Case Study: To recall or not to recall? That is the question

You are part of the executive team of Nature Only, LLC, a small business that manufactures wholesome organic snacks, such as granola bars, trail mix, and popcorn. One of your suppliers sent an email to your CEO stating that the last stock of oats sent to Nature Only may have been contaminated with Listeria, which can either be completely harmless or cause serious and sometimes fatal infections in young children, the elderly, and those with weakened immune systems. Your CEO is now faced with the dilemma of recalling all of the granola bars that could be impacted by the tainted oats. A recall would cost potentially $200,000 and could cause negative public relations but could also save lives and mitigate liability for Nature Only.

Instructions: Your CEO has come to you for advice. Your task is to present a well-argued case as to why the company should or should not recall the granola bars. Use the materials provided in the downloaded case study and the textbook to support your case. Be sure to include your legal conclusion (whether the company should or should not recall the granola bars and why).

Responses should be a minimum of 300 words.

Note: This case is based off of real-life situations that occur in businesses. Here is one example:

Peanut Exec Gets 28 Years In Prison For Deadly Salmonella Outbreak

A former corporate CEO has been sentenced to 28 years in prison for selling food that made people sick. Two other executives face jail time as well. These jail terms are by far the harshest sentences the U.S. authorities have handed down in connection with an outbreak of foodborne illness.

The outbreak, in this case, happened seven years ago. More than 700 cases of salmonella poisoning were linked to contaminated peanut products. Nine people died.

Investigators traced the contaminated food to a factory in Georgia operated by the Peanut Corporation of America.

The outbreak, by itself, was not unprecedented. There have been bigger, and deadlier, outbreaks of foodborne illness.

But the emails that investigators found at the Peanut Corporation of America set this case apart. Some of the emails came from the company's CEO, Stewart Parnell.

"Stewart Parnell absolutely knew that they were shipping salmonella-tainted peanut butter. They knew it, and they covered it up," says Bill Marler, a food safety lawyer who represented some of the victims.

Before and during the outbreak, company executives assured customers that their products were free of salmonella when no tests had been carried out.

When tests did turn up salmonella, company executives sometimes just retested that batch, and when it came up clean, they sold it.

In one memorable email exchange, when Parnell was told that a shipment was delayed because results of salmonella tests weren't yet available, he wrote back, "Just ship it."

Last year, Parnell and two other people involved in PCA's peanut business were convicted of criminal charges that included fraud, obstruction of justice and selling adulterated food.

These were almost unprecedented charges in the food industry, and Marler says that executives in other companies are paying close attention. "The arrest of Stewart Parnell, his conviction on these felony counts and his sentence have put a very big chill in the boardrooms of corporate America," he says.

The Peanut Corporation of America is no longer in business.

At the sentencing hearing for Parnell and his colleagues, relatives of some of the victims confronted Parnell with stories of their suffering. Parnell, for his part, asked for forgiveness and mercy, and said that he never intended to harm anyone. His daughter said that he sometimes brought his company's peanut butter home for his family to eat.

Parnell's 28-year sentence wasn't the only penalty. His brother Michael Parnell was sentenced to 20 years in prison, and another former executive was sentenced to five years.

All of these sentences are the harshest ever imposed in connection with an outbreak of foodborne illness.

In some other recent cases, companies sold contaminated eggs and cantaloupes that also were linked to multiple deaths. Executives in those companies were sentenced to probation and a few months in prison.

Stewart Parnell's lawyers have indicated they will file an appeal.

Case Study: To recall or not to recall? That is the question

You are part of the executive team of Nature Only, LLC, a small business that manufactures wholesome organic snacks, such as granola bars, trail mix, and popcorn. One of your suppliers sent an email to your CEO stating that the last stock of oats sent to Nature Only may have been contaminated with Listeria, which can either be completely harmless or cause serious and sometimes fatal infections in young children, the elderly, and those with weakened immune systems. Your CEO is now faced with the dilemma of recalling all of the granola bars that could be impacted by the tainted oats. A recall would cost potentially $200,000 and could cause negative public relations but could also save lives and mitigate liability for Nature Only.

