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CASE STUDY – NEW YEAR’S

EVE CRISIS
By
Sugandh B19054
Snehal Manish Tiwari B19055
Abhishek Rathour B19062
Jubin Sharma B19081
Kapil Sachar B19082
Rohan Jude Coelho B19099
Rucha Shailesh Kalekar B19101
Shaurya Sharma B19107
Vineet Singh Rawat B19117
Vishakha Gautam B19118
Situation Analysis

Mike Valenti Friedrich Waltz

Contaminated Food Factory with wrong practices


Falsified results

Lawsuits Loss of Business


Potentially Sick Customers
Problem Statement

To take immediate action to contain salmonella-contaminated sea-food pasta from


reaching the patrons of restaurant chain (clients of Southern Pasta) and limit the legal
and financial liability.
Alternatives

1 Refrain from taking any action

2 Complete recall of the contaminated batches

Alert the restaurants of the contaminated batches and


3 remind them to comply with FDA norms; if required, recall
the batch
Evaluation Criteria

REPUTATION

ETHICAL LIABILITY

LEGAL LIABILITY

RECALL COST

FEASIBILITY

CULTURAL PRECEDENCE

IMPACT ON INDUSTRY
Evaluation of Options
1 : Low, 2: Medium, 3: High risk

Weightage -> 20% 15% 15% 20% 10% 5% 15%

Recall Legal Ethical Cultural Impact on Overall


Situation Reputation Feasibility
Cost Liability Liability Precedence Industry Impact

Don’t take
3 1 3 3 3 3 1 2.4
action

Recall the entire


2 3 1 1 1 2 3 1.9
batch

Inform the
customers and 2 2 1 1 1 2 2 1.6
recall if required
Recommendation

Michael’s Homemade Pasta should inform the customer about the contaminated
batch of pasta and corresponding treating process needs to be recommunicated.
Recall logistics should also be readied as and when required
Communicate the issue to the Utilize the Tracking system to
customers and remind them to heat identify customers to whom
the pasta to 160 degree Fahrenheit contaminated product has
been delivered
Action Plan

Task Force comprising of High


Level Managerial Staf

Created a team for handling


Created a team to prepare the logistics for recall and
for any Legal and Financial destruction of the
Liability product.
Contingency Plan

Some customers remain unreachable. In such a situation, a local contact should be


1 identified who could deliver the message to the customer in person, describe the urgency
of situation and inform about the logistics for recall of the product if required.

In case the pasta has already been cooked but not served, the customer should be
2 informed about the logistics of recall and destruction of the product and reimbursed
accordingly.

In case, the contaminated pasta has already been served, we recommend contacting the
FDA and local health department. It is understood that salmonella poisoning is a contagious
3 disease and symptoms may take 12 – 72 hours to appear, hence a specific effort should be
made for monitoring such cases on the ground including setting up a health camp if
required.
Thank You

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