How to Minimize the Economic Impact of Food Recalls | Modern Restaurant Management | The Business of Eating & Restaurant Management News

Protecting consumers from harm is the top priority in any recall situation. At the same time, as food recalls arerising, their economic impact can be devastating for restaurants and other food businesses. Did you know that the average direct cost of a food recall is $10 million, including recall notification and processing, as well as product transportation and disposal? Indirect costs can also be tremendous, including damage to a brand’s reputation, decreased sales, falling stocks, and loss of consumer trust. The costs of root cause analysis, testing, and corrective actions are usually hidden costs of a recall.

Even businesses that practice gold standard food safety protocols can have a food safety breach that results in a recall. Your restaurant’s supplier may inadvertently bring you contaminated produce, a shipment of refrigerated foods may have been time-temperature abused on the delivery truck, or an employee could have made an innocent mistake. It’s not a matter…

Roger Hancock

Roger Hancock, CEO of Recall InfoLink is an expert on recalls, with experience that spans the retail, tech, data, regulatory, and supply chain. Recall InfoLink, makes recalls faster, easier, and more accurate across the supply chain to protect consumers and brands. As the only company focused entirely on recalls, Recall InfoLink’s solutions drive immediate action, streamline the recall process, and simplify compliance. Recall InfoLink helps brands become Recall Ready by standardizing data, collaborating with their supply chains, and practicing recall simulations.

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Roger Hancock