• The Firm The Story Of Mckinsey Pdf

The story of McKinsey & Co., America’s most influential and controversial business consulting firm, “an up-to-date, full-blown history, told with wit and clarity” ( The Wall Street Journal). If you want to be taken seriously, you hire McKinsey & Company. Founded in 1926, McKinsey can lay claim to the following partial list of accomplishments: its consultants have ush The story of McKinsey & Co., America’s most influential and controversial business consulting firm, “an up-to-date, full-blown history, told with wit and clarity” ( The Wall Street Journal).

A Brief History of the 7-S ('McKinsey 7-S') Model. Leave from McKinsey), was summoned to the firm's New York office and handed a fascinating assignment. People outside the Firm as it is to McKinsey-ites themselves. In sum, like any powerful organization, McKinsey is complex. Things the McKinsey way.

If you want to be taken seriously, you hire McKinsey & Company. Founded in 1926, McKinsey can lay claim to the following partial list of accomplishments: its consultants have ushered in waves of structural, financial, and technological change to the nation’s best organizations; they remapped the power structure within the White House; they even revo­lutionized business schools. In The New York Times bestseller The Firm, star financial journalist Duff McDonald shows just how, in becoming an indispensable part of decision making at the highest levels, McKinsey has done nothing less than set the course of American capitalism. But he also answers the question that’s on the mind of anyone who has ever heard the word McKinsey: Are they worth it? After all, just as McKinsey can be shown to have helped invent most of the tools of modern management, the company was also involved with a number of striking failures. Its consultants were on the scene when General Motors drove itself into the ground, and they were K-Mart’s advisers when the retailer tumbled into disarray.

They played a critical role in building the bomb known as Enron. McDonald is one of the few journalists to have not only parsed the record but also penetrated the culture of McKinsey itself. His access puts him in a unique position to demonstrate when it is worth hiring these gurus—and when they’re full of smoke. I'll be the first to admit that the audience for this book is pretty narrow. In addition to McKinsey alums looking for a shout out, the folks like me who are intrigued by the art of management and those folks interested in the (I'd argue contradictory) impulse to contract management's accountability out to MBA gunslingers, are pretty rare birds.

Bully scholarship edition characters. If you are in one of those categories, you will greatly enjoy Duff McDonald's 'no-agenda' relaying of the history of McKinsey and consulting. First, the I'll be the first to admit that the audience for this book is pretty narrow. In addition to McKinsey alums looking for a shout out, the folks like me who are intrigued by the art of management and those folks interested in the (I'd argue contradictory) impulse to contract management's accountability out to MBA gunslingers, are pretty rare birds. If you are in one of those categories, you will greatly enjoy Duff McDonald's 'no-agenda' relaying of the history of McKinsey and consulting. First, the short-falls: General Motors in the 90's; AT&T wireless and Enron were all multi-million dollar clients; and McKinsey totally missed the internet and tech revolution.

Too often, to keep a client - McKinsey 'plays the role the (client) company has scripted' - and this stands in the way of it's ability to eventually deliver quality in many engagements. Maintaining the multiple millions of dollars GM spent in the 1990's on its way to bankruptcy, for example, can blind McKinsey to seeing what the 'numbers' are really suggesting. However, in a world full of talkers and blowhards, McKinsey is supremely capable of bringing the focus back to the data and research, and usually to efficient effect. Modeling this rigor is a great gift to leaders - no matter what sector they find themselves in. Management guru, Gary Hamel referred to the machinery of management as one of humanity's greatest inventions in his 2007 book, 'The Future of Management.' If McKinsey hasn't in fact invented many of the bold ideas of management, since it's founding in the 1920's by James O.

McKinsey, it has certainly helped clients understand them and carry them out. And for that, alone, they have made a mighty contribution. Ah business books.

You sit there with the allure of time spent not only being entertained but worthily garnering all sorts of useful life skills or at the very least a snippet or two that you can use to hint at far deeper knowledge. Very rarely they actually entertain, challenge or inform, in fact around one percent of the time.

