Where I spend my freetime… Strategy: McKinsey and Company created this 7S framework in the early s. It is well-known for analyzing organizations, for the fact that McKinsey and Company used it to analyze over 70 large organizations in s. As described in the title, the framework has 7 variables:
Skills Shared Values Strategy is a plan developed by a firm to achieve sustained competitive advantage and successfully compete in the market. What does a well-aligned strategy mean in 7s McKinsey model? So the key in 7s model is not to look at your company to find the great strategy, structure, systems and etc.
For example, short-term strategy is usually a poor choice for a company but if its aligned with other 6 elements, then it may provide strong results. Structure represents the way business divisions and units are organized and includes the information of who is accountable to whom.
In other words, structure is the organizational chart of the firm. It is also one of the most visible and easy to change elements of the framework.
Systems are the area of the firm that determines how business is done and it should be the main focus for managers during organizational change. They also include capabilities and competences.
During organizational change, the question often arises of what skills the company will really need to reinforce its new strategy or new structure.
Staff element is concerned with what type and how many employees an organization will need and how they will be recruited, trained, motivated and rewarded. Style represents the way the company is managed by top-level managers, how they interact, what actions do they take and their symbolic value.
Shared Values are at the core of McKinsey 7s model. They are the norms and standards that guide employee behavior and company actions and thus, are the foundation of every organization. The authors of the framework emphasize that all elements must be given equal importance to achieve the best results.
Using the tool As we pointed out earlier, the McKinsey 7s framework is often used when organizational design and effectiveness are at question. It is easy to understand the model but much harder to apply it for your organization due to a common misunderstanding of what should a well-aligned elements be like.
We provide the following steps that should help you to apply this tool: Identify the areas that are not effectively aligned During the first step, your aim is to look at the 7S elements and identify if they are effectively aligned with each other. Determine the optimal organization design With the help from top management, your second step is to find out what effective organizational design you want to achieve.
By knowing the desired alignment you can set your goals and make the action plans much easier. This step is not as straightforward as identifying how seven areas are currently aligned in your organization for a few reasons. First, you need to find the best optimal alignment, which is not known to you at the moment, so it requires more than answering the questions or collecting data.
Decide where and what changes should be made This is basically your action plan, which will detail the areas you want to realign and how would you like to do that.
Make the necessary changes The implementation is the most important stage in any process, change or analysis and only the well-implemented changes have positive effects. Therefore, you should find the people in your company or hire consultants that are the best suited to implement the changes.
Continuously review the 7s The seven elements: A change in one element always has effects on the other elements and requires implementing new organizational design. Thus, continuous review of each area is very important.
The company is new, so its structure is simple and made of a very few managers and bottom level workers, who undertake specific tasks. Alignment So far the 7 factors are aligned properly.Mckinsey 7s Framework-Telenor Essay Telenor (First 3 ‘S’ Example) I did only the first 3 ‘S’ for Telenor analysis.
They were strategy, structure and system. “Telenor Group is the incumbent telecommunications company in Norway, with headquarters located at Fornebu, close to Oslo.
Telenor Group is mostly an international wireless. In this interactive presentation--one in a series of multimedia frameworks--Lowell Bryan, a director in McKinsey's New York office, examines 7-S, a framework introduced to address the critical role of coordination, rather than structure, in organizational effectiveness.
7-S: Lowell Bryan, a director in McKinsey’s New York office, reflects on 7-S, a framework introduced in the late s to address the critical role of coordination, rather than . The McKinsey 7S model is a useful framework for reviewing an organisation’s marketing capabilities from different viewpoints.
The power of the McKinsey 7S model is that it covers the key organisation capabilities needed to implement strategy successfully, whether you're reviewing a business.
Strategy: McKinsey 7S Framework and Telenor Example [pic]I try to explore the McKinsey 7S Framework as a part of case study, in which I have to analyze Telenor, the Norwegian telecommunication company. McKinsey and Company created this 7S framework in the early s.
McKinsey 7S Short Description • The McKinsey 7S model is a diagnostic management tool used to test the strength of the strategic degree of fit between a firm’s current and proposed strategies.
• It is a management tool designed to facilitate the process of strategy implementation within the context of organizational change.