...Introduction of Johnson &Johnson As a consumer, you’re familiar with the name. The rich heritage brands from their operating companies have helped people around the world, and chances are your own family has trusted their products for generations. Johnson & Johnson is the world’s most comprehensive and broadly based manufacturer of health care products in the industry. Their products touch the lives of nearly a billion people every day. Their operating companies around the world compete in consumer, pharmaceutical, and medical devices and diagnostics markets. With approximately 120,000 employees working in more than 250 companies in 57 countries, Johnson & Johnson has the skills and resources to tackle the world’s most pressing health issues. Few companies have the consistent track record of public trust, annual sales increases, double-digit earnings increases, and steady dividend increases of Johnson & Johnson. Working together across various business segments, Johnson & Johnson believe that they can accelerate growth through a dedicated focus on the intersection of existing capabilities, customer need, and emerging trends. Because of their wide-ranging technological expertise and global presence, cross-business collaborations provide an enormous opportunity to address unmet health care needs and to enhance competitive advantage for their Family of Companies. Success in these markets requires an understanding of local cultures derived only from local experience...
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...Tylenol The background In 1982, Johnson & Johnson (J&J) faced a major crisis that had the potential to send the company into financial ruin. Tylenol, the country’s most successful over-the-counter product, with over one hundred million users, was under attack. The crisis Sealed bottles were tampered with and extra-strength Tylenol capsules were replaced with cyanide-laced capsules. These bottles were then resealed and placed on shelves of pharmacies in the Chicago area. Seven people died as a result. Tylenol was called upon to explain why its product was killing people. The solutions The company first learned of the deaths from a local news reporter. A medical examiner had just given a press conference saying people were dying from poisoned Tylenol. Tylenol had to act fast. What did Tylenol do right? It is difficult to imagine how else should have Johnson and Johnson reacted at the time of the crisis except the following ways: • Recalling all the products whether contaminated or not. • Alerting all the customers by all available media including toll-free hotlines. • Appearance of the chairman of the company on the television to publicize the company’s response and action taken by it to combat the emergency. • Making public relations programmes to address the issues and concerns all the internal and external stakeholders. • J&J put customer safety first. – Company Chairman James Burke immediately formed a seven-member strategy...
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...Information/Additional Perspective Johnson & Johnson Tylenol Case In 1982, Johnson & Johnson's Tylenol medication commanded 35 per cent of the US over-the-counter analgesic market - representing something like 15 per cent of the company's profits. Unfortunately, at that point one individual succeeded in lacing the drug with cyanide. Seven people died as a result, and a widespread panic ensued about how widespread the contamination might be. By the end of the episode, everyone knew that Tylenol was associated with the scare. The company's market value fell by $1bn as a result. When the same situation happened in 1986, the company had learned its lessons well. It acted quickly - ordering that Tylenol should be recalled from every outlet - not just those in the state where it had been tampered with. Not only that, but the company decided the product would not be re-established on the shelves until something had been done to provide better product protection.As a result, Johnson & Johnson developed the tamperproof packaging that would make it much more difficult for a similar incident to occur in future. How Did Johnson & Johnson Make These Decisions? The public relations decisions made in light of the Tylenol crisis had to have come from somewhere. This basis for decision making became a bit more clear in 1983, when the New Jersey Bell Journal published article written by Lawrence G. Foster. Foster, Corporate Vice President of Johnson & Johnson, at the time of the Tylenol...
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...get consumers and create a solid revenue stream. We are not just another developer of an insulin pump. Our unique focus of creating an insulin pump that is more manageable for diabetics will give us an advantage over our competitors. We will fund development of our own pod by providing consulting services to create other insulin pumps for diabetics for corporations who are looking to create their own pod-like insulin pump system. These consulting assignments will come from advertising sponsorship relationships that we will establish with companies who are interested in embedding their brand and offers along with our pumps. 2.0 Situation Analysis The Animas Corporation is member of the Johnson and Johnson family of companies (Animas Corporation, 2007-2010). Johnson and Johnson have been around for over 125 years. Currently, Animas Corporation produces an insulin pump for diabetics called the One Touch® Ping™ (Animas Corporation, 2007-2010) (National Diabetes Information Clearinghouse, 2011). In a society where diabetes is increasing, the need for insulin pumps is growing. There are currently 18.8 million people diagnosed and 7.0 million undiagnosed, and the numbers are increasing (National Diabetes Information Clearinghouse, 2011). As of today, there are only five choices for diabetics to choose from when selecting an insulin pump (NA, 2011). With such limited choices, no one company is suffering from hardship, however, new and more innovative models are being manufactured...
