McKinsey 7-S Model
Introduction
The McKinsey 7-S framework helps identify the various areas of an organisation that need to be aligned to implement a strategy effectively. It enables in understanding the hard and soft elements within a business that are potentially impacted by the proposed project/change management initiative.
The 7-S model defines the seven areas that are inter-connected to implement a strategy within an organisation. The elements in the model are broadly categorised into hard and soft aspects:
- Shared Values - Values and beliefs driving the business
- Skills - Competencies and skills to carry out the work
- Staff - People required to fulfil the work
- Style - Culture and management style
- Strategy - Defined strategy, arrived at from the analysis
- Systems - Tactical and operational processes and IT
- Structure - Command & control, communication structures
Purpose
To understand the organisation in a holistic manner, so that the dependencies and inter-relationships are identified. These help in implementing the strategy effectively and efficiently.
Stake holders
Board of directors, CEO, Senior management, Consultants,Analysts
Context
A strategy or set of strategies is defined following the external and internal analyses (eg., MOST, Resource Audit, PESTLE and SWOT). Then the McKinsey 7-S model is used to understand the areas to be considered for implementation of the identified strategy/strategies.