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Finance and Accounting
Currently Riordan Manufacturing is having a challenging time trying to gather all the data that generates from its Finance and Accounting departments. All of the plant locations have different kinds of Finance and accounting systems, which may be the main reason Riordan Manufacturing has a hard time maintaining the data received. The company’s three operating locations each have their own Finance and Accounting systems. The plant in Pontiac, Michigan and the plant in Albany, Georgia feed data to the corporate headquarters in San Jose, California. Riordan Manufacturing also has a joint venture in Hangzhou, China. Although there is no mention of China’s data output on the company’s Intranet site, the company has facilities there that manufactures plastic fan parts. There should be data coming from that headquarters must there but the status of the Finance and Accounting system used in China is currently unknown.
Corporate headquarters currently has a license for an Enterprise Resource Planning (ERP) system that is fully integrated and Windows based. It is designed specifically for plastics processing and assembly manufacturers. The ERP software has a financial management application included, along with manufacturing and distribution applications. The license the San Jose location has is from proprietary software, so it does not include the source code. Because the software does not come with a source code there is no way to modify the software for customization purposes.
When Riordan Manufacturing acquired the plant Michigan, the facility’s Financial and Accounting system was not taken into consideration. The Michigan location has a vendor developed application and the accompanying source code that was purchased some time ago, that runs on an old Legacy system. The vendor that Michigan purchased the software from is no longer in business. The application runs on a pair of Digital Equipment Corporation Alpha microprocessors, a company that is no longer in business. According to the company’s Intranet site, the program is run with VMS operating system, VAX4000 workstations, and programmed in C.
The Georgia location purchased different software and application source code that is vendor developed. The software includes applications for the financial and manufacturing functions process. The software is running on a pair of AS400’s, which have since been renamed twice. Judging from the name of the microprocessors, it seems they have not been replaced since the 1990’s. The Windows based workstations uses the UNIX operating system and is programmed in RPG400.
Presently, the data being received by corporate headquarters needs to be either re-entered or redirected to the proper account codes. It takes them anywhere from fifteen to twenty days into the month to close the General Ledger, Income Statement, and Balance Sheet from the previous month. Internal and external audits are needed every month, and are costly and labor intensive. Because of this situation with the Finance and Accounting departments, corporate headquarters is having a hard time keeping in compliance with government regulations.
Riordan Manufacturing is in dire need of a new sub-system for their Finance and Accounting departments for all of their plant locations, including China. The company needs all of the data output that comes from the different facilities to be compatible and integrate seamlessly with the ERP system that corporate already has. The software should have applications that enable each of Riordan Manufacturing’s Finance and Accounting departments to report the data from 1) General Ledger, 2) Accounts Payable, 3) Accounts Receivable, 4) Order Entry, 5) Procurement, 6) Sales and Purchasing History, 7) Invoicing and Shipping, 8) Payroll, and 9) Financial Reporting. The implementation of this system must be smooth, and cannot cause a disturbance with Riordan Manufacturing’s customers. Special care should be taken so that billing and invoicing isn’t affected by this change, to ensure customer satisfaction.
Sales and Marketing
Presently Riordan Manufacturing is also having a hard time with the information it keeps within the Sales and Marketing department. The company collects its customer information in many different ways which makes storing it all and having the information available for marketing purposes difficult. Information is currently stored on paper, microfiche, and many different databases. The information kept by Riordan Manufacturing’s Sales and Marketing department is critical for the company to give the customers better value.
The company has historical sales records that contain a great deal of useful information. Historical sales records include information about orders, delivery, and payment dates, which are all vital for market research. Other customer information to be considered in historical sales is sales by customer to include price paid, cost, margin and discount given. Historical sales records also include unit and dollar volume for all the products Riordan Manufacturing produces. The information gathered fitting these profiles is recorded and managed in a database.
Riordan has paper files from past marketing research and past marketing plans that are stored in a file cabinet. The company needs to scan these documents to be stored electronically have for safekeeping. There is also various design awards Riordan Manufacturing won that can be scanned as well.
The company’s sales team is totally unorganized, with all of its members recording sales in different ways. In order for Riordan to be able to service its customers properly, it needs to understand and anticipate the customer’s needs. A way to do that would be to have all its sales team members on the same page as far as recording customer sales. An integrated system of recording sales so that it organized in the same format is needed to fix the problem with sales records.
The company’s Sales and Marketing department keeps production records and profit and loss statements. The information in the production records are sorted by number of units produced by a shift. This information can be then sorted by specific production group, and year of production. The finance department shares the company’s income profit and loss statements with Sales and Marketing for evaluation by the marketing department. This information from the profit and loss statement is sorted by item and group. The Sales and Marketing department also has records of historical and current annual budgets for Riordan Manufacturing and has records for a two year plan to increase company revenue by $4 million.
Currently Riordan Manufacturing is looking into fully integrated Customer Relationship Management software to compliment its Sales and Marketing team.
How to Cite this Page
"Riordan Manufacturing." 123HelpMe.com. 01 May 2016