590 Part Six Controlling Case Application Moistureloc manufactured at our U.S. factory. Bausch & Lomb's first priority is the health and safety of con- sumers. If there is a problem with our product, we'll find it and we'll fix it." On May 15, 2006, the company explained that it had "finally, after months of sleuthing, found a link between the product and a potentially blinding eye infection." In a release by the U.S. Food and Drug Administration, Bausch & Lomb proposed that "unique Blurred Vision It's unrealistic to think that all products can be guaranteed 100 percent safe at all times in all places for all people. But as consumers we'd like to believe that manufacturers are doing whatever they can to ensure that products are as safe as possible... especially when it comes to prod- ucts used on or in our bodies that have the potential to do serious harm or damage. And more importantly, we'd like to believe that if manufacturers discovered some- characteristics of the formulation of the ReNu With thing potentially wrong with one of their products, that they would take immediate action to correct it. Executives at Bausch & Lomb found themselves dealing with such a scenario as problems with one of its most popular and lucrative products-a contact lens cleaner, ReNu With Moistureloc-became more evident. Doctors in Hong Kong first started noticing cases of a troubling eye infection Fusarium keratitis in July of 2005, but were not able to make the connection specifi- cally to Bausch & Lomb's product. Yet, in February of 2006, the company agreed to stop selling that lens cleaner in Hong Kong and Singapore. By March 2006, more than 100 people in Hong Kong, Singapore, and the United States had developed eye infections, "with some of the worst cases requiring cornea transplants," and the connection to the ReNu product was pretty evi- dent. Health officials in Singapore said "they had estab- lished a strong statistical connection between Bausch & Lomb's ReNu With Moistureloc cleaner and Fusarium eye fungus infections." But it wasn't until April 13, 2006, after some U.S. retailers independently began removing the product from shelves, that Bausch & Lomb took its first public action-a voluntary market withdrawal- asking retailers to remove the ReNu product from their shelves temporarily until it could further investigate the reports of fungal keratitis infections among contact lens wearers. In open ads in USA Today and regional news- papers, the company also recommended that consumers switch to another lens care solution product. Company CEO Ron Zerrella said, "For more than 150 years, Bausch & Lomb's mission has been to enhance your vision. We find ourselves in a position where the safety of one of our products manufactured at our United States plant is in question. We've done a series of exhaustive tests on the product, and a thorough inspection of the plant, and nothing has yet been found to show that ReNu With Moistureloc contributed to these infections in any way. However, in the cases of infections reviewed tn date, the majority of patients reported using ReNu With Moistureloc product in certain unusual circumstances can increase the risk of Fusarium infection. Based on this scientific data, Bausch & Lomb has decided to perma- nently remove the ReNu With Moistureloc product worldwide." Although the company said it moved as "rapidly as possible to understand and respond to its product's role in the outbreak," others say it did not move fast enough to avert a crisis. DISCUSSION QUESTIONS 1. What role should an organization's control system play in situations like these? 2. Did Bausch & Lomb do enough? Could its control sys- tem have been more effective? How? 3. Which type of control-feedforward, concurrent, or feedback-do you think would be most important in this type of situation? Explain your choice. 4. How might immediate corrective action have been used in this situation? How about basic corrective action? 5. What role would information controls play in this sit- uation? Financial controls? Customer interactions? 6. What, could other organizations learn from this situation? Sources: K. Bradsher and W. Arnold, "Asian Officials Call Bausch Slow to React," New York Times Online, www.nytimes.com, May 22, 2006; B. J. Feder, "From Asia to America: How Bausch's Crisis Grew," New York Times Online, www.nytimes.com, May 18 2006; FDA Statement, "Bausch & Lomb Global Recall Lens Cleaning Solution," www.fda..gov, May 15, 2006; P. Mintz and F. DiMeglio, "Bausch & Lomb: Crisis Management 101," BusinessWeek Online, www.businessweek.com, April 17, 2006; and Press, Release, Bausch & Lomb, April 13, 2006. ReNu With Moistureloc Contact

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ISBN:9780357033753
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Chapter11: Product Concepts, Branding, And Packaging
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Solve the case study :
1. Logically answering Case Study Questions 
2. Writing a Critical analysis of the Case in which you will identify the following: 
 The management-related problem of the case study
 Symptoms\signs of the problem
 Write how the problem of the case has been solved
 Your suggested Solutions
 Final Recommendation\critical opinion on the case

590
Part Six Controlling
Case Application
Moistureloc manufactured at our U.S. factory. Bausch &
Lomb's first priority is the health and safety of con-
sumers. If there is a problem with our product, we'll find
it and we'll fix it."
