Mc Kinsey 7-s model 1. OBJECTIVE - To analyze how well an organization is positioned to achieve its intended objective 5. THE SEVEN ELEMENTS HARD ELEMENTS Strategy Structure Systems SOFT ELEMENTS Shared Values Skills Style Staff 6. Hard & Soft Hard Elements Easier to define and identify Can be influenced directly by management Soft Elements Difficult to describe More influenced by culture 7.STRATEGY Plan to maintain competitive advantage over other competitions Purpose of business Question: What is our strategy? How to deal with competitive pressure? How is strategy adjusted for environmental issues? 8. STRUCTURE Describes the way an organization is structured Command chain hierarchy – Who reports to whom? Division of activities Question Team or company division Hierarchy Decision making & controlling 9. SYSTEM Daily activities & procedures Formal procedures for measurement, reward & resource allocation Question Main systems to run the organization Monitor & evaluation of controls Internal rules & processes 10. SHARED VALUES “Super-ordinate goals” Core values for corporate culture & work ethic Central element Question Core values Culture Strength of values 11. STYLE Style of leadership adopted Behaviour patterns of key groups Question Participation Effectiveness of leadership Team competitive or cooperative Real teams or nominal groups 12. STAFF Employees & their capabilities HR, demographic, educational & attitude characteristics Question Position / specialization Gap in required competencies Need to fill position 13. SKILLS Actual skills of the employees Core competencies & distinctive capabilities Question Strongest skills Skill gaps Ability to do the job Monitoring & assessing 14. HOW TO USE Analyse current situation proposed future situation Identify gaps & inconsistencies Steps Start with shared values Look at hard elements Look at soft elements Iterate the process until satisfied 15. REFERENCES Mc-Kinsey 7S model [source – Wikipedia] www.mindtools.com/the-mckinsey-7s-framework/ www.tompeters.com

1. UNIT - 2
INFANITA LAWRENCE
MBA 1ST YEAR

2. OBJECTIVE
To analyze how well an organization is
positioned to achieve its intended objective

3. 7S MODEL DIAGRAM

4. SOFT ELEMENTS HARD ELEMENTS

5. THE SEVEN ELEMENTS
HARD ELEMENTS
 Strategy
 Structure
 Systems
SOFT ELEMENTS
 Shared Values
 Skills
 Style
 Staff

6. Hard & Soft
 Hard Elements
 Easier to define and identify
 Can be influenced directly by management
 Soft Elements
 Difficult to describe
 More influenced by culture

7. STRATEGY
 Plan to maintain competitive advantage over other competitions
 Purpose of business
 Question:
 What is our strategy?
 How to deal with competitive pressure?
 How is strategy adjusted for environmental issues?

8. STRUCTURE
 Describes the way an organization is structured
 Command chain hierarchy – Who reports to whom?
 Division of activities
 Question
Team or company division
Hierarchy
Decision making & controlling

9. SYSTEM
Daily activities & procedures
Formal procedures for measurement, reward & resource
allocation
Question
Main systems to run the organization
Monitor & evaluation of controls
Internal rules & processes

10. SHARED VALUES
 “Super-ordinate goals”
 Core values for corporate culture & work ethic
 Central element
 Question
 Core values
 Culture
 Strength of values

11. STYLE
 Style of leadership adopted
 Behaviour patterns of key groups
 Question
 Participation
 Effectiveness of leadership
 Team competitive or cooperative
 Real teams or nominal groups

12. STAFF
 Employees & their capabilities
 HR, demographic, educational & attitude characteristics
 Question
Position / specialization
Gap in required competencies
Need to fill position

13. SKILLS
 Actual skills of the employees
 Core competencies & distinctive capabilities
 Question
 Strongest skills
 Skill gaps
 Ability to do the job
 Monitoring & assessing

14. HOW TO USE
 Analyse
 current situation
 proposed future situation
 Identify gaps &
inconsistencies
 Steps
1. Start with shared values
2. Look at hard elements
3. Look at soft elements
4. Iterate the process until
satisfied

15. REFERENCES
 Mc-Kinsey 7S model [source – Wikipedia]
 www.mindtools.com/the-mckinsey-7s-framework/
 www.tompeters.com