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...“Preparing Nurses for the Future.” Johnson and Johnson own the copy write and sponsored both videos. The video “Taking Skin Care Personally” featured actress Cherie Price explaining how the “Skin Id” system help resolve her acne problem. The skin care video is toward Johnson and Johnson Neutrogena products because it did not reference any other company’s products. Even the title “Taking Skin Care Personally” implies Johnson and Johnson takes skin care personally. The second video “Preparing Nurses for the Future” is promoting a program called “Your Future in Nursing” that prepares new nurses for the workplace reducing the high attrition rates that result from the pressures and responsibilities of being a nurse fresh out of school. The issues associated with starting a new job affects society because there difficulties making this transition for all professions. Therefore, this video relates to society as the whole. Johnson and Johnson is a very large well respected company. Although the videos were supporting Johnson and Johnson products which could be interpreted as bias, the information is credible base to the companies experience and reputation. The videos did not make a direct claim but states or implies the Johnson and Johnson company has a personal interest in the well being of the nursing profession and that their skin care products in the best interest of the consumer. The videos give the viewers the impression that Johnson and Johnson places the individuals needs...
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...can face. Through no fault of its own, Johnson & Johnson was faced with the destruction of one of its most important brand names. An unknown assailant used the product to murder a number of people at random, and the story was one of the most widely covered events in media history. Within the first week it is estimated that more than 90 percent of the American public were aware of what had happened. This situation left the product in a very bad position - no one wanted to use Tylenol in case there had been some tampering with the product. Johnson & Johnson had done nothing to betray the public's trust in the company, or its products; yet that trust, a great deal of revenue, and a large market share segment were gone. One horrible event and the excessive media coverage that followed, put Johnson & Johnson in a position where it needed to salvage its image and revenues even though the company had done nothing wrong. Americans were bombarded with information about the Tylenol incident. The volume of information pertaining to the cyanide-induced deaths was incredible. The fact that the story received so much attention probably saved the lives of people who would have otherwise unwittingly taken cyanide-laced Tylenol and died. Consumer response immediately after the tragedies showed what the makers of Tylenol were up against as demand for all brands of pain relievers and sleeping aids dropped by 16.7 percent. Johnson & Johnson reported it had lost 87 percent of its...
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...Discusssion Question: Review the reading passage focusing on “Guidelines for Designing Incentive Compensation Systems (p. 335).” Select two of these guidelines and discuss how they are being implemented in organization you are familiar with. Do you think there are serious disadvantages for companies that do not follow these guidelines? Guidelines for designing incentive compensation system is so important to ensure that the performance target set for each individual or team involvement that the individual or team can personally affect the work performance. * Have incentive that extend to all managers and worker, not just top management to make all the staff worker do their hardest to hit performance target and encouraging them to do their best with fairness environment. That make no different between any hard worker employees to get the lucrative rewards. * Avoid rewarding effort rather than results. It has to be no exception for people who would like to achieve something and did not because of limiting control that they have. Because one good excuse would open the door for thousand and getting rewarded for unachievable target for just a try. It has to be forbidden to reward the high effort “excuse” to make it easier to administer and achieve the results-oriented work climate. The disadvantage for companies that not follow theses guidelines 1- Encouraging employees bad behaviors 2- High percentage of turnover that harm performance of the whole company ...
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...Summary: Johnson and Johnson have created a product called Tylenol. It is used to treat headaches, aches, and pains. Many people use this product as an alternative to aspirin. Tylenol does not upset the stomach lining like aspirin does. However there are a few cases where people overdose on this over the counter drug. This has caused people to become sick or even die from the overdose. It is apparently really easy to accidentally take too much and in the end hurt yourself or others. For parents giving out medicine to kids poses a threat because they could accidentally dish out too much medicine without knowing better. Tylenol has two very different kids medicine that gets easily confused because the two products look very similar. Parents purchase one for kids for their infants and then give them the “proper” dosage which is actually a lot for a newborn. This causes health risks such as liver damage, coma and death. This is not properly labeled on the container of medicine because Johnson and Johnson fear that proper labeling will drive down costs and that they will lose money in the long run. Over 100 law suits have been filed against Johnson and Johnson because of their Tylenol medicine poisoning. For Johnson and Johnson would rather pay settlements than have to lose profits from having a proper labeling system. Therefore consumers do not know the risks involved with the medicine that they are taking and that hurts the consumers. Problems: The biggest problem Johnson and Johnson...