On May 15, 2006, the company explained that it
had "finally, after months of sleuthing, found a link
between the product and a potentially blinding eye
infection." In a release by the U.S. Food and Drug
Administration, Bausch & Lomb proposed that "unique
Blurred Vision
It's unrealistic to think that all products can be guaranteed
100 percent safe at all times in all places for all people.
But as consumers we'd like to believe that manufacturers
are doing whatever they can to ensure that products are
as safe as possible... especially when it comes to prod-
ucts used on or in our bodies that have the potential to
do serious harm or damage. And more importantly, we'd
like to believe that if manufacturers discovered some-
characteristics of the formulation of the ReNu With
thing potentially wrong with one of their products, that
they would take immediate action to correct it.
Executives at Bausch & Lomb found themselves dealing
with such a scenario as problems with one of its most
popular and lucrative products-a contact lens cleaner,
ReNu With Moistureloc-became more evident.
Doctors in Hong Kong first started noticing cases of
a troubling eye infection Fusarium keratitis in July of
2005, but were not able to make the connection specifi-
cally to Bausch & Lomb's product. Yet, in February of
2006, the company agreed to stop selling that lens
cleaner in Hong Kong and Singapore. By March 2006,
more than 100 people in Hong Kong, Singapore, and
the United States had developed eye infections, "with
some of the worst cases requiring cornea transplants,"
and the connection to the ReNu product was pretty evi-
dent. Health officials in Singapore said "they had estab-
lished a strong statistical connection between Bausch &
Lomb's ReNu With Moistureloc cleaner and Fusarium
eye fungus infections." But it wasn't until April 13, 2006,
after some U.S. retailers independently began removing
the product from shelves, that Bausch & Lomb took its
first public action-a voluntary market withdrawal-
asking retailers to remove the ReNu product from their
shelves temporarily until it could further investigate the
reports of fungal keratitis infections among contact lens
wearers. In open ads in USA Today and regional news-
papers, the company also recommended that consumers
switch to another lens care solution product. Company
CEO Ron Zerrella said, "For more than 150 years, Bausch
& Lomb's mission has been to enhance your vision. We
find ourselves in a position where the safety of one of
our products manufactured at our United States plant is
in question. We've done a series of exhaustive tests on
the product, and a thorough inspection of the plant,
and nothing has yet been found to show that ReNu
With Moistureloc contributed to these infections in any
way. However, in the cases of infections reviewed tn
date, the majority of patients reported using ReNu With
Moistureloc product in certain unusual circumstances
can increase the risk of Fusarium infection. Based on this
scientific data, Bausch & Lomb has decided to perma-
nently remove the ReNu With Moistureloc product
worldwide." Although the company said it moved as
"rapidly as possible to understand and respond to its
product's role in the outbreak," others say it did not
move fast enough to avert a crisis.
DISCUSSION QUESTIONS
1. What role should an organization's control system
play in situations like these?
2. Did Bausch & Lomb do enough? Could its control sys-
tem have been more effective? How?
3. Which type of control-feedforward, concurrent, or
feedback-do you think would be most important in
this type of situation? Explain your choice.
4. How might immediate corrective action have been
used in this situation? How about basic corrective
action?
5. What role would information controls play in this sit-
uation? Financial controls? Customer interactions?
6. What, could other organizations learn from this
situation?
Sources: K. Bradsher and W. Arnold, "Asian Officials Call Bausch Slow
to React," New York Times Online, www.nytimes.com, May 22, 2006;
B. J. Feder, "From Asia to America: How Bausch's Crisis Grew," New
York Times Online, www.nytimes.com, May 18 2006; FDA Statement,
"Bausch & Lomb Global Recall
Lens Cleaning Solution," www.fda..gov, May 15, 2006; P. Mintz
and F. DiMeglio, "Bausch & Lomb: Crisis Management 101,"
BusinessWeek Online, www.businessweek.com, April 17, 2006; and
Press, Release, Bausch & Lomb, April 13, 2006.