Instructions: Your CEO has come to you for advice. Your task is to present a well-argued case as to why the company should or should not recall the granola bars. Use the materials provided and the textbook to support your case. Be sure to include your legal conclusion (whether the company should or should not recall the granola bars and why). Responses should be a minimum of 300 words.

Federal Statute 21 U.S. Code §331. Prohibited acts

The following acts and the causing thereof are prohibited:

(a) The introduction or delivery for introduction into interstate commerce of any food, drug, device, tobacco product, or cosmetic that is adulterated* or misbranded.

(b) The adulteration or misbranding of any food, drug, device or cosmetic in interstate commerce.

*Adulteration usually refers to mixing other matter of an inferior and sometimes harmful quality with food or drink intended to be sold. As a result of adulteration, food or drink becomes impure and unfit for human consumption.

Federal Statute 21 U.S. Code §333. Penalties

(a) Violation of section 331 of this title; second violation; intent to defraud or mislead

(1) Any person who violates a provision of section 331 of this title shall be imprisoned for not more than one year or fined not more than $1,000, or both.

(2) Notwithstanding the provisions of paragraph (1) of this section,1 if any person commits such a violation after a conviction of him under this section has become final, or commits such a violation with the intent to defraud or mislead, such person shall be imprisoned for not more than three years or fined not more than $10,000, or both.

Arizona Revised Statute 13-2202. Deceptive business practices; classification

A. A person commits deceptive business practices if in the course of engaging in a business, occupation or profession such person recklessly:

1. Uses or possesses for use a false weight or measure or any other device for falsely determining or recording any quality or quantity; or

2. Sells, offers or exposes for sale or delivers less than the represented quantity of any commodity or service; or

3. Takes or attempts to take more than the represented quantity of any goods or service when as buyer such person furnishes the weight or measure; or

4. Sells, offers or exposes for sale adulterated goods or services; or

5. Sells, offers or exposes for sale mislabeled goods or services.

B. Deceptive business practices is a class 1 misdemeanor.

Arizona Revised Statute 13-707. Misdemeanors; sentencing

A. A sentence of imprisonment for a misdemeanor shall be for a definite term to be served other than a place within custody of the state department of corrections. The court shall fix the term of imprisonment within the following maximum limitations:

1. For a class 1 misdemeanor, six months.

2. For a class 2 misdemeanor, four months.

3. For a class 3 misdemeanor, thirty days.

A Bit(e) of history of outbreak criminal prosecutions

By Bill Marler, May 3, 2016

I thought it might be helpful to see a few cases where a food borne outbreak brought the attention of the U.S. Attorney’s office.

Odwalla: In 1998, in what was the first criminal conviction in a large-scale food-poisoning outbreak, Odwalla Inc., pleaded guilty to violating Federal food safety laws and agreed to pay a $1.5 million fine for selling tainted apple juice that killed a 16-month-old girl and sickened 70 other people in several states in 1996.

Odwalla, based in Half Moon Bay, CA, pleaded guilty to 16 counts of unknowingly delivering “adulterated food products for introduction into interstate commerce” in relation to the October 1996 outbreak. A batch of its juice infected with the toxic E. coli bacteria sickened people in Colorado, California, Washington and Canada. Fourteen children developed a life-threatening disease that ravages kidneys.

At the time, the $1.5 million penalty was the largest criminal penalty in a food poisoning case. Odwalla also was on court-supervised probation for five years. As part of the probation, the company had to submit a detailed plan to the food and drug agency demonstrating its food safety precautions and any subsequent violations could have resulted in more serious charges.

Jensen Farms: In 2012 Eric Jensen, age 37, and Ryan Jensen, age 33, brothers who owned and operated Jensen Farms, a fourth-generation cantaloupe operation in Colorado, presented themselves to U.S. marshals in Denver and were taken into custody on federal charges brought by the U.S. Attorney’s Office with the Food and Drug Administration – Office of Criminal Investigation.

According to the six-count indictment, Eric and Ryan Jensen unknowingly introduced adulterated (Listeria-tainted) cantaloupe into interstate commerce. The indictment further stated that the cantaloupe was prepared, packed and held under conditions that rendered it injurious to health. The outbreak sickened more than 147 in the fall of 2011, killing more than 33 people in 28 states. The Jensen’s faced up to six years in jail and $1.5 million each in fines. The eventually pleaded guilty and were sentenced to five years of probation.

