it seems to be at the expense of the staff. In the end, one must ask themselves if it is worth it. It is up to the senior leadership team and HR to make sure that the employees are valued, compensated and appreciated for the work they do, the vision they continue to support and the expertise they bring to the table. There are even times when an employee will accept lower pay, just because of how greatly they are treated. But what happens when an employee feels underpaid and underappreciated? Riordan still has a chance to turn things around. If not, they will lose their best asset; their people.