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Organizational Health Index (OHI) - McKinsey Solutions

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About <strong>OHI</strong><br />

The <strong>Organizational</strong> <strong>Health</strong> <strong>Index</strong> solution measures and tracks the<br />

organizational elements that drive financial performance. It provides a<br />

simple but powerful road map for leaders and managers to improve<br />

organizational health.<br />

Linking organizational health and performance<br />

Our research has proven that the healthiest companies are more than twice<br />

as likely to have EBITDA margins above their industry median<br />

Nine elements of organizational health<br />

Proven link to financial performance<br />

“<strong>McKinsey</strong>’s behavioral<br />

work is the most profound<br />

I’ve been involved in – the<br />

impact is extraordinary.”<br />

Chief Executive Officer,<br />

Global Telecoms Company<br />

Probability of earning above-median<br />

EBITDA margin<br />

Percent<br />

68<br />

31<br />

48<br />

2.2x<br />

Weak<br />

Good Great<br />

Levels of health<br />

Shifting your organization toward higher performance<br />

u<br />

Assess underlying mindsets and behaviors that impact financial performance<br />

u<br />

Benchmark your organization’s health index against your industry and high performers<br />

u<br />

Understand your organization’s archetype to identify the six to seven “must-have”<br />

practices for success<br />

u<br />

Prioritize intervention programs needed to improve health<br />

u<br />

Periodically track health to ensure ongoing progress and catch potential issues early<br />

Connecting with experts<br />

u<br />

Gain important, and often unexpected, insights identified by analysts with experience<br />

across many companies, industries, and geographies<br />

u<br />

Develop the best solution for your company by drawing upon <strong>McKinsey</strong>’s deep<br />

organizational expertise and broad experience serving 96% of the world’s leading<br />

global institutions

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