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Nokia India: Battery Recall Logistics

Charles Dhanaraj; Narendar Sumukadas; P. Fraser Johnson; Monali Malvankar;

商品編號:9B11D003
出版日期:2011/06/22
再版日期:
商品來源:Ivey
商品主題:Entrepreneurship; International Business; Operations Management
商品類型:Case (Field)
涵蓋議題:Supply Chain Management;Logistics;Communications;Crisis Leadership;Product Recall;Emerging Markets
難易度:5 - MBA/Postgraduate
內容長度:13 頁
地域:India
產業:Information; Media &; Telecommunications;
事件年度:2007

The case provides an opportunity for students to develop practical knowledge of the role of operations management in a product recall situation, particularly in an emerging market context. Product recalls are an integral part of supply chain management (SCM). Companies inevitably face a question of when, not if, a recall will be necessary. These situations combine the complexity of operations with the time-urgency of a mission-critical task. The case also provides a rich context to learn about the interaction of SCM, information systems and reverse logistics, and to understand the marketing, logistics and communication challenges faced by a multinational company operating in an emerging market such as India.

The case presents the challenge faced by Nokia India in 2007. Nokia had built a strong brand reputation over a ten-year period and was a market leader in the Indian mobile devices. India, incidentally, was also Nokia's second largest market, next only to China. Suddenly, what corporate headquarters considered a routine product advisory for a defective battery, resulted in panic in customers after the Indian media widely publicized the potential dangers that defective batteries could pose.

Over a three-month period, Nokia India had to recall a few million batteries and replace them with new ones.

The objectives of the case include 1) developing an effective product recall / reverse logistics plan that would ensure preparedness for the challenges and urgent circumstances that might surface in a recall situation, 2) understanding the key criteria for success of product recall systems and 3) understanding the interface of management action and the logistics system under a crisis situation.

教學手冊:8B11D003
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