What is the essence of the 'Shared Values' in the McKinsey's 7S framework?

The essence of 'Shared Values' in McKinsey's 7S framework revolves around the core beliefs and culture that underpin an organization. These values serve as the guiding principles that unify the organization, influencing how employees behave and interact within the workplace. Shared values embody what the organization stands for and shape its identity, impacting decision-making processes and the overall direction of the organization.

In the context of organizational behavior and development, understanding shared values is crucial because they help align the different elements of the framework, such as strategy, structure, systems, style, staff, and skills. When shared values are strong and prominently reflected in the organization's practices, they foster a cohesive culture where employees can work together towards common goals, enhancing collaboration and overall effectiveness.

The other options reflect different aspects of organizational management. Organizational policies and procedures pertain to the specific rules and regulations that guide operations, while financial goals address the monetary objectives of the organization. Personal development plans for employees focus on individual growth and career advancement but do not capture the broader culture and belief systems that shared values represent. Thus, the focus on core beliefs and culture is what makes the concept of 'Shared Values' a fundamental element of the McKinsey's 7S framework.