Riordan Manufacturing Analysis

Debt ratio percentages increased for Company G from 28.34% to 29.94%. Industry quartile is 30, 45 and 66 percent, putting Company G below average. Debt Ratio represents strength for Company G.

Riordan Manufacturing is an international plastics manufacturer that currently employs 550 people with projected annual earnings totaling approximately $46 million. The company is completely owned by Riordan Industries which is a Fortune 1000 enterprise with revenues of up to $1 billion. The company’s merchandises consists of plastic beverage containers that are produced at its plant in Albany, Georgia; custom plastic parts are manufactured at its plant in Pontiac, Michigan; and plastic fan parts are created at its facilities in Hangzhou, China ("Riordan Manufacturing", 2013).

The solvency ratio is the ability for a company to repay debts shown in a percentage. The ratio shows if a business can meet goals of a long term loan by calculating the current and long term liabilities divided by net profit after taxes plus depreciation. In years one through four the

Subsequently Riordan Manufacturing proposes to have higher levels of inventory that allows them in effectively forecasting models for inventory control, production, planning, improving supply chain, and guaranteeing deliveries of Riordan products. Creating a new process design essentially caters for the new supply and demand of Riordan products. Using lean production can help Riordan Manufacturing minimize waste from raw material toward the finished product. Because of the elevated demand for the product, production needs increase (Chase, Jacobs, & Aquilano 2006).

Riordan Manufacturing is a worldwide fortune 1000 enterprise manufacturer of plastics with sole ownership by Riordan Manufacturing Industries. Custom plastic product parts akin to beverage containers and fan parts help generate company revenue of one billion. Riordan development and research carries out at the company’s R&D headquarters location in San Jose, California. Three additional Riordan production plants include locations in Pontiac, Michigan and Albany, Georgia with an international joint venture in Hang Zhou, China. Riordan employs a mere approximate of 550 people with company projections at $46 million a

In order to create a successful business plan, we first conducted a needs analysis and put together a list of recommendations that could be used to help the company. Riordan Manufacturing would like to reduce costs and materials across all plants. The introduction phase involves the evaluation of the current

Riordan Manufacturing is a global plastics manufacturer employing 550 people with projected annual earnings of $46 million. There is a plant in Albany, GA that produces plastic beverage containers, a plant in Pontiac, MI that produces custom plastic parts, and a plastic fan parts facility in Hangzhou, China. The corporate office is in San Jose, CA along with the corporations Research and Development Department. Riordan Manufacturing is a subsidiary of the parent company Riordan Industries, Inc. a Fortune 1000 enterprise with revenues in excess of $1 billion (Apollo Group, 2013).

Riordan Manufacturing is a global producer and manufacturer in the global plastics industries and has about 550 people that have a projected annual earning of over $46 million dollars. Riordan has a manufacturing plant located in Albany, GA that is capable of producing plastic beverage containers, another plant that is located in Pontiac MI that is capable of producing custom plastic parts, and another plant located in Hangzhou, China that produces plastic fan parts. The corporate offices and research and development department of Riordan are located in San Jose, California. Riordan Manufacturing is part of Riordan industries Inc.

• Review the intranet site for Riordan Manufacturing including Human Resources – Organizational Charts, Employee Files, etc., and Sales & Marketing –

Riordan Manufacturing is a leader in the plastics manufacturing industry. As a fortune 1000 company, this employer of over 500 employees has not only made an investment into the products that roll off the production lines but most importantly the employees who help produce these products (University of Phoenix, 2013). In addition to the annual salary or hourly compensation these employees receive, Riordan makes additional investments in employees to better their wellbeing inside and outside of work. The complete benefit package offered by Riordan is known as the total

Overall regards to liquidity ratios, the higher the number the better; however, a too high also indicates that the firms were not using their resources to their full potential. Current ratio of 1.0 or greater shows that a company can pay its current liabilities with its current assets. JWN’s ratio increased from 2.06 in 2007 to 2.57 in 2010, and slightly decreased to 2.16 in 2011. JWN’s cash ratio increased significantly from 22% in 2007 to 80% in 2010. JWN has a cash ratio of 73% in 2011, which is useful to creditors when deciding how much debt they would be willing to extend to JWN. In addition, JWN also has moderate CFO ratio of 46%, indicating the companies’ ability to pay off their short term liabilities with their operating cash

interest earned ratio. This ratio relates earnings before interest and taxes — a measure of profitability and of long-term viability — to the interest expense — a measure of the level of debt.

| This assesses a company’s financial durability by examining whether it is at least profitable enough to pay off its interest expenses.

Long term creditors and shareholders are interested in this part of ratios and very carefully to deal with it. It evaluates how the company is using or managing its debt. Debt asset ratio and times interest earned and times interest earned will be calculated in

Generally speaking, investors are more confident in putting their money in riskier options. Financial ratios help investor in determining the financial health of an organization (Lai Ping-Fu & Cho Kwai-Yee, 2016). The most important ratios to a bond investor in a corporate bond issuance fall under the liquidity, solvency and profitability ratios. Profitability is the ability of a firm to generate earnings (Gibson, 1987). Liquidity ratios have the ability to be quickly converted to cash without losing significant value. Liquidity refers to the company’s ability to access cash in order to pay its short term obligations (Gibson, 1987). They include current ratios, acid test ratio, and operating cash flow per share among others.