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Johnson & Johnson

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Johnson & Johnson Johnson & Johnson is known around the world today as the most competitive and broadly based manufacturer of health care products. J & J also provides other services to the pharmaceutical and medical diagnostic markets. In 1887, three brothers, Robert Wood, Edward Mead, and James Wood Johnson set out to create Johnson & Johnson; which became one of the largest health care companies. The company started in Brunswick, New Jersey with only fourteen employees, today employs more than 110, 000 employees. J & J’s objective is to provide scientifically sound, high quality products and services to help, heal, cure disease and improve the quality of life. With their objective set high, J & J has social responsibility, sets guidelines for FrameworkS to help with creativity within the company, infuse ethics into its decision making, and strives to keep ahead of the competition in the fast paced market. The Johnson and Johnson (J & J) company has been motivated to accomplished its Credo which is its social responsibilities. J & J has been reaching out to support social and public health programs as well as medical educational initiatives around the world. Its Credo emphasizes the vision of Global responsibility toward communities in which they live in and work, its customers and global environment, employees, finally its stockholders. J & J’s community responsibility has been made by providing financial support, product donations and health care expertise through organizations. The company has developed partnerships with many organizations working to save lives and improve the well-being of people and communities. The J & J Company has initiated partnership with the following organization around the world. The Nature Conservancy in Peru has five sites in Latin America. It helps improve health, nutrition and food security; it also prevents over fishing practices, as well as preserving the river turtle, and trees that are cut down for harvesting are replaced. In Asia with The World Wildlife Fund that is strategic community programs help establish healthy, well educated communities. In the United States the J& J Company has contributed to the following Student Conservation Association which provides outdoor education and career training for the youth. Trust for Public Land develops park areas and playgrounds in low income city neighborhoods. Worldwide J & J hosted the first Partnership for Quality Medical Donations to providing disaster relief efforts and Focused Giving proving funds toward academic research at many universities. Another worldwide contribution has been “Helping the Children in Complex Humanitarian Emergencies” that provides disaster relief and refugee needs of children affected by natural and man made disasters. According to the worldwide results of J&J’s Sustainability report it worked with hundreds of non-profit, US-based and international organizations during 2003, contributing $384.5 millions in cash and product. J & J responsibility toward employees by striving for fairness and balance in the way they work with them. They show respect and care for their employees as individuals. They provide employment opportunities and employment policies, health and wellness programs that provide employees with tools and resources for a better quality of life, and workplace safety initiatives emphasizing accident prevention and personal responsibility. The company believes in maintaining their positive image within minority communities in the United States as needed to recruit talented people. They provide the US employees the use of Common Ground a collaborative program that provides employees three comprehensive steps for resolving issues or disagreements. These steps are Open Door where the Human Resource group reviews the issues and works with both parties to resolve the issue positively, the facilitation is the next steps where creative solutions from parties are taken into account and if the matter has not been resolve the last step is Mediation. Mediation is conducted by a neutral third party who helps both parties to move toward a mutual and voluntary resolution of the issues. Employees and their families are provided with resources to live healthier lives. Participants have access to wellness programs that will help them reach their personal targets by providing them with counselors who support them. Advising for Child and Elder Care, Adoption, College applications and financing, and parenting are available for its employees. They are also provided with the Employee Assistance Program- Respect for Individual and Families which is confidential assistance providing support to employees and family members who experience difficulties through trained social workers, counselors and psychologists. At the J & J research center, implemented programs and processes deemed necessary to minimize hazards. The program Safe Science has five areas of focus: workplace conditions is to limit potential hazards, employee coaching and encouragement it enhances and encourages safe decisions, e-learning is safety training requirements and on-line training system. R&D facility design it design to be consistent with industry best practices, and R&D management awareness and action review system it establish a management linked to standard operating procedures. J & J health and safety programs are based upon care for the employees and the belief of going beyond compliance creating competitive