Application: Managing Product Recalls—the Case of Mattel, Inc.

Abstract

In addition to supply chain risks that occur before sales, companies need to think about the risks that may occur after sales. Specifically, product recalls due to safety considerations for consumers can put companies at risk. This chapter deals with product safety and recall and examines how companies manage their product recall process and implement ways to mitigate product risks in the future. We use the case of Mattel, Inc. and its toy recalls in 2007 to illustrate handling of the product recall process.