Competitive Advantage Paper
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Competitive Advantages Paper
Team D
MGT498
November 19, 2012
Anita Young
Competitive Advantages Paper
Riordan Manufacturing (“Riordan”) is a plastic injection molding manufacturing company that has diversified into other, plastic based industries, such as medical stents. Riordan is a self-described industry leader in plastic injection molding, with global operations that was founded in 1991. Riordan holds several patents related to plastic polymers (Riordan Manufacturing, ND), which gives Riordan a competitive advantage in the market. By holding certain patents for the technology used to develop the polymers Riordan can control, to an extent, their marketplace. Riordan can choose to continue to renew those patents to help maintain control of their technological advantage in the market. Another strategy would be to continue to develop and patent new technologies and processes. Riordan also utilizes Six Sigma, a process improvement and innovation methodology. The main focus behind Six Sigma is Kaizen, which is a continual, sustainable, incremental process improvement which was pioneered by Toyota. By utilizing Six Sigma and developing a strategic plan to implement the processes developed by Six Sigma will help Riordan to continue to be an industry leader. Another strategy that Riordan should implement is to diversify into similar industries where their current knowledge and processes could be utilized. It would be unwise for Riordan to enter an industry such as aircraft manufacturing and support, as they have no evident knowledge in that industry. A more fitting industry would be the manufacturing of fiberglass based products, as there are similarities to plastic polymers.
Riordan has several competitive advantages in common with Dart Container Corporation. Like Riordan, Dart is also an industry leader for plastics. Both companies also compete globally with Dart having more international presence. Riordan could benchmark against some Darts strategies to improve sustainability. Dart has become an environmental leader in its industry and is mindful of public perception to waste. The Dart Container Corporation (2012) website describes how the company maximizes efficiency and reduces energy while focusing on recycling efforts. Dart also involves the community by providing information on how to get involved. Riordans internet site does not provide any information on social responsibility. They should consider incorporating information on their website to this regard. Another strategy Riordan could benefit from Dart is vertical integration. Dart uses vertical integration to control as many manufacturing processes internally to avoid vendor cost and maintain product quality.
These competitive strategies were chosen because Dart has proven to effectively sustain global growth. Dart additionally, expanded to acquire competitors in their industry, such as Solo Cup. The acquisition, allows Dart to continue in their path to improve every effort in organization and operational systems. The constant steps taken for following green practices in the work area, helps reduce waste keep the flow of recycle active. Both companies have longevity in the industry and combined will surpass consumer