7 s of strategy

7/29/2019 7 s of strategy

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Mckinseys 7S Model

Presentation by:Nabendu Paul (M120006MS)Second Trimester(MBA Programme)


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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 & RobertWaterman were exploring what made a

company excellent. The 7S model was born at a

meeting of these four authors in 1978. It was

taken up as a basic tool by the globalmanagement consultancy company McKinsey.


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What is the 7-S Framework

It is a management model that describes 7factors 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.

They are all inter-dependent. The relative

importance of each factor may vary over time.


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The Seven Elements

Hard Elements

Strategy

Structure

Systems

Soft Elements

Shared values

Skills

Style

Staff


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Soft Elements

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.


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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 aproposed strategy.


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How to use the Model

To understand how the organizational 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.

To identify gaps & inconsistencies between the

current position & the future position of the

company.


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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.


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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.


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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.


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Thank you

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7 s of strategy