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Group members:

Konpal Mansoor
Sidra Maqsud
Rabia Zaman
Anniyat Hasnain
Rabia Inam
McKinsey & Company

 McKinsey & Company is a global management consulting firm that


focuses on solving issues of concern to senior management.

 McKinsey serves as an adviser to the world’s leading businesses,


governments, and institutions.

 It is widely recognized as a leader and one of the most prestigious firms


in the management consulting industry.

http://www.wikipedia.com/
McKinsey “7s” Framework

“The 7-S framework of McKinsey is a Value Based


Management (VBM) model that describes how one
can holistically and effectively organize a company.
Together these factors determine the way in which a
corporation operates”

http://www.mindtools.com/
 The McKinsey 7S model involves seven interdependent factors which are
categorized as either "hard" or "soft" elements.

Hard elements Soft elements

Strategy Shared values

Structure skills

systems Style & staff

 "Hard" elements are easier to define or identify and management can directly
influence them: These are strategy statements; organization charts and reporting
lines; and formal processes and IT systems

 "Soft" elements, on the other hand, can be more difficult to describe, and are less
tangible and more influenced by culture. However, these soft elements are as
important as the hard elements if the organization is going to be successful.

http://www.mindtools.com/
Source: www.mckinsey.com/
The “7S”
 Strategy: the plan devised to maintain and build competitive advantage
over the competition.

 Structure: the way the organization is structured and who reports to whom.

 Systems: the daily activities and procedures that staff members engage in
to get the job done.

 Shared Values: these are the core values of the company that are evident
in the corporate culture and the general work ethic.

 Style: the style of leadership adopted.

 Staff: the employees and their general capabilities.

 Skills: the actual skills and competencies of the employees working for the
company,

http://www.paper4you.com/
Strengths of 7S Model

 It improves the performance of a company as it’s a diagnostic tool for


understanding organizations that are ineffective.

 Guides the organizational change.

 Combines rational and hard elements with emotional and soft elements.

 Align departments or projects during a merger or an acquisition.

 Determines how best to implement a proposed strategy.

http://www.scribd.com/
7s approach

 To be effective your organization must have a high degree of fit, or


internal alignment among all the 7 S.

 Each S must be consistent with and reinforce the other S’s. All S’s are
interrelated, so a change in one has a ripple effect on all the others.

 It is impossible to make progress on one without making progress on all.


Thus, to improve your organization, pay attention to all of the seven
elements at the same time.

 There is no starting point or implied hierarchy- different factors may drive


the business in any one organization.

http://www.slideshare.net/
How this model works?!

 7 s checklist questions.

 7 s matrix questions.

http://www.mindtools.com/
Strategy:

 What is our strategy?

 How do we intend to achieve our objectives?

 How do we deal with competitive pressure?

 How are changes in customer demands dealt with?

 How is strategy adjusted for environmental issues?

Structure:

 How is the company/team divided?

 What is the hierarchy?

 How do the various departments coordinate activities?

 How do the team members organize and align themselves?

 Is decision making and controlling centralized or decentralized? Is this as it should be, given
what we're doing?

 Where are the lines of communication? Explicit and implicit?


http://www.mindtools.com/
Systems:

 What are the main systems that run the organization?

 Where are the controls and how are they monitored and evaluated?

 What internal rules and processes does the team use to keep on track?

Shared Values:

 What are the core values?

 What is the corporate/team culture?

 How strong are the values?

 What are the fundamental values that the company/team was built on?

Style:

 How participative is the management/leadership style?

 How effective is that leadership?

 Do employees/team members tend to be competitive or cooperative?

 Are there real teams functioning within the organization or are they just nominal groups

http://www.mindtools.com/
Staff:

 What positions or specializations are represented within the team?

 What positions need to be filled?

 Are there gaps in required competencies?

Skills:

 What are the strongest skills represented within the company/team?

 Are there any skills gaps?

 What is the company/team known for doing well?

 Do the current employees/team members have the ability to do the job?

 How are skills monitored and assessed?

http://www.mindtools.com/
7S matrix questions
 Using the information gathered, examine where there are gaps and
inconsistencies between elements. McKinsey 7S Worksheet contains a
matrix which is used to check off alignment between each of the elements.

http://www.mindtools.com/
 Are the shared values of an organization consistent with the
organizational structure, strategy, and systems? If not, what
needs to be changed?

 How well does each one of the hard elements support the
others? Identify where changes need to be made.

 Do the soft elements support the desired hard elements? Do


they support one another? If not, what needs to change?

http://www.mindtools.com/
“7S”
Goal

Offer new ways of thinking about management in


the private, public, and nonprofit sectors.
We aim to help business people run their
organizations more productively, more
competitively, and more creatively.

http://www.mckinseyquarterly.com/
The best leadership model: Yourself

 Personal strengths and values we draw from our own lives


can produce the best leadership traits in the workplace and
beyond.

1. Centered leaders achieve extraordinary results

2. The value of centered leadership

3. Revealing your moment of truth

http://www.mckinseyquarterly.com/
Centered Leadership

1. Meaning
2. positive framing
3. Connecting
4. Engaging
5. energizing

http://www.mckinseyquarterly.com/

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