The other 99% goes a little bit like this 1. I had a decent newspaper article and i turned into a long book 2. I had an title which would be really exciting but could not Ah business books. You sit there with the allure of time spent not only being entertained but worthily garnering all sorts of useful life skills or at the very least a snippet or two that you can use to hint at far deeper knowledge.

Very rarely they actually entertain, challenge or inform, in fact around one percent of the time. The other 99% goes a little bit like this 1. I had a decent newspaper article and i turned into a long book 2. I had an title which would be really exciting but could not find any evidence for it really. In this case that McKinsey has a secret influence on American business. Its not really that secret.

I am trying to bring a fresh angle so will hold multiple contradictory thoughts a) McKinsey sucks up really useful talent who would change the world but lack any individuality or the risk appetite to have a real impact b) McKinsey rips off its clients because it really does not deliver anything except inflated fees but yet is able to wreck companies. The fundamental issue is this. Business is not all that interesting - case in point I have sat in countless meetings and never, not once has someone suggested hiring an assasin to get rid of a particular problem. Someone once threw a water bottle at someone which was plastic so again not all that interesting. Whats even less interesting then business usually is consulting to business. Which in my time consisted of being asked to run endless analysis while pretending to be really chipper about it all so that the partner could come back and tell you that it was all tremendously useful and appreciated.

Then after a certain stage you go to the meeting as well and realize that no-one in their right mind is ever ever going to read it and if they did they are not going to do anything about it, you then surpress that thought because it would do incalculable damage to your self esteem. Its all a bit duff like this book. This is an updated company history of McKinsey, the strategic consulting firm that has been so successful that it has come to define the standard for providing management advice. The story follows the firm from its inception to the recent insider trading scandal involving former managing director Raj Gupta. The book presents a curious mix of popular acclaim, criticism of the dark sides of the consulting business (legitimating management decisions, justifying downsizing, providing inside informati This is an updated company history of McKinsey, the strategic consulting firm that has been so successful that it has come to define the standard for providing management advice. The story follows the firm from its inception to the recent insider trading scandal involving former managing director Raj Gupta. The book presents a curious mix of popular acclaim, criticism of the dark sides of the consulting business (legitimating management decisions, justifying downsizing, providing inside information from other clients, etc.), and some occasional insights into how this odd business works and how these firms make money.

The basic narrative is well known to anyone who has followed McKinsey in the popular business press and the relatively few quality popular books on the area (The Witch Doctors, for example). Some of the additional insights into the industry is lifted (with attribution) from other sources such as Alfred Chandler or Kiechel's The Lords of Strategy. Overall, the story is well known, but the updating of the McKinsey firm into the 2000's is useful and worth reading to anyone interested in following the industry.

The style is typical of the higher end business trade press and is not difficult to follow. This fills the niche for consultants that recent books about Goldman Sachs do for investment bankers. This book is worth a read. That said, there are some clear pros & (minor) con worth considering: PROS:.

Walks you through the entire history in sufficient detail. Provides good explanation behind why the firm changed the way it did at times. Highlights its strength & weaknesses in an objective fashion CONS:. This is a minor point but I feel that the author uses speculation to hint at his understanding of things that we don't really know for sure such as assumptions that 'CEOs who hire cons This book is worth a read. Well written and researched book, but highly misleading. The tagline of the book is click bait. It's not a tale of a controversial firm.

It's a promotional book, massively in favour of them. All of the 'gotcha' moments weren't compelling enough for me to be suspicious of McKinsey. In fact I finished the book respecting what they have achieved. They co-invented the barcode and the White House Chief of Staff! This book shares some interesting things about McKinsey and you should only read if you wo Well written and researched book, but highly misleading.

The tagline of the book is click bait. It's not a tale of a controversial firm.