Jack DeCoster: In 2013, Austin “Jack” DeCoster and his son, Peter DeCoster, both faced charges stemming from a Salmonella outbreak caused by their Iowa egg farms in 2010. The Salmonella outbreak ran from May 1 to Nov. 30, 2010, and prompted the recall of more than a half-billion eggs. And, while there were 1,939 confirmed infections, statistical models used to account for Salmonella illnesses in the U.S. suggested that the eggs may have sickened more than 62,000 people.

The family business, known as Quality Egg LLC, pleaded guilty in 2015 to a federal felony count of bribing a USDA egg inspector and to two misdemeanors of unknowingly introducing adulterated food into interstate commerce. As part of the plea agreement, Quality Egg paid a $6.8 million fine and the DeCosters $100,000 each, for a total of $7 million. Both DeCosters were sentenced to three months in jail. They are appealing the jail sentence.

ConAgra: In 2015 ConAgra Foods agreed to plead guilty and pay $11.2 million in connection with the shipment of Salmonella contaminated peanut butter linked to a 2006 through 2007 nationwide outbreak of that sickened more than 700. ConAgra signed a plea agreement admitting that it unknowingly introduced Peter Pan and private label peanut butter contaminated with Salmonella into interstate commerce during the outbreak.

PCA: In 2015 former Peanut Corporation of America owner Stewart Parnell, his brother and one-time peanut broker Michael Parnell, and Mary Wilkerson, former quality control manager at the company’s Blakely, GA, plant, faced a federal jury in Albany, GA.

The 12-member jury found Stewart Parnell guilty on 67 federal felony counts. Michael Parnell was found guilty on 30 counts. Wilkerson was found guilty of one of the two counts of obstruction of justice fined against her. Two other PCA employees earlier pleaded guilty to charges related to the outbreak. The felony charges of introducing adulterated food into interstate commerce, “with the intent to defraud or mislead,” stemmed from a 2008 to 2009 Salmonella outbreak that sickened 714 and left nine dead. All defendants were sentenced in July of 2015. Stewart and Michael are facing decades in jail.

Molly Moon’s ice cream shops reopen after dairy recall

By Stephanie Klein, January 2, 2015

After a dairy recall, Molly Moon’s Homemade Ice Cream opened Friday.

Molly Moon’s closed shop Dec. 23, after its dairy partner, Snoqualmie Ice Cream, issued a voluntary recall of all their ice cream, gelato, custard and sorbet products. Molly Moon’s had its milk and cream pasteurized at Snoqualmie Ice Cream.

The recall included all flavors and container sizes produced on or after January 1, 2014 until December 21, 2014 because they said the products have the potential to be contaminated with Listeria monocytogenes.

Owner Molly Moon Neitzel told KIRO Radio, for now, the dairy in Lynden, Wash. is pasteurizing the milk and cream.

She doesn’t have the final tally, but estimates the loss to be somewhere around $57,000. “I’m hoping our community will come back and support us, as usual, and by the end of the year, we will have forgotten about it.” Neitzel said they paid all their employees for the shifts they would have worked and potential tips.

Molly Moon’s, with six locations in Seattle, is touting its seasonal flavors: eggnog ice cream, chocolate orange ice cream, clementine sorbet, and vegan salted caramel ice cream.

Frieda wants to borrow $10,000 from Petra, and so Petra writes an integrated contract that says Frieda will repay the debt "within 90 days."

Before Frieda signs the contract, she says to Petra, "you mean business days, right? I don't think weekends and holidays should be included." Petra responds, "Sure, that seems fair."

Then they sign the contract. Ninety calendar days later, including weekends and holidays, Frieda has not paid off her debt so Petra sues her for breach of contract.

In court, Frieda tries to defend herself by testifying that she and Petra had agreed that she had ninety business days to pay, not ninety calendar days, so she still has time to pay.

Petra asks the judge to declare the testimony inadmissible. Should Frieda be able to introduce evidence of the oral agreement? Why or why not?

