Organisational design Flashcards
Organizational Design: Definition
Organisational design is the process of aligning an
organisation’s structure with its mission”
7S McKinsey Framework
Uses:
- Examine how different parts of an organization work together
- Examine the effects of future changes in the organization
- Align departments and processes during a merger or acquisition.
7S McKinsey Framework - Hard Elements
Hard elements
* Strategy, structures (such as organization charts
and reporting lines), and systems (such as formal
processes and IT systems.)
* These are relatively easy to identify, and
management can influence them directly
7S McKinsey Framework - Soft Elements
Soft elements
* Shared Values, Skills, Style, Staff
harder to describe, less tangible, and more
influenced by your company culture.
But they’re just as important as the hard elements
if the organization is going to be successful.
7S McKinsey Framework - Key Points
Placing shared values in the center of the
model emphasizes that these values are
central to the development of all the other
critical elements
* The 7 elements need to balance and
reinforce each other for an organization to
perform well.
If something within your organization or
team isn’t working, chances are there is an
inconsistency between some of the seven
elements identified in the model.