A Strategic Approach to Managing Product Recalls

Group 2Josyula KrishnaGaurav Kalelkar

Karni GautamSumedh ShendeRishiraj Sisodiya

Sriram TE

Product Recalls

• Increasing– 1988, 221 recalls & 8 million products– 1993, 367 recalls & 28 million products

• Companies are not prepared because –– Don’t recognize the impact of recall– Issue of time– No plan / temporary plans for recall management

Framework to manage Product Recalls

Framework – Contd.

LearningSuccessful Product Recall Management Companies

Non – Successful Product Recall Management Companies

Saturn and Intuit Intel

Quick public confession of mistakes by managers

Reacted tactically

Made immediate amends & appropriate corrections

Focussed on technical aspects and did not take immediate steps

Focussed on long term marketing implications

Did not cater to the customer’s claims

Insights• Channel distribution plays a major role in

Product Recall – Exclusive – most easy to recall– Intensive – somewhat easier– Extensive – difficult

• Social media can play vital role in product recall – especially in customer communication

• Product identification with proper bar codes helps in product tractability which in turn facilitates the recall

Thank You