The Johnson & Johnson Credo
The impact of the Credo of Johnson & Johnson on the organization can be seen on several levels. To begin with, the authors of this case, Professor Aguilar and Arvind Bhambri, quote a senior executive as saying, “The prime motivator in J&J is the opportunity to grow with more responsibility. It runs through the whole organization.” This brief statement illuminates what is at the center of the Credo when speaking about the responsibility of J&J to its employees – provide a fertile ground for employees to work, one that is managed well with room to grow, open to change and challenge, ripe with opportunities to innovate and take risk while being treated fairly and compensated well. These ingredients encourage a like-minded move towards advancement that inevitably come with employee / employer loyalty, respect and a common goal in line with those of Robert Johnson and his son, the General. In short, the Credo, when taken to heart, propagates a unified culture. This is supported by the fact that J&J could when needed, look outside of one of its 250 companies for a qualified candidate to fill a position in that organization from within one of the other 249 companies, confident that the prospective candidate would be able to move into that position with ease.
The Credo also details J&J’s responsibility to the customer. This also affects the organization in that it provided the foundation for the organizational structure of J&J. In being able to provide the highest quality of products and services to the customer in so many different niche markets, J&J’s leaders determined that the decentralized structure was the best way in order to achieve the commitments stated in the Credo to the customer. This structure is followed still today, even though the growing number of operating companies continues to grow and put strain on the executive group. The Credo also influences the organization as it is made very visible to customers and clients...
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