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Johnson & Johnson (J&J) Company’s DEI practices
Introduction
Globalization has led to the world becoming a global village, thus, making the workplace becoming more diversified than it has ever been (Inegbedion 1). As a result, Diversity, Equality, and Inclusion (DEI) have become the most often tapped organizational resource (Itam and Bagali 1771). Diversity is the differences among individuals due to gender, ethnicity, race, education, age, socioeconomic background, religion, physical appearances, capabilities, and any other characteristic used to distinguish between people (Inegbedion 2). Inclusion, on the other hand, relates to how workers view themselves as valued members of the team by receiving treatment that satisfies their requirements for belonging and individuality (Shore et al. 1263). Equality is the fair treatment of all members of society (Tan 30). In the workplace, equality ensures that everyone has an equal opportunity to learn, grow, and contribute, regardless of who they are.
DEI practices in business organizations improve the performance of individual employees as well as the general performance of the organization. As such, most business organizations promote DEI practices. This paper looks into the DEI practices of the Johnson & Johnson company and evaluates the DEI practices in improving employee morale. Further, recommendations for the Company to improve the DEI practices are provided.
Company Background
Johnson & Johnson (J&J) is an American multinational company operating in the Pharmaceuticals and Healthcare industry. The company researches, manufacturers, and sells pharmaceuticals for cancer, immune diseases, neurological disorders, metabolic, cardiovascular, and infectious diseases; medical equipment to be used in the orthopedic, cardiovascular, and general surgery problems and vision care fields; and consumer packaged products in beauty, oral care, women’s health, baby care, wound care, and over-the-counter (OTC) pharmaceutical. J&J’s most renowned consumer products include the Band-Aid Brand line of bandages, Johnson’s Baby products, Tylenol medications, Neutrogena beauty, and skin products, Acuvue contact lenses, and Clean & Clear face cleanser. Johnson & Johnson dispenses pharmaceutical and medical products to wholesalers, retailers, hospitals, and healthcare practitioners and offers consumer products via distributors and retail outlets. J&J sells its products in Europe, the US, Western Hemisphere, Asia-Pacific, and Africa. The consumer division of the Johnson & Johnson is located in Skillman, New Jersey, while the headquarters are located in New Brunswick, New Jersey (Globaldata n.p).
The Company has more than 250 subsidiaries, which operate in sixty nations and sell its products in more than 175 nations globally. Johnson & Johnson is placed No. 36 in this year’s Fortune 500 ranking of the top US firms by total revenue. In the fiscal year 2021, the Company earned a total of $93.8 billion, accounting for a 13.6% increase from the previous year. The Company is a global leader in health care and pharmaceuticals and has a prime credit rating of AAA J&J has a total of 141,700 employees who are recruited from different parts of the world (Globaldata n.p).
The J&J was founded in 1886 by pharmacist Robert Wood Johnso with his brothers Edward Mead Johnson and James Wood Johnson. The three brothers launched their Company following Joseph Lister’s recent work on the nature of infectious illness and airborne germs. After Lister’s method of spraying operating rooms with carbolic acid to sterilize them proved ineffective, the new business set out to develop sterilizing procedures and surgical dressings. The Company was formally incorporated into the pharmaceutical and health industry in 1887. Robert Wood Johnson was the first CEO of the Company. J&J produced two seminal products in 1888. Among these products was a book entitled; “Modern Methods of Antiseptic Wound Treatment,” which served as the first mainstream guide for the treatment of injuries.
The second product was an innovative ready-made first aid kit. The book was well-received within the medical community, and the Company’s first aid kits rapidly became popular among industrial workers and the general public. In 1894, J&J established its “heritage baby” division, which included infant- and maternity-oriented products. For this, it released two products: baby powder and maternity kits, both of which are still on the market today. The products were intended to make childbirth safer and antiseptic. Johnson & Johnson also built a brand in first-aid kits and manuals based on the popularity of their initial product line. The Band-Aid was included in these kits for the first time in 1921. With these expansions, the business became known as both a healthcare company for the general public and a supplier of hospital-grade medical supplies. Over the course of the 1930s, 1940s, and 1950s, J&J established a corporate structure that it uses up-to-date (Globaldata n.p).
The Company’s DEI Practices
Strategic diversity, inclusion, and equality thinking have been a driving force behind the J&J company’s successful business outcomes for more than 130 years (J&J, 2022). There are more than 135,000 individuals employed by the pharmaceutical business Johnson & Johnson, all of whom are committed to providing outstanding service for patients, customers, and the general public daily. Throughout Johnson & Johnson’s operations, diversity, equality, and inclusion are the norm. A person’s race, gender, age, mental and physical ability, ethnicity and orientation the, sex, religion, work and family status, weight and appearance, and other identity-based attributes do not constitute diversity; instead, it refers to the perceived or actual variations in people’s connections and relationships. A person’s color, ethnicity, gender, age, and physical and mental abilities are not included when talking about diversity; instead, it refers to the actual or perceived distinctions among individuals. The J&J values and celebrates diversity, equality, and inclusion through explicitly stated policies and practices, a responsive environment, and support initiatives.
