This document discusses product recalls and the importance of managing quality across the supply chain. It notes that recalls have significantly increased since 2006 and about half are due to issues with suppliers or contract manufacturers. Recalls can cost companies between $10-90 million on average. The document then provides an example of the peanut corporation of America recall that cost over $1 billion. It emphasizes that identifying issues earlier in the supply chain reduces costs according to Deming's 1-10-100 rule. The rest of the document discusses how companies can implement strategies like HACCP and supplier relationship management to proactively monitor quality and ensure compliance across the extended supply chain using a quality management system.