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Supply Chain Management Plan

Company Profile

General Business Information

Johnson and Johnson is a public company founded in 1886 by Robert Wood Johnson, James Wood Johnson, and Edward Wood Johnson. The company is based in New Brunswick, New Jersey, the United States of America. Johnson and Johnson comprises over 250 operating companies with approximately 140000 employees globally.

Company Overview

Johnson and Johnson’s vision is “to help others see better, connect better, and live better.” The company’s mission is “our credo stems from a belief that consumers, employees, and the community are all equally important.” Johnson and Johnson researches, develops, produces, and vends pharmaceutical goods, medical devices, and consumer goods (Schuhmacher, 2021). The firm offers pharmaceutical products for resistant illnesses, cancer, mental disorders, communicable diseases, cardiac ailments, and metabolic complications. Johnson and Johnson also provides consumer products in oral health, baby care, aesthetics, over-the-counter medication, wound care, and women’s conditions. Finally, the company is a frontrunner in medical devices for cardiac, orthopedic, general surgery, and eye care divisions.

Johnson and Johnson comprises over 280 operating companies, with approximately 140000 employees across the globe. The company operates in 60 countries and sells its goods throughout the world (Alhosnai, 2021). Johnson and Johnson is the world’s most extensive and varied healthcare firm and is, therefore, a global multinational.

Business Details

Johnson and Johnson’s principal customers for medical devices include Wellpoint Inc., CVS Health Corporation, Aflac I incorporated, Aetna, Inc., and Kroger CO. Others are the Dollar General Corporation, Humana Inc., Cigna Corporation, Metlife Inc., Principal Financial Group, and the United Health Group Incorporated. The company’s major competitors for medical devices are Medtronic, Siemens Healthineers, Danaher Corporation, Royal Philips, Becton Dickinson, Stryker Corporation, GE Healthcare, Abbot, and Boston Scientific.

Supply Chain Management Philosophy

Johnson and Johnson’s Philosophy on SCM

The global success of Johnson and Johnson is primarily credited to a steadfast commitment to a supply chain management philosophy that places consumers first and shareholders last. The company’s philosophy was originally expressed in 1943; it was dubbed the Johnson and Johnson Credo. The pharmaceutical firm attributes its fortitude and strength to its unswerving business approach and its clients’ character (Lindsley, 2018). Johnson and Johnson’s philosophy places the needs and welfare of its consumers first. The multinational management also assumes responsibility towards their staff, the community, and the entire globe.

How Johnson and Johnson’s Philosophy on SCM supports its Mission Statement

Johnson and Johnson’s mission statement is “our credo stems from a belief that consumers, employees, and the community are all equally important.” The main points of the philosophy mentioned above reflect the firm’s four responsibilities as highlighted in the mission statement. The firm’s first responsibility is to address everybody’s needs, including medical practitioners, patients, parents, and all individuals who utilize the firm’s products. The company achieves this goal by offering high-quality goods at reasonable costs and making sure that suppliers and distributors can make a reasonable profit. Johnson and Johnson’s second responsibility is to the firm’s staff globally, dealing with them fairly and in a dignified manner, seeking to consider their input, and managing them competently and ethically. The pharmaceutical giant’s third responsibility is to the many communities where its multiple companies operate, looking to improve such regions and share in the cost of such endeavors. Johnson and Johnson’s final responsibility is to the company’s shareholders, looking to turn a reasonable profit to offer a justified return on investment to the owners and allow the organization to innovate and develop so that the company can sustain meaningful returns in the future.

How Johnson and Johnson’s Three Focus Areas (People, Places, and Practices) Apply to Relationship with Supply Chain Partners

Johnson and Johnson focuses its citizenship and sustainability attempts where it believes it can attain the most significant outcome by leveraging the strength of its people, proficiencies, and international collaborations. The company’s “Health for Humanity” objectives conform to its aims and portray the fields the stakeholders expect it to lead. Johnson and Johnson’s sustainable development goals are a universal outline for advancement toward a more sustainable future. Therefore, in determining the distinct effect the multinational would have on the worldwide community to establish a healthier, more impartial world, the firm designed a clear, practical procedure. This process created a commitment to fast-track sustainable development goals that demonstrate its distinct collection of strengths throughout the supply chain.

Johnson and Johnson has made a laudable advancement against its seven all-encompassing “Health for Humanity” goals, underscored by seventeen measurement targets in the categories of people, places, and practices. In the first field, Johnson and Johnson toils to positively influence communities’ lives by furthering health and offering improved access and care services in its supply chains in more regions across the globe (Reid & Sanders, 2019). Regarding places, the pharmaceutical company seeks to ensure that the communities where its personnel work, reside and sell their offerings are healthier by utilizing reduced and smarter inputs. Last but not least, for practices, Johnson and Johnson collaborates with partners and workers to further promote sustainability and its health and welfare culture across its supply chains and those of its partners.


Alhosnai, K., Kharbanda, K., Almazrouei, H. S., Alzaabi, A. I., Aldhanhani, W., Mostafa, S., … & Nobanee, H. (2021). Financial analysis of Johnson & Johnson in light of the COVID-19 vaccination research developments. Available at SSRN 3896177.

Lindsley, C. W. (2018). New 2017 data and statistics for pharmaceutical products. ACS chemical neuroscience9(7), 1518-1519.

Reid, R. D., & Sanders, N. R. (2019). Operations management: an integrated approach. John Wiley & Sons.

Schuhmacher, A., Wilisch, L., Kuss, M., Kandelbauer, A., Hinder, M., & Gassmann, O. (2021). R&D efficiency of leading pharmaceutical companies–a 20-year analysis. Drug discovery today26(8), 1784-1789.


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