Charge Up Recall

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Ashley Deisting, Alex Maschoff, Brian Grant

 

1. The central decision making issue was whether or not ChargeUp was responsible for making people sick or not. The top management of ChargeUp was responsible for determining the causal relationship between sickness and ChargeUp. Nutrorim's top management elected to pull ChargeUp off of the sales floors after concern about the potential link between the product and the illness was raised. Eventually, the product was exonerated as safe and the top management elected to continue with the launch of expanded sales of ChargeUp.

 

2.  The decision to recall ChargeUp was made under extreme stress and time-sensitive pressure. The top management behind ChargeUp was forced to make significant and calculated decisions extremely rapidly and under dynamic and unanticipated change.

 

3. In determine the risks and rewards involved with a recall o f ChargeUp it's most helpful to have scientific and statistical data to represent the potential danger of NOT recalling ChargeUp. The Rationale/Management Science model is the most appropriate choice because under this model the management of Nutrorim would be able to calculate the cost of a recall versus the potentiality of a law suit or continued exposure to adverse reaction to ChargeUp. Based on this data the top management at Nutrorim would be able to determine if the opportunity cost of a recall would be beneficial to the organization or if there is still enough profit to be made by avoiding a recall and defending ChargeUp's history as a safe product.