McKinsey 7-S Organizational Alignment

Business Strategy Tool

Assess and align your organization using McKinsey's 7-S Framework

Business Strategy Advanced 45-60 minutes
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Framework & Instructions

Step 1: Assess Current State

Evaluate each of the 7 S's on a scale of 1-10:

Strategy (1-10):

  • Rating: [score]
  • Key Strengths: [what's working well]
  • Weaknesses: [what needs improvement]

    Structure (1-10):

  • Rating: [score]
  • Key Strengths: [what's working well]
  • Weaknesses: [what needs improvement]

    Systems (1-10):

  • Rating: [score]
  • Key Strengths: [what's working well]
  • Weaknesses: [what needs improvement]

    Shared Values (1-10):

  • Rating: [score]
  • Key Strengths: [what's working well]
  • Weaknesses: [what needs improvement]

    Skills (1-10):

  • Rating: [score]
  • Key Strengths: [what's working well]
  • Weaknesses: [what needs improvement]

    Staff (1-10):

  • Rating: [score]
  • Key Strengths: [what's working well]
  • Weaknesses: [what needs improvement]

    Style (1-10):

  • Rating: [score]
  • Key Strengths: [what's working well]
  • Weaknesses: [what needs improvement]

    Step 2: Identify Misalignments

  • Which S's are aligned with each other?
  • Which S's are creating friction or conflicts?
  • Are hard elements aligned with soft elements?
  • Is the strategy supported by the right structure and systems?
  • Do shared values align with actual behaviors?

    Step 3: Define Target State

  • For each S, define:

  • What should it look like in 12 months?
  • What changes are needed?
  • What's the priority level?

    Step 4: Create Alignment Plan

  • Quick Wins: Changes that can happen immediately
  • Medium-Term: Changes requiring 3-6 months
  • Long-Term: Changes requiring 6-12 months
  • Dependencies: What needs to happen in what order

    ---

    Common Misalignment Patterns

    Pattern 1: Strategy-Structure Mismatch

  • Symptom: New strategy doesn't fit existing structure

    Example: Customer-focused strategy but product-oriented org chart

    Fix: Reorganize to support strategy or adjust strategy to fit structure

    Pattern 2: Systems-Strategy Gap

    Symptom: Measurement systems don't track strategic priorities

    Example: Strategy emphasizes innovation but only measures efficiency

    Fix: Align KPIs and rewards with strategic goals

    Pattern 3: Values-Behavior Disconnect

    Symptom: Stated values don't match actual behaviors

    Example: "Customer first" values but sales culture dominates

    Fix: Align hiring, rewards, and recognition with stated values

    Pattern 4: Skills-Strategy Gap

    Symptom: Organization lacks capabilities needed for strategy

    Example: Growth strategy but no scaling expertise

    Fix: Hire, train, or acquire needed skills

    ---

    Assessment Questions by S

    Strategy

  • What is our competitive advantage?
  • What are our strategic priorities?
  • How do we plan to grow?
  • What markets/products are we focused on?

    Structure

  • Does our org chart support our strategy?
  • Are reporting lines clear?
  • Do we have the right span of control?
  • Are cross-functional teams effective?

    Systems

  • What gets measured and rewarded?
  • Are our systems supporting our priorities?
  • How do we allocate resources?
  • What information systems exist?

    Shared Values

  • What do we truly believe in?
  • What behaviors are celebrated?
  • What's important to our culture?
  • Do we walk the talk?

    Skills

  • What are our core competencies?
  • What skills do we need to develop?
  • Where are our skill gaps?
  • How do we build capabilities?

    Staff

  • Do we have the right people?
  • Are they motivated and engaged?
  • What's our talent development approach?
  • How do we attract and retain talent?

    Style

  • How do leaders behave?
  • What's the management style?
  • How are decisions made?
  • What's the communication approach?

    ---

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