After a series of cardiac implantable device recalls hit the industry in the year 2005 the question of a favourable corporate communication strategy about inevitable product recalls was raised. Knowing that it is impossible to produce 100% failure free products I was personally interested in seeing how such recalls occurred and how successful they were handled by the different companies from a communication perspective. This thesis analyses such device recalls since the year 2000 and attempts to identify a favourable communication strategy for the companies involved in such recalls in the future.
Qualitative analysis was performed on various secondary data sources to find positive and negative aspects of different communication strategies for the affected companies. Four companies could be analysed, where three provided significant results, which were used for final recommendations. Those recommendations are provided to support active corporate communi-cation. The basis of the recommended communication strategy is as follows:
Provide disclosure about probabilities of malfunctions while supportive to the most powerful stakeholders, which are the physicians and the regulatory authorities. When one company faces a recall it is favourable to take accountability and give advice to physicians about how to respond to their patients, because they are facing the problem of having all the information at hand without an adequate guideline which summarises a clinical decision on how to act and how to weight risks of keeping the existing device versus the risks of device change-out procedures.
Keywords: communication strategy, crisis management, corporate communication, healthcare business
Table of Contents
1 Introduction
1.1 Research purpose and research questions
1.2 Limitations
1.3 Structure of the thesis
2 Literature review
2.1 Attribution
2.2 Perception
2.3 Communication channels
2.4 Crisis and reputation
2.5 Legal aspects
2.6 Learning from a crisis
2.7 High reliability and normal accident theorists
2.8 The business impact of bad news
2.9 Stakeholder analysis
2.10 Corporate communication models
3 Research methodology
3.1 Research strategy and design
3.2 Data sources
3.3 Analysis techniques
3.4 Ethical implications of the research
4 Findings
4.1 Product recall analysis
4.2 Communication response to the recalls from different stakeholders
4.3 Stakeholder analysis
5 Discussion and interpretation
5.1 General discussion of the findings
5.2 Communication strategies of the companies under study
5.3 General discussion of trends
5.4 Who drives the discussion in the healthcare community
5.5 Methodological aspects and validity
6 Conclusions and recommendations
6.1 Research questions
6.2 General conclusions and recommendations from the corporate perspective
7 Appendix
7.1 HRS FAQ on Policy Recommendations: Implantable Cardioverter Defibrillator and Pacemaker Performance
7.2 Device recall list
Research Objectives and Core Themes
This thesis aims to investigate corporate communication strategies in the healthcare industry, specifically focusing on how major manufacturers handle product recalls for implantable medical devices. It seeks to identify successful communication patterns that mitigate negative business and brand impacts while maintaining essential stakeholder trust.
- Communication strategies for product recalls in the healthcare business
- Impact of crises on corporate reputation
- Stakeholder power and interest mapping in crisis situations
- Methodological approaches to qualitative secondary data analysis
- Recommendations for professional corporate communication in the healthcare sector
Excerpt from the Book
2.1 Attribution
The theory of attribution [Weiner1986] helps to understand consumer reactions to recalls or disasters. They are related to three dimensions:
The locus – the extent to which the cause of the disaster was internal or external to the organization concerned
The controllability – how far the cause was within the control of the organization
The stability – whether the disaster’s trigger is predictable or subject to constant change.
Attribution theory assumes that people try to determine why people do what they do, which means that they try to find causes to an event or behaviour. A three-stage process underlies an attribution:
behaviour must be observed/perceived
behaviour must be determined to be intentional
behaviour attributed to internal or external causes
Summary of Chapters
1 Introduction: This chapter introduces the focus on implantable medical devices and defines the research purpose regarding communication strategies during device recalls.
2 Literature review: This section provides a theoretical framework covering attribution, perception, communication channels, and reputation management in crisis situations.
3 Research methodology: The chapter outlines the qualitative, inductive research design, including data sources like FDA reports and financial news outlets.
4 Findings: This part neutrally presents data on product recalls, industry communication responses, media coverage, and stakeholder analysis.
5 Discussion and interpretation: The findings are analyzed to identify trends, communication strategy success factors, and the influence of different stakeholders.
6 Conclusions and recommendations: The final chapter provides actionable insights and strategic recommendations for companies to improve their communication during future advisories.
7 Appendix: This section contains supplementary material, including detailed HRS policy recommendations and a comprehensive chronological device recall list.
Keywords
Communication strategy, crisis management, corporate communication, healthcare business, product recall, implantable devices, stakeholder analysis, FDA, public relations, medical device industry, risk management, patient safety, reputation management, disclosure policy, business ethics.
Frequently Asked Questions
What is the core focus of this research?
This research focuses on the communication strategies of companies producing implantable medical devices during product recall events.
Which central topics are addressed?
The work covers crisis communication models, stakeholder analysis, the impact of bad news on business performance, and the role of transparency in the healthcare industry.
What is the primary research question?
The dissertation asks how companies communicate during recalls and what specific strategies lead to successful outcomes in terms of reputation and market stability.
Which scientific methodology is applied?
The study utilizes a qualitative, inductive approach, performing secondary data analysis on recalls, media coverage, and corporate statements.
What is covered in the main section?
The main part analyzes the factual recall history, the communication response of various stakeholders (including companies, media, and regulators), and evaluates the effectiveness of these responses.
Which keywords characterize this work?
Key terms include communication strategy, crisis management, corporate communication, healthcare business, and stakeholder analysis.
How does the author define a "recall"?
The author argues that the term "recall" should ideally be replaced by "advisory" to better reflect the complexity and advisory nature of managing risks for patients and physicians.
Why are Medtronic and St. Jude Medical often contrasted with Guidant/Boston Scientific?
They are contrasted based on their differing levels of transparency and responsiveness, with the author highlighting how early, proactive disclosure positively impacts long-term reputation.
What role do "Dear Doctor" letters play?
These letters are identified as a critical source for evaluating how companies communicate clinical risks and necessary procedures directly to medical professionals.
- Citation du texte
- Thomas Osche (Auteur), 2007, Communication strategies for product recalls in the healthcare business, Munich, GRIN Verlag, https://www.grin.com/document/144773