This
paper explains that although most small companies would never have survived an E. coli
crisis, Odwalla weathered the storm and is now the subject of a best practice studies on crisis
management. The author points out that Odwalla was not innocent and committed major management
errors: Significant flaws in its
safety procedures, poorly maintained citrus-processing equipment, an insular culture without a clear system of corporate checks and balances, no internal oversight procedure and a board of directors comprised of business friends of its founder. The paper reports that some of the crisis management included the company accepted full
responsibility for the crisis, in all interviews with the media, expressed sympathy and
regret for all those affected and promised that the company would pay all medical costs.