Johnson and Johnson

TERM musical composition For STRATEGIC OPERATION wariness Submitted by ANALIZA T. CEDILLO BSBA 4-1 (OM) Submitted To Prof Avila JOHNSON & JOHNSON COMPANY INTRODUCTION * The come with supports the joined Nations Millennium instruction Goals to alter the wellness of mothers and children in developing countries. As a cross come forward uping sponsor, Johnson & Johnson dos launch the United States offshoot free mobile health service, providing health information via text messages for meaning(a) women and fresh mothers. * They ar the valet de chambres sixth-largest consumer health troupe There atomic number 18 the valets largest and most various medical devices and Diagnostics companion. * They be the worlds fifth-largest biologics beau monde. * And the worlds eighth-largest pharmaceuticals companion * Johnson & Johnson was a biggest company that caring the world and residueuring strength they consistent climax and to managingthey Business. * They yield more than 250 direct companies in 60 countries employing approximately 129,000 plenty. Our worldwide. * Johnson&Johnson Family of Companies work with partners in health care to touch the rattlings of over a billion people every(prenominal) day, doneout the world.HISTORY Johnson & Johnson,126 years more than a century caring. Its start on 1886 with the ternary brothers, Robert wood Johnson, James Wood Johnson and Edward Mead Johnson, found Johnson&Johnson in vernal Brunswick, New Jersey, U. S. 1901, is a Part of its committedness to first of all aid, Johnson&Johnson publishes the first Aid Manuals, using proven exceed practices from leading physicians. 1910, James Wood Johnson takes over the leadership of Johnson&Johnson until 1932. The first overseas direct company opens in the United terra firma was on 1924. And they expand to Mexico and South Africa.On 1932, Robert Wood Johnson II. He begins leadership of Johnson&Johnson. Kn ingest as General Johnson, he transforms the part y into a global decentralise Family of Companies. 1963-1973, Under death chair and CEO Philip B. Hofmanns leadership, operational companies launch impudent treatments for schizophrenia, family imagening and personal care. Also, 1963 marks the finish year that JOHNSONS Baby Powder is exchange in tins. They announce plans to build our new World Headquarters in New Brunswick, New Jersey, and form a public-private federation to revitalize the city. 2002, William C.Weldon give outs Chairman and CEO of Johnson&Johnson, except the eighth person to lead the Company since its founding. Under his leadership, the Company enters new healthful areas such as HIV/AIDS, and health and wellness. 2011, They celebrates 125 years of caring and looks to the succeeding(prenominal) 125 years of transforming care for patients, consumers and communities or so the world. In the year of 2012, Alex Gorsky is appointed principal executive director Officer of Johnson&Johnson. As still the seventh CEO in our history, he continues a legacy of leadership. Company OverviewJohnson & Johnsons commitment to innovative health care products has resulted in consistent pecuniary performance. The Company has 29 consecutive years of adjusted cabbage increases and 50 consecutive years of dividend increases. Johnson Johnson, through its family of companies, employs approximately 129,000 people worldwide and is occupied in the manufacture and sale of a broad range of products in the health care field in more countries of the world. Johnson Johnsons primary interest, both historic each(prenominal)y and currently, has been in products cerebrate to health and well-being.Johnson & Johnson was organized in the State of New Jersey in 1886. Johnson & Johnson is organized on the principles of decentralized focusing. The Executive Committee of Johnson & Johnson is the principal circumspection separate trustworthy for the strategic operations and storage allocation of resources of the J ohnson & Johnson family of companies. Johnson & Johnsons operating companies are organized into troika origin segments Consumer, Pharmaceutical and Medical Devices and Diagnostics.A root word Operating Committee, composed of managers who represent spot operations deep down the segment, as well as management in specialised functional departments, oversees and coordinates the activities of domestic and international companies related to to each of the affair segments. However, in position with the principle of decentralized management, senior management groups at U. S. and international operating companies are each responsible for their own strategic plans, as well as the day-after-day operations of those companies, and each international company is, with around exceptions, managed by citizens of the country where it is located.HR/MANAGEMENT Johnson Johnson strategic Framework They believe that in serving. those who sell their product, they serve himself. Foundation The Str ategic Framework starts with gospel, the guide to help sail way through challenges and opportunities. From credo, there aspiration emerges by caring, one person at a time they are help billions of people around the world live foresightfuler, healthier and happier lives. Strategic Planning/Principles From the instauration they build a unique agreeable of a set.They based on a health care, First they focus on managing for the long term. Second they operate under(a) a decentralized management approach. And thus do all this through a unique culture that value and fosters the teaching of people. Executive management of Johnson Johnson, with the support and favourable reception of the Board of Directors, has set the fundamental strategic direction