Determining whether $\Phi_7(x)$ is irreducible over $\mathbb{F}_{11}$
You are actually done as soon as you observe that $11^3-1$ is divisible by $7$. As you observed, this implies that there is a primitive $7$th root of unity $\alpha$ in $\mathbb{F}_{11^3}$, whose minimal polynomial $f(x)$ has degree $3$. You then wonder why $f(x)$ must divide $\Phi_7(x)$, but this is immediate: $f(x)$ is the minimal polynomial of $\alpha$ over $\mathbb{F}_{11}$, so it divides every polynomial over $\mathbb{F}_{11}$ which has $\alpha$ as a root, and $\Phi_7(x)$ is one such polynomial. So $f(x)$ divides $\Phi_7(x)$. (In fact, this argument shows that every irreducible factor of $\Phi_7(x)$ is a cubic, since every irreducible factor is the minimal polynomial of some root of $\Phi_7(x)$.)
More generally, the irreducible factorization of any polynomial $f(x) \in \mathbb{F}_q[x]$ can be obtained by considering the orbits of the Frobenius map $x \mapsto x^q$ acting on the roots of $f$ over $\overline{\mathbb{F}_q}$: each irreducible factor is a single orbit. When $f(x) = \Phi_n(x)$ and $\gcd(q, n) = 1$ the roots are the primitive $n^{th}$ roots of unity and so the orbits can be described as follows: if $\zeta$ is such a primitive root, then $\zeta^{q^k} = \zeta$ iff
$$q^k - 1 \equiv 0 \bmod n.$$
The smallest $k$ for which this is true is the multiplicative order of $q$ in $\mathbb{Z}/n\mathbb{Z}$, and $f(x)$ necessarily factors as a product of $\frac{\varphi(n)}{k}$ irreducibles of degree $k$. The irreducible factor containing a primitive root $\zeta^a$ has roots $\zeta^{aq^i}, 0 \le i < k$.
In this case we get that $\Phi_7(x) \bmod 11$ is a product of two irreducible cubics, namely (if $\zeta$ denotes a primitive $7^{th}$ root of unity in $\overline{\mathbb{F}_{11}}$, and using the fact that $11 \equiv 4 \bmod 7$)
$$(x - \zeta)(x - \zeta^4)(x - \zeta^2)$$
and
$$(x - \zeta^3)(x - \zeta^5)(x - \zeta^6).$$
We see that $$ \Phi_7(x)=(x^3 + 7x^2 + 6x + 10)(x^3 + 5x^2 + 4x + 10), $$ by writing it as a product of two cubics with coefficients. Then comparing coefficients gives a system of linear equations over $\mathbb{F}_{11}$, which has a solution.