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A McKinsey 7S Model-Based Framework for ERP Readiness Assessment

Author

Listed:
  • Payam Hanafizadeh

    (Allemeh Tabataba’i University of Tehran, Iran)

  • Ahad Zare Ravasan

    (Allemeh Tabataba’i University of Tehran, Iran)

Abstract

Implementing Enterprise Resource Planning (ERP) systems is a complex, lengthy and expensive process which usually faces serious challenges and failures. Thus, it is necessary to perform a readiness assessment at the initial stage of an ERP implementation project to identify weakness areas which may encounter the project with failure. This paper proposes a new framework for assessing readiness of an organization to implement the ERP project on the basis of McKinsey 7S model using confirmatory factor analysis. Through this method, the construct of ERP readiness is proposed based on 7 dimensions namely “structure”, “strategy”, “systems”, “skills”, “style/culture”, “staff”, and “shared values/ superordinate goals”. Using the framework, the current situation of the organization can be determined and necessary changes can be made prior to system implementation. The proposed framework is then applied to 2 real Iranian banking cases and the advantages of the framework over available frameworks are illustrated.

Suggested Citation

  • Payam Hanafizadeh & Ahad Zare Ravasan, 2011. "A McKinsey 7S Model-Based Framework for ERP Readiness Assessment," International Journal of Enterprise Information Systems (IJEIS), IGI Global, vol. 7(4), pages 23-63, October.
    • Handle: RePEc:igg:jeis00:v:7:y:2011:i:4:p:23-63
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    Cited by:

    1. Behrouz Zarei & Yahya Chaghouee & Fereshteh Ghapanchi, 2014. "Organizational Diagnosis in Project-Based Companies," SAGE Open, , vol. 4(2), pages 21582440145, May.
    2. Martin Ebner & Sandra Schön & Clarissa Braun & Markus Ebner & Ypatios Grigoriadis & Maria Haas & Philipp Leitner & Behnam Taraghi, 2020. "COVID-19 Epidemic as E-Learning Boost? Chronological Development and Effects at an Austrian University against the Background of the Concept of “E-Learning Readiness”," Future Internet, MDPI, vol. 12(6), pages 1-20, May.

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