The Client and Its Challenge
As a result of customer complaints, a global automation, controls, and process solutions company identified a problem with gas valves that would stick in the open position and allow gas to continue to flow if the pilot went out. These valves were used in a number of appliances including commercial ranges, gas fireplaces, and furnaces.

Given the high risk of fire and explosion, the company decided to initiate a product recall on affected appliances, realizing it would need development and execution support from outside experts, particularly as this was an issue not just in the U.S., but in Mexico and Canada as well.

The Risk Consulting Solution
The company retained the product recall team from Marsh to help with its preparations. The Marsh team expeditiously developed a product recall process plan consisting of a number of elements including: technical evaluation of the problem; manufacturing/supply chain traceability; customer/end consumer contact; regulatory compliance; claims and cost management; and communications.

Given the highly leveraged nature of this company, deploying a prioritized methodology for completing the recall would enable it to continue to do business and maintain confidence among key stakeholders.

The Marsh team worked extensively with the company for the first 90 days to develop the plan and to assist the company with reporting to the Consumer Product Safety Commission. This included identification of a technical expert to evaluate and determine the scope of the problem.

Marsh identified a service provider the firm could use to repair/replace the problem product in the marketplace. Marsh also identified a call center, but ultimately the company decided to handle calls in-house.

Results
The company used Marsh's plan as the basis for its investigation of the problem and ultimate recall. Without this plan, the firm might not have been able to organize and respond quickly and effectively throughout North America.

As a result of the work of the technical expert Marsh identified, it appears that the firm will be able to limit the recall, with the regulatory agencies agreement, to about 400,000 products globally rather than the 1.2 million originally considered.

Marsh's product recall team continues to be involved in a daily conference call with the company, providing feedback, advice, and guidance as necessary.