Johnson & Johnson
MAN4120
Professor Juliette Trottman
May 28, 2012

Johnson & Johnson Three brothers Robert, James, and Edward Johnson founded Johnson & Johnson during 1886 in Brunswick, New Jersey. During the beginning this company published methods on sterile surgery, which later became standards worldwide. Not only it set standards for surgery but it also developed products such as first aid kits, maternity kits, and sanitary protection products for women, dental floss, band aide, and tearless baby shampoo. Even though the company was busy developing new products to keep individuals healthy it was thinking socially as well when it helped citizens in Galveston, Texas after the massive hurricane and was one of the first companies that helped out the citizens in San Francisco during 1906 after an Earthquake. Johnson & Johnson was one of the first companies to think globally by opening its first overseas operating company in the United Kingdom during 1924. Robert Wood Johnson established Johnson & Johnson’s vision statement in early years when he implemented corporate social responsibility as the foundation of a successful business. Even though Johnson & Johnson is a major example of a successful company, it has experienced its rocky roads as well especially during 1982 and 2011 with a major recall with the contaminated Tylenol. This contaminated Tylenol caused the death and illness of individuals. Johnson & Johnson’s product mix is focused on health care and maintaining a healthy life style. Its major focus is on health care products from antiseptics, antiviral medications, contact lenses, and personal sanitary maintenance. Johnson & Johnson’s strengths are broad diversity of products, repeat customers, and strong brands such as Band-Aid, tearless shampoo, and Tylenol. Johnson & Johnson has a huge market share with a gross income over 65 billion dollars during 2011. Johnson and Johnson overcoming the 1982 disaster were similar but different to the 2011. In 1982, it was a smaller company allowing corporate to have more control. It was decentralize corporations that were trying to overcome the link of Tylenol and deaths of seven people. In 2011, the company had more products and was able to control the situation a lot easier. The leadership style in 2011 was more about having good leaders in place for the 200 companies. This allows separation from companies while giving the leader complete control of their individual products. The culture in 1982 help saved the company from the Tylenol recall. They used the mission statement made by Mr. Johnson in 1940. The statement was written to protect consumers and medical professional that use their product. Once J&J realized the connection from their products and the death of people they reacted quickly to resolve the problem. In 2011 under the supervision of Mr. Weldon, the company had trust in their 200 hundred managers and was able to control the situation a lot easier. Since the company is decentralize, situation will not affect the mother company so much because J&J separated the company responsibility 200 ways. The political atmosphere of Johnson and Johnson in 1982 was one that accepted and took responsibility for their actions. They took control of the situation and figured a way to rebound after recalling 31 million bottles. To help gain back scared consumers the company marked and discounted their products by 25%. In 2011, the culture was lot more complex than it was in 1982. They had more contingency plans for disasters and are able to isolate an incident. The recall was for 60,000 bottles, and as they did in 1982 quick action help the company to overcome the mishap. In 1982, the company symbolically was the first major company to comply with the Food and Drug Administration policies. They laid the blueprint for other companies to follow. In 2011, Mr. Weldon has his company dedicated to innovation and