Johnson & Johnson Marketing efforts analysis


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  • Margo“Leading companies are recognizing the valuable, indeed essential, role their employees play in aligning day-to-day operations with corporate values regarding the environment and sustainability. Responding to environmental challenges is now so fundamental to a company’s success that environmental knowledge cannot be isolated within an organization, but must be pervasive”
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  • MargoKnow the corporate culture that you’re trying to promote environmental literacy in. Frequent messages, in a variety of media, work well; it’s not about having a once-a-year Earth Day fair. The messages need to be repeated and connected to the day-to-day operations of the company. For example, you can do something at an Earth Day related to forests, but then connect it to napkins in your cafeteria later”
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  • Johnson & Johnson Marketing efforts analysis

    1. 1. A Corporation’s Positive Impact<br />On the Environment<br />MBA 241 | Dr. Claudia Bridges <br />Anamika Singh<br />Jane Finnegan<br />Margaret Hwang<br />RekhaSrivatsan<br />1<br />
    2. 2. Johnson & Johnson – An Overview<br />Founded in 1886 in New Brunswick, New Jersey<br />Incorporated on November 10, 1887<br />Family-owned until listed on the NYSE in 1944 under the symbol JNJ <br />250 operating companies in 57 countries<br />Approximately 117,000 employees worldwide<br />2<br />
    3. 3. Johnson & Johnson – an Overview<br />The Johnson & Johnson Family of Companies is organized into three business segments:<br />Consumer Health Care <br />Pharmaceuticals <br />Medical Devices and Diagnostics<br />3<br />
    4. 4. Johnson & Johnson Products<br />4<br />
    5. 5. The Green Marketing Strategy Matrix<br />Defensive Green<br />Extreme Green<br />High<br />Sustainability of Green Market Segments<br />Lean Green<br />Shaded Green<br />Johnson & Johnson<br /><ul><li> Invests in long-term, system wide, environmentally friendly processes
    6. 6. Have capability to truly differentiate themselves but choose not to do so.</li></ul>Low<br />Differentiability on Greenness<br />Low<br />High<br />Ginsberg, Choosing the Right Green Marketing Strategy, 2004.<br />5<br />
    7. 7. Johnson & Johnson – Water Use<br />Johnson & Johnson’s Healthy <br />Planet Goals 2010<br />Monsoon Rainwater Harvesting<br />Environmental Auditing<br />Water Conservation<br />Partnerships<br />Manager of Environment, Health and Safety (EHS) for Johnson & Johnson, Achal Gupta<br />SpiraxSarco Steam Supply Audit<br />6<br />
    8. 8. Johnson & Johnson – Environmental Literacy<br />Think back… way, way, way back…<br />To week 3<br />Sustainability and Competitive Advantage<br />Respondents of the survey stated that:<br />Lack of a common fact base about relevant issues<br />Sustainability goals too loosely defined<br />not collectively understood within an organization<br />7<br />
    9. 9. The article also stated that:<br />structured gathering and sharing of facts about sustainability is needed<br />sustainability efforts will become more cohesive<br />when employees, managers, and leaders are all on the same page<br />Employee interest is a driver <br />sustainability efforts are becoming more integrated with company culture<br />Johnson & Johnson – Environmental Literacy<br />8<br />
    10. 10. Report conducted by the National Environment Education Foundation stated that:<br />“employees play an essential role<br /> aligning day-to-day operations with corporate values <br />Responding to environmental challenges fundamental<br />environmental knowledge cannot be isolated within an organization, but must be pervasive<br />Johnson & Johnson – Environmental Literacy<br />9<br />
    11. 11. “I thought your project was about Johnson & Johnson?”<br />Johnson & Johnson is a large, multinational corporation that has embraced educating their employees on environmental and sustainability issues<br />Johnson & Johnson – Environmental Literacy<br />10<br />
    12. 12. How can an corporation of 100,000 employees spread the word about sustainability?<br />Make Environmental Literacy as on of the fundamental goals<br />Healthy Planet 2010 Goals<br />J & J employed informal environmental goals for over 15 years<br />Part of the culture of the company<br />Johnson & Johnson – Environmental Literacy<br />11<br />
    13. 13. Low bearing fruit were taken after 15 years<br />Time to step it up a notch!<br />Increased environmental literacy plan was implemented in layers<br />First campaign these revolved around sustainable forestry<br />Johnson & Johnson – Environmental Literacy<br />12<br />
