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McKinsey 7S Framework
McKinsey 7S Framework
This framework can help you analyze how well a change can be implemented in an organization or can give
you an idea of the general well being of the organization. Problems arise when these seven components do no
reinforce one another.
Use this framework with caution, though, because it can be misused as a checklist and it is very easy to forget
one of the S’s during the interview. The seven factors are:
1. Strategy
2. Systems
3. Structure
4. Style
5. Staff
6. Skills
7. Shared Values
Synergies
This idea is used in many settings, but it can be especially useful in analyzing the potential benefits of mergers
or acquisitions (a popular case interview topic). Synergies can come in many forms, but here are a few to look
for:
Spreading fixed costs over greater production levels
Gaining sales from having a larger product line and extending brands
Better capacity utilization of plants
Better penetration of new geographic markets
Learning valuable management skills
Obtaining higher prices from eliminating competition (beware of antitrust, though)
If a merger or acquisition offers none of these benefits and few others, you may wonder if all the transaction is
accomplishing is the creation of a bigger, not better, corporation.