Mckinsey Model Essay

McKinsey 7S ModelThis model was developed in the 1980s by Robert Waterman, Tom Peters and Julien Philips whilst working for McKinsey and originally presented in their article expression is not Organisation. To quote them Intellectually all managers and consultants know that a great deal more goes on in the process of organizing than the charts, boxes, dotted lines, position descriptions, and matrices hindquarters possibly depict. But all too often we behave as though we didnt know it if we want change we change the structure. meditate and solving schemeal problems means looking not merely to geomorphological reorganization for answers but to a framework that includes structure and several tie in factors. The 7S Model which they developed and presented became extensively used by mangers and consultants and is one of the cornerstones of organizational analysis. picEssentially the model says that any organisation can be ruff described by the seven interrelated shares shown aboveStrategyPlans for the assignation of a firms scarce resources, over time, to r severally identify goals. Environment, competition, customers. StructureThe way the organizations units relate to each separate centralized, functional divisions (top-down) decentralized (the trend in larger organizations) matrix, network, holding, etc. SystemsThe procedures, processes and routines that characterise how important work is to be done financial systems hiring, promotion and accomplishment appraisal systems information systems. SkillsDistinctive capabilities of personnel or of the organization as a whole. StaffNumbers and types of personnel within the organization.Style pagan vogue of the organization and how key managers behave in achieving the organizations goals. Shared ValueThe interconnecting centre of McKinseys model is Shared Values. What the organization stands for and what it believes in. Central beliefs and attitudes.However the model is more than simply a list. report Poi nts are 1. The top3, strategy , structure and systems, are the hard elements. The dirty dog 4, skills, staff, style, and shared values are the cushiony elements. 2. At that time, any organisational study focused on the top hard elements and ignored the bottom soft elements. 3. The current view is to focus on all 7, accepting that for each business or enterprise, two or three will be the VITAL ones. 4. The key point is that all the elements are all inter-dependant. Changes in one will have repercussions on the others. Thus introduction of unused systems will certainly affect skills, and may well effect structure, style and staff. It could even have an impact on strategy. Similar repercussions occur with decentralization. 5. If you full try to change one element on its own, the other element may well resist the change and try to maintain the positioning quo. 6. In this sense, any change in organisation is best seen as a shift in the whole picture. Waterman Jr., Robert H., Peters, Thomas J., and Julien R. Phillips. 1980. building IS NOT ORGANIZATION. Business Horizons 23, no. 3 14