When Crisis Hits

Is a recall really necessary? Carry out a risk assessment
A product recall is a corrective action, but a corrective action is not always a recall. A recall is typically regarded as a last resort remedy. In situations where the safety risk is not serious, other corrective actions may be considered that go less far than recalling a product from the end-user. Making a risk assessment is the basis for every (potential) corrective action. Provided it is done correctly and objectively, it will show whether the safety risk is either low, moderate or serious. A product recall is regarded as a last resort remedy and in principle ‘only’ necessary in case the product risk is serious. For situations of low or moderate risk, other corrective actions may be sufficient. An example is ‘market withdrawal’, which means that products need to be withdrawn from the market, but not recalled from end-users. If you are in doubt whether or not you need to recall a product from the market, RecallDesk can help you assessing the risk and advise you on the appropriate corrective actions, if any. If a specific case requires it, RecallDesk works with a number of reputable test institutes that can support with making a risk assessment.

Recall management (leading the recall team)
A recall can be a huge and complex project involving many different disciplines, including product design, QC, production, supply chain, warehousing, marketing & communication, sales, legal and finance. Having a recall expert leading the recall team will add value to the recall and the performance of the recall team. It will also lower the stress and burden on key employees. It is worthwhile noting that a well-conducted recall may not harm your brand, but instead even increase your customers’ trust.

Liaising with/representing towards safety authorities
Authorities want to be informed about a (potential) unsafe product. Decisions whether or not to recall a product, including ‘voluntary’ recalls, are typically (if not mandatorily) made in liaison with the responsible safety authorities.

Submission of notifications
Timely reporting of dangerous products to the authorities of the relevant countries worldwide is crucial. Some countries keep rather short and strict deadlines. Key challenge here is to work towards the same go-live date in all applicable countries. After notification the authorities may want to get regular updates on the progress of the recall and may require additional actions to be taken.

Drafting communication
Many stakeholders need to be informed and updated about a (potential) recall, including for example distributors, retailers and consumers. Having communication templates ready, tailored to your organizational style, culture and needs, will help speeding-up the recall process. Ideally these templates are prepared in a Recall Plan. If not, it is recommended to have templates ready as early in the process as possible and finalize them once all details are available.

Claiming damages
Components or ingredients worth €10 may cause a recall worth several millions. For a number of clients, RecallDesk succesfully recovered substantial amounts of recall damages. If applicable and (legally) possible, certain recall damages may be recovered from e.g. suppliers or their insurance companies.

Insurance matters
As regards insurance matters, RecallDesk has value adding knowledge on insurance law that may be unknown territory to many companies. A substantial portion of your recall costs may be subject to recovery. RecallDesk has a 100% successful track record in this area.