If a BOM is inaccurate for a manufactured assembly (right components but wrong quantities per assembly) what is most likely to result from this situation?

What tools are used to convert product family item quantities to SKU mix within a product family out beyond actual customer orders.

International Human Resource Management (IHRM) class

Chapter 15 examines the role of the IHRM department, including the increasing professionalization of IHRM (including issues such as the codification of the “body of knowledge” of IHR, the development of IHR competencies and certification, the increase in training and experience in IHR, and the inclusion of IHR in career development plans of HR managers)

How can HR managers develop the high level of competency in IHRM needed to meet the challenges they will face?

Keep all answers short please. Thank you,

1. When interviewing for jobs, you're interviewing the organizations as much as they are interviewing you. Is it a good fit? Do they have what you need in terms of the various types of compensations that would make the job worthwhile? Does it offer a work/life balance? Is there an opportunity to promote? Can you see yourself leading and fitting into the company culture?

2. Experts will tell you that it is important to "prepare" for an interview. What type of preparation should you do?

Find an article that offers practical advice about preparing for interviews. Summarize the information and add your thoughts to what the experts say. Be sure to also include your interviewing preparation experiences.

3. What types of retail sales are included in your channel strategy for your Course Project? How will culture in the host market influence international personal selling?

NOTE: It will be necessary to compose these documents in Microsoft Word in order to recreate proper email formatting. Please include “From:”, “Sent:”, “To:”, “CC:”, and “Subject:” lines for each email.

You are the owner of Oceanarium, a seafood restaurant in Birmingham, Alabama. This morning you discovered that your restaurant’s daily 6:00 AM shipment of fresh seafood from Atlantis Seafood was spoiled due to a faulty refrigeration unit in the delivery truck. Following your discovery, you made an immediate phone call to Atlantis Seafood to alert them of the situation. You spoke with a lower-level employee because no one else was available, and you were told management would be informed of your issue. You should now send a follow-up email to Arthur Curry, the shipping manager at Atlantis Seafood, detailing the problem and how you would like for it to be resolved. First, clearly state your case with specific details. Second, ask for a reasonable solution to the problem. Finally, schedule a new shipment of untainted seafood from Atlantis Seafood immediately. Be sure to indicate that you have attached an invoice with the items you will need replaced. As this is a first-time occurrence, do your best not to sever ties with your most important food supplier. You have a longstanding, friendly business relationship with Arthur, so you should address him with the appropriate tone. Be sure to provide a specific subject line and signature block.

Don’t forget to proofread your work for grammar, usage, and spelling.

The contact information for your business is as follows:

Oceanarium 2020 11th Avenue South Birmingham, AL 35205

Phone: (205) 255-5555 Fax: (205) 255-5556

What is the pestel and five forces model of Amazon’s rise is forcing laundry detergents to shrink . case study. explain briefly.

1. Bryan-Clayton and Associates is striving to be an employer of choice in the National Capital Region and they would like to purchase an appropriate Employee Assistance Program for their organization. What types of services could they expect from such a carrier? Describe 5 types of counselling services typically provided by EAPs.

1. Brittany is the new building Occupational Health and Safety Officer, can you explain to her which factors contribute to unsafe acts, and identify how these factors can be controlled to reduce unsafe working conditions.

1. Discuss five (5) considerations for an international company considering whether to relocate expatriates.

After being given a brief about a leader's role in a team based organization, Nirvan is advised by his senior manager to implement the leader–member exchange model in his team to improve productivity. In this context, what information does Nirvan need to implement the leader–member exchange model in his team?

Please study the article below and answer to the following questions: 1. As an operation manager for a service company (Amazon, FedEx, UPS, pizza shop, pharmaceutical services, resident manager, coffee shops and bank tellers) what safety plan do you need to implement to minimize the risk for the delivery workers during the pandemic corona virus and also for “Safety stock versus MRP” 2. Do you think the employees in these businesses should continue to work during the “shelter in place” and restrictions now in March-April 2020 due to corona virus impact?

