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| 7S Model: McKinsey
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| Intorduction |
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McKinsey has created this model in the early 1980s.Since then it has been widely used by practitioners and academics alike in analysing hundreds of organisations. The McKinsey 7S Framework was created as a recognisable and easily remembered model in business. The seven variables, which the authors term "levers", all begin with the letter "S":
The analysis of several organisations using the model revealed that companies tend to focus on those variables which they feel they can change (e.g. structure, strategy and systems) while neglecting the other variables. These other variables (e.g. skills, style, staff and shared values) are considered to be "soft" variables. For long-term benefit, they feel that the variables should be changed to become more congruent as a system.
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| First S. Strategy: |
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Strategy is the plan of action an organisation prepares in response to, or anticipation of, changes in its external environment. Strategy is differentiated by tactics or operational actions by its nature of being premeditated, well thought through and often practically rehearsed. Thus, strategy is designed to transform the firm from the present position to the new position described by objectives, subject to constraints of the capabilities or the potential.
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| Second S. Structure |
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Business needs to be organised in a specific form of shape that is generally referred to as organisational structure. Organisations are structured in a variety of ways, dependent on their objectives and culture. The structure of the company often dictates the way it operates and performs.The idea is to make the organisation more flexible and devolve the power by empowering the employees and eliminate the middle management layers.
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| Third S -Systems
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Every organisation has some systems or internal processes to support and implement the strategy and run day-to-day affairs. The organisations are simplifying and modernising their process by innovation and use of new technology to make the decision-making process quicker. Special emphasis is on the customers with the intention to make the processes that involve customers as user friendly as possible
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| Fourth S- Style
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All organisations have their own distinct culture and management style. It includes the dominant values, beliefs and norms which develop over time and become relatively enduring features of the organisational life., there have been extensive efforts in the past couple of decades to change to culture to a more open, innovative and friendly environment with fewer hierarchies and smaller chain of command.
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| Fifth S- Staff
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Organisations are made up of humans and it's the people who make the real difference to the success of the organisation in the increasingly knowledge-based society. Good Organiations put emphasis on hiring the best staff, providing them with rigorous training and mentoring support, and pushing their staff to limits in achieving professional excellence
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| Sixth S- Shared Values
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All members of the organisation share some common fundamental ideas or guiding concepts around which the business is built. This may be to make money or to achieve excellence in a particular field.The organisations with weak values and common goals often find their employees following their own personal goals that may be different or even in conflict with those of the organisation or their fellow colleagues.
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| Seventh S. Skills
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This is an imporant aspect of any organzation. It helps in understanding dominant attributes or capabilities that exist in the organization and use them.We can summarized the above as-
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