How McKinsey Became One Of The Most Powerful Companies In The World
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- Опубликовано: 14 май 2024
- When the most powerful executives in the world have a problem they just can't crack, many of them turn to McKinsey - a prestigious and secretive consulting firm that has been influencing business and government decisions for decades. But now, as consumers require more transparency, the company has been thrust into the spotlight.
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#CNBC
#McKinsey
How McKinsey Became One Of The Most Powerful Companies In The World
Ads are getting smarter.
Lmao South Park
Touche
McKinsey doesn't need to advertise itself tbh.
Mckinsey does not do ads
Hahaha true
Of course, they’re going to be secretive. How else can u advice two opposing companies of the same industry and maximize profits?
Depends who paid more money.
@@chenleu4956 wrong if you do that only one side will ever come to you from that day onward and other may not trust them either. By being secretive you maximize your opportunity to play all sides and make even more money...
Htpc Nz agreed, if McKinsey is not doing a secretive consulting between firms in the same industry by only favoring one firm that pay the most, there will be no competition. Means that no more business for McKinsey. By favoring firms in secrecy allows them to grow as a company and innovate more. It’s like McKinsey become a director behind the scene of business competition
Ur ignorance is screaming from the roof. There is something called "non-compete" and "non-disclosure" in all such deals
Chen Leu unless you can have both companies paying you
CNBC's RUclips game is on point !
Agreed. The videos are well made and well researched.
FACTS
CNBC is becomming the best RUclips channel about business.
I can't stop watching these lol
@LuminaPursuit some of their video have been bias.
These mini-documentaries are amazing. They're all so high quality and in-depth like you'd expect from a professional news network, but easily digestible like you'd expect from a RUclips video. You guys have a good formula at this point, keep up the good work!
CNBC is kind of a professional news network.. just sayin'.
Excellent review!
@@Idontbelievethehype2 read it again smartass
There's a channel called coldfusion which you may like!
It’s advertisement masquerading as news.
Worked with their consultants and I was most impressed by their invoicing capability. World class there... their report was read by nobody really and we ended up teaching their junior consultants our business while being invoiced...
Mission accomplished! Getting money and free training for junior employees.
A consultant will steal your watch, and then tell you the time!
They’re a ripoff....don’t ever use them
"Hippity hoppity your management processes data and secrets are now ours.."
My grandfather was a Commissioner with the German Federal Ministry of Finance in the 1970s, where he basically developed, adjusted and reformed the tax system of Germany. One day they sent them a McKinsey consultant and he asked my grandfather why the country didn't simply get rid of the income tax ... so much for the "SWAT team of analysts".
CEO: I think 2+2 might = 4, what do you think?
COO: I don't know....2+2 might =5...
CEO: Lets get external perspective. (Pays $1000000)
McKinsey: 2+2=4
LOL
McKensey: 2+2=4.5
🤭🤭🤭
Exactly, India's largest bank SBI had given them a Task to find out "Why their employees leave their company after working for a really short period of time?"
McKinsey said "because of low wages"
@@_lakshay Awesome!
I think this video is sponsored by clever mcKinsey.
True
They easily afford it.
PR also needs to change. This 'soft sell' only worked when people were less educated. With everyone on the streets with a degree, a PR spin doesn't work at all.
Every video on this channel is similarly shaped and influenced by the marketing departments of the companies they are covering. Thinley veiled commercials for sure.
You think CNBC would sell out like that? I hope not but you're probably right
McKinsey is basically TaskRabbit for CEOs.
Except they don't understand how things work on the ground. It's just an Adderall test lab for young MBAs.
Greetings from Germany. Where McKinsey is more influental in the military than the actual defense minister.
Hekeika Hekeika No way haha
How can they became more influential?
🤣🤣
Are you serious?
