Mckinsey’s 7s Framework_ppt



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Mckinsey’s 7sFramework History…  It was first mentioned in "The Art Of Japanese Management" by Richard Pascale & Anthony Athos in 1981.  At around the same time, Tom Peters & Robert Waterman were exploring what made a company excellent. The 7 S model was born at a meeting of these four authors in 1978.  It was taken up as a basic tool by the global management consultancy company McKinsey. What is the 7-S Framework?  It is a management model that describes 7 factors to organize a company in an holistic and effective way.  Together these factors determine the way in which a corporation operates. Managers should take into account all seven of these factors, to be sure of successful implementation of a strategy. Large or small.  They're all interdependent, so if you fail to pay proper attention to one of them, this may effect all others as well. On top of that, the relative importance of each factor may vary over time. McKinsey 7s Model The Seven Elements Soft Elements Hard Elements    Strategy Structure Systems  Shared Values  Skills  Style  Staff Elements Description  Strategy: It is the plan or course of action in allocating resources to achieve identified goals over time.  Structure: The way people & work/ tasks are organized.  Systems: All the processes & information flows that links the organization togather.  Elements Description Shared Values: These are the core values of the company that are evidenced in the corporate culture & the general work ethic.  Style: The way the managers behave.  Staff: The employees & their general capabilities.  Skills: The actual skills & competencies of the employees working for the company. Benefits of the Model  Improves the performance of a company.  Examines the likely effects of future changes within a company.  Align departments & processes during a merger or acquisition.  Determines how best to implement a proposed strategy. How to use the To understand how the organizational model? elements are interrelated, & to ensure that  the wider impact of changes made in one area is taken into consideration.  To help identify what needs to be realigned to improve performance, or to maintain alignment (and performance) during other types of change. How to use the model? To identify gaps & inconsistencies between the current position & the future position of the company. Drawbacks  The external environment is not mentioned in the McKinsey 7S Framework, although the other variables do exist & that only the most crucial variables are depicted in the model.  The notion of performance or effectiveness is not made explicit in the model. Key Points . . .   The McKinsey 7Ss model is one that can be applied to almost any organizational or team effectiveness issue. Inconsistency between some of the elements can be identified by this classic model. Conclusion The McKinsey 7S model can be applied to elements of a team or a project as well. The alignment issues apply, regardless of how you decide to define the scope of the areas you study. THANK YOU
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