It's a promotional book, massively in favour of them. All of the 'gotcha' moments weren't compelling enough for me to be suspicious of McKinsey. In fact I finished the book respecting what they have achieved. They co-invented the barcode and the White House Chief of Staff! This book shares some interesting things about McKinsey and you should only read if you work there or interested in the company. Duff McDonald's business writing has always been underlined by his expertise (in addition to writing for the likes of Fortune, Vanity Fair, New York, Conde Nast Portfolio, and many other publications, he is the author of a biography of Jamie Dimon and has himself worked on Wall Street).

His writing is clear, brimming with content, and infused with a story-teller's instinct for narrative. This detailed account of the entire history of McKinsey showcases all those positives, while nicely elucidati Duff McDonald's business writing has always been underlined by his expertise (in addition to writing for the likes of Fortune, Vanity Fair, New York, Conde Nast Portfolio, and many other publications, he is the author of a biography of Jamie Dimon and has himself worked on Wall Street).

His writing is clear, brimming with content, and infused with a story-teller's instinct for narrative. This detailed account of the entire history of McKinsey showcases all those positives, while nicely elucidating the role this shadow company has played in shaping contemporary America. Bravo: not an easy assignment. In my second year of management consulting, I'd worked on a project that involved detailing the history of Management Consulting as an industry. So, could connect very well with the details provided in the book from inception to evolution to current state of McKinsey. Plus, I have been a management consultant, though for a very short period of 13 months and could relate to the author's arguments about how McKinsey, a large organisation with no tangible product influences not just the corporate, In my second year of management consulting, I'd worked on a project that involved detailing the history of Management Consulting as an industry.

So, could connect very well with the details provided in the book from inception to evolution to current state of McKinsey. Plus, I have been a management consultant, though for a very short period of 13 months and could relate to the author's arguments about how McKinsey, a large organisation with no tangible product influences not just the corporate, but also the public sector. A recommended read for past/ current/ aspiring management consultants.

The Firm The Story Of Mckinsey Pdf

This book confirms many or my prior opinions and insights, that McKinsey is the Microsoft of today, too large, too overblown, and run by people while smart are out of touch with the realities of how business operates. Worse, some of its leadership have been convicted of illegal practices, and even though that number is small, others involved with Enron, HP, the economic crisis, and others, McKinsey side stepped responsibility by telling the world that, while they provide strategic advice they do This book confirms many or my prior opinions and insights, that McKinsey is the Microsoft of today, too large, too overblown, and run by people while smart are out of touch with the realities of how business operates. Worse, some of its leadership have been convicted of illegal practices, and even though that number is small, others involved with Enron, HP, the economic crisis, and others, McKinsey side stepped responsibility by telling the world that, while they provide strategic advice they don't actually pull the trigger. So, I'm not sure if I like it out of confirmation bias or what little new information I learned from it.

A remarkable story nonetheless. Well documented history of McKinsey but it kept going back to the years for referencing time and again. There were times when the context was lost but it came back a few pages later, could be avoided. Initial years of The Firm were good with good people helming the same but over the years, the complete character of the company changed along with people at the helm changing at regular intervals. The book clearly says that the character of a company is defined by the management and not the founder Well documented history of McKinsey but it kept going back to the years for referencing time and again.

There were times when the context was lost but it came back a few pages later, could be avoided. Initial years of The Firm were good with good people helming the same but over the years, the complete character of the company changed along with people at the helm changing at regular intervals. The book clearly says that the character of a company is defined by the management and not the founders as when they leave, new leaders take it forward and don't bother about the foundation. Also it mentions time and again that politics plays a very important role in selecting leaders and not necessarily merits even in consulting firms of this size. I wonder how they can aid companies in identifying leaders on merit when they haven't been able to do that in their own company so far. Good to read to understand how management companies work to ensure their relevance for large corporates and governments. This Firm is the story of Mckinsey, one of the foremost management consulting firms in the world.

