Results/Change in the Company

After the tampering of the Tylenol in 1982, Johnson & Johnson became a model of how other companies should behave in similar circumstances. They were faced with a great dilemma because Tylenol was their most popular item and their reputation was on the line. The first thing they wanted to do what put customer safety first instead of worrying about their profit and other financial concerns. The crisis was aired all over the media warning the country about the product and telling everyone not to use any Tylenol related product. Tylenol products were recalled and taken off the shelves. Over 31 million Tylenol bottles were recalled equaling over 100 million dollars in retail value.

Unlike other companies who faced crisis, Johnson & Johnson did not put themselves and their reputation first. Instead they immediately took responsibility and got right to finding a solution the safest way possible. Johnson & Johnson partnered up with Chicago Police, the FBI, and the FDA so they could take part in finding the person who tampered with the Tylenol and to stop further tampering in their company. The media was giving the company positive comments and praised their ‘socially responsible actions.’ An article published by Jerry Knight in The Washington Post on October 11, 1982 stated that “what Johnson & Johnson executives have done is communicate the message that the company is candid, contrite, and compassionate, committed to solving the murders and protecting the public,” The article mentioned a $100,000 reward for the murderer and stated that the company wanted to get to the bottom of the case and find out why it happened.

A little over a week after the deaths, the company decided to offer an exchange from Tylenol capsules purchased to Tylenol tablets. They knew this would cost them even more money but they had to keep their reputation clean and gain the trust back from their customers. Chairman of the board at Johnson & Johnson, James E. Burke, in regard to the comeback said, “It will take time, it will take money, and it will be very difficult; but we consider it a moral imperative, as well as good business, to restore Tylenol to its preeminent position.”

Tylenol capsules came back to stores in December, but this time they had new packaging; triple-seal tamper-resistant packaging. The FDA soon made this type of packaging mandatory. McNeil Consumer Products offered $2.50 off coupons for the capsules when they came back onto shelves. Presentations were made to medical personnel to promote support for the new beginning of Tylenol. In almost no time, Tylenol gained back their regular customers as well as money. The media continued to keep Tylenol’s response in positive light.