advantage which has made a difference in its employee’s life. Environmental responsibility is one of J & J role by designing products that are more environmentally friendly. The facilities try to engage with their neighbors regarding conservation such as the programs in the following places: Supporting Conservation Education in Ireland that teaches young people environmental issues. The J & J de Colombia S. A. Paper Recycling, Turning Trash into Cash programs where the funds allows for the purchase of items that local schools need and in China Tree Planting Projects where employees plant trees to enhance the forest. The company’s goal is to use the adequate amount of water usage and it is to achieving 10 percent cumulative avoidance by year-end 2005 (Sustainability Report, 2003). The company tries to limit its use of resources on water, raw material use, and packaging. The company has accomplished its social responsibility beyond compliance by meeting standards and regulatory requirements to the law. It demonstrates its care for people by valuing the needs of the people and the community they live in. The support with WWF also helps to protect animal species that are increasingly becoming endangered. J & J has reduced costs in many areas as a result of the effort to minimize environmental impact. The company is trying to conserve natural resources and ecosystems, and reducing environmental footprints and thinking of healthy futures by improving health care and supporting the well-being of people and communities. Johnson and Johnson has received many awards and recognitions from the Corporate Caring Award for being the most caring corporation in America, the Ali Di Antea Award for providing care to the terminally ill patients, and American Business Awards gave J&J the Stellar Reputation Award for great performance in the workplace (2003 Sustainability Report). J & J companies take a Beyond Compliance approach to environmental responsibility that has been on of the successful companies around the world. Their responsibility to their stockholders is by operating their companies accordingly and wisely. Caring for the people is a strategy for making profit. When J & J operates according to these principles, the stockholders should realize a fair return.

Johnson & Johnson (J&J) structured its company to ensure the positive impact of diversity with regard to decision making through its creation of FrameworkS. Through Frameworks, the executive committee is partnered with a variety of managers from around the organization that concentrate on specific organizational decisions. FrameworkS match a problem with appropriate decision making method that will improve creativity and innovation.
FrameworkS provide a process that successfully incorporates knowledge from a wide variety of sources. Managers are able to bring a variety of perspectives and experiences to deal with a problem at hand. The knowledge brought into focus is greater with these additional individuals involved.
Groups are often more successful than individuals in developing creative solutions due to the increased diversity of ideas available to the members. FrameworkS will help J & J in this aspect to increase both the number and quality of strategic choices for creating its future.
Their Credo calls for “experiment with new ideas,” which is at the core of FrameworkS to help identify completely new opportunities for growth and development. It will help in summoning preliminary ideas for strengthening the company in many aspects by bringing together collective ideas by the different organizations within J & J. Bringing a broad base of individual talent and enthusiasm into the process of new innovations will have a remarkable impact on the company.
FrameworkS can also help the decentralized organization to deal effectively with ambiguous and complex issues and easily manage change. Communication and creativity within its decentralized structure is faster through the productive collaboration of those involved – the executive committee and the different operational leaders helping them learn to convert creative ideas into successful business solutions. For more than 60 years Johnson and Johnson has maintained a high reputation for its health products. Like other companies Johnson and Johnson has its set of beliefs, in servicing people and doing fair business with others. As a large corporation that Johnson and Johnson has become they are faced with more decision making than ever. How do Johnson and Johnson infuse ethics in its decision making? Ethics, which stands for the principles of honor and morality, is what Johnson and Johnson has carried over the years. Ethics has played an important role within the company; it is one of the reasons that Johnson and Johnson have become worldwide. In 1943, General Johnson wrote the Johnson and Johnson Credo. This Credo has been their guide to maintain their customers, employees, community, and stockholders. The Credo has been of great influence in their decision making. The Credo carries out the word ethics from beginning to end. This explains how Johnson and Johnson have done so well in fulfilling people’s needs worldwide. They carry their name with pride bringing to the market all our necessities at a reasonable price. When it comes to decision making Johnson and Johnson takes in consideration all the companies points of view. In 1982, Johnson and Johnson were faced with a tragedy that would follow them through history, the Tylenol crisis. The result of this crisis was seven dead people in Chicago. Johnson and Johnson immediately