There are complaints against organizations day in day out and Alnoors complaint isn’t an exclusion (Sadgrove,2016). Procedures are followed when a complaint is raised and its only the complaint and the company can decide on what to settle for.
I do not agree with the approach used by Colgate against Alnoors allegation. This is because she had been injured, not because of her carelessness but because of a defective toothbrush that had been supplied to the end user by Colgate company. The company should have compensated her the cost she incurred during surgery and at the end ensure that the products-toothbrush- are produced of quality and in case an accident occurs then the complainant should be compensated and the company should ensure such risks so as to gain customers loyalty.
Ligation risks is the possibility that a legal action will be taken to an organization because of a complaint raised in court by an individual. Colgate faced regulatory risks in that its products will have conditions applied on them or have companies licence withdrawn by a regulator.it is important to understand the conditions in which your company operates and the available risks that the company is exposed to. Say Colgate could have its products constantly checked to prevent another accident or injury from occurring.
Colgate as a company could have faced legal dispute which could have been as a result of settling a case in court. Convincing Alnoor to withdraw the case saved the company from facing the court proceedings (Rothaermel,2017). It’s the company’s obligation to ensure that less or no disputes are experienced in the organization and that no cases are solved in court. This will help maintain the company’s picture to its clients, suppliers and financers.
In this case Alnoor faced risks such as not being compensated and earning extra costs on the case. They had no regret because they got to know how justice is practised and they gained more knowledge on how to go about it. Most cases in courts are solved in relation to other cases that have been solved earlier and there was a possibility that justice could not have been achieved in favour of Alnoor and the brother.
Business organizations face different risks in their daily activities and it’s up to the organization to manage these risks and ensure that the clients are satisfied with how the company operates. The clients also experience risks and fears in the process of using the organizations products.
Sadgrove, K. (2016). The complete guide to business risk management. Routledge.
Rothaermel, F. T. (2017). Strategic management. New York, NY: McGraw-Hill Education.