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...ABOUT THE COMPANY 1. Details about the promoters of the company. Johnson and Johnson 2. Vision and Mission of the company credo, it states that as a company, their first and number one responsibility is to the doctors, nurses, patients, mothers, fathers, employees, communities, and stockholders. Their credo challenges them to put the needs and well-being of the people they serve first. * Provide high quality products for doctors, nurses, patients, and parents. * Treat employees as individuals with opportunities for development and advancement. * Support good works and charities in each community . * Meet the responsibility to the stockholders by making a sound profit, while continuing research and development. 3. Historical background of the company Three brothers, Robert Wood Johnson, James Wood Johnson and Edward Mead Johnson, found Johnson & Johnson in New Brunswick, New Jersey, U.S in 1886 Their initial focus was on bandages, sterile sutures, wound care and baby products. Their first-aid kits, originally sold to railroad workers, would later become a staple in nearly every household. They also sold women’s health products, including sanitary protection products and maternity kits with first-aid products to assist in home births. Johnson and Johnson in India Johnson & Johnson spread its root into India 67 years ago. Since then, the Company has brought many innovative ideas, products and services to improve the health and...
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...| Johnson & JohnsonSubmitted to:Submitted by: Date: 31st December, 2014 | | | | | | | | Index Particulars | Pg.Nos. | Introduction(about co., credo, history, subsidiary holdings, product) | 03 | Strategic framework | | Environmental analysis(PESTEL,Porter,SWOT,competitor, value chain) | | Business level strategy | | Corporate level strategy | | Strategic acquisitions | | Corporate governance | | References | 12 | Introduction Johnson & Johnson is an American multinational pharmaceutical, medical devices, and consumer packaged goods manufacturer founded in 1886. It is headquartered in New Brunswick, New Jersey and being listed among the Fortune 500. The corporation includes some 250 subsidiary companies with operations in over 57 countries and products sold in over 175 countries. Johnson & Johnson and its subsidiaries (the Company) have approximately 128,100 employees worldwide engaged in the research and development, manufacture and sale of a broad range of products in the health care field. The Company conducts business in virtually all countries of the world with the primary focus on products related to human health and well-being. Our Credo: Credo,a deeply held set of values that have served as the strategic and moral compass for generations of Johnson & Johnson leaders. * We believe our first responsibility is to the doctors, nurses and patients, to mothers and fathers and all others who use our products...
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...Mission : Johnson & Johnson (NYSE: JNJ) is a global American pharmaceutical, medical devices and consumer packaged goods manufacturer founded in 1886. The company's founder wrote a statement of its values called "our Credo" in 1943 and this still dominates the company's culture. Firstly, “We believe our first responsibility is to the doctors, nurses and patients, to mothers and fathers and all others who use our products and services”.Secondly,” We are responsible to our employees, the men and women who work with us throughout the world. Everyone must be considered as an individual and we must respect their dignity and recognize their merit. Compensation must be fair and adequate, and working conditions clean, orderly and safe. We must be mindful of ways to help our employees fulfil their family responsibilities”. Thirdly,”We are responsible to the communities in which we live and work and to the world community as well”. We must be good citizens - support good works and charities and bear our fair share of taxes. We must encourage civic improvements and better health and education. We must maintain in good order the property we are privileged to use, protecting the environment and natural resources. Our final responsibility is to our stockholders. Our suppliers and distributors must have an opportunity to make a fair profit” . ( “COMPANY STATEMENT” ) Source: http://www.oup.com/uk/orc/bin/9780199296... EXECUTIVE SUMMARY: In 1886 , Three brothers, Robert Wood...
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...Johnson & Johnson is the leading pharmaceutical company and is included as one of Fortune’s most admired companies for the past 30 years. Johnson & Johnson has a long-standing history that is committed to caring for its consumers since it started. Johnson & Johnson delivers an annual report to depict the company’s performance and growth in the past year and for the future in order to inform shareholders and potential investors. Johnson & Johnson’s annual report uses a visual/verbal strategy of a number of engaging videos to demonstrate quality of products, a verbal strategy of industry details and statistics to show competitive dominance, and visual strategy consisting of family images to convey diversity among consumers. Johnson & Johnson uses a number of engaging videos with personal stories to demonstrate the quality of products and how they care for its consumers. In the video, “Our Safety and Care Commitment,” Susan Nettesheim, vice president of product stewardship, is explaining the new website where consumers can view the ingredient policies and learn about scientific standards of the five level safety assurance programs. She states, “As a leader in scientific research about baby care products for over 100 years, the Johnson & Johnson Family of Consumer Companies pioneered much of the research that our industry relies on.” This information is important to investors because telling this story shows that Johnson & Johnson has a commitment to...
