Business Ethics, Law & sustainability

THE TYLENOL CRISIS

HOW EFFECTIVE PUBLIC RELATIONS SAVED JOHNSON & JOHNSON

SYNDICATE GROUP 4
1. Chatulis Indra Jaya 29320188
2. Edi Priyo Yunianto 29320219
3. Febriany Martiana Nasel 29320007
4. Jazari Alfaridi 29320067
5. Shanty Sarah 29320212
THE STORY OF THE TYLENOL POISONINGS
 IN THE FALL OF 1982, MCNEIL CONSUMER PRODUCTS, A SUBSIDIARY OF
JOHNSON & JOHNSON, WAS CONFRONTED WITH A CRISIS WHEN SEVEN
PEOPLE ON CHICAGO'S WEST SIDE DIED MYSTERIOUSLY.

 THE SEVEN VICTIMS ARE :

1. Mary Kellerman,12 years old, of Elk Grove Village, Ill
2. Adam Janus, 27 years old, of Arlington Heights, Ill
3. Stanley, 25 years old
4. Theresa, 19 years old
5. Mary Reiner, 27 years old
6. Paula Prince, 35 years old
7. Mary McFarland, 31 years old of Elmhurst, Ill.

 THE NEWS OF THIS INCIDENT TRAVELED QUICKLY AND WAS THE CAUSE
OF A MASSIVE, NATIONWIDE PANIC.
 WHY DID TYLENOL CAUSE 7 DEATHS IN CHICAGO ?
 DURING THE FALL OF 1982, FOR REASONS NOT KNOWN,
UNKNOWN PERSON OR PERSONS, REPLACED TYLENOL
EXTRA-STRENGTH CAPSULES WITH CYANIDE-LACED
CAPSULES, RESEALED THE PACKAGES, AND DEPOSITED
THEM ON THE SHELVES OF AT LEAST A HALF-DOZEN OR SO
PHARMACIES, AND FOOD STORES IN THE CHICAGO AREA.
 EXTRA STREGHT TYLENOL CAPSULE OF JOHNSON &
JOHNSON WAS TAMPERED

 AUTHORITIES DETERMINED THAT EACH OF THE PEOPLE

THAT DIED, HAD INGESTED AN EXTRA-STRENGTH TYLENOL
CAPSULE LACED WITH CYANIDE

 THE EXTRA-STRENGTH TYLENOL CAPSULES FOUND TO

CONTAIN 65 MILLIGRAMS OF CYANIDE (FATAL)

Before the crisis, tylenol was the most successful over-the-counter product in the united states with over one hundred million users. Tylenol was
responsible for 19 percent of johnson & johnson's corporate profits during the first 3 quarters of 1982. Tylenol accounted for 13 percent of
johnson & johnson's year-to-year sales growth and 33 percent of the company's year-to-year profit growth. Tylenol was the absolute leader in the
painkiller field accounting for a 37 percent market share.
 WHAT DID JOHNSON AND JOHNSON DO?
AVOID

CRISIS FULL
CRISIS HANDLIN RESPONSIBIL CRED
G ITY O
COMPANY Company is responsible to:
REPUTATION
1. Consumers and medical professionals using its products,
PROFITABLE
PRODUCT 2. Employees,
3. Communities where its people work and live, and
4. Stockholders

HALF
RESPONSIBIL
ITY
as like Source Perrier
 WHAT DID JOHNSON AND JOHNSON DO?
THE PUBLIC RELATIONS DECISIONS HANDLE THE TYLENOL CRISIS IN TWO PHASES.
•THE FIRST PHASE : HANDLING OF THE CRISIS
a. THE COMPANY IMMEDIATELY ALERTED CONSUMERS ACROSS THE NATION, VIA THE MEDIA, NOT TO CONSUME ANY
TYPE OF TYLENOL PRODUCT
Remediatio
n b. COOPERATE FULLY WITH ALL TYPES OF NEWS MEDIA
c. PROVIDED COUNSELING AND FINANCIAL ASSISTANCE TO THE VICTIMS‘ FAMILIES
Rectificatio d. DEVELOPED A NEW TRIPLE-SEAL TAMPER-RESISTANT PACKAGE
n e. DEVELOPED NEW RANDOM INSPECTION PROCEDURES BEFORE THE SHIPMENT OF TYLENOL TO RETAILERS
f. STOPPING THE PRODUCTION AND ADVERTISING OF TYLENOL
g. RECALLED ALL TYLENOL CAPSULES FROM THE MARKET (APPROX. 31 MILLION BOTTLES COST 100 MIILION DOLLAR)
Sympathy h. THE COMPANY OFFERED TO EXCHANGE ALL TYLENOL CAPSULES THAT HAD ALREADY BEEN PURCHASED FOR
TYLENOL TABLETS
i. ESTABLISHED RELATIONS WITH THE CHICAGO POLICE, THE FBI, AND THE FOOD AND DRUG ADMINISTRATION
•THE SECOND PHASE : COMEBACK
a. REINTRODUCED IN NOVEMBER BARING A NEW TRIPLE-SEAL TAMPERRESISTANT PACKAGING
b. PROVIDED $2.50-OFF COUPONS THAT WERE GOOD TOWARDS THE PURCHASE OF ANY TYLENOL PRODUCT
c. NEW PROGRAM GAVE CONSUMERS DISCOUNTS AS HIGH AS 25 PERCENT
d. OVER 2250 SALES PEOPLE FROM JOHNSON & JOHNSON DOMESTIC AFFILIATES MAKE PRESENTATIONS TO PEOPLE IN
THE MEDICAL COMMUNITY