The book explains the different stages of the organization’s growth story. The author sheds light on the tenor of all the Managing directors, focusing on the how the organization had evolved, in the event of challenges coming from strategy consulting upstarts like BCG and Bain in the seventies. The eighties saw the entry of audit-consulting firms like E&Y and PwC into the consulting space, which This Firm is the story of Mckinsey, one of the foremost management consulting firms in the world.

The book explains the different stages of the organization’s growth story. The author sheds light on the tenor of all the Managing directors, focusing on the how the organization had evolved, in the event of challenges coming from strategy consulting upstarts like BCG and Bain in the seventies. The eighties saw the entry of audit-consulting firms like E&Y and PwC into the consulting space, which increased competition for high ticket technology driven process re-engineering assignments. The last decade was particularly painful for Mckinsey, since its immediate past MD, Rajat Gupta, got embroiled in an insider trading scandal. This event had resulted in a loss of prestige for Mckinsey.

But surprisingly, the firm’s management has successfully steered the organization away from a possible downturn, amid a full blown global financial crisis during 2008-09. By Jeffrey Goldfarb Understanding McKinsey is no easy feat. The doyen of management consulting firms is at once ubiquitous and mysterious. Its advice is coveted yet often misguided. Dysfunction, typical of any organization, belies McKinsey’s well-cultivated prestige. “The Firm,” a new book by journalist Duff McDonald, goes a long way to unraveling some of these complexities in a highly readable history of the consigliere to the world. Just how McKinsey managed over 80 years to gain access to so ma By Jeffrey Goldfarb Understanding McKinsey is no easy feat.

The doyen of management consulting firms is at once ubiquitous and mysterious. Its advice is coveted yet often misguided.

Dysfunction, typical of any organization, belies McKinsey’s well-cultivated prestige. “The Firm,” a new book by journalist Duff McDonald, goes a long way to unraveling some of these complexities in a highly readable history of the consigliere to the world. Just how McKinsey managed over 80 years to gain access to so many executive suites and other corridors of power around the world is an impressive tale that starts, remarkably enough, in the corporate underbelly of accounting.

James McKinsey transformed bookkeeping into budgeting and budgeting into strategy, laying the foundation for a new sort of practice that eventually would reshape industrial and government leadership. While it doesn’t always achieve the aim, the firm has at least crafted an image of being willing to speak hard truths to its clients. McDonald does the same with McKinsey. And though his brother runs smaller McKinsey rival Oliver Wyman – a fact buried, and strangely rationalized, in the acknowledgments on page 340 – McDonald’s research is nevertheless exhaustive.

“The Firm” is sprinkled with anecdotes that support the idea of the organization’s vast sway. The role of White House chief of staff exists because McKinsey advised Dwight Eisenhower on how to reorganize the executive branch. One consultant was credited with persuading the Federal Reserve to tally piles of money by weight instead of counting bills. Another, Arch Patton, discovered in 1951 that worker wages had been increasing faster than those of management, thus initiating an era of runaway executive compensation that continues to this day. The firm even infiltrated the upper echelons of corporate Germany, where efficiency was already paramount and most executives wondered “why someone in authority would pay someone else to tell him what to do.” At one point, the firm’s German office under Herbert Henzler worked for 27 of the country’s top 30 companies. Further, McKinsey parlayed its work on deregulated interest rates with the U.S.

Comptroller of the Currency into helping launch an era of bank consolidation in the 1980s. The firm’s diaspora, especially atop Fortune 500 companies, is also impressive. Nevertheless, McDonald’s claims about McKinsey’s “secret influence,” as expressed in the book’s subtitle, are perhaps overstated. The author sometimes covers a shortage of evidence with rhetoric, for example in blaming the consulting firm for mass job cuts: “While this is surely impossible to measure, there is a distinct possibility that McKinsey may be the single greatest legitimizer of mass layoffs than anyone, anywhere, in modern history.” “The Firm” at times concedes that McKinsey can only really dispense advice, not actually implement the changes it recommends, but other times McDonald forgets this. In reality, there are limits to the power of a firm that operates so heavily on a “wash, rinse, repeat” business model of advice. And while much is made in the book of the lavish fees of some $10 million that companies like Citigroup spend on McKinsey advice, they are rarely contextualized appropriately. The bank’s operating expenses run to at least $70 billion annually and it routinely solicits opinions from dozens of outside advisers.

