Johnson and Johnson Organzational Culture
JOHNSON AND JOHNSON ORGANZATIONAL CULTURE 4
The organizational culture of any company refers to the sharedvalues, assumptions and belief in the organization that guidesemployee behaviour. These values have an effect on how employeesperform their roles within organizations. Organizational culture hasnumerous benefits to any institution. It improves employeeproductivity as employees understand the goals, and vision of theorganization (Wood et al., 2016).Furthermore, it increases the marketability of an organization as jobseekers, and customers are interested in working with a company (Woodet al., 2016). Workplace cultures change to meet the changingdemands across the business segments. For any change process to beeffective, it is necessary that all employees within the company ownand accept these changes. This is the only way that the strength ofthe organizational culture within companies can be maintained.
Johnson and Johnson Case Study
Johnson and Johnson remains one of finest global companies dealingwith healthcare products. The company has established an elaborateculture referred to as The Credo. The credo is at the centerof all activities performed by the enterprise. Each section of thebusiness is self-managed or decentralized. This means that the credoapplies to all employees of the company regardless of their positionwithin the company. Also, the credo recognizes the important roleplayed by the different employees within the company, and as aresult, many of the company’s employee strive to follow all aspectsunder the credo. By considering everyone within the business as anemployee, the company can get the best out of its working populationas employees can apply the credo in managing the company’s dailyactivities (Wood et al., 2016). For exampleduring the hiring process, the company focuses on the importance ofemployee contribution to the company rather than the task ahead ofthe company. Also, employees use the credo as a reference document indealing with all complex issues affecting customers as well as thecompany’s employee. Furthermore, the company has also ensured thatall employees within the company undergo training on the differentaspects of the credo. Accoding to McShane & Von Glinow (2016),training guarantees that all employees within the company haveadequate knowledge on the application of various aspects of the credowithin their organizational setting .
Johnson and Johnson have been named among the top healthcareproviders consistently over the years despite the entry of newparticipants. This success is attributed to the credo. This highranking position has ensured that the company retains its customerbase and its dominant market position in the market resulting inincreased financial performance from the company (McShane & VonGlinow, 2016). Subsequently, the company has managed to outcompeteother players in the current market. Secondly, more qualifiedemployees are interested in working for the company due to theemphasis on respecting the dignity of the employees. As aconsequence, the company attracts a highly talented pool from wherethey can select their employees. The benefits and outcomes mentionedabove are in line with the neo-human relations theory and morespecifically the Maslow Hierarchy of Needs, Theory X, and Theory Y.These approaches emphasize the important role of meeting the internalneeds of employees, decentralization and participative leadershiprespectively (McShane & Von Glinow, 2016).
All in all, organizational culture has been shown to have a positiveoutcome to any company once the cultures have been enshrined andaccepted by the employees of the organization. The case of Johnsonand Johnson serve to show the strength of organizational culture inmeeting the company’s vision.
McShane, S., & Von Glinow, M. (2016). Organizational behavior(3rd ed.). New York: McGraw Hill Education.
Wood, J. M., Zeffane, R. M., Fromholtz, M.,Wiesner, R., Morrison, R., Factor, A., … & Osborn, R. N.(2016). Organisational behaviour: Coreconcepts and applications. John Wiley& Sons Australia, Ltd..
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