JOHNSON AND JOHNSON'S HANDLING OF THE TYLENOL TAMPERING CRISIS IS CONSIDERED BY

PUBLIC RELATIONS EXPERTS TO BE ONE OF THE BEST IN THE HISTORY OF PUBLIC RELATIONS.
 ISSUE HANDLING IN CANNED FISH CONTAMINATED WITH WORM

ISSUE
There was information about canned fish contaminated with worm in Indragiri Hilir and Kepulauan Meranti. It was viral at social media
on 18 March 2018

DISCOVER
Y
On 19 March 2018, Dinas Kesehatan Pengendalian Penduduk dan Keluarga Berencana Kabupaten Lingga appeal to owner of
minimarket to halt product selling of canned fish MF until there is release from BPOM
Based on report from BBPOM Pekanbaru and BKIPM KKP Surabaya, there were canned fish consist of parasiteAnisakis sp
a. Canned Fish F from Kepulauan Meranti.
b. Canned Fish I from Indragiri Hilir.
c. Canned Fish H from BKIPM KKP Surabaya

Assesment
Inspection
Canned Fish Production Procedure Review
 Recovery Plan
BPOM order mandatory recall to 3 (three) importer : PT. P, PT. M, dan PT. I.
PT. I conduct voluntary recall to all its products

BPOM conduct monitoring of recall

Press Release 28 March 2018 Press Release 6 April 2018

 ISSUE HANDLING IN BUVANEST CASE
• REGARDING THE DEATH OF TWO PATIENTS AT SILOAM HOSPITAL, KARAWACI, TANGERANG. THE PRE-
CAESAREAN INJECTION OF BUVANEST SPINAL, WHICH WAS PRODUCED BY KALBE IN LINE 6, KILLED 2
PATIENTS AT SILOAM HOSPITAL ON NOVEMBER 3, 2014.
• BASED ON THE RESULTS OF THE INVESTIGATION BY KEMENTERIAN KESEHATAN, BADAN POM, AND THE
TEAM INVOLVED IN THE SERIOUS SENTINEL CASE (KSS), THIS CASE OCCURRED BECAUSE OF AN
INCORRECT LABELING OF THE ANESTHETIC DRUG BUVANEST SPINAL PRODUCED BY PT KALBE FARMA.
• THE INVESTIGATIONS CARRIED OUT BY BPOM AT THE KALBE FARMA FACTORY DID SHOW A MIX UP.
FROM THE LABORATORY-TESTED SAMPLES, THE BUVANEST SPINAL PACKAGING DOES CONTAIN
TRANEXAMIC ACID..
• PT KALBE VOLUNTEERED TO WITHDRAW ALL BUVANEST SPINAL PRODUCTS FROM THE MARKET, THEN
BPOM CANCELED THE DISTRIBUTION PERMIT FOR THE PRODUCTION OF THE INJECTION DRUG. IN
ADDITION, BPOM HAS SEALED THE PRODUCTION ROOM AND STOPPED THE INJECTION DRUG
PRODUCTION PROCESS IN LINE 6 OWNED BY PT KALBE FARMA..
 CONCLUSION

• JOHNSON & JOHNSON HAS APPLIED THE WORST-CASE SCENARIO PRINCIPLE OF

BEING WILLING TO INCUR LOSSES IN A LARGE ENOUGH AMOUNT TO SAVE
VICTIMS.
• JOHNSON & JOHNSON HAS RESPONDED QUICKLY TO THE ISSUE AS THE COMPANY
IMMEDIATELY WITHDREW ALL TYLENOL SALES AND IMMEDIATELY TESTED EIGHT
MILLION TYLENOL CAPSULES FOR CYANIDE ACID CONTENT
• JOHNSON & JOHNSON PUTS PUBLIC SAFETY FIRST. THE COMPANY DOES NOT
HESITATE TO SPEND MILLIONS OF DOLLARS TO PAY FOR THE TREATMENT AND
TREATMENT OF VICTIMS OF CYANIDE POISONING.
 CONCLUSION

• JOHNSON & JOHNSON HAS A CRISIS COMMUNICATIONS PLAN IN PLACE. WHEN A

CRISIS OCCURS THE COMPANY IMMEDIATELY ANNOUNCES TO THE PUBLIC THAT
IT WILL WITHDRAW ALL TYLENOL SALES. IN ADDITION, THE COMPANY ALSO
APPROACHED THE FDA TO CONDUCT TRIALS ON EIGHT MILLION TYLENOL
CAPSULES RELATED TO CYANIDE ACID CONTENT.
• JOHNSON & JOHSON TOOK A LEGAL APPROACH TO COMMUNICATION. THE
COMPANY HAS ALSO BEEN RESPONSIBLE FOR FINANCING THE VICTIM'S
HOSPITAL TREATMENT.
 CRISIS MANAGEMENT RECOMMENDATION

• FACE THE PROBLEM : DON’T AVOID OR MINIMIZE IT, TELL THE TRUTH
• TAKE YOUR “LUMPS” IN ONE BIG NEWS STORY RATHER THAN IN BITS AND PIECES.
“NO COMMENT” IMPLIES QUILT
• RECOGNIZE THAT, IN THE AGE OF INSTANT NEWS, THERE IS NO SUCH THING AS A PRIVATE CRISIS
• STAGE “WAR GAMES” TO OBSERVE HOW CRISIS PLAN HOLDS UP UNDER PRESSURE
• USE THE FIRM’S PHILOSOPHY, MOTTO OR MISSION STATEMENT TO RESPOND TO A CRISIS.
• USE THE FIRM’S CLOSENESS TO COSTOMERS AND END USERS FOR EARLY FEEDBACK ON THE
CRISIS AND TO EVALUATE YOUR EFFECTIVENESS IN RESPONDING TO THE EVENTS.