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Harvard Case - Owen Rankin at J&J and the Olympic Games: Let the Games Begin (A)

"Owen Rankin at J&J and the Olympic Games: Let the Games Begin (A)" Harvard business case study is written by Paul J Simko, Marc W. Modica, Gerry Yemen. It deals with the challenges in the field of Organizational Behavior. The case study is 5 page(s) long and it was first published on : Nov 11, 2015

At Fern Fort University, we recommend that Owen Rankin, the newly appointed CEO of Johnson & Johnson (J&J), prioritize a strategic approach to J&J's Olympic Games sponsorship. This approach should focus on building a long-term, mutually beneficial partnership with the International Olympic Committee (IOC) and leveraging the Games to enhance J&J's brand image, promote its products, and foster positive social impact. This strategy should be implemented through a cross-functional team encompassing marketing, public relations, research and development, and corporate social responsibility.

2. Background

This case study focuses on Owen Rankin, the newly appointed CEO of J&J, facing the challenge of maximizing the company's return on investment (ROI) from its Olympic Games sponsorship. J&J, a global healthcare giant, has been a long-time sponsor of the Games, but the company's leadership is questioning the effectiveness of this partnership.

The main protagonists are:

  • Owen Rankin: The new CEO of J&J, tasked with evaluating the company's Olympic sponsorship and determining its strategic value.
  • J&J Leadership: The company's executives, who are concerned about the ROI of the Olympic sponsorship and seek a more impactful approach.
  • The International Olympic Committee (IOC): The governing body of the Olympic Games, responsible for managing the Games and its sponsors.

3. Analysis of the Case Study

Strategic Analysis:

  • J&J's Core Competencies: J&J's core competencies lie in healthcare innovation, manufacturing, and global reach. The Olympic Games provide a platform to showcase these strengths and connect with a vast global audience.
  • Market Analysis: The Olympic Games offer a unique opportunity to reach a diverse and engaged audience, particularly in emerging markets where J&J seeks to expand its presence.
  • Competitive Landscape: Many competitors, including pharmaceutical and consumer goods companies, sponsor the Olympic Games. J&J must differentiate its approach to stand out and maximize its impact.
  • SWOT Analysis:
    • Strengths: Global brand recognition, strong financial resources, commitment to social responsibility.
    • Weaknesses: Potential for negative publicity, limited control over the Games' environment, competition from other sponsors.
    • Opportunities: Enhance brand image, promote product innovation, build relationships with athletes and Olympic communities.
    • Threats: Economic downturns, negative media coverage, changes in IOC regulations.

Organizational Behavior Perspective:

  • Leadership Styles: Owen Rankin's leadership style will be crucial in shaping J&J's approach to the Olympic Games. A transformational leadership style focused on inspiring and motivating employees to achieve shared goals will be essential for success.
  • Organizational Culture: J&J's culture of innovation, collaboration, and social responsibility should be reflected in its Olympic sponsorship strategy.
  • Team Dynamics: A cross-functional team with diverse perspectives and expertise will be vital for developing and implementing a successful Olympic strategy.
  • Motivation Theories: Employees involved in the Olympic sponsorship should be motivated by intrinsic rewards such as contributing to a meaningful cause and extrinsic rewards such as recognition and career advancement opportunities.

4. Recommendations

1. Develop a Long-Term Strategic Partnership with the IOC:

  • Establish clear objectives: Define specific, measurable, achievable, relevant, and time-bound (SMART) objectives for the Olympic Games sponsorship. These objectives should align with J&J's overall business strategy and address key areas such as brand awareness, product promotion, and social impact.
  • Negotiate a mutually beneficial agreement: Work closely with the IOC to develop a partnership that maximizes value for both parties. This may involve exploring opportunities for joint initiatives, co-branding, and exclusive rights.
  • Build a strong relationship with the IOC: Foster a collaborative and trusting relationship with the IOC to ensure effective communication, problem-solving, and long-term partnership.

2. Leverage the Olympic Games to Enhance J&J's Brand Image and Promote its Products:

  • Develop a comprehensive marketing campaign: Create a multi-faceted marketing campaign that leverages the global reach and visibility of the Olympic Games. This campaign should incorporate a variety of channels, including television, digital media, social media, and experiential marketing.
  • Highlight J&J's commitment to health and well-being: Use the Olympic Games as a platform to showcase J&J's dedication to improving health outcomes and promoting active lifestyles. This could involve partnering with athletes, promoting healthy living initiatives, and highlighting J&J's innovative healthcare solutions.
  • Develop innovative product activations: Create engaging and interactive product activations that connect with consumers and showcase J&J's products and services. This could involve interactive exhibits, athlete endorsements, and product sampling.

3. Foster Positive Social Impact through the Olympic Games:

  • Support Olympic-related social initiatives: Partner with the IOC and other organizations to support social initiatives aligned with J&J's corporate social responsibility goals. This could involve supporting athlete development programs, promoting gender equality in sports, and addressing global health challenges.
  • Promote inclusivity and diversity: Use the Olympic Games to champion inclusivity and diversity in sports and society. This could involve featuring athletes from diverse backgrounds, promoting accessibility for people with disabilities, and advocating for equal opportunities for all.
  • Measure and report on social impact: Develop a framework for measuring and reporting on the social impact of J&J's Olympic sponsorship. This will demonstrate the company's commitment to social responsibility and provide valuable insights for future initiatives.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core competencies and consistency with mission: The recommendations align with J&J's core competencies in healthcare innovation, manufacturing, and global reach, and support the company's mission to improve the health of consumers worldwide.
  • External customers and internal clients: The recommendations address the needs of external customers by enhancing brand image, promoting products, and fostering positive social impact. They also cater to internal clients by providing opportunities for career advancement and contributing to a meaningful cause.
  • Competitors: The recommendations differentiate J&J's Olympic sponsorship approach from competitors by emphasizing long-term partnership, social impact, and innovative product activations.
  • Attractiveness: The recommendations are attractive due to their potential to generate significant ROI through increased brand awareness, product sales, and positive public perception.

6. Conclusion

By implementing these recommendations, Owen Rankin can transform J&J's Olympic Games sponsorship into a strategic asset that drives brand growth, promotes innovation, and fosters positive social impact. This approach will demonstrate J&J's commitment to the Olympic movement, enhance its global reputation, and generate long-term value for the company.

7. Discussion

Alternatives not selected:

  • Reducing or withdrawing from the Olympic sponsorship: This option would save costs but could damage J&J's brand image and miss out on valuable marketing opportunities.
  • Maintaining the current approach: This option would continue to generate limited ROI and fail to capitalize on the full potential of the Olympic Games.

Risks and key assumptions:

  • Economic downturn: A global economic downturn could impact J&J's financial resources and limit its ability to invest in the Olympic sponsorship.
  • Negative media coverage: Negative media coverage of the Olympic Games or J&J's involvement could damage the company's reputation.
  • Changes in IOC regulations: Changes in IOC regulations could impact the scope and benefits of J&J's sponsorship agreement.

8. Next Steps

  • Form a cross-functional team: Establish a dedicated team to develop and implement the Olympic Games strategy.
  • Develop a detailed action plan: Outline specific actions, timelines, and resources required to achieve the recommended objectives.
  • Secure internal buy-in: Communicate the strategy to J&J's leadership and stakeholders to ensure alignment and support.
  • Engage with the IOC: Initiate discussions with the IOC to explore opportunities for partnership and collaboration.
  • Monitor progress and make adjustments: Regularly monitor the effectiveness of the strategy and make adjustments as needed to maximize ROI and achieve desired outcomes.

By taking these steps, J&J can transform its Olympic Games sponsorship into a strategic asset that drives business growth, strengthens its brand, and contributes to a more positive and sustainable future.

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Case Description

Whether taught to students unfamiliar with U.S. business culture or to students unacquainted with working in China, this case allows for an exploration of values that shape attitudes and behaviors in both countries. The material presents one executive's unique leadership experience in managing across cultures. From creating cross-cultural teams to balancing the goals of corporate in the United States and local operations in China, Owen Rankin's role as a leader in the middle is rich with experiences dealing with preconceived notions. The case works as a source for any manager working outside his or her home country. In the (A) case Owen Rankin, VP of corporate reputation at Johnson & Johnson (J&J), is appointed to head up J&J's Olympic Games committee. He was tasked with convincing others in the organization to move forward on the project. Rankin and his team spent months going back and forth to China, meeting with J&J business-unit leaders, and trying to persuade them to support the project. The (A) case ends at Rankin and his core committee back in China at their final decision-making meeting-would it be a go or a no-go decision? The (B) case presents Rankin's experience to build a team, engage stakeholders, develop and activate programs, attend the games, and then wrap up the closing of the sponsorship. As Rankin and his team supervised the dismantling of the event, thoughts turned to the next Olympic Games in Vancouver, Canada, and London, England. Should J&J continue to be a sponsor?

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