The McKinsey 7S Model helps you analyze your company for performance gaps. You can use this management model to identify the gap between how you are currently doing and where you want to be in the future. With the model, you can map out what you need to do to achieve your business strategy.
The McKinsey 7S Model is a change management tool for analyzing organizational design, alignment, and performance. It offers a simplified method of identifying organizational gaps, inconsistencies, and conflicts. Additionally, it is useful for mapping out various types of change initiatives in complex environments.
The framework can be used to examine the likely effects of future changes in the organization, or to align departments and processes during a merger or acquisition. You can also apply the McKinsey 7-S model to elements of a team or a project.
Practical Example
The McKinsey 7S model can be applied in circumstances where changes are being brought into the organization that may affect one or more of the shared values. Suppose a company is planning to undertake a merger. It will affect how the company is organized since new staff will be coming in.
In Conclusion
The McKinsey 7-S framework helps you increase the efficiency of your organization, and how your PMO supports it. By determining what your business does well in these seven elements, you can change your business practices to address commonly overlooked aspects of your organization.
Limitations of 7S Model
The model has been criticized for lacking enough empirical evidences to support to support their explanation. The model is considered to be more of a static kind of model. It is rather difficult to assess the degree of fit with accuracy successfully.
The SWOT analysis is useful for generating strategic options and evaluating them based on their feasibility and desirability. The McKinsey 7S model, on the other hand, focuses on the internal factors that affect your organization's culture and effectiveness.
Sort, Set in order, Shine, Standardize, Sustain or Self Discipline, Safety and Spirit. Each phase continuously improves the performance of an organization by eliminating wastages of searching, waiting, transportation, motion, work in progress inventory etc.
The first three elements, which are 'strategy', 'structure', and 'systems', are hard elements because they influence the management in a company. On the other hand, the latter four, namely 'shared values', 'skills', 'style', and 'staff' are the soft element category as they are culture-oriented and rather abstract.
The McKinsey 7-S Model is a change framework based on a company's organizational design. It aims to depict how change leaders can effectively manage organizational change by strategizing around the interactions of seven key elements: structure, strategy, system, shared values, skill, style, and staff.
What are the Seven Elements of McKinsey's 7s Framework. The seven 'S' of the model are systems, strategy, structure, shared values, staff, skills, and style. They are classified into soft and hard elements.
The 7S model is a framework that helps you analyze the alignment and performance of your project across seven key elements: strategy, structure, systems, skills, staff, style, and shared values.
A functional strategy concerns how a functional division of a company will achieve its objectives. Carrying out a functional strategy is in support of a business unit's competitive strategy through maximizing resource productivity.
Style represents the way the company is managed by top-level managers, how they interact, what actions do they take and their symbolic value. In other words, it is the management style of company's leaders. What is this? Report Ad. Shared Values are at the core of McKinsey 7s model.
Strategy is a way of thinking about your business, not a set of procedures or frameworks. To inspire that kind of thinking (and the dialogue that accompanies it), a team of McKinsey consultants developed ten tests to help executives assess their strategies.
McKinsey 7s model was developed in 1980s by McKinsey consultants Tom Peters, Robert Waterman and Julien Philips with a help from Richard Pascale and Anthony G. Athos. Since the introduction, the model has been widely used by academics and practitioners and remains one of the most popular strategic planning tools.
In simple terms, the McKinsey Solve assessment is a set of ecology-themed video games. In these games, you must do things like build food chains, protect endangered species, manage predator and prey populations and potentially diagnose diseases within animal populations or identify natural disasters.
The seven elements: strategy, structure, systems, skills, staff, style, and values, don't always stay the same, and change regularly.
7s Factors
Strategy, structure and systems are hard elements that as opposed to soft elements, are much easier to identify and manage. On the other hand, while more difficult to handle, soft areas are the backbone of the enterprise and are more likely to achieve a sustainable competitive advantage.
The seven organizational elements to examine for organizational alignment are strategy, structure, systems, staffing, skills, style, and shared values.
Shared Values: They are placed in the center of the model and interrelated with all the factors. Therefore, they depict the culture of the organization. They support long-term achievements and motivate employees to explore new, competitive arenas.
The general concept of the 7S is intended to optimize the physical workspace for efficiency and effectiveness by identifying and storing the items used, maintaining orderliness and cleanliness in the area and sustaining the new order to ensure safety of the workers in the most efficient manner.