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Transcript of 7s.pptx
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THE MCKINSEYS 7S FRAMEWORK
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Seveninternal aspects of an organization that
need to be aligned if it is to be successful.
Improve the performance of a company.
Introduction
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The Model
Hard Elements
Strategy
Structure
Systems
Soft Elements
Shared Values
Style
Staff
Skills
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Hard Elements
Strategy:the plan devised to maintain and
build competitive advantage over the
competition.
Structure:the way the organization is
structured and who reports to whom.
Systems:the daily activities and procedures
that staff membersengage in to get the job
done.
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Soft Elements
Shared Values:core values of the company
that are evidenced in the corporate culture
and the general work ethic.
Style:the style of leadership adopted.
Staff:the employees and their general
capabilities.
Skills:the actual skills and competencies of
the employeesworking for the company.
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1. STRATEGY
How do we intend to achieve our
objectives?
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DABUR INDIA LTD -BUSINESS DIVISIONS
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CCDHAIR OILS CATEGORY
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CCDSHAMPOO CATEGORY
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CCDORAL CARE CATEGORY
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FOODS BUSINESS DIVISION
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Growth Strategy
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2. STRUCTURE
What is the hierarchy?
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President
Marketing Manager
International
G.M
Other products
Marketing Manager
India
Vice President
(Marketing)
G.M
Consumer care
Vice President
(HRD)
Vice President
(Production)
Divisional Manager
Soaps
Divisional Manager
Deoderants
Divisional Manager
Detergents
Eastern Sales Division Western SalesDivision
Northern SalesDivision
Organization Structure
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3. SYSTEMS
Internal rules and processes
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Misconducts on the job (to be dealt
with seriously) Sleeping on the job
Using another person's identity card or permitting anotherperson to use your identity card to enter company premises
Bribery
Theft of company property and/or a fellow employee'sproperty
Willful damage to property in the employer's charge
Consumption of liquor or alcoholic beverage or habitforming drugs on company premises
Absence from work without permission or withoutreasonable cause
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4. SHARED VALUES
What are the core & fundamental values ?
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Shared Values @
OWNERSHIP
This is our company. We accept personal responsibility, and
accountability to meet business needs.
PASSION FOR WINNING
We are determined to be the best at doing what matters most.
INTEGRITY
We are honest with consumers, with business partners and
with each other.
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5. STYLE:
How participative is the management/leadership
style?
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Leadership Styles
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6. STAFF
How are recruitments done?How many people required to perform a function?
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7. SKILLS
Current skill sets in the teamAre there any skills gaps?
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Young Managers
Development Programme (YMDP)
SALES & MARKETING TRAINEES
Preparation of sales plan
Leadership skills Communication
Implementing brand plan
Understand working of Ad agency
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ENGINEER TRAINEES
Knowledge of production process
Understanding logistics Inter-departmental coordination
Negotiation skills
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TACTICS FOR BUSINESS STRATEGY
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TACTICS FOR BUSINESS STRATEGY
Tactic is a sub strategy
Tactics are narrower in scope and shorter in
their time horizonthan strategies.
Two types of tactics are used one is Timeand
other is Location.
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TACTICS FOR BUSINESS STRATEGY
Timing Tactic-
They are of twotypes-
First MoversThe first company to manufacture or
sell a new product or service
Late Movers- The organizations which enter the
market or industry subsequently
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TACTICS FOR BUSINESS STRATEGY
Market ocation Tactics:
can be of foll types-
A. Leader- Largest market share in relevant product
market.
B. Challenger- Organizations with 2nd, 3rdor lower
rankings in the industry.
C. Follower
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TACTICS FOR BUSINESS STRATEGY
Challenger tactics are of 3 types-
I. Frontal(on the face) attack- Matching the
opponent in terms of the product, price ,
promotion and distribution.
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TACTICS FOR BUSINESS STRATEGY
II. Encirclement attack- Firm launches a huge
variety of productsto minimize the impact
of a single extremely strong competitor
product
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III. Flank(sideways) attack- Challengingthe
opponents weak and uncovered geographical
or segmental areas.
AC ICS O USI SS S A GY
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TACTICS FOR BUSINESS STRATEGY
Market Location Tactic:
C. Follower-Organizations imitate the market leaders
but do not upset the balance of competitive
power in the industry.
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a. Counterfeiter strategy- Involving duplicating
the market leaders product and packaging
and selling it in black market.
b. Cloner strategy- Imitate the market leaders
product , name and packaging.
TACTICS FOR BUSINESS STRATEGY
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Fakes: Some Examples
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Contd
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Prof. Gagan Bhatia; Strategic Management
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THANK YOU