Implementing Mckinsey 7S Model of Organizational Diagnosis and Planned Change, Best Western Italy Case Analysis

Abstract

Best Western Italy operates under BW international Inc. a leading hotel and resort brand that provides high quality accommodation services in numerous countries across the globe. All of Best Western hotels are owned and managed independently. BW Italy is the brand’s center for operations and reservation in the European market. It has gained recognition from its unique reservations services involving strategic partners to ensure their customers receive the best services at standardized rates. To reinforce its vision and mission, BW Italy management came up with a yearlong “Make a Difference” program to enhance employee commitment by aligning their goals to those of the company. This would entail organizational change which involves a system-wide transfer and application of behavioral science knowledge to the strategic development, enhancement, and reinforcement of the plans, process, and structures that result in organizational efficiency and effectiveness. The results included rearrangement of top management to establish a flatter organizational structure with improved distribution of leadership. A year after the program had been concluded, the General Manager was aware that its implementation had created colossal excitement and interaction among the employees who had taken part in it. However, four employees had refused to participate in the program while the company had recruited ten new employees after the program had ended. BW Italy needs to formulate a strategy to ensure that the “Make a Difference “program changes are internalized by its employees and institutionalized within the organization. The case analysis utilized secondary data acquired through a case study performed on BW Italy during the implementation of the program. Data was analyzed through the McKinsey 7s Model an effective tool used in analyzing organizational change. The McKinsey 7s Model is an effective tool aimed at depicting how effectiveness can be achieved within an organization through the interaction of 7 different organizational elements namely structure, strategy, skill, system, shared values, style, and staff. Keywords: Make a difference, Organizational change, Change program, Organizational goals, Mission and values, Employee commitment, Top management, Organizational diagnostic models, Performance outcomes