For similar reasons it shouldn’t be a complete surprise that McKinsey has a Teflon-like ability to avoid blame for the failings of its clients. McDonald places the firm at the scene of a great many corporate disasters. They include Enron, Kmart and Scandinavian Airlines Systems. McKinsey also can be linked to the merger of AOL and Time Warner, Wachovia’s acquisition of Golden West and Credit Suisse’s takeover of Donaldson, Lufkin & Jenrette. The firm once told JPMorgan to get out of the lending business and AT&T that cellphones was a market going nowhere fast. “The Firm” also stretches to connect McKinsey to the financial crisis. McDonald posits that because every major bank had hired the consultant in the mid-1990s, they were all focused on global strategy at the same time.

“While the firm’s fingerprints were once again nowhere to be found in the detritus of the real estate collapse, its consultants had been advisers to many of the companies that both inflated the bubble and collapsed as a result of it,” he writes. McKinsey’s ability to preserve its reputation – and to continue to grow – is perhaps what is most impressive of all.

Even the conviction of Rajat Gupta, one of only 11 McKinsey leaders, on insider trading charges, hasn’t derailed the firm. And as McDonald notes, the one thing McKinsey has had to do since its inception is justify its own existence. It remains a master of the dark art of selling itself, if little else.

The firm slowly but surely has moved away from many of the guiding principles established by its most influential managing director, Marvin Bower, who followed McKinsey himself. It invited conflicts by accepting equity stakes in its clients in lieu of cash payments and by linking pay to client performance.

And instead of being discriminating about who it would work for, McKinsey started accepting assignments for almost anyone willing to pay. The message from McDonald seems to be that a sort of existential threat hangs over McKinsey, evidenced in part by the partners and former employees who regret the changes and having neglected to prevent them. For now, it is a challenge left to the worldly Canadian Dominic Barton to sort out. While greed certainly can lead to the undoing of some institutions, McKinsey is one that has reinvented itself enough times to suggest it will find a fresh way to keep itself healthily in business. A reasonable well written book about a boring subject If your goal is to try to understand what exactly a McKinsey consultant does, this is not the right book. This book is about McKinsey's history. However, because it is only a consulting company, there is almost nothing worth knowing about it.

Actually, the book is more about McKinsey's directors and how their strategic decisons shaped the company since its beginning. Add to this the opinion of several McKinsey alumnus, journalists, and other b A reasonable well written book about a boring subject If your goal is to try to understand what exactly a McKinsey consultant does, this is not the right book. This book is about McKinsey's history. However, because it is only a consulting company, there is almost nothing worth knowing about it. Actually, the book is more about McKinsey's directors and how their strategic decisons shaped the company since its beginning.

Add to this the opinion of several McKinsey alumnus, journalists, and other business people, and, that's all. “What have they fixed?” asked former McKinsey consultant Michael Lanning.

“What have they changed? Did they take any voice in the way banking has evolved in the past thirty years?

They did study after study at GM, and that place needed the most radical kind of change you can imagine. The place was dead, and it was just going to take a long time for the body to die unless they changed how they operated. McKinsey was in there with huge teams, charging huge fees, for several decades. And look where GM came out.”13 In the end, all the GM work did was provide a revenue stream to enrich a group of McKinsey partners, especially those working with the automaker. The last time McKinsey was influential at Apple Computer was when John Sculley was there, and that’s because he’d had a brand-marketing heritage from Pepsi. And Sculley was a disaster.

Did McKinsey do anything to help the great companies of today become what they are? Amazon, Microsoft, Google? In short, no.” —.