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...management techniques and strategies by managers in utilization of resources, enhancing the external and internal environments and ensuring a company market share so as to maximize on profits. We shall evaluate the strategic management of Johnson and Johnson. Through the analysis, major market and business strategies of the company shall be evaluated with the current external and internal business environment. Table of Contents Johnson and Johnson Strategic Management Analysis 1 Contents 1 Chapter 1 3 1.1 Executive Summary 3 1.2 Scope of the Case Study 3 2.1 Company Background 4 2.2 Vision and Mission Statements 5 2.3 Strategies 6 3 TASK A: External Environment 8 3.1 Specific Environment 8 3.1.1 Porters Five Forces 8 Figure 1 9 3.2 Generic External Environment 12 3.2.1 Pestel Analysis 12 3.3 Impacts on the industry: Threats and Opportunities 13 4 TASK B: Internal Environment 16 4.1 J&J SWOT analysis 16 4.2 Summary of Strengths and Weaknesses 17 5 Financial Analysis 19 5.1 Profitability Ratio analysis 19 Liquidity Ratios 21 6 Data Analysis 22 7 Recommendations 23 References 25 Chapter 1 1.1 Executive Summary The strategic management analysis of Johnson and Johnson Company is looking to analyze at the strategic performance of company in its micro and macro environment. J&J is one of the leading providers of healthy products and services in the world with roots in more than 151 countries. What makes...
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...the early years Tylenol was developed by McNeil Laboratories. It has as its active ingredient a generic compound that can be manufactured by most pharmaceutical companies: acetaminophen. After Johnson & Johnson acquired McNeil in 1959, it began aggressively to advertise the product—to health professionals—as an analgesic that was as effective as aspirin but easier on the stomach. By 1970, sales of Tylenol were growing about 20 to 30 percent annually, with projected sales to reach about $60 million by 1975. With the release of a number of studies in the early 1970s which questioned the wisdom of widespread dependency on aspirin as a pain-killer, the use of acetaminophen accelerated with Tylenol accounting for 90 percent of acetaminophen sales. Two-thirds of Tylenol users were introduced to the product by physicians. Others became familiar with it through hospitals, where it was used extensively—not necessarily because it was the medication of choice, but because it was generally less expensive than other analgesics and less interactive than aspirin. When a 1976 survey showed that consumers were generally aware that Tylenol was easier on their digestive system than other analgesics but felt that this benefit was achieved at a loss of efficacy to reduce pain, Johnson & Johnson introduced Extra-Strength Tylenol. Extra-Strength Tylenol became the first nonprescription analgesic to contain 500 mg of pain-killer per unit—the established industry dosage was 325 mg for regular...
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...ANNUAL REPORt 2011 Johnson & Johnson will continue to bring meaningful innovations to people around the world so they can live better and healthier lives. We are deeply committed and dedicated to the people who use our products, our employees, the communities in which we live and work, and you, our shareholders. Most important, we will never lose sight of who we are. ON tHE COVER Matt Cox, who has type 1 diabetes and uses the waterproof ANIMAS® VIBE™ insulin pump, swam an English Channel relay to raise money for the Juvenile Diabetes Research Foundation. Matt wants to show his son, Jack, who also has type 1 diabetes, that the condition need not hold him back in life. Read Matt’s story on page 16. CHAIRMAN’S LETTER To Our Shareholders hroughout our annual report this year, you’ll read the severe economic decline; the tightening of consumer about how Johnson & Johnson is bringing meaningful spending and health care budgets; over-the-counter (OTC) innovation to our patients and customers, and making product quality issues at McNeil Consumer Healthcare and a difference in their lives in a personal way—from the recall of the DePuy ASR™ Hip System. Brunhilde Wecker, who made a full recovery from her stroke Our company was severely tested. thanks to our new blood clot retrieval and removal device, In managing through this stretch, we relied heavily on the resolve to our own Bill Hait, an oncologist whose vision and insights of our people and on our time-tested business...
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