Johnson and Johnson
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Lucia Rivers
S2
JOHNSON & JOHNSON: A COMPANY IN WHICH ITS CULTURE IS REALLY IT!
If Robert Johnson, founder of Johnson & Johnson, were still alive he would probably never imagine the legacy he built as products from Johnson & Johnson affiliates are sold in more than 175 countries, generating annual global revenues of more than $33 billion. But as the case clearly states, what has driven the company to where it is now, has been the strong culture and philosophy General Johnson manage to establish as he had a very perceptive view of a corporation's responsibilities beyond the manufacturing and marketing of products. The establishment of what they call "Our Credo" " which is the corporation's responsibility to customer, employees, community and stockholders and " The Standards for leadership" have driven the company to where it is today.
Founded in 1887, Johnson & Johnson was guided by its founder from a small, family-owned business to a worldwide enterprise, in a relatively short period of time. To grow, the company has strongly used innovation to introduce new products and enter into new markets relying in R&D; mergers, acquisitions and strategic alliances; constant search for advancements in science and technology; improvements in operation to reduce cost, among others. But the company's growth would probably hadn't been so successful if the company hadn't had established a culture and philosophy that reinforced every aspect of the company's business. In other words, J&J has created a specific plan, which is given by both the Credo and the Global Standards of Leadership, to serve as the main guidance for the corporation throughout the years. It is obvious that the ideals that both documents uphold are wooven in every aspect of the business as could be perfectly demonstrated by the Tylenol crisis, and can be seen in its strategy ("maintain a leadership position through aggressive plans for expansion in its current key areas") in its structure (decentralized and designed to attend customer needs); in its people (company is committed in attracting those with strong, positive values that are further developed, reinforced and rewarded in the company) and in its systems (designed to support decentralized decision making).
I believe one of the biggest challenges for a global company such as J&J is its ability to transfer its culture: beliefs, ethics, and values to every organization not mattering the environment in which it is established...