    14. 14. Information about the initiative was shared through a myriad of communication mediums<br />Websites, web meetings, e-learning materials, YouTube videos, marketing collateral, and conferences<br />All for the benefit for employees to learn more about sustainable forestry<br />Key was for each facility to adapt the message for the employee population<br />Johnson & Johnson – Environmental Literacy<br />13<br />
    15. 15. TishLascelle, senior director of Stratey and Assurance sums it up nicely:<br />know the corporate culture<br />frequent messages, in a variety of media, work well<br />messages need to be repeated and connected to the day-to-day operations of the company<br />Johnson & Johnson – Environmental Literacy<br />14<br />
    16. 16. Johnson & Johns0n – Paper and Packaging<br />Distinctive packaging: Sustainable packaging<br />Recyclability, reusability & use of recycled content<br />Minimizing raw material use<br />Logistics efficiency<br />Carbon & energy intensity<br />Use of alternative raw materials<br />15<br />
    17. 17. Johnson & Johns0n – Paper and Packaging<br />Distinctive packaging: Sustainable packaging<br />Recyclability, reusability & use of recycled content<br />Minimizing raw material use<br />Logistics efficiency<br />Carbon & energy intensity<br />Use of alternative raw materials<br />16<br />
    18. 18. Initial drawbacks<br />Goal: Using 30% post consumer recycled high-density polyethylene in baby lotion bottles<br />Found it to be compromising on Product’s quality; hence delayed it<br />17<br />
    19. 19. Facts about Johnson & Johnson’s Packaging<br />93 percent of its packaging contains more than 30 percent post-consumer recycled content or fiber from certified forests. <br />Reduce energy consumption and paper in their packaging = average savings of $30 million per year.<br />Eliminated 84% of secondary and tertiary PVC packaging by switching to the use of safe non-polycarbonate containers.<br />18<br />
    20. 20. Band-Aid Packaging Box Example<br />Made with materials certified by the International Forest Stewardship Council<br />19<br />
    21. 21. Partnerships<br />20<br />
    22. 22. Energy Use- Carbon DioXide Reduction<br />Company Goals:<br />Absolute reduction in CO2 emissions of seven percent from 1990–2010.<br />Reduce fleet total CO2 emissions per mile driven by 30 percent<br />International Initiatives: Kyoto Protocol (US & China are not signatories)<br />National Initiative: EPA- GHG Reporting mandatory<br />21<br />
    23. 23. Company’s World wide initiative: Climate Friendly Energy Policy adopted in 2003<br /><ul><li>Energy efficiency improvements in all operations
    24. 24. Co-generation: On-site generation of electricity and recovery of the waste heat for overall efficiencies of 80%
    25. 25. Renewable electricity purchases
    26. 26. Carbon Trading and Sequestration
    27. 27. On-site renewable energy that produces no CO2</li></ul>emissions<br />22<br />
    28. 28. Example of Carbon Neutral Facilty<br /><ul><li>Johnson & Johnson PRD Facility in La Jolla (San Diego, CA)
    29. 29. Received top honor for it’s overall commitment to environmental stewardship
    30. 30. Facility installed 203 KW AC photovoltaic system- offsets 10 % annual electricity consumption and rest 90 % through existing cogeneration system
    31. 31. Carbon Neutral Facility with ISO 14000 & LEED Certification</li></ul>23<br />
    32. 32. McNeil’s Healthcare<br />24<br />
    33. 33. Fleet Emissions <br />Target of reducing emissions by 30 % per mile driven.<br />Fleet of 978 hybrid vehicles till March 2008<br />75 % of suppliers members of Smart Way certified program<br />Suppliers adopted Carbon Disclosure Project (CDP) in January 2009<br />Target yet to be met<br />25<br />
    34. 34. Recommendations to improve fleet Emissions Target<br /><ul><li>Follow Cap and trade policy and buy allowances
    35. 35. Initiate Carbon Sequestration through Terrestrial, Ocean and Geological methods
    36. 36. Effective packaging to reduce round trips</li></ul>26<br />
    38. 38. Mapping social opportunitiesLooking Inside Out<br />Identify the positive and negative social impact of activities<br />Firm Infrastructure<br />Human Resource Management – Environmental Literacy, education and job training, diversity initiatives <br />Technology Development - <br />Procurement<br />Marketing and Sales<br />After-Sales Service<br />Inbound Logistics<br />Operations<br /><ul><li>Water usage
    39. 39. CO2 emissions</li></ul>Outbound Logistics<br /><ul><li>Transportation impacts
    40. 40. Paper and Packaging</li></ul>Porter, Kramer. Strategy & Society. (2007)<br />28<br />
    41. 41. Questions<br />29<br />