While not desired, a product recall should be seen by an organization and its employees as a potentially positive opportunity to eliminate or reduce personal injury, property damage, and harm to the reputation of the company and its products.
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In addition, working with legal counsel can help your organization understand its full legal risk and take appropriate course of action. When affected by a recall, it can be beneficial to work with corporate communications or public relations to ensure the proper messaging reaches the correct audiences. Post a notice on your organization’s website and prepare a notice for retailers to post on their sites, as appropriate. In conjunction with government regulators, send follow-up recall notices to customers, distributors, and users-making sure to keep copies of those notices.
Track all recall-related costs to facilitate future insurance claims and claims against responsible suppliers and component manufacturers. If suppliers or component manufacturers are responsible for the recall, it is important to reach out to them as soon as possible to understand the reason for the recall, scope of the recall, and how they plan to address it. To reduce and contain risk, the product recall teams should document all recall actions, including customer, distributor, user, and public communications Possible risk exposure stemming from a product recall includes: Prevention planning for a product recall.A product recall is defined as a request to return, exchange, or replace a product after a manufacturer or consumer watch group discovers defects that could hinder performance, harm consumers, or produce legal issues for the producers.ĭue to a greater awareness of consumer safety concerns, many companies focus on taking preventive measures, using an internal product recall team, and implementing quality control procedures designed to reduce the risk of-and perhaps even prevent-major product recall expenditures. Recall is the act of officially summoning someone or something back to its place of origin.
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