However, the growth and expansion of the company to attract larger customers did not come without several challenges. First, the signing of A&P as a customer introduced increased operational costs, quality control problems customer management related issues and shrinking profit margins (McKenney, 1998). Secondly, the company was faced with the challenge of remaining competitive in the grocery wholesale market, while still serving the large customers, since it also needed to satisfy the small customers. Such challenges resulted in the hiring of new employees as well as coordination challenges for the company, which it is dealing with now.
The current situation of C&S company is complex, since the holiday is almost approaching and there are bound to be many and large orders from the customers which are to be fulfilled, raising the question as to whether the company’s operations were sufficient to meet the rising demand that was certain to occur during the holiday season (McKenney, 1998). Nevertheless, from the time the concept of self-managed teams was introduced, the company has tried to address the biggest concerns of costs and quality, since the experimentation of the performance of employees as a team has proved to be capable of lowering costs, while also increasing accuracy in shipments and the quality of the shipments. The current situation of the company also has the volume of work at an all-time high (McKenney, 1998). The signing of a large customer, A&P, and the continued rising demands from the previous small customers, has increased the volume of work for the company greatly.