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Are you prepared for a product recall?

Handling a product recall is a very challenging task. At bare minimum, customers are inconvenienced, while a company’s bottom line takes a hit from having to fix the problem and compensate irate consumers. If the Food and Drug Administration or Department of Homeland Security mandates the recall, the stakes are far greater.

It’s important to have a product recall strategy in place BEFORE you face a recall, or your company could be in serious trouble. ERP, CRM and BI software can have a great impact on simplifying the steps involved in planning and executing product recalls. Here’s how:

  1. Consumer Issue Management is made easier
    The moment a product complaint is received, you can use CRM software to determine if the caller has a prior history. If not, you can add the caller information into the system. You also can designate a recall or support category based on the scale of the problem automatically. Any notes and issues are easily logged and are accessible to key members of the company that may need to handle the recall.
  2. Fast resolutions
    In product recalls, time is of the essence. The fewer people that have access to the defective product, the better off the company will be. This is especially the case in mandatory recalls where lives and well-being may be on the line. With ERP software, resolutions at any level can be executed quickly. Once a lot number with the defective ingredient is identified, you can quickly see which products have that ingredient, how many were produced and where those products were shipped. Notification letters can be generated and sent immediately to distributors and retailers to remove the product off store shelves. Call lists and CRM records can also be made to establish a paper trail for compliance.
  3. Make notes in the aftermath
    When the recall is resolved, a company will need to take steps to recover from the situation. Along with the disposal of the materials, there is a need to adjust finances and accounting to effectively address this problem. Because the recall is handled through ERP, you will be able to track and make changes to policy easily. For example, the sales prices of shipments of particular products can be changed to reflect the fluctuating events that resulted from the recall, and delivery dates can be altered so that new products can receive added scrutiny. Matters revolving around credit can be addressed as well, including extending the credit line to take into account losses of sales. For accountants, memos can be made to write off specific lots that contained the defective product and notes made to accept short payments in the future to ease retailer concerns.

NexTec has a complete software solution for Product Recall Management — our clients are able to successfully manage a product recall event from identification, notification, tracking and reporting, all while meeting compliance regulations.

Recall to resolution in minutes

Begin by entering general recall data, including affected lot numbers, recall type and classification, reason, evaluation of risk, recall strategy, and desired consumer actions. Recall Management takes over, completing a comprehensive analysis of your Sage X3 database and performing the following actions:

  • Produces list of affected products and quantities
  • Generates listing of supplier details
  • Provides list of shipments involved
  • Produces list of remaining affected stock
  • Flags affected stock as ‘Do Not Use’
  • Prints required consumer notification letters
  • Creates call lists in CRM to aid customer service reps
  • Safeguards your business

The effective and efficient management of a recall event is vital to the successful operation of manufacturers. Product Recall Management can also be used to conduct a mock recall, proving to internal stakeholders, distributors and consumers that your organization is prepared. By incorporating Product Recall Management for Sage X3, you can help ensure your organization is prepared to efficiently and effectively manage any recall, safeguarding consumer confidence, preserving long-term profitability and certifying full compliance.

Contact us to learn more about Product Recall Management and how it can help your organization conduct a successful product recall.[/vc_column_text][/vc_column][vc_column column_padding=”no-extra-padding” column_padding_position=”all” background_color_opacity=”1″ background_hover_color_opacity=”1″ el_class=”sidebar formTop” width=”1/4″ tablet_text_alignment=”default” phone_text_alignment=”default”][vc_column_text css=”.vc_custom_1479782400051{padding-top: 20px !important;padding-right: 15px !important;padding-bottom: 20px !important;padding-left: 15px !important;background-color: #003e51 !important;}”]

Schedule a product recall management demo today

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