acknowledged their mistake and took the capsules with a value of 100 million dollars out of retail stores. This failure leads to the introduction of the Tylenol caplets. Johnson and Johnson received much praise for its quick and honest handling of the crisis. This worldwide company has learned from their mistakes and takes action to address low performers. Johnson and Johnson have always been in compliance with the Sarbanes Oxley Act. The Sarbanes Oxley Act is an act to protect investors by improving the accuracy and reliability of corporate disclosures made pursuant to the securities laws, and for other purposes. Section 406 is the code of ethics it states that it is necessary to promote honesty and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships. Even before this act was established Johnson and Johnson had been an ethical company. Referring back to the Tylenol crisis Johnson and Johnson took a Utilitarianism perspective in which even though they lost a great percentage of profit their greatest benefit was to do more research and to introduce to the market the Tylenol caplets at a cheap cost. This worldwide company has always placed their customer’s health and safety first before any economic profits. Johnson and Johnson’s primary goal is to do what is right for the people. Their number one priority is to satisfy their customers and that’s why their decisions are very important. The decisions they have taken are seen from different perspectives establishing trust in every word that is written and said. When encountering with the name Johnson and Johnson people do not hesitate in buying their products. Customers like me have placed their full trust in their products. Trust is something you earn by your claims and promises. Johnson and Johnson is one of the most trustworthy companies.
It’s all about ethics when it comes to decision making. No matter what crisis Johnson and Johnson faces they always place their customers first even if that means a lost in profits. They make sure that any errors committed should be researched in depth and paid for to gain their customers trust again. One ethical step in decision making is the ongoing “challenge sessions" that the company holds in order to clarify each person’s perspective and commitment to the Johnson and Johnson Credo. These sessions are formed into strong motivated teams that work together to give their greatest performance.
J & J concerns for profits are their number one priority and then their customers. The value that Johnson and Johnson have given to their customers has made them the company they are now. With ethics in mind this company will always make the best of decisions. If face with another incident like 23 years ago Johnson and Johnson will use all its resources available to fix their mistakes. Doing what is right has always been an issue and Johnson and Johnson has come a long way to fulfill each and everyone’s needs at a reasonable price. Johnson’s success is due to their customer’s confidence in them. Consumers know that every where they go they can find a trustworthy brand like Johnson and Johnson. Johnson and Johnson operated as a small company back in 1887. Hundred plus years later, J & J has grown to operate over 200 companies within 57 countries. Using their decision making methods, J & J would need to recognize the issue at hand: Operating a large company on the basis of a small start-up firm. In order for J & J to stay on top of the competition, they would need to analyze their current strategies for keeping a step ahead of their competition. First, J & J puts their consumers first and makes sure their needs are met through their products and other provided services. In their company Credo, J & J should continue to follow their beliefs. “In meeting their needs everything we do must be of high quality. We must constantly strive to reduce our costs in order to maintain reasonable prices.” Second, J & J should maintain their company’s perception to the consumers. J & J is known throughout the world as a “caring” company. They are recognized for their gentle care of the consumers and the communities which they live and work. They support charities, encourage civic improvements and better health and education.
Lastly, J & J should continue their research efforts. Research is vital to their perception to the consumers and the world and keeping their reigning position in the market place. After the Tylenol crisis, Johnson and Johnson researched for years a new innovation to improve the safety and concern for their consumers. From this research, they developed the safety capsule in which is also known as the “tamper-proof” pill. Consumers could rest at ease knowing J & J developed such a safety pill for which people would not be able to tamper with and kill more innocent victims. In 2003, J & J spent $4.7 Billion dollars in research and development alone. This is just one of the wonderful gifts J & J gives back to the consumers.
J & J has many organizations they contributed to in many different countries. From those contributions, their consumers along with the communities within those countries benefit in many different ways. Worldwide J & J is known for their social responsibilities, FrameworkS, ethics, and their continue research and developments efforts in order to stay in the leading market control. With what three brothers created more than hundred of years ago, today Johnson and Johnson is a world known “caring” company and the leading health care manufacturers worldwide.

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