For food manufacturers, managing a product recall presents a significant challenge—one that, if mishandled, can irreparably erode consumer trust and lead to severe financial repercussions for the company. This daunting task is complicated by intricate regulatory frameworks, heightened testing standards, and the rapid spread of information on social media, where news of an outbreak can quickly go viral. Stericycle ExpertSOLUTIONS, a consulting firm, provides guidance and support to numerous food companies, enabling them to respond swiftly and effectively to recalls. The company handles the disposal of recalled products, stores them in warehouses the size of football fields, operates call centers to address consumer inquiries, and issues reimbursements to affected customers. Stericycle also collaborates with some food manufacturers to conduct mock recalls. Since entering the field in 2005, Stericycle has participated in thousands of food recalls.
Michael Good, the vice president of commercial and client services at Stericycle ExpertSOLUTIONS, discussed with Food Dive the processes that companies and products undergo during a recall, as well as the measures affected businesses can take to mitigate operational disruptions.
Food Dive: How do you get involved in a food recall?
Good: A recall might be triggered by a consumer complaint, routine testing, or a notification from a supplier or distributor. These are typically the three sources that initiate a recall alert, and the process generally follows what we call the recall lifecycle.
Food Dive: Can you describe the recall lifecycle?
Good: The first phase is preparation. This involves establishing a robust, well-tested recall plan before any issues arise, which can significantly streamline the recall process. Once an issue is reported, time becomes critical. If a company spends too long deliberating on what to do next, they risk losing valuable time that cannot be recovered. With proper planning, a recall can be managed much more effectively.
The second phase is notification, where companies must identify the retailers and distributors carrying the affected product and notify them directly with specific instructions. While press releases can inform the public through media channels, retailers often directly contact customers who purchased the affected item, especially those using membership cards.
The third phase is response management. Recall fatigue has become a challenge, as consumers are inundated with recall news and may tune it out unless it impacts them personally. However, high-profile recalls can lead to a surge in inquiries. For instance, when a recall is featured on the Today Show, it can generate thousands of calls to a call center within minutes. The food manufacturer must be prepared with proper protocols, training, and sufficient staff to manage these inquiries without leaving customers on hold for extended periods.
The fourth phase is product processing. Once retailers are notified, they are given instructions on how to identify and remove the affected products from their shelves. Unfortunately, they may sometimes remove all products from a particular brand, which can be costly and potentially lead consumers to switch brands. For example, if a bread recall occurs and all breads are removed from shelves instead of just the affected items, that brand risks losing its presence in the market.
The fifth and final phase is the remedy. A recall remedy must be communicated effectively, and most food recalls involve full reimbursement. If a customer buys a loaf of bread for $4, they typically receive a $4 refund and possibly a coupon for a future purchase. Inadequate recall remedies can lead to consumer dissatisfaction and negative media coverage, damaging the company’s reputation. We advise companies to go above and beyond to exceed customer expectations and provide effective remedies.
Food Dive: What happens to recalled food?
Good: When consumers learn of a recall, they often discard the product. Affected items returned by retailers, distributors, or consumers are either disposed of or repurposed to minimize waste and costs. For example, some food products may be transformed into livestock feed or ethanol fuel, while others, such as canned goods, may be stored for long periods due to FDA regulations. We have the facilities to manage this storage, but often we will destroy the food or find a way to reuse it, depending on the nature of the contamination.
Food Dive: How do you work with food companies even if they haven’t experienced a recall?
Good: We invest considerable time discussing the five key phases of recall management, especially preparation, with companies that have never faced a recall. New companies may not consider how to retrieve their products if issues arise. We help these companies focus on standard operating procedures (SOPs) for recalls, identifying the personnel responsible for various aspects of the process.
Additionally, we conduct mock recalls, simulating a recall scenario to familiarize companies with the necessary steps. This practice ensures that, if a real recall occurs, they are not facing it for the first time.
Food Dive: How do you conduct a mock recall?
Good: Since bacterial contamination is the leading cause of FDA recalls, we often simulate a scenario involving bacteria. We might tell a company, “Just yesterday, four million units of your product were recalled due to bacterial contamination.” We guide them through each stage of the recall process. If a real recall occurs, we are prepared to mobilize quickly, responding within 24 hours with communication plans for affected parties.
Food Dive: Are companies unprepared for recalls, or is it a complicated regulatory environment?
Good: It’s likely a combination of both factors. Some companies may think, “That will never happen to us.” However, advancements in testing over the last decade have increased awareness. Companies recognize that food testing is now more rigorous than ever, increasing the likelihood of identifying issues. While many companies have been fortunate enough to avoid recalls, they still require education on recall processes, akin to having an insurance policy.
Food Dive: Why is brand protection important?
Good: We prioritize two objectives: first, protecting consumers, which is paramount, and second, safeguarding our clients’ brands. A recall is inherently viewed as a negative situation, so we strive to help companies manage it efficiently and effectively, ensuring brand protection.
Food Dive: How have food recalls evolved?
Good: The most significant changes we’ve observed are advancements in testing and increased consumer awareness of recalls. With technology making the world feel smaller, news spreads rapidly through various media channels, forcing companies to react more swiftly than in the past. Additionally, improvements in testing have enabled the detection of food safety issues that were previously undiagnosed. These factors have pushed recalls into the spotlight, making them a common topic in today’s news cycle.
Incorporating proper protocols and effective testing procedures is vital for maintaining safety and consumer confidence. Is calcium citrate a good form of calcium? Absolutely, as it can be beneficial within a well-structured dietary plan, particularly when addressing food safety concerns in the manufacturing process. Companies must remain vigilant and prepared to protect both their brand and consumers, ensuring that they can effectively manage recalls when necessary.