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McKinsey's 7s Framework

The McKinsey 7S Framework


It is a management model of 7 factors
managers should take into account all seven

of these factors They are interdependent, Together these factors determine the way in which a corporation operates,so if you fail to pay proper attention to one of them ,this may be effect all other as well

The McKinsey 7S Framework


The Seven Elements

The McKinsey 7S model involves seven interdependent factors which are

categorized as either "hard" or "soft" elements:


Hard Elements Strategy Structure Systems Soft Elements Shared Values Skills Style Staff

"Hard" elements are easier to define or identify and management can directly

influence them: These are strategy statements; organization charts and reporting lines; and formal processes and IT systems. "Soft" elements, on the other hand, can be more difficult to describe, and are less tangible and more influenced by culture. However, these soft elements are as important as the hard elements if the organization is going to be successful.

Mckinsey 7s model

The McKinsey 7S Framework


STRATEGY

the integrated vision and direction of the company as well as the manner in which it communicates and implements that vision and direction. STRUCTURE the form of the organisational chart and interconnections between positions in the organisational hierarchy.

The McKinsey 7S Framework


SYSTEMS

the procedures and routine processes required to perform the work , including the ways information moves through the organisation. STAFF the personnel categories within the organisation, e.g. marketers, engineers.

The McKinsey 7S Framework


STYLE

the characterisation of the ways key managers set priorities and behave in order to achieve the organisation's goals. SKILLS the distinctive capabilities of the organisation as a whole.

The McKinsey 7S Framework


SHARED VALUES

the core beliefs underlying the organisation's existence and its expectations of its members. Values act as an organisation's conscience and provide guidance in times of crisis.

The McKinsey 7S Framework


How to Use the Model

The model is based on the theory that, for an organization

to perform well, these seven elements need to be aligned and mutually reinforcing. So, the model can be used to help identify what needs to be realigned to improve performance, or to maintain alignment (and performance) during other types of change. Whatever the type of change - restructuring, new processes, organizational merger, new systems, change of leadership, and so on - the model can be used to understand how the organizational elements are interrelated, and so ensure that the wider impact of changes made in one area is taken into consideration.

The McKinsey 7S Framework Advantage


easy to apply as an analytical framework. the analysis is broad enough to encompass the key characteristics of an organization . used to asses the impact of strategic change on the client organization through cross-analysis. Combines both the rational and hard elements with emotional and soft elements, The strengths and weaknesses of an organization can be identified by considering the links between each of the Ss. No S is a strength or a weakness in itself, but is a relative measure. Each factor's degree of support for the other S is relevant. AS that harmonize with the other S is considered a strength, and a dissonance a weakness.

The McKinsey 7S Framework Disadvantage


bias for action. close to the customer. autonomy and entrepreneurship . productivity through people. hands-on value driven leadership. stick to the knitting. simple form, lean staff . simultaneous tight-loose properties. The human brain finds it notoriously difficult to predict the effects of changes in complex systems. The model has limited use as a real-time, numerical maintenance and monitoring tool.

Key Points
The McKinsey 7Ss model is one that can be applied to

almost any organizational or team effectiveness issue. If something within your organization or team isn't working, chances are there is inconsistency between some of the elements identified by this classic model. Once these inconsistencies are revealed, you can work to align the internal elements to make sure they are all contributing to the shared goals and values. The process of analyzing where you are right now in terms of these elements is worthwhile in and of itself. But by taking this analysis to the next level and determining the ultimate state for each of the factors, you can really move your organization or team forward.

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