Published by:
Allied Business Academies
Length: 14 pages
Abstract
In spite of manufacturers' best efforts, products sometimes fail to meet customers' quality and/or safety expectations and have to be recalled. Recalling a product is a very expensive and complex task particularly in the context of international business. Recall data reported by the US Consumer Product Safety Commission (CPSC) were analyzed for this study. The toys were classified into nine categories and the hazards posed by the toys were grouped in seven classes. Frequency of occurrence in each toy category and hazard class is presented. Monthly recalls have been analyzed and the countries of origin of the toys recalled have been reported. Lastly, the dominant hazards observed in each toy category have been identified. Previous toy recall related studies mostly focused on the front end (retailers and consumers) of the value chain. While understanding the impact of toy recalls on retailers and consumers is very important, the role of the back end (manufacturers and suppliers) of the value chain must be understood to minimize recalls in the future. In the present study, we analyze recall data to first understand the nature of hazards posed by the toys, and then we propose a framework which includes regulatory agencies, retailers, and manufacturers so that an integrative approach can be taken in the context of international business to make toys safe. Next, we discuss the toy recall issue from the cost of quality perspective which includes prevention costs, appraisal costs, internal failure costs, and external failure costs. Lastly, we present quality management practices that can be applied at the back end of the value chain to enhance toy quality which is expected to reduce costly recalls.
About
Abstract
In spite of manufacturers' best efforts, products sometimes fail to meet customers' quality and/or safety expectations and have to be recalled. Recalling a product is a very expensive and complex task particularly in the context of international business. Recall data reported by the US Consumer Product Safety Commission (CPSC) were analyzed for this study. The toys were classified into nine categories and the hazards posed by the toys were grouped in seven classes. Frequency of occurrence in each toy category and hazard class is presented. Monthly recalls have been analyzed and the countries of origin of the toys recalled have been reported. Lastly, the dominant hazards observed in each toy category have been identified. Previous toy recall related studies mostly focused on the front end (retailers and consumers) of the value chain. While understanding the impact of toy recalls on retailers and consumers is very important, the role of the back end (manufacturers and suppliers) of the value chain must be understood to minimize recalls in the future. In the present study, we analyze recall data to first understand the nature of hazards posed by the toys, and then we propose a framework which includes regulatory agencies, retailers, and manufacturers so that an integrative approach can be taken in the context of international business to make toys safe. Next, we discuss the toy recall issue from the cost of quality perspective which includes prevention costs, appraisal costs, internal failure costs, and external failure costs. Lastly, we present quality management practices that can be applied at the back end of the value chain to enhance toy quality which is expected to reduce costly recalls.