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1 CONFIDENTIAL | FOR J&J INTERNAL USE ONLY Michael Ehret Vice President, Human Resources Medical Devices October 24, 2017 HR Next: The Future World of Work

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Page 1: HR Next: The Future World of Work · future HR strategy development . Phase 3, Community Activation and Mobilization, will commence following the output of the Strategy Camps and

1CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Michael EhretVice President, Human ResourcesMedical Devices

October 24, 2017

HR Next: The Future World of Work

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Page 4: HR Next: The Future World of Work · future HR strategy development . Phase 3, Community Activation and Mobilization, will commence following the output of the Strategy Camps and
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Sandy OggCEO WorksMcKinsey

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6CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

A New Era of Business

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The World of Work is Changing

2017 Deloitte - Future of Work

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8CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Five forces of change

• Exponential pattern of technology change• Human and machine collaboration• Social and organizational reconfiguration• All-inclusive global talent market• A truly connected world

*CHREATE 2015

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9CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Future of work

*CHREATE 2015

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*CHREATE 2015

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11CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Critical Shifts

• The “gig” economy, robotics and cognitive technologies

• What does it mean to be “employed” – open systems

• Questioning the need for Organization Charts

• Re-defining “jobs” to focus on meaningful work

• Learning and Career

• Leading in a Digital World

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12CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

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13CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Health is not a privilege; it’s a basic human right. That means businesses like ours must help create healthier societies.

ALEX GORSKYChairman and CEO, Johnson & Johnson

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14CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

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15CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Our Broad-Base Advantage

Partner ofChoice

BreakthroughInnovation

Strong FinancialPerformance

Enterprise Capabilities& Efficiencies

Broad GlobalFootprint

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16CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Strategic FrameworkOur Credo

Our Enterprise Principles

Our Global Growth Drivers

Our Purpose

We Blend , Science + Ingenuityto Profoundly Change the Trajectory of Health for Humanity

Be BroadlyBased in

Healthcare

Use ourReach &Size for

Good

Lead withAgil i ty &Urgency

Invest forEnduring

Impact

CreateLife-

EnhancingInnovation

DeliverExcellence

inExecution

GenerateValue

ThroughPartnership

Empower &Inspire ourEmployees

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17CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

The Evolution of HR

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Enabling the

By globally connecting our enterprise, we willdeliver world-class services that create greatervalue and support our pace of innovation forthe benefit of our patients and customers.

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There are elements3

Business Unit HR Services

GlobalServices

Corporate Services

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CONCEPTUALDEISGN

DETAILEDDESIGN

ASPACPHASE 1

NABRAZIL

EMEAASPAC-PHASE 2

EMEAASPAC-PHASE 3

LATAM

Our Multi-Year Implementation Path

2013 2014 2015 2016 2017 2018 2019

RESEARCH + DESIGNDevelopment

IMPLEMENT + CONTINUEDImprove

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21CONFIDENTIAL | FOR J&J INTERNAL USE ONLY

Points of the Success for Changing Ways of WorkingHR LAUNCH EXECUTIONS:

100%of goal achievementsacross all regions

33Launches in 2016across 4 functions

$74MMACHIEVED

IN CUMULATIVEHR SAVINGSthrough streamlinedprocesses and shiftingthe placement of workacross our 3 tiers

NEW HR OPERATING MODEL NOW SUPPORTS

>60KJ&J Employees worldwide

GLOBAL SERVICES HR HIRES ACROSS 3REGIONS

208>90 Days to hire (30-day

reduction to fill)

NEW YEAR END COMPENSATION PLANNING PROCESS LAUNCHED:

18,000J&J Managers worldwide

10Country/Cluster HR Leaders appointed to deploy our One HR model

ASK GLOBAL SERVICES:Single access point for employees to connect to cross-functional services

INQUIRIES TOCONTACT CENTER:

13,000+SEARCHES

19,000+ DELIVERYCENTERS IN PLACE

4 of 5

SUPPORTINGLEADERSTHROUGHCHANGE

Business leaders engaged through all launches and multiple discussion channels

Business Advisory Councils build two way dialogue between ESP and business leadership

Incorporating lessons learned from early deployments, and adjusting future strategies accordingly

Formal hyper care exit reviews to assure value realization, compliance, and run state readiness

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Our Opportunity

• Always have a pulse onthe internal and externalenvironment

• Seize opportunities and takecalculated risk

• Enable the best talent tomake the biggest differencein our world

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The Evolution of HR Strategy

CULTUREORGANIZATIONTALENTHR

EXCELLENCE

Talent to Value

Shape for Cost,

Growth, and Agility

Energy Design

HR 2.0

HR 3.0

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HR Next: Creating the Future World of Work • HR Next paves the way for HR Strategy agile refresh, leveraging an outside-in approach to gather inputs necessary for

developing and sustaining strategic priorities going forward.

Future World of Work

Employee ExperienceOrganizations must deliver better-designed end-to-end employee experiences while utilizing the right tools that measure, align, and improve culture and engagement.

HR is now playing a prominent role in helping to lead the digital transformation sweeping organizations worldwide. This requires the function to manage a digital workforce, design and support a digital workplace, and operate in a new digital way.

Organizations must rethink how they define their workforce, how they design their jobs, and how they build organizational ecosystems and networks to in order thrive in the emerging business environment, requiring a new breed of leaders.

Digital HR

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3 HUMAN CAPITAL PLATFORMS OF FOCUS FOR 2017 HR STRATEGY MOVING INTO THE FUTURE

Strategy Camps

World, Business, and Human

Capital Insights

Crowdsourcing

Business Strategy

HR Strategy & Priorities

HR Next will continue to inform yearly HR objectives & portfolio priorities moving into the future

HR Next helps shape and deliver J&J’s Human Capital framework, which ultimately enables the delivery of our business strategy and our ability to evolve and meet the needs of a changing world of work.

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HREC Immersion HR Community Engagement HR Community Immersion Crowdsourcing Strategy Camps

HR Next: Creating the Future World of Work

• June 8th

• Interactive immersion of the 2017 Deloitte Human Capital trends

• Deep dive learning experience into the three most poignant HC Trends for J&J

• Determination of how the trends will drive J&J’s strategic business objectives

• HR Next is a co-creation initiative which supports the long-term development of J&J’s HR strategy and redefines the identity of HR to continuously advance the profession.

June 21st – Ongoing• Yammer Launch to activate the

HR Next Community across the J&J enterprise

• Discussion around HC trends, new knowledge, ideas, and problem solving

• Key analytical insights to understand regional challenges and drive strategic objectives forward

July 19th

• Event designed to further ignite excitement and buzz for HR Next across J&J

• Opportunity to share knowledge and insights from industry leaders and HC Trends experts

• Demonstration of strong leadership commitment to HR Next

September 12th – 13th

• Activation of the HR community’s crowdsourcing ideas related to the three trends of focus

• Immersive, experiential lab to break through challenges and activate trends

• Opportunity for top influencers and thought leaders in HR and the business to showcase their best ideas and solutions and influence recommendations for the HR strategy

Phase 1: Engagement, Immersion, and Exploration Phase 2: Strategy Formulation and Refinement

July 19th – August 11th

• Platform to collect, analyze, and select ideas from the HR community related to the three platforms

• Opportunity for the HR community to be involved in the future HR strategy development

Phase 3, Community Activation and Mobilization, will commence following the output of the Strategy Camps and strategy development. We will then articulate the strategy to the community at the end of 2017 for pull-through and adoption.

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“The greatest responsibility of modern management is to develop the human intellect in order that it may express its talent.”

Our Management PhilosophyR.W. JOHNSON – 1957

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Organizational Diagnostic

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Get your 2.0 House in Order

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What’s Drives Value?

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Talent to Value

What are the positions that really drive value?

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Energy Audit