ReNu With Moistureloc Contact
Transcribed Image Text:590 Part Six Controlling Case Application Moistureloc manufactured at our U.S. factory. Bausch & Lomb's first priority is the health and safety of con- sumers. If there is a problem with our product, we'll find it and we'll fix it." On May 15, 2006, the company explained that it had "finally, after months of sleuthing, found a link between the product and a potentially blinding eye infection." In a release by the U.S. Food and Drug Administration, Bausch & Lomb proposed that "unique Blurred Vision It's unrealistic to think that all products can be guaranteed 100 percent safe at all times in all places for all people. But as consumers we'd like to believe that manufacturers are doing whatever they can to ensure that products are as safe as possible... especially when it comes to prod- ucts used on or in our bodies that have the potential to do serious harm or damage. And more importantly, we'd like to believe that if manufacturers discovered some- characteristics of the formulation of the ReNu With thing potentially wrong with one of their products, that they would take immediate action to correct it. Executives at Bausch & Lomb found themselves dealing with such a scenario as problems with one of its most popular and lucrative products-a contact lens cleaner, ReNu With Moistureloc-became more evident. Doctors in Hong Kong first started noticing cases of a troubling eye infection Fusarium keratitis in July of 2005, but were not able to make the connection specifi- cally to Bausch & Lomb's product. Yet, in February of 2006, the company agreed to stop selling that lens cleaner in Hong Kong and Singapore. By March 2006, more than 100 people in Hong Kong, Singapore, and the United States had developed eye infections, "with some of the worst cases requiring cornea transplants," and the connection to the ReNu product was pretty evi- dent. Health officials in Singapore said "they had estab- lished a strong statistical connection between Bausch & Lomb's ReNu With Moistureloc cleaner and Fusarium eye fungus infections." But it wasn't until April 13, 2006, after some U.S. retailers independently began removing the product from shelves, that Bausch & Lomb took its first public action-a voluntary market withdrawal- asking retailers to remove the ReNu product from their shelves temporarily until it could further investigate the reports of fungal keratitis infections among contact lens wearers. In open ads in USA Today and regional news- papers, the company also recommended that consumers switch to another lens care solution product. Company CEO Ron Zerrella said, "For more than 150 years, Bausch & Lomb's mission has been to enhance your vision. We find ourselves in a position where the safety of one of our products manufactured at our United States plant is in question. We've done a series of exhaustive tests on the product, and a thorough inspection of the plant, and nothing has yet been found to show that ReNu With Moistureloc contributed to these infections in any way. However, in the cases of infections reviewed tn date, the majority of patients reported using ReNu With Moistureloc product in certain unusual circumstances can increase the risk of Fusarium infection. Based on this scientific data, Bausch & Lomb has decided to perma- nently remove the ReNu With Moistureloc product worldwide." Although the company said it moved as "rapidly as possible to understand and respond to its product's role in the outbreak," others say it did not move fast enough to avert a crisis. DISCUSSION QUESTIONS 1. What role should an organization's control system play in situations like these? 2. Did Bausch & Lomb do enough? Could its control sys- tem have been more effective? How? 3. Which type of control-feedforward, concurrent, or feedback-do you think would be most important in this type of situation? Explain your choice. 4. How might immediate corrective action have been used in this situation? How about basic corrective action? 5. What role would information controls play in this sit- uation? Financial controls? Customer interactions? 6. What, could other organizations learn from this situation? Sources: K. Bradsher and W. Arnold, "Asian Officials Call Bausch Slow to React," New York Times Online, www.nytimes.com, May 22, 2006; B. J. Feder, "From Asia to America: How Bausch's Crisis Grew," New York Times Online, www.nytimes.com, May 18 2006; FDA Statement, "Bausch & Lomb Global Recall Lens Cleaning Solution," www.fda..gov, May 15, 2006; P. Mintz and F. DiMeglio, "Bausch & Lomb: Crisis Management 101," BusinessWeek Online, www.businessweek.com, April 17, 2006; and Press, Release, Bausch & Lomb, April 13, 2006. ReNu With Moistureloc Contact
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In a business, there is a control system which controls the functioning of the business and solves any issue if occurred. Timely action is utmost important at the time of problem. Failure to do so will affect the business organization. The trust of the companies and other stakeholders will fall. 

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