0 Trade-Offs Among Objectives 9-50 T companies uter Data Services (CDS) performs routine and custom information systems services for om in a large midwestern metropolitan area. CDS has built a repu tomer service and job security for its employees. Quality service and customer satisfaction have been CDS's primary subgoals-retaining a skilled and motivated workforce has been an important factor in achieving those goals. In the past, temporary downturns in business did not mean layoffs of employ- ees, though some employees were required to perform other than their usual tasks. In anticipation of tation for high-quality cus- wth in business, CDS leased new equipment that, beginning in August, added $10,000 per month gro in operating costs. Three months ago, however, a new competitor began offering the same services to CDS customers at prices averaging 19% lower than those of CDS. Rico Estrada,the company founder and president, believes that a significant price reduction is necessary to maintain the company's mar- ket share and avoid financial ruin, but he is puzzled about how to achieve it without quality, service, and the goodwill of his workforce. CDS has a productivity objective of 20 accounts per employee. Estrada does not think that he can increase this productivity and still maintain both quality and flexibility to customer needs. CDS also monitors average cost per account and the number of customer satisfaction adjustments (resolutions of complaints). The average billing markup rate is 25% of cost. Consider the following data from the past 6 months: August September October November July June 797 40 680 41 784 43 723 43 869 803 41 Number of accounts Number of employees Average cost per account 153 $ 153 158 173 Average salary per employee$3,000 $3,00 $3,000$3.000 $3,000 $3,000 10 I. Discuss the trade-offs facing Rico Estrada. 2. Can you suggest solutions to his trade-off dilemma