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ORGANISATIONAL STRUCTURE OF

JOHNSON&JOHNSON


JOHNSON & JOHNSONs organizational structure is dictated by its corporate
strategy. Johnson & Johnson has more than 250 companies located in 60
countries around the world. Johnson & Johnson Family of Companies is
organized into several business segments comprised of franchises and
therapeutic categories.

Consumer Healthcare

The Consumer segment includes a broad range of products used in the
baby care, skin care, oral care, wound care and womens health care fields,
as well as nutritional and over-the-counter pharmaceutical products, and
wellness and prevention platforms.

Medical Devices & Diagnostics

The Medical Devices & Diagnostics business segment produces a broad
range of innovative products and solutions used primarily by health care
professionals in the fields of orthopedics, neurological disease, vision care,
diabetes care, infection prevention, diagnostics, cardiovascular disease, and
aesthetics. This segment is comprised of their Global Medical Solutions,
Global Orthopedics and Neurological, and Global Surgery Groups.

Pharmaceuticals

The Janssen Pharmaceutical Companies of Johnson & Johnson are
dedicated to addressing and solving the most important unmet medical
needs of their time, including oncology (e.g., multiple myeloma and
prostate cancer), immunology (e.g., rheumatoid arthritis, irritable bowel
disease and psoriasis), neuroscience (e.g., schizophrenia, dementia and
pain), infectious disease (e.g., HIV/AIDS, Hepatitis C and tuberculosis), and
cardiovascular and metabolic diseases (e.g., diabetes). Driven by their
commitment to patients, they develop sustainable, integrated healthcare
solutions by working side-by-side with healthcare stakeholders, based on
partnerships of trust and transparency.

Initially JOHNSON & JOHNSON adopted a decentralized approach to
management but in the early 1900s, changed it to a more standardized
approach for JOHNSON & JOHNSONs top executives noticed that their
subsidiaries are not well positioned on a global platform to serve customers
directly. The change in corporate management allowed JOHNSON &
JOHNSON to mitigate limitations posed by the decentralization approach.
One instance would be JOHNSON & JOHNSON having categorized all
subsidiaries into three categories namely, consumer, pharmaceutical and
professional. The chairman of each category is given the responsibility of
identifying opportunities for leveraging services and expertise across
companies in every market and the franchise managers assigned the
responsibility of coordinating cross-company sales of a family of products
(e.g. baby care products in US, France, Australia). The centralized
management approach benefits JOHNSON & JOHNSON for it gives
JOHNSON & JOHNSONs top management a better view of its global
operations and is able to effectively manage and integrate its global
operations. This led to the success of JOHNSON & JOHNSON in being
globally effective in terms of operations for cost of production is lowered in
terms of reducing redundancies and duplications during the processing and
manufacturing process.

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