Workers push for more safety measures

Grocery delivery startup Instacart's delivery workers were set to begin a work stoppage Monday to press safety demands, as a walkout was planned by employees at an Amazon warehouse said to be the site of coronavirus infections. - Agence France-Presse

Under normal circumstances, delivering pizza, filling prescriptions or making bubble tea might not seem heroic. But when workers across the country are being told to stay at home, service workers and pharmacists are putting themselves at risk just by doing their jobs. - The New York Times

"This sounds dramatic, but I think people are really scared for their lives," said Sarah Clarke, an organizer with the group behind the Instacart strike.

They Are Still Working During the Coronavirus Outbreak

On March 20, in an effort to control the growing number of coronavirus cases in New York — New York City in particular — Gov. Andrew M. Cuomo issued an executive order requiring all nonessential businesses to keep their workers at home. Restaurants, grocery stores, pharmacies, convenience stores and hardware stores are all deemed essential, and all are allowed to remain open.

Damon Winter walked one block in Manhattan — on 72nd Street between Broadway and Columbus Avenue — to conduct an informal photographic census of the businesses still open and the people who were working in the hours before Governor Cuomo’s order went into effect.

Under normal circumstances, delivering pizza, filling prescriptions or making bubble tea might not seem heroic. But when workers across the country are being told to stay at home, service workers and pharmacists are putting themselves at risk just by doing their jobs. Simple actions like commuting to work or opening a door could expose them to the coronavirus.

In the past few weeks, New York City, a massive city by any measure, has shrunk. The block is one’s village. These are the people who make it tick.

Emdadul Chowdhury has worked at Gray’s Papaya, a city institution selling hot dogs and tropical drinks, since 2008, preparing food or tending the register. Only four people are working there now (compared with seven before the executive order), and it has gone from being a 24-hour operation to being open just six hours a day.

“Compared to last week, less and less people are coming into the store,” Mr. Chowdhury said. His main fear is of contracting the coronavirus on his commute from the Bronx, on a mostly empty D train. He wears gloves and a mask and washes his hands.

Chow Mok owns Zen Medica, a nutritional supplement store. “Every time people come in, we’re trying to tell them to stay calm, to relax. Stress is going to compromise the immune system,” she said.

“Protecting ourselves is helping to manage and support our own body’s defense, which is the immune system,” Ms. Mok added. “I get nervous too but having more freak-out attacks is not going to help anybody.”

She has a shipment of organic hand sanitizers, medicinal mushrooms and immune-support nutrients coming in. With fewer people walking through the door, most of her business has transitioned to shipments.

Donna Schofield owns Stationery and Toy, which sells office and school supplies, party supplies, board games and, lately, a lot of toilet paper, hand sanitizer and Clorox wipes.

“It’s kind of hard to stay afloat,” Ms. Schofield said. “I might be able to manage it. I’m just going day by day right now.”

“We leave the front door open so that nobody has to touch the handle,” she added. “We’re just going with the flow. I survived Sandy. I can probably survive this, too.”

Andrew Greaves has delivered packages for FedEx for five years. His route extends on 72nd Street from Riverside Drive to Central Park West. “It’s like Christmas all over again,” he said. “The more people are staying home, the more they order.”

Although the volume of packages has gone up during the pandemic, some aspects of his job are easier. “The more deserted the streets are, the easier it is to deliver a package in Manhattan,” Mr. Greaves said. Another good thing is that almost everyone is at home to accept a package.

“The only thing that is weird and different is the part where someone would have to sign for a package,” he said. People are hesitant to touch the scanner. Instead, FedEx is allowing him to write “C-19” in place of a customer’s signature.

“I’m thankful to still be working, that’s for sure,” Mr. Greaves said.

Sherif Eltahawy is a pharmacist and the owner of two pharmacies on 72nd Street: Joseph Pharmacy and Wellness Pharmacy. In addition to shortening his stores’ hours, he has asked all his workers to use masks and gloves and allows no more than five customers into each store at once.

“A lot of people are more panicked than is necessary,” he said. “It is understandable, but a lot of people are afraid that there’s going to be a shortage of their medications.”

Acetaminophen, hand sanitizer and cough medications are in short supply. “We’re trying to order from different vendors, different suppliers, to do the best we can to stock,” he said, “but it’s very limited.”

