Boston Communications Consulting 7S Framework: Prof - Manoj Meghrajani

Boston Communications Consulting
7S Framework
PROF.MANOJ MEGHRAJANI
Agenda
Case for Market Entry
Factual Overview and reasons for selecting
the 7S framework
Essence of the Framework
Application of 7S Framework to the
company’s problem
Recommendations
Lessons Learned
Case for Market Entry
Case 4.2 Boston Communications Consulting Co. has
grown from 3 consultants to 100 in 2 years. It is now
preparing to expand overseas and work with global
clients. How would you help the firm develop a strategy
and what would you recommend?
Mckinsey 7-S Framework – strategy, structure,

systems, style, staff, skills and shared values
Factual Overview
Functions/Uses of 7-S-Model
Used for internal analysis of a company
Analyze strategic characteristics of a company
Tool for determining the “doability” of strategies
Used to create alignment among various departments of an organization
Examines effect of change on a company
Analyze the “successful and dysfunctional” aspects of an organization
Factual Overview con’t
Weakness
Focuses on internal fit of an organization
Ignores effect of factors external to the

organization
Why 7-S Model

Profitable, “purposeful, efficient organizational action”
cannot be successfully executed if internal elements are
not aligned
“Hard S” - rational and factual aspects: focuses on
Strategy, Systems, and Structure
Strategy – a plan of action to maintain competitive

advantage over the competition
Systems – measures and actions which accommodate

the execution of daily activities
Structure – the way the organization is structured, who

reports to whom
“Soft S” - social and interpersonal behavior: focuses on
Style, Shared Values, Staff, and Skills
Style – leadership style
Shared Values – company culture, work ethics etc
Staff – company employees and their capabilities
Skills – core competencies of the company as well as

that of its staff
Application of the Framework - Strategy
Global strategy
Standardization of products, processes HQ
and operation around the world
Multidomestic strategy
Adjust products and operations according
HQ
to each country or market served
Source: Strategic Management. Pitt and Lei, 2003
Application of the Framework - Systems
Country 1
•In each country, a copy of the ERP

is installed with modifications to
accommodate language
•A version of the website in each
These 3 servers represent the US Country is created and hosted
website, ERP, and database server •The local ERP and website use
Country 2 the local database server
•The local database is
synchronized with the central
database server in Boston several
times daily.
International *Because all locations use the same

Data Warehouse Database design and have the same basic
operations this model becomes highly
modular and easy to implement multiple
times.
Country 3
Web Server
Database Server
Application Server
Application of the Framework – Structure
Geographic Division Structure
Hierarchical -Two way open communication
Self contained product/function to meet local
needs
Promotes a high level of decentralization
Corporate - US
Region 1-London Region 2- Germany
Product/Function Product/Function
Application of the Framework –Style
The competitive executive

Flexible and adaptive to Stakeholders needs
Seizes and exploits opportunities
Focuses on increasing the company’s share of

market at a profit
Application of the Framework – Shared
Values
Maintenance of the firm’s corporate culture
globally
Strong work ethics among new employees
Healthy balance of competitiveness and

cooperation amongst applicants
Application of the Framework - Staff
Recruitment of new consultants in their

respective countries
Attract experienced employees at other firms
Offer incentives which should be determined

by the culture of the country
Provide additional training
Application of the Framework - Skills
Skills for an International Market

Communication, Administrative, Finance and Accounting,
Customer Service, Marketing, Product Development, IT
High Level of linguistic capabilities
Examine foreign recruitment opportunities
Seek the best job techniques for individual countries
Exposure of US based consultants to the global

marketplace
Recommendations
Consider application of a framework which includes external
considerations – SWOT
Open offices in UK and Germany since competition is not very

strong here
Avoid France since Cap Gemini is already an established

presence and would be a formidable competitor
Form an alliance or partnership with an already established

smaller firm in the consulting industry
Do extensive market analysis to determine market profitability,

the competition, the governmental or legal restrictions, and
requirements in these countries
Lesson Learned
It is best to apply two frameworks to a case before
making a decision
7s framework pertains to the internal alignment of a firm

helping them to work towards shared goals and values
There are considerable challenges to global expansion –

capital, labor, government regulations, tax
Companies need a strong, competitive global strategic

plan
You must take into consideration cultural, language and

customer differences

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Boston Communications Consulting

Mckinsey 7-S Framework – strategy, structure,

Used for internal analysis of a company

Analyze strategic characteristics of a company

Tool for determining the “doability” of strategies

Used to create alignment among various departments of an organization

Examines effect of change on a company

Analyze the “successful and dysfunctional” aspects of an organization

Ignores effect of factors external to the

Why 7-S Model

Strategy – a plan of action to maintain competitive

Systems – measures and actions which accommodate

Structure – the way the organization is structured, who

Style – leadership style

Shared Values – company culture, work ethics etc

Staff – company employees and their capabilities

Skills – core competencies of the company as well as

and operation around the world

Source: Strategic Management. Pitt and Lei, 2003

•In each country, a copy of the ERP

International *Because all locations use the same

Region 1-London Region 2- Germany

The competitive executive

Seizes and exploits opportunities

Focuses on increasing the company’s share of

Strong work ethics among new employees

Healthy balance of competitiveness and

Recruitment of new consultants in their

Attract experienced employees at other firms

Offer incentives which should be determined

Provide additional training

Skills for an International Market

High Level of linguistic capabilities

Examine foreign recruitment opportunities

Seek the best job techniques for individual countries

Exposure of US based consultants to the global

Open offices in UK and Germany since competition is not very

Avoid France since Cap Gemini is already an established

Form an alliance or partnership with an already established

Do extensive market analysis to determine market profitability,

7s framework pertains to the internal alignment of a firm

There are considerable challenges to global expansion –

Companies need a strong, competitive global strategic

You must take into consideration cultural, language and

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