Greetings from France, where they "helped" the French government with the Covid so-called "management"
I just watched a 16-minute ad from CNBC and loved every second of it.
in Canada, the goal of a lot of top business school students is to eventually end up in mgmt consulting, and more specifically 1 of the MBB (McKinsey, Boston Consulting Group, or Bain)
Yes business students seem to suffer from a distinct lack of imagination. Also no-one can ever really answer what they learnt in business school. Seems like they are ideological cramming schools where the desired end result is slickly dressed clones whose mission in life is to make businesses more profitable and efficient, usually through sacking loads of hardworking dedicated staff.
same as in Indonesia
The guy in the video says that hedge funds pay much more than mck. Hedge fund PM can earn many hundreds of millions of USD. This is impossible as a consultant
ruclips.net/video/YtN-W7WdK5Y/видео.html
As an engineering graduate working in a similar consulting firm, I can guarantee that all we are doing is selling over-glorified ppts to clients and hoping that they buy whatever is presented. Essentially exploit the ill-knowledge of some clients to make profit.
That's good as u have acknowledged the fact! Complete society is driven by such things if u closely observe
I have become addicted to these CNBC videos. Great work.
Same here.
If DeNiro talked like Terminator
I’ve worked with consultants and have done assessment centers with McK and others.
The people that work there are top class, fun, smart and very good at problem solving.
It’s just that most problems are too complex to be solved by bringing in some smart people for a few weeks. And as a result they write reports that any intern could write and recommend stuff the management wants to hear.
In a nutshell: They are like the SWAT-Team for CEOS
dantelo88 nah, KGB dude
dantelo88 yea.. the company sounds like it’s funded by the CIA , a front company.
I think you mean SWOT team
@@Pauloveskim You sound like you wear a tin foil hat.
@@israelafangideh1454 I think he meant the SAWFT Team.
My old company ended up with an ex-Mckinsey as the CEO. Long story short, I left to work at a much more stable and successful company and am very glad I did. Essentially, they are about disruption that does not result in improvement it results in the need to keep improving the mess they've made and bringing in more consultants.I cringe when I hear their name.
That's probably why He's Ex-McKinsey
I have seen this
i wouldn't work here even if am paid millions, they are very rude to their vendors/supplier and the company encourages this behavior all in the name of they work under pressure #ihatethiscompany
@CNBC: Please do a video or a video series on the processes that firms like McKinsey, Bain, etc use in their management consulting process. That would be very insightful!
I worked in company that dealt with McKinsey. It led to 2 terrible decisions that ultimately led to the company's bankruptcy. Moreover, everyone I know that has dealt with them in a professional basis is that they always advise to lay off 30% of staff. The company I worked with were paying them 100s of thousands a week. Not a great return
Lmfao the conflict of interests in the company is astounding.
That is the exact reason why you need an objective outsider to come in and advise sometimes. 30% layoffs might be required and the company's leadership team might agree but on the other hand, find it difficult to swallow.
@@thebookwasbetter3650 America needs Japan like culture working 14hours a day so company can cut half.the staff
I work in the Architecture, Engineering and Construction sector(AEC). It is always strange when someone who is not at my level of experience or qualification tries to advice me on my job. Because it's always clear that they don't know what they are talking about, or I'm already doing what they are talking about.
Yeah it sounds like they've come a long way from inventing barcodes.
It sounds like they've run out of innovative solutions.
The barcode dilemma existed in a very primitive era of commerce.
Finding ways of increasing productivity that rivals such an efficient systematization, it's gonna be next to impossible.
So it seems, all they can do for your company is bluntly terminate a large portion of your employees. A business owner doesn't need to help fund a $500,000/year salary for that level of service.
2:54 that guy Andre Borschberg has a lot of Robert De Niro in him
haha. true that!
This channel is better than Business Insider. They have become junk like Yahoo.
Very little "business" goes on on that channel.
Nice to see Robert DeNiro as CEO.
Beniamin Biltean 😂beat me to this
+1
😂😂😂
From Irishman to GODFather to CEO
He might even invoice higher with McKinsey than what he does in Hollywood...
