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- 2. INTRODUCTION TO 7 – S FRAMEWORK McKinsey 7S framework, Developed in the early 1980s by Tom Peters and Robert Waterman, two consultants working at the McKinsey & Company consulting firm in United States to diagnose the causes of organizational problems and to formulate programs for improvement.
- 3. INTRODUCTION TO 7 – S FRAMEWORK • The 7-S model can be used in a wide variety of situations where an alignment perspective is useful, for example to help you: • Improve the performance of a company. • Examine the likely effects of future changes within a company. • Align departments and processes during a merger or acquisition. • Determine how best to implement a proposed strategy.
- 4. THE SEVEN ELEMENTS • The McKinsey 7S model involves seven interdependent factors which are categorized as either "hard" or "soft" elements:
- 5. THE Mc KINEY 7-S MODEL
- 6. CONT…… • Super- Ordinate Goal or Shared Value • Structure • Strategy • System • Style • Staff • Skills
- 7. THE 7-S FRAME WORK OF TATA STEEL • Super ordinate goals:- –Our people, by fostering team work, nurturing talent, enhancing leadership capability and acting with pride. –Our innovative approach, developing leading edge solution in technology, process and product.
- 8. Structure
- 9. Conti…
- 10. Strategy:- • Proposed Strategy – Strengthen Indian Operation – Seek and maintain control over Raw Material – Increasing focus on High Value added steel product. • Growth Strategy ‾ 2.9 mtpa expansion at Jamshedpur ‾ 6.0 mtpa Greenfield Project at Orissa ‾ 0.5 mtpa Mini Blast furnace project in Thailand
- 11. Systems:- • Process- – Ensure timely payment – Shared life style of separate employs – Develop communication and counseling techniques and skills. • Safe guards- - Organization Value - Low employee morale • Development and Marketing of ESS Package- - Develop an attractive and marketable package based on survey feedback. -Launch the scheme carefully.
- 12. Style:- Tata steel, combines innovation, functionality and style, to offer a never before range in steel life style products.
- 13. Conti… • If the employee is still not satisfied with the reply, he may appeal to the Chairman of the Zonal Works Committee concerned, on Grievance Form-III, with in seven working days of the receipt of the reply at stage two. • The decision reached by the Management after due consideration of the recommendations of the Zonal Works Committee will be communicated to the employee on Grievance Form-III through proper channels. The Zonal Works Committee’s unanimous recommendations, to which the Management or the Union raises no objection within 10 days of the receipt of such recommendations, shall be final.
- 14. Staff Tata steel’s requirement policy is designed to attract the right talent at the right time to enhance the net worth of human capital.
- 15. Conti… • The company’s Requirement policy aims at: –Being fair and consistent –Being non – discriminatory on the grounds of sex , age, religion or disability, Confirm to statutory regulations.
- 16. Skills The factors that helped the success of rightsizing at Tata Steel could be summarized as under:- -Cultural Issues:- • Steps to understand employees needs/ expectations • Preparation of mind and attitudinal attuning -Leadership:- • Open and collaborative leadership • Identification of key leaders
- 17. Conti… -Communication/Education:- Develop climate of trust and openness Making employees aware of business Share/communicate settlement earnings well in advance Educate employees on investment plans/housing plans/post retirement life style plans through expert interventions Communicate policies, rules, procedures and modify or redefine the rules/procedures, if needed