Decades ago Tylenol ran into a huge problem, someone had tampered their medicine and added cyanide to their capsules. This situation significantly harmed their consumers causing several deaths. Due to this unfortunate event, Tylenol had to publicize what was occurring and demand a recall of their products, causing a cost of $100 million to the company. James Burke, CEO, quickly took initiative and worked with media to help cushion the blow.
The obvious issue in this case is that Tylenol is a huge company that has worked hard and long to build its credibility and a loyal consumer base. A blow like this is enough to lose a significant amount of consumer loyalty, considering the results of this incident. I respect the fact that company quickly publicised the incident themselves, before the press was able to blow it out of proportion. In doing so Tylenol maintained their hard earned respect, if not increased it and, in turn, was able to create a new “technology” which ensures that it is tamper-safe. I found this situation interesting because not many companies will have the “guts” to stand before their public and openly admit that there is a default in their product, right away, especially when they have so much to lose. The way this situation was handled was completely professional and sly. Seeing that Tylenol was able to preserve their credibility and most of their loyal consumers as well as able to take some attention off the company and put forth a new situation, a $100,000 reward to find the culprit.
I’ve learned that, though admitting to your problem is difficult and may seem ethical in the moment, due to the fear of the resulted consequences. The truth is that admitting to your problems is the most ethical thing to do, no matter what consequences may lay ahead. I will keep in mind that though the consequences in admitting to the problem may seem harsh, in admitting to a specified problem will aid in cushioning the blow.
Wednesday, October 20, 2010
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