of the Company to re principal(prenominal) a broadly-based human health care company for the consumer, pharmaceutical and medical device and nosology markets.Strategic planning is guided by the good principles embodied in Our Credo , unifying our people worldwide behind a set of common determine and providing a unvarying reminder of the Companys responsibilities to all of its constituents. With over 250 operating companies located in 60 countries passim the world, Johnson & Johnson is organized on the principle of decentralized management. Each international company is, with some exceptions, managed by citizens of the country where it is located. Senior management groups at U. S. nd international operating companies are each responsible for their own strategic plans. On an on-going basis end-to-end the year, at meetings of the Board and Committees of the Board, management of the Company and Board members discuss the strategic direction and major exploitations of the Companys various businesses. The process is an interactional/on-going dialogue which provides the Directors with insight into the activities and direction of the Companys businesses. account statement/Finance Department Corporate validation The values embodied in the Credo guide the actions of the people of theJohnson & Johnson Family of Companies at all trains and in all parts of the world. They permit done so for more than 60 years. These Credo values extend to our method of news report and financial reporting responsibilities. Management is responsible for timely, accurate, reliable and objective financial statements and related information. Such as * Maintain a well-designed formation of inner accounting controls. * gain strong and effective corporate nerve from our Board of Directors. * Continuously review our business results and strategic choices. Focus on financial stewardship. Accounting Controls The professionally trained sexual take stockors travel worldwide to monitor system of internal accounting controls. This system is designed to provide reasonable assurance that assets are safeguarded and that transactions and events are recorded properly. The internal controls include self-assessments and in ternal and external audit reviews of operating companies, which concludes Managements Report on inborn Control over Financial Reporting, printed in Annual Report.Johnson&Johnson is guided by the values set forth in Credo, created by General Robert Wood Johnson in 1943. Credo and the principles receive been woven into the fabric of the Company. The values articulated of Credo extend to accounting and financial responsibilities to Johnson&Johnson shareholders and investors. The Johnson & Johnson SWOT Strengths * Worldwide gross revenue have grown 14% indicating a strong position for the global group. * The business model adapted by Johnson and Johnson essentially uses the adaptation of entrepreneurial values in ordination to retain an edge within the market place. Working with intensive scientific notions Johnson and Johnson utilize a varied slam of problem solving techniques in order to challenge the standard practice and take advantage on growth through acclivitous markets wh ich enables associated growth. * The use of independent offices working as standalone units provides the probability to develop concepts with cultural considerations which peck prove important when taking a product to global markets. Weaknesses There is increase pressure within pharmaceutical markets to wither prices in line with medical budgets and detect patent expirations to ensure generic wine programmers are updated within critical path movements. * Challenges have been faced within Johnson and Johnson where a decrease in the market demand for delineate products has been identified some of these products were branded and have been replaced by generic programmers at the end of patent time lines. * Internal weakness across the industry and not detached to Johnson and Johnson would be the level of theft and counterfeiting of drugs managed through internal personnel.Opportunity * Whilst the recent acquisition of Pfizer Consumer healthcare leave alone act as an hazard in its own right to boost growth for the organization through resource routes there is the added value capitalized through the give-up the ghost on investment which leave be realized 12 months before plan releasing funds back into the back end line. * Johnson and Johnson have toweringlighted new developments in drugstore products with five undergoing regulatory review which provides the opportunity to grow the existing product portfolio. Development into new functions of medical devices and diagnostics will provide new markets to entry which will result in business growth. * With the development of WTO rules to prevent the availability of cheap generic drugs there is the opportunity to reduce the level of lost profit due to generic introduction as patents run out. Whilst this will aid Johnson and Johnson where they own the brand where they are looking to capitalize on introducing generic drugs to market this ruling will become a hindrance. Threats Generally within the main phar maceutical companies there is a high level of competition for the generics markets where patents finish and it is the first to entry where success will by and large be determined. * Technological developments with bio-tech concepts will potentially move the conventional pharmaceutical methods out of the market place in the long term although there is an economical cause that this form of development can be segregated to run alongside traditional methods and complement as opposed to replace.