Althea Gordon has worked for nine years as a teller at Citibank. “I’m holding on to what’s going on,” she said. “It’s hard. It’s stressful. I’m taking precautions.” At work, she says, she is using a lot of hand sanitizer. “We wash our hands often and we use Lysol inside and outside.”

Citibank has shortened her branch’s hours, but it is still open six days a week. “People are nice when they come in,” Ms. Gordon said. “They tell us that they appreciate us.”

“I love to help people and I love to work with people,” she added. “That’s why I get up every day.”

Not surprisingly, Babacar Fall, the manager of Gartner’s Hardware, has seen an uptick in sales of face masks, gloves, cleaning supplies, hand sanitizers and thermometer batteries.

“The business never goes down, honestly. I have very good customers,” he said. “We’re doing better, compared to neighbors and everybody.” He came to New York from Senegal in 1984.

As the resident manager of an apartment building on the block, Blerim Havolli maintains and cleans the building. He has been doing this job for eight years. With the coronavirus, “I have to clean more than any other time,” he said.

He worries about people who enter the building to deliver food or packages. “You don’t know if one of them is infected or not,” he said.

“I’m trying to be very careful because I’m the guy who has responsibility of the building at this time,” Mr. Havolli said. “If I get sick, the building isn’t going to fall down, but nobody can clean up.”

Mr. Havolli has lived in New York City since 1999. Now a U.S. citizen, he immigrated from Kosovo as a refugee.

Juan Gutierrez has worked for three years as a chef at Friedmans. Normally he works 40 hours a week, but that has been reduced to 15 or 20.

“The business has gone down, I imagine, by 85 percent,” he said. “It’s difficult because the store used to have a lot of employees, and many of them are without work and they have families and kids.”

Before the executive order, there would be four or five others with him in the kitchen, but for now, he cooks alone, mostly for delivery. One of his colleagues started a GoFundMe page for his co-workers who are without work.

Rachel Pellerin moved from Florida a month and a half ago to start a church for deaf people with her husband. She works at Coco Fresh Tea & Juice to help finance that dream.

“We stayed open and so far we have been getting a lot of delivery orders,” she said. “I’m grateful to still be able to get paid, but at the same time it can be a little nerve-racking because I know the danger of being outside.”

She and her co-workers disinfect the shop at least once an hour.

Tahmid Khan worked at Dunkin’ Donuts for two years before quitting on Monday. He is a student in computer science at City College.

“I think that it’s irresponsible to keep the store open given the circumstance right now,” he said. “It’s not safe for me or for the customers. It was a $15-an-hour job. I don’t care if I lose it.” He moved to New York three years ago from Bangladesh.

“I think the Dunkin’ Donuts franchise should be more responsible about their operations,” he said. “I just don’t think that they don’t care about the workers or the customers at all. They just care about the money.”

Jayang Tenzin works at Pho Shop, a Vietnamese restaurant. “I’m just a server doing my work from my heart,” he said. “Times like this you have to be there for each other.” Mr. Tenzin moved to New York from Tibet eight years ago. “Got to chase the American dream,” he said.

He commutes an hour on the No. 2 train from Brooklyn. “It’s very quiet. It’s like a ghost town,” he said. “I come out of work, I don’t see anybody.”

Issouf Mande has delivered for Domino’s on an e-bike for two years. “I am scared of the virus because I’m going everywhere, opening every kind of door, going to any kind of house, meeting any kind of people,” he said.

“Most deliveries I deal with the doorman or just call the person and leave it in front of the door.”

Mr. Mande moved to New Jersey three years ago from Burkina Faso. He doesn’t understand why Domino’s is still open. “I think it’s not safe,” he said. “We meet so many people in deliveries. I don’t see enough protection.”

Benjamin Loucks has been homeless for two years. “There is no money to be made,” he said. “No traffic.”

Explain how projectized organization structure would affect process management versus matrix organizational structure and functional organizational strucutre adn explain why?

How does the Internet create new ethical issues? Do you believe it is unethical for an employee to use the Internet on a company computer for personal use during company time? Is it unethical for the employer to monitor that usage?