I worked with them and they were very good at launching terms like don't try to boil the ocean...but no firm solutions or proposals
AKA: if you work for McKinsey you get access to all of the inner workings of a company. Therefore you can use that information to start your own company. AKA: Going to work every day at McKinsey is the same as doing a case study for an MBA. Or several. And getting paid for it. Instead of paying for the MBA.
Or as one McKinsey Consultant said to at Georgetown University Medical Center, just before MedStar came in to manage it. "Ok, I am going to give you some homework, go home and write a 3 page paper on how we can improve services in your department." Really? Why don't you just tell me to do your work for you, and pay me twice?
i love this series from cnbc, worth time and love
In 1990s they advised the Chief Minister of Andhra Pradesh which led to severe tax cuts and roll back of welfare measures. This affected farmers of the state very badly and led to a number of farmer suicides.
Think they have also advised Modi on implementation of Demonetization
AP made money though, that's what matters
It seems like a logical thing to do.
And it did wonders for new industry.And now hyderbad is hunb for technology and precision manufacturing.Farming is pretty much dead.
As much as I detest McKinsey, I must say socialism has permanently destroyed India. In that I agree with them.
You'd think a company would get rid of managerial bloat and deadweight.
Instead they outsource even more managers to run things properly.
As a small business consultant I can see the appeal of these companies but I think the size and overhead of these companies will fall to small consultants such as what happened with accounting firms.
CNBC is the most underrated channel in all of RUclips
It's not a YT channel.
Everytime I hear the phrase "management consultant" I think of the series "House of Lies" and question pops in my head "What the hell do managment consultants do?"
jctai100 as a financial and management consultant myself:
I bring new ideas to business owners and stress test their current ideas.
weaken your business so much that you go insolvent so their secret partner can take over.
Andrew Yang used to teach the analysts at McKinsey. The man is next level for 2020.
*McKinsey was consulted on this video😜
Navin Sood you may not be too far from the truth 😅
You should analyze PwC and the Big 4 next! Love these!
Yeah, Deloitte first.
@@smartyyoung7319 PwC is king son
It depends on which either of them pays
They're all frauds, like all Consulting firms.
Lol Big 4, 21st century slaves if you stay longer than senior associate at a Big 4 you are an idiot in my mind.
Employees spend hours preparing data and MckInsey put it into a powerpoint slide set. "Efficiency" means removing quality control measures while consultants learn by going from one client to the next.
I bet you the first thing they said when they got hire as a consultant was to fire half of the employees and make the rest of the employees work harder ("quantity over quality")...No more 1 hour lunch breaks, just 30 minutes now....
This company made the national strategy for Saudi.
You mean to upgrade Saudi Arabia and bring it to the 21 century ?
@@jzk2020 Kind of. Depends on what you mean by that. McKinsey works closely with the crown price of Saudi Arabia and together they drafted Vision 2030 which aims to wean Saudi Arabia from its dependency on oil revenues and modernize its economy. They also plan to (you wont find this on their Vision 2030 website) help Prince Mohammed consolidate power and in that make sure that the Saudi family stays in power. Rumor has it that they even helped his crackdown on dissidents.
Now, the fact that Saudi Arabia is a dictatorship and that the Prince is aiming to grab more power for himself is of course terrible from a ethical point of view. But the plan itself is not all bad though.
McKinsey's and Mohammads plan, if it succeeds, will change the both character of Saudi Arabia and the tone and tenor of Islam across the globe for the better.
But they're still taking money from and helping a dictator.
C. Lincoln upgrade? Lol they need to stop beheading the infidels first but it’s usas friend so no sanctions, nothing bad come from Saudi Arabia according to the trumpanzee
Rumor has it Mckinsey also planned Kashhogi murder!
@@ameyas7726 A huge risk for little gain. I don't think they're that stupid.
The footage makes this like an ad or campaign video.
