Pet Food Scandal in 2007, Essay

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The delay in issuing the recall order illustrates questionable ethics with respect to decision-making. While the extra two weeks allowed Purina to capture additional sales at a time when competitors were announcing recalls, it also put more pets at risk. The stakeholder analysis that appears to have been conducted put the shareholders as the highest stakeholder. Purina management evidently viewed the health of its end consumers (the pets) as less important.

To improve the decision-making process, Purina should place additional emphasis on other stakeholders, in particular the end users and the people that purchase Purina products for them. In the long run, the pet food scandal has had limited impact on Purina sales, in particular because the fault was found to be based in China.

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With respect to communication standards, Purina needs to be more up-front and proactive in dealing with such scandals. The company looked like a laggard with respect to this issue, and if it had not been for the fact that dozens of pet food brands were affected, this incident would have left a stain on the firm's reputation. In future incidents, Purina may not be so fortunate as to have a Chinese scapegoat and the problem may not be industry-wide. Thus, decision-making in future need to put other stakeholders higher than the shareholders, and communications need to be more up-front and proactive, rather than the defensive stance taken by the Purina leadership team.

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