J&J Tylenol Cyanide Flashcards
(11 cards)
What happened during the 1982 Tylenol crisis?
Seven people died after taking Tylenol capsules laced with cyanide, prompting a national emergency and massive recall.
Why is this case relevant to Evidence-Based Management (EBMgt)?
It illustrates how ethical decision-making and stakeholder-focused action, based on evidence, can prevent long-term damage and rebuild trust.
What evidence did Johnson & Johnson act on?
Consumer death reports, medical data, and law enforcement findings indicating product tampering outside the production chain.
What was Johnson & Johnson’s first major decision?
They pulled 31 million bottles from shelves nationwide, prioritizing consumer safety over financial cost.
How did J&J use stakeholder evidence?
They engaged openly with the public, media, and medical professionals, showing transparency and accountability.
How did J&J apply scientific evidence?
They worked with the FDA and scientists to determine the tampering method and improve product safety through new packaging.
What ethical framework guided J&J’s decisions?
Their corporate Credo, which emphasizes responsibility to consumers before shareholders or profit.
What innovations followed the crisis?
They pioneered tamper-evident packaging, which became an industry standard for over-the-counter medication.
What were the short-term and long-term business impacts?
Short-term: $100M loss and stock decline. Long-term: regained trust, brand loyalty, and became a crisis-management benchmark.
What key EBMgt lesson does this case teach?
When evidence and ethics are integrated into decision-making, firms can turn crises into opportunities to build credibility and resilience.
How to cite
Fombrun, 1996
