Kodak McKinsey 7s
McKinsey 7-S Framework I. Structure Kodak’s structure is “vertical integration combined with continuous innovation and product development.” (Grant, 101) Kodak has operated through a top-level executive group with operational business units underneath. For the most part, Kodak has operated by maintaining their core competencies, i. ... The problem with Kodak’s structure is its failure to efficiently develop new products. The products that Kodak has developed have cost the company a great deal of money without providing any salability. Kodak’s structure has not changed since its inception. ... Strategy Kodak derived its strategies from George Eastman, the founder of Eastman Dry Plate Company. Eastman established seven principles that are still the strategy building blocks of Kodak. ... Kodak does have one strategy that is right on given their current situation. Kodak has split its strategy in regard to the commercial market and the consumer market. Kodak’s products for these segments are quite different and the different approach to each should prove successful. ... Systems Kodak’s systems are in desperate need of reinvention. ... Kodak needs to be more proactive and persistent in its research and development. ... Kodak has ignored consumer preference in approaching research and development. Overall, Kodak needs more efficiency from its systems. ... Style Kodak illustrates one of the most common mistakes in business, failing to change with the time. Historically, Kodak was at the leading edge of traditional imaging. When Kodak developed a new product, it sold. Now, Kodak is experiencing the end of its life cycle in traditional imaging, and it is not prepared. Externally, Kodak is so well known in traditional imaging that its image is still relatively intact. Unfortunately, Kodak has failed to update that external image to compensate for the change in the industry. Kodak is a trusted, reliable company but not for digital imaging; at least not yet. ... Skills Kodak undoubtedly has superior skills in the traditional imaging arena. ... Kodak has done quite will in the commercial sector in regard to digital technology.