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McKinsey 7-S model business analysis technique

The McKinsey 7-S business analysis model helps a business analyst execute strategy by helping them understand the tangible and intangible factors which can affect the implementation of strategy.
McKinsey 7-S model business analysis technique

Introduction

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McKinsey 7-S model

The McKinsey 7-S business analysis model helps a business analyst execute strategy by helping them understand the tangible and intangible factors which can affect the implementation of strategy.

The McKinsey 7-S business analysis is something you will learn about on BCS Business Analysis courses. In particular it is taught on the BCS Business Analysis Foundation course which comes bundled with our BCS International Diploma in Business Analysis course package.

McKinsey’s model supposes that an organisation is made up of 7 components. Four of these are known as ‘hard’ components, and three are known as ‘soft’ components. They are:

Tangible factors (Hard Ss):

  • 1. Strategy;
  • 2. Structure;
  • 3. Systems.

Intangible factors (Soft Ss):

  • 4. Shared values;
  • 5. Skills;
  • 6. Staff;
  • 7. Style.

When implementing strategy, all seven components are inter-linked. The business analyst can consider these components as levers to be pulled. When one component is moved, all the others will be affected.

In the 7-S model, the connections between components are as important as the components themselves. For example, the strategy itself will be flawed if there is a disconnect between the style of management adopted, and the shared values of the organisation.

Infographic

McKinsey 7-S model business analysis technique infographic.

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