Firstly, the J&J also celebrates DEI through Employee Resource Groups (ERGs) (Tewari para 14). These are voluntary groups formed by and managed by J&J employees that get together to discuss and implement ideas that benefit the whole Company. The J&J has a total of 12 ERGs. These ERGs allow the Company to attract and keep a diverse workforce, provide leadership development for employees, and assist a number of community-based patient projects aimed at promoting better health and well-being for everyone. By supporting employee participation, ERGs also contribute to the advancement of our Company’s culture of belonging.
Also, Johnson & Johnson has taken steps to address diversity in the workplace by developing policies and programs that aim to prevent any negative actions from occurring if the concern is not addressed. The most popular programs encourage inclusivity, provide direction, and educate people about diversity. The Company’s diversity inclusion programs and activities are not officially stated to target various groups such as age, gender, and ethnicity; nonetheless, these concerns are included in the program’s framework. Johnson & Johnson Online, the organization’s rules and regulations outline these groupings in further detail. Instead of focusing on a company’s client base, Johnson & Johnson’s diversity and inclusion initiatives stress the necessity of workers working together to lessen the disparity between their experiences, education levels, and cultural views.
Furthermore, “Diversity University,” a self-guided online learning platform for employees, and “Office of Diversity and Inclusion,” the Company’s functional department dedicated to promoting diversity, are other initiatives to promote DEI in J&J. According to these initiatives, diverse and inclusive culture is essential to the Company’s success. As an innovative organization, they do not want to stifle the ideas of younger workers of a different race or any other various identity-based traits. The initiatives immediately alter the atmosphere of the workplace. The value of any program or activity depends on the connection between management and personnel. Even though workers come from different backgrounds, they must know their contributions are valued by their employers. To make things simpler for workers, some initiatives have been established.
Also, Johnson & Johnson’s goods are geared toward preserving the environment. They achieve this through conserving water, using sustainable packaging, using renewable energy, and lowering their carbon footprint. J&J wants to make diversity and inclusion a way of life at the Company (J&J, n.p). It is also the goal of diversity, equality, and inclusion to lessen the number of mistakes made by individuals or the firm. All workers should be included in promoting diversity, equality, and inclusion, which will reduce errors and boost customer happiness, making the Company more profitable.
Johnson & Johnson’s place in the worldwide health care business is well-known. Innovative products, robust pipelines, and its skilled workforce have helped it establish a worldwide footprint in the healthcare sector. Johnson & Johnson has a long-term commitment to innovative product development. The firm intends to expand its product development and worldwide growth via acquisitions. This will help the organization flourish in the long run and increase income. A wide range of goods from Johnson & Johnson allows the corporation to be flexible and decreases the risk for investors. A company’s ability to execute a program focused on increasing diversity, equality, and inclusion directly correlates to its corporate culture. As such, the Company’s decision-making process is based on the involvement of all employees (Prajapati). As a result, this organization will be a good fit for implementing diversity, equality, and inclusion. Throughout the whole process, the Company’s culture will support it, and its objectives will be readily met.
Assessment of the Company’s DEI Practices
Workers committed to the Company’s mission, innovative, and hardworking have helped the Company achieve significant success in the healthcare industry. Because of the policies and strategies implemented by the Company’s higher management to fulfill the Company’s long-term development goals, this has been made feasible. For this reason, programs to promote equality, diversity, and inclusion at J&J are more crucial now than ever before. The Company is making financial contributions to diversity and equity projects and restructuring its business operations to reflect better its commitment to diversity and equality (J&J, n.p).
Studies have shown a link between increased revenues and increased productivity due to increased variety. Johnson & Johnson is no exception in this respect since it is just logical for them to do so. Because the Company is more representative of the people, it sells to, addressing a diverse global audience has proven to be easier for the organization. According to an emerging mass of data, workplaces that are more diverse and inclusive are more creative and productive.
Having a global presence is crucial if you wish to provide services to a worldwide customer. Gender diversity, ethnic diversity, and age diversity are essential factors to consider when hiring employees. In turn, you will be able to service your present consumers better while also expanding your reach into new regions due to this technology. Doing so for a lengthy period has assisted J&J in gaining a new market and, in the process, increasing its market share (Gorsky n.p). In addition, there is growing evidence that DEI in the workplace has positively spurred innovation. There are a variety of probable causes for this phenomenon. Indeed, a more diverse workforce signals a less homogenous workforce, with a wider variety of viewpoints and ideas to draw from and contribute to. A productive environment for creating new ideas and thoughts may be found here. Workers have become more conscious of their prejudices and ingrained ways of thinking as a consequence of DEI training and programs, and they have taken steps to overcome both. When everyone on the team is aware of this, they are less likely to overlook vital information or make errors in their decision-making processes. The team members are being held to a greater degree of responsibility due to this. The sharpness and usage of cognitive resources are maintained since innovations, by definition, require people to go outside of their comfort zone, an approach that is all facilitated by different methods such as equality and inclusion.