When I 1st started my career in Finance, with an engineering degree, I worked for a company that hired McKinsey. Let's just say "efficiency" is the Capitalist buzzword for human carnage. When they were done with their "efficiency" review, 20% of the company's workforce was tossed to the streets. The company became hugely profitable for a short period of time, however getting rid of so much human capital took its toll, and the company eventually sunk into mediocrity, lower profitability and irrelevance.
How did you make the move from engineering to finance? And what position do you work in now?
Sounds like a promo piece.
That’s because it is.
Legend has it that , this video is brought to you by McKinsey 😂😂😂, I am just kidding, I really wanna work there ASAP 😍😍😍😍
2:58 Robert De Niro is that you? lol
Ok, It was definitely an interesting video and a lot of valid points were made but I feel like not a lot of evidence was really presented for each case, like it said Sheryl worked at McKinsey which while true, after a quick google search showed she only worked their for a year after graduating. A lot of the other 'cases' didn't really prevent much evidence it seemed, besides saying that the company had received consulting from McKinsey. I know a lot of it probably isn't retrievable because of the secrecy around the company, but I would have been interested in hearing more about the correlation between McKinsey consulting and the impact on the company. Regardless, I definitely agree on the point that the company needs a LOT more transparency, so the sketchy stuff that's been going on can be figured out
Time to send that resume 👌🏽😁😁
Those people see everything as a competition. They think they're in a competition 24/7. If you are of no use to them, they won't waste a second of their attention on you.
It's an extremely hostile environment, even when you're in a team because you are still competing with your colleagues for the next promotion or making partner. If you cannot enjoy life when there's no competition, it's not for you.
i got my cv shortlisted using the cv tips from theabundancepsyche.com 1st interview next week, fingers crossed!
J Pascal heh what a life lol 😂
@Snow 123 Not yet bro, tomorrow's the d-day.. their processes are slow, i'll tell you that!
Unless you got a 4.0 at a prestigious college, they won’t look at your resume unless you have a lot of experience.
Excellent video. Make more like this!
This was created with really sincere and good intentions but once some evil and greedy individuals realized the potential powerhouse that this could become was it's downfall.
Its downfall
these management consulting firms always come up with one solution ,fire employees to maximise profit.
Cuomo has hired them to develop ways to "trace; identify; quarantine" Covid positive folks over the country, so that NY can track and control who enters HIS state....get ready....you'll need a QR code on your phone to travel... just like PRC.....
Working with these big consulting companies is that it makes great contacts in industry and that is why so many alums of these consulting companies are leaders of many big corporates.
i just applied a job a few days ago and here we go.. : ) it is in my recommended videos..
how did it work out for you?
This reminded me of good series “House Of Lies” with Don Cheadle.
sooooo goood
We used McKinsey for a culture review in our company. It’s nice to use them once when you’re beginning to grow as a company (you’d learn how they do their studies, which can help you do your own studies in the future) but after that don’t use them again as you should be able to conduct your own internal studies.
Their REAL and possibly only permanent strength is their comparison. When our study was completed, a part of it had comparisons to “Company 1” “Company 2” etc, this information from competitors (even if they weren’t named) was invaluable
Also they make neat reports lol
thats why they are used mainly. For outside opinions
When companies get that big and comprehensive there are bound to be conflicts of interest. In the US we have gone on a surge of nearly 40 years of deregulation that has created enormous conflicts of interest that are either ignored, swept under the rug or celebrated.
Surge of deregulation?
What planet would that be on sir?
There are over 100,000 federal laws and millions of regulations
@@romancandlefight1144 You really know nothing, do you ? Corporate tax cuts, profiting without producing, starvation wages, outsourcing etc etc. It's all been possible because of deregulation. Mega corporations are having a ball now. Does that mean that all regulations have been removed ? Absolutely not. It's just that many regulations have been removed. The impact of that on society has already been devastating.
Dat webcam quality. Can you guys send a webcam to the poor guy?
You could take our "McKinsey" and substitute any of the big consulting firms in there. Any big consulting firm is great at developing and running teams... Its a difficult and hard process. In some cases, you have multiple iterