Organization+Contribution

**CONTRIBUTION**

__Economic__ 

This picture shows clearly Johnson & Johnson economic contribution. It outlines the revenues, all relevant costs. Outstanding profits are best rewards for their shareholders.

 Responsibility for activities is to determining Johnson & Johnson social performance which spread among several corporate and global functions. These include Global Procurement, Quality & Compliance Worldwide, Global Talent Management, Benefits and Health Resources, Worldwide Compensation, Health Care Compliance & Privacy and Public Affairs & Corporate Communications, Corporate Contributions, Government Affairs & Policy, Global Diversity & Inclusion, Worldwide Supply Chain, Worldwide Security and Legal. These functions report to the Corporate Group Operating Committee (GOC) and the Executive Committee, which report to the Board of Directors. It represents an enterprise-level view of some of the most significant social performance indicators that demonstrate the commitment to the patients and customers, employees and communities.
 * __Social__ **

 Guidance for Johnson & Johnson operating company managers who purchase goods or services is provided by the Procurement Sustainability Initiative (PSI), developed in 2008 to help align the procurement processes with their sustainability efforts. The PSI breaks down procurement efforts according to the 13 procurement categories and sets performance expectations for each category.  Through the PSI, Johnson & Johnson is able to consider several non-financial performance factors when contracting with suppliers. These include purchasing from those who protect and promote worker safety, health and well-being; who provide materials and services with a reduced or positive environmental impact; and who respect and share our efforts to preserve communities and cultures connected to the origin, processing, manufacturing, use and disposal of materials and services. The PSI enables the organization to select suppliers who share values and are willing to work to drive positive change in the marketplace.
 * __Environmental__ **
 *  Partnering With Suppliers **

 A research facility that opened in March 2009 in Spring House, Pa., was designed and built according to the Sustainability Baseline. The project achieved the first LEED Gold certification for a Johnson & Johnson research laboratory. Gold is the second highest level of LEED certification, based on a 69-point scoring system; Spring House achieved 43 points.  The project began in 2005 when Johnson & Johnson Pharmaceutical Research & Development, LLC decided to consolidate research efforts from facilities in Cranbury, N.J., and Exton, Pa. The vision was to create a more innovative and collaborative environment in which research teams could work together in the pursuit of medicines that address unmet patient needs. The state-of-the-art facility was designed with open laboratory environments, collaboration space and many environmental and energy-saving innovations. While researchers achieve building efficiency and decrease energy consumption, then it will help to maintain a safe environment.
 *  Building Sustainable Facilities **

**Strategies for Sustainability**  Johnson & Johnson has some strategies for building sustainability, and they can be concluded into 3 points as following:  __Don’t Say Something You’re Not:__ Don’t put yourself out there as the end all and be all, because most likely that’s not true. Products can be “greener,” but cannot always be 100% green because of the nature of consumer products–so don’t say you are.  __Be Specific:__ Use LCAs to know the exact sustainability measures of your products. Provide your consumers with real numbers that inform and empower them. <span style="font-family: Arial,Helvetica,sans-serif;"> __Transparency:__ Partner with NGOs that can hold your products accountable and add credibility to your business. <span style="font-family: Arial,Helvetica,sans-serif;"> Johnson & Johnson wants people to know about their commitment to sustainability, and they plan to inform people in a way that’s honest and not misleading. That strategy is very much in line with its famous Credo.

<span style="font-family: Arial,Helvetica,sans-serif;">**Managing Risks** <span style="font-family: Arial,Helvetica,sans-serif;"> Johnson & Johnson recognizes several categories of risk, including general industry conditions and competition; economic conditions, such as interest rate and currency exchange rate fluctuations; technological advances and patents attained by competitors; challenges inherent in new product development, including obtaining regulatory approvals; domestic and foreign health care reforms and governmental laws and regulations; and trends toward health care cost containment.

<span style="font-family: Arial,Helvetica,sans-serif;"> We also recognize risks posed to Johnson & Johnson by climate change and related policy responses. Johnson & Johnson has several general risks that will require attention and mitigation strategies: changing regulations; a forecast of more extreme weather events; climate implications that could affect the availability of raw materials or water and alter migration patterns; and increased cases of disease. Regulatory risks could include increased energy costs due to taxes and renewable-energy directives, higher costs due to additional requirements for tracking and managing climate change issues, and increased investment of capital in CO2-reduction projects. These costs are not anticipated to be material to the cash flow of Johnson & Johnson, as our businesses are not energy-intensive.

<span style="font-family: Arial,Helvetica,sans-serif;"> Of the risks to the business related to climate change, the most significant in the next decade is an extreme weather event, such as a hurricane or flood that would cause the closing of a manufacturing facility, disruption in the supply chain or loss of product inventory. There is also the possibility that climate change could affect the availability of raw materials for the products.Though not financially significant, Johnson & Johnson owns and operates several on-site renewable-energy-generation facilities that could generate income from carbon offsets and renewable-energy credits