Employee engagement, retention, and satisfaction have all improved due to developing a solid company culture, which is immediately noticeable. Moreover, by publicly recognizing the Company’s achievements, the DEI activities have helped improve the Company’s culture while also increasing employee work satisfaction (Prajapati n.p). The feeling of empowerment and value at work allows employees to be more creative, imaginative, and productive in the workplace. Two further acknowledged advantages of DEI’s employment of J&J’s services include a reduction in staff stress and improved employee interactions among themselves. Workers’ mental health and stress levels have improved due to DEI’s focus on a sense of belonging among employees.
The diverse teams at Johnson & Johnson have not slowed things down; on the contrary, they have enhanced decision-making and completed tasks considerably more quickly. The decisions they have made have also resulted in more favorable consequences. As a consequence of this good publicity, more clients and consumers have been attracted, as well as a more straightforward process for hiring and retaining existing customers. DEI has a compelling business case to support its existence. Therefore, to be considered for inclusion on the list of firms that fully embrace DEI at all levels of the organization, Johnson & Johnson must first demonstrate that it does so at all levels of the organization (J&J n.p).
Recommendations for Improving Company’s DEI Practices
Although the J&J has set policy guidelines to help embed DEI into its business strategies, the Company does not outline the consequences of not adhering to the Company’s DEI policy. As such, the Company should outline the consequences for not adhering to the set policy. For instance, the policy guideline of the DEI practices in the J&J Company has set out the roles and responsibilities of the employees and the people leader to help the Company achieve DEI. Therefore, the Company can introduce penalties and other punitive measures for employees and people leaders who do not adhere to the policy guidelines. The J&J can set standard charges for employees and people leaders who fail to adhere to any of the DEI policy guidelines. A certain percentage of their salaries or wages can be deducted to compensate for the same, depending on how far an individual breaches the policy. Also, employees and people leaders who are summoned more than three times for failing to adhere to the company’s DEI policy can be fired or their contract terminated if their work is contract-based. Research reveals that failure to adhere to a set policy is considered incompetence and something that must be avoided and punished (Mueller 320). Notably, a threat of policy enforcement cannot act as a deterrent if individuals do not believe that non-compliance is likely to be punished (Parker, Christine, and Vibeke 37). This implies that introducing punitive measures minimizes the chances of a policy breach. As such, introducing punishment for those who break the J&J Company’s DEI policy may assist in improving DEI practices.
To improve J&J’s DEI practices, the Company should train the employees and members of the staff on the importance of promoting DEI in the organization. So far, the Company has established a diversity university, a functional department in the Company dedicated to promoting diversity. To further promote DEI, the Company can organize seminars and workshops where employees and members of the staff can receive training on DEI practices. Such seminars and workshops will help improve workplace harmony by educating employees about cultural, religious, and ethnic differences and providing guidance on how to adjust one’s conduct in order to be more inclusive. Also, employees and other members of the staff can be able to contribute actively and exchange their ideas during seminars and workshops (De Grip, Andries, and Astrid 363). As they continue to interact and learn from each other, they get to learn more about each other’s culture hence promoting DEI in the Company.
Furthermore, to improve J&J DEI practices, the Company should educate its employees and other members of the staff about benevolent sexism and unconscious biases along with their maladaptive consequences. It is important to educate employees in J&J about the benevolent and hostile sexiest attitudes since previous studies show that benevolent sexism contributes significantly toward gender inequalities reproduction (Mastari et al. 47). Also, it is important to educate employees about unconscious bias since it is possible for a person’s judgment to be influenced by their subconscious prejudices without them being aware of this. Educating employees about their own and other people’s unconscious prejudices is an important part of reducing the effects of those biases on their interaction with others and fostering a positive work environment (Osman 1058). Despite the significant role of benevolent sexism and unconscious biases in promoting inequality in the workplace, most employees are not aware of them; hence educating employees in J&J about benevolent sexism and unconscious will help improve the Company’s DEI practices.
Conclusion
Overall, When it comes to Johnson & Johnson’s commitment to diversity, it is more than just a statement; it is a way of life and a way of doing business for the corporation. Customers, workers, and the surrounding environment all benefit from a sense of belonging at Johnson & Johnson, which is vital to the Company’s success. This means they want you to have your unique perspective on their products, so they can get honest feedback that will help them expand their Company in the long run and become more successful. Every day, Johnson & Johnson works to better their business by incorporating diversity and inclusion into all they do.
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