Case: “Johnson & Johnson Consumer Products Brazil: Corporate Transformation (A)”

We will discuss the situation facing Justino. There is not much financial information in the case. However, the implementation issues are worthy of our consideration.

1. Why is J&J Brazil in the situation they are?

Some of the reasons I have observed are as follows:

• Economy plays a role in the situation that they are in now. Rapidly decaying economy and constantly changing economical and regulatory landscape prepares the necessary grounds for J&J Brazil’s downfall. For example, the fact that they were technologically ill-prepared to keep up with the new entrants’ and other competitors’ pace of technological/machine upgrades, …show more content…
• As Justino puts it, they need to “start talking to the consumers again”. They need to reconnect with their consumer base.

3. How should Justino communicate the vision and change agenda?

• The vision and the change agenda have to be communicated company wide. There has to be constant feedback from the ground level up. I think Justino should go down to the floor himself and show that he is not only blowing smoke but actually stands behind the vision and the plan. This is especially important, because if he wants to make this plan a success in such a short time, he will need everyone’s buy-in, and one of the things that will help him in this quest is if he can prove to his employees that this is for everyone’s benefit and that he is a part of this. He absolutely needs to stay away from the Ivory Tower approach.

Also, the frequency of the communication is extremely important. Communications and request for feedback from the upper management needs to be continuous. Under the current circumstances, there is not a moment to lose for Justino.

4. What does he need to do to ensure that the organization, key individuals and stakeholders support the change?

• Like I said in my answer to the 3rd question, he needs to include them in the process. With roles and responsibilities clearly defined and proper communication and feedback channels in