What are the challenges facing QRR’s senior management team? In which functional areas does QRR seem to have the biggest problems? What is the highest priority issues facing Caitlin Murphy and Peter Myers? Do their concerns differ? Are their concerns related?

Answer:

The challenges facing QRR is that of customers satisfaction and the organization did not understand that cost reduction is a false economy if it reduces customer’s satisfaction.

Though the ethical and operational challenges facing the organization are (1) failure of personal character; (2) conflict of personal value and organizational goals; and (3) organizational goals versus social values. However, within the organization, the management do not know how results are obtained, as long as they achieve the desired outcome.  Also, the competitive pressures from outside the organization push ethical consideration into the background.

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