Executive Summary
Johnson and Johnson has been selected for the business case because it is one of the most successful companies in the healthcare sector globally. However, the organization has not explored its full potential and the implementation of various information management technologies as indicated in the report can help eliminate existing challenges and capitalize on relevant opportunities. For instance, the difficulty in managing operations when there is a high demand for products can be addressed by the integration of data warehousing and data mining that helps in making sales predictions based on previous and current trends. Similarly, Johnson spends much time developing drugs during crisis even though they have a well-established research and development department. Data mining is a tool that processes correlations, sequences, and patterns from data warehouses into meaningful information, which can be used to reduce the time spent in designing and developing new products. Moreover, Johnson and Johnson’s mission involves appreciating its clients by attending to their specific needs. The corporation has an opportunity to improve its customer relationships by employing web and social analytics, a tool that studies consumer’s reactions to marketing contents shared on the internet platform. Consequently, Johnson and Johnson can note the feedback from its audience and use it to improve its products and make new ones. There are numerous issues, challenges, and opportunities as identified by SWOT and PESTLE analysis that can be addressed by the identified modern information management technologies.
Rationale of the Business Case
There are various issues and challenges that continue to face Johnson and Johnson, which can be addressed by the application of various information management technologies. For instance, the increase in number and sophistication of diseases globally had made it difficult for the organization to innovatively come with the best drugs to prevent and eliminate the illnesses. Johnson and Johnson mainly relies on sending scientists to the affected zones to study the environments and the affected patients to gather enough data crucial in developing cures (Johnson and Johnson, 2021). However, this takes much time as it is spent traveling and gathering new information every time there is an outbreak. Johnson and Johnson needs to have a database system that can harmonize previously collected data that match newly discovered diseases to enhance efficiency in manufacturing treatments. Similarly, the organization has been incapable of developing cures in time particularly for developing regions because such areas lack sufficient information technological resources.
Aside from manufacturing challenges, Johnson and Johnson also faces leadership and management issues that has prevented the company from maintaining its marketing position despite its previous successes. The organization depends on employing skilled analysts and studying their competitors, which have not improved the decision-making process. Finally, Johnson and Johnson’s supply and chain sector is always overwhelmed whenever there is an increase in product demand. A perfect example is the Covid-19 pandemic scenario where the corporation has failed to distribute the ordered batches of vaccine in time due to poor information technology infrastructure. The company still uses traditional approaches such as the agile supply chain model, which complicates the tracking process. Johnson and Johnson is an established multinational company with an established brand name and should therefore use this achievement as an opportunity to invest on information-related innovations to improve its operations and increase the profit margins.
Goal of the Business Case
The main objective of the Johnson and Johnson business case is to identify the challenges and issues facing the company and illustrate how modern information management technologies can be applied to eliminate them. Similarly, the organization has positive characteristics and previous achievements which can be improved with the help of related innovations. PESTLE and SWOT analysis will be crucial in listing all features of Johnson and Johnson, positives and negatives, to explain the improvements that will be achieved when the technologies are involved. In the final section of the report, recommendations on the specific data analysis tools unique to Johnson and Johnson activities will be made.
Relationship between the Business Case and Johnson and Johnson Goals
It is imperative that the analysis of the business case and the recommendations made at the end match Johnson and Johnson goals. For instance, the company’s mission is to provide the best services and products to its customers demonstrating how valuable they are to Johnson and Johnson (Johnson and Johnson, 2021). This aim is only achievable if the corporation gathers the correct data vital in meeting their consumers’ needs. Additionally, of the organization’s goals is to promote growth and innovation in the goods it supplies, which highly depends on information analysis management. Similarly, Johnson and Johnson supports Sustainable Development Goals (SDGs) and this requires the use of the best technology to collect and interpret data crucial in meeting related agenda.
Industry and Market Analysis
Comparative Analysis of the Information Management Technologies
Summary of Theoretical and Industry Research
It is important that companies select new information management technologies and upgrade existing ones to keep up with developments in specific industries and the same applies to Johnson and Johnson. According to Jannot et al. (2017), it takes much time to determine the innovations to adopt and how best to integrate them into an organization’s operations. For instance, even though data warehousing and data mining have substantial potential benefits to Johnson and Johnson without proper information regarding the same, its introduction and assimilation might not be successful. Moreover, the corporation will have to hire specialists and train current employees to ensure they can effectively use the technologies, and this will be costly.
Therefore, it is important to have the right model and team capable of settling on the best new information management technology that addresses a company’s issues and challenges. Alharthi (2018) suggests that the first step in identifying the right innovation is defining the organization’s business requirements. It will be important that Johnson and Johnson list all operation aspects that will be improved with the introduction of the information technology. Similarly, strategic assessments on the existing systems will be crucial to identify gaps that will be covered with the chosen technologies. This step is vital because it helps avoid duplication of tools and misuse of financial resources. According to Jannot et al. (2017), companies should select new information technologies they need and not because they are in the market. Therefore, Johnson and Johnson should only choose new innovations that underpin its vision, mission, and goals.
The Selection (Information Management Technology)
The Most Appropriate Information Management Technology
Data Warehousing and Data Mining
Data warehousing and data mining can be applied together in the management of company information because one is the opposite of the other. Whereas the former refers to the collection and storage of data from various sources into one pool, the latter is the extraction of information from the same place (Garani et al., 2019). One problem facing the corporation that can be addressed by data warehousing and data mining is the management of products whenever there is a high demand for the same. With the help of the two technologies, the company has access to large volume of reliable data organized intentionally for specific decision-making processes (Schuh et al., 2019). As a result, Johnson and Johnson is able to channel resources to the right supply chain operations which will ensure the company saves time and costs while experiencing higher revenues.
Web and Social Analytics
The world has become a global village due to technological evolution, eliminating time and geographical boundaries, particularly in the business sector. Web and social media have been at the center of the innovation providing platforms for various entities to interact with the help of the internet. Consequently, the two technologies can be used as tools to evaluate Johnson and Johnson’s performance since they are widely used by companies for marketing purposes and client interactions (Andryani et al., 2019). The application of the technology goes beyond the conventional monitoring of ‘likes’ to understanding the ideas behind social consumer behavior. Moreover, Johnson and Johnson can use web and social analytics to improve its decisions, in public relations and product development, which will in turn lead to general customer satisfaction.
Summary of Theoretical and Industry Research
Information has become a major resource in the digital era and it is imperative that organizations invest in related technologies. According to Garani et al. (2019), few companies consistently use business-related information in strategic decision-making and instead opt for derivative data confined to a specific period. Consequently, corporations should use large amounts of data that are well-structured and from a variety of sources to improve the quality of decisions made. Data warehousing and data mining provide a good platform for companies to integrate related data from different business operations too effectively implement new strategies. Similarly, Schuh et al. (2019), notes that the use of the web and social media has increased over the years making the two perfect tools for performance analysis. One advantage of this method is that the data is readily available and therefore will help businesses make instant and ideal decisions.
Organizational Analysis
PESTLE Analysis
Political Factors
Since Johnson and Johnson operates on a global platform political stability across the world is quite important as it affects the company’s operations. Therefore, it is imperative that the corporation is well aware of the trends and occurrences in various governments. For instance, it is important that the organization understands various regulations and tax rates of different countries. Having a data warehouse with important market information from the company’s markets ensures Johnson and Johnson makes the right decisions. The company will not have to worry about violating any laws that jeopardize its brand image.
Economic Factors
Similarly, even though Johnson and Johnson is healthcare organization which aims at improving the global wellbeing, it also endeavors to make as much profit as possible for selling its product. Consequently, the company has to note the economic trends and models in its countries of operation to ensure it does not suffer losses. It is impossible for Johnson and Johnson to achieve resilience for its future operations without the correct information. Data mining and warehousing will ensure that the corporation has access to structured data pertaining global economic trends.
Social Factors
Johnson and Johnson’s success highly depends on its consumers who play a crucial role in influencing the company’s sales. Consequently, it is imperative that the corporation studies the beliefs and attitudes of its clients to satisfy their needs effectively. Fortunately, most of the global community occupies the online platform, meaning the company can reach its audience easily. Therefore, Johnson and Johnson has an opportunity to improve its relationship with its customers by using web and social analytics to study consumer behavior and gather relevant feedback.
Technological Factors
Although technology is an innovation meant to improve company operations it can also disrupt the same activities if not used appropriately. Johnson and Johnson still uses the traditional agile approach in supply chain which makes it difficult to integrate various logistics components such as production cost and inventory in supply chain activities (SWOT & PESTLE, n.d.). However, of data warehousing and mining can be used innovatively to facilitate easy incorporation of the different aspects of company logistics.
Legal Factors
The robustness of a country’s legal framework determine whether Johnson and Johnson’s operations will be protected by intellectual property rights or not. With the leadership and management challenges the company is continually facing, it needs the right source of information to make the right decisions on the legal approaches to take when investing in various countries. Consequently, with access to a large data repository on the application of different types of law can help Johnson and Johnson thrive in countries with unfavorable legal institutions.
Environmental Factors
One of Johnson and Johnson’s values is supporting the SDGs, which are meant to ensure the global environment is sustainable for its inhabitants and all activities including businesses. As a result, the company has dedicated resources and invested in activities to promote corporate social responsibility. However, there are various decisions that have to be made regarding raw materials and processes that protect the environment. Data warehousing and data mining will be the best decision-making tool in this case because it delivers, credible, timely, and structured information.
SWOT Analysis
Strengths
Johnson and Johnson’s successes are strongly supported by its research and development department tasked with inventing and improving company products. With an investment of 20.13% of its profits in 2020 on related activities, the corporation has managed to beat its competitors with the uniqueness and quality of its products. However, the value of the researched information can be improved with the help of data warehousing, data mining, and social analytics technology, which are specialized in studying and organizing meaningful data structurally.
Weaknesses
Johnson and Johnson has constantly relied on specific successful products to maintain its leading position in the market. Moreover, a large amount of the corporation’s profits comes from the consumer, medical devices and diagnostics, and pharmaceutical divisions. The lack of product diversity threatens the company’s future resilience and sustainability. However, with the constant application of data mining and social analytics, Johnson and Johnson can identify customer needs that have not been met yet.
Opportunities
Johnson and Johnson has had tremendous successes over the years and is now globally known as the leading manufacturer in the healthcare sector. As such, the company has an opportunity to expand through acquisition since it is financially capable. Data mining will help improve the corporation’s effectiveness in the identification of the products and businesses to acquire. Similarly, the company has a chance to improve its relations with the consumers by offering products to lower-class individuals and this move can be enhanced by web and social-analytics.
Threats
One of the greatest threats that faces Johnson and Johnson is competition from other successful companies such as Procter and Gamble and Unilever, which threaten its profitability. Moreover, there is an increase in generic drugs and treatments that endanger the corporation’s sustainability and future (SWOT & PESTLE, n.d.). Consequently, with the help of social analytics and data mining, Johnson and Johnson can develop new products regularly, and discover unidentified market niches.
References
Alharthi, H. (2018). Healthcare predictive analytics: An overview with a focus on Saudi Arabia. Journal of Infection and Public Health, 11(6), 749-756.
Andryani, R., Negara, E., & Triadi, D. (2019). Social media analytics: Data utilization of social media for research. Journal of Information Systems and Informatics, 1(2), 193-205. Web.
Garani, G., Chernov, A., Savvas, I., & Butakova, M. (2019). A data warehouse approach for business intelligence. 2019 IEEE 28Th International Conference on Enabling Technologies: Infrastructure for Collaborative Enterprises (WETICE), 59. Web.
Jannot, A., Zapletal, E., Avillach, P., Mamzer, M., Burgun, A., & Degoulet, P. (2017). The Georges Pompidou University Hospital Clinical Data Warehouse: A 8-years follow-up experience. International Journal of Medical Informatics, 102, 21-28. Web.
Johnson and Johnson. (2021). “My 2021 Healthcare Resolution”: 7 Johnson & Johnson leaders share their goals for advancing healthcare and health equity. Johnson and Johnson. Web.
Schuh, G., Reinhart, G., Prote, J., Sauermann, F., Horsthofer, J., Oppolzer, F., & Knoll, D. (2019). Data Mining Definitions and Applications for the Management of Production Complexity. Procedia CIRP, 81, 874-879. Web.
SWOT & PESTLE. Johnson & Johnson SWOT & PESTLE Analysis | SWOT & PESTLE. SWOT & PESTLE. Web.