IV.3. Mckinsey’s 7-s model Diagnosis- Leonards
PESTLE Analysis - Leonards
IV.4. External Factor Evaluation Matrix (EFE) - Leonards
IV.5. Internal Factor Evaluation Matrix (IFE) - Leonards
IV.6. Internal External Matrix - Leonards
IV.7. SWOT Analysis (RELATING SWOT) – TOWS Matrix – Leonards
CHAPTER 9
STRATEGY-STRUCTURE RELATIONSHIP
“the division of tasks for efficiency and clarity of purpose, and coordination between the interdependent parts of the
organisation to ensure organisational effectiveness. Structure balances the need for specialisation with the need for
integration. It provides a formal means of decentralising and centralising consistent with the organisational and
control needs of the strategy.”
CRITERIA FOR SUCCESS (7–S FRAMEWORK)
1. A Bias for Action. In many companies, they use a variety of useful tools to keep the company moving quickly and
avoid the problems that almost always come with size. Even though the best-run companies may use analysis to
make decisions, that doesn't stop them from moving forward.
2. Autonomy and Entrepreneurship. The most innovative companies encourage innovation and leadership at all
levels. And they encourage people to take practical risks and back good tries.
3. Productivity through People. A good company looks at its employees as the source of quality and productivity.
4. Hands-on, Value-driven. People think that an organization's basic philosophy has much more to do with its
success than its resources or strategic factors.
5. Stick to the Knitting. Even though there are exceptions, companies with good performance often seem to do best
when they stay close to businesses they already know.
6. Lean Simple Form, Lean Staff. The systems and structures that make up a good company are elegantly simple, and
so are the top-level employees.
7. Simultaneous Loose – Tight Properties. The best businesses are both centralized and spread out. Most of the
time, they have given the shop floor or product management team more freedom. On the other hand, they are
frantic centralists about the few core values they hold.
PESTLE Analysis
A PESTLE analysis studies the key external factors (Political, Economic, Sociological, Technological, Legal and
Environmental factors) that influence an organisation. It can be used in a range of different scenarios, and can guide
people professionals and senior managers in strategic decision-making.
EFE (external factor evaluation) Matrix, IFE (Internal Factor Evaluation) Matrix etc. are also used in this context (in
the case of IFE/EFE Matrix, the key internal/external factors are identified, they are assigned weightages and
weighted scores are obtained by multiplying the weights with the respective ratings). STRENGTHS AND WEAKNESSES
INTERNAL AND EXTERNAL