As an amateur, he played for the Wisconsin Badgers men's ice hockey program and won the National Collegiate Athletic Association championship in 1983.

Johannson was twice named to the Western Collegiate Hockey Association All-Academic team, and graduated from the University of Wisconsin–Madison with a degree in sport management.

After retiring as a player, Johannson was head coach and general manager of the Twin Cities Vulcans in the United States Hockey League, and led them to the Junior A National Championship in the 1999–2000 season.

[1][9] He was recruited by family friend Bob Johnson to play for the Wisconsin Badgers men's ice hockey program along with his older brother John.

[10] Johannson signed a letter of intent in March 1982 to attend the University of Wisconsin–Madison,[11] then was selected by the Hartford Whalers in the 1982 NHL Entry Draft, 130th overall in the seventh round.

[9] He became an unrestricted free agent after the season,[1] then trained for two hours daily during the summer with skating coach Jack Blatherwick to become faster.

[23] At the training camp for the Flames in 1988, coach Terry Crisp felt Johannson deserved an opportunity despite the depth of the organization at the center and right wing positions.

[26] Johannson discussed a potential contract with European and National Hockey League (NHL) teams, then agreed to terms with the Chicago Blackhawks in October 1989 and was assigned to the Indianapolis Ice in the IHL.

[9] Johannson was invited to play for the United States national team in ice hockey at the 1990 Goodwill Games by his former university coach Jeff Sauer.

[38] He served as captain of the team, scored two goals and had three assists in five games played, and led the United States to the silver medal.

[8][33][39] Johannson was named to the United States national team which played a 64-game schedule during the 1991–92 season prior to ice hockey at the 1992 Winter Olympics.

[45] He led the Vulcans to an eighth-place finish in the 1995–96 season, then a best-of-seven series in the first round of the playoffs versus the first-place Green Bay Gamblers.

[47] The USHL named Johannson a co-coach of the league's select team that played in the under-20 Four Nations Junior A tournament in Füssen, Germany in November 1997.

[52] In the playoffs, the Vulcans won their series versus the Sioux Falls Stampede and the Lincoln Stars then lost in the Clark Cup finals to the Green Bay Gamblers.

[1][58] In September 2000, he became USA Hockey's manager of international activities and co-operated with the United States Olympic Committee to build national teams.

[13][59] As the assistant executive director of hockey operations, Johannson oversaw all men's and women's national teams assembled for international competition.

[3][13][58] According to his brother, Johannson was passionate in his efforts for the under-20 and under-18 age groups and felt that competitions and assessments were an important part of the development process for younger players.

[61] USA Hockey executive director Pat Kelleher felt that, "This Olympic team was going to be a testament to [Johannson] because no one knew the depth our player pool better than he did".

[41] Kelleher also felt that it meant as much to Johannson as the players who realized their dreams of playing in the Olympics, and that he was excited about a 25-man roster that included "25 great stories".

[65] He was posthumously inducted into the University of Wisconsin Athletic Hall of Fame in 2018,[19] and was given the Lester Patrick Trophy in 2018, in recognition of his efforts to grow hockey in the United States.

Detroit Red Wings player Dylan Larkin led efforts to arrange the Stars and Stripes Showdown held at USA Hockey Arena, an exhibition game to raise funds for the charity.

The game included former players of the United States national team who asked the a portion of the proceeds benefit Johannson's family and a college fund for his daughter.

Andrew Podnieks wrote, "[Johannson] was a presence at most top-level IIHF events, representing both his country and the game with friendly dignity and a strong moral compass", and that "He was both professional and humble, competitive and ethical, hard-working and amiable".

[3] League commissioner Gary Bettman stated, "In building the teams that achieved so much success for USA Hockey, Jim Johannson had a sharp eye for talent, a strong sense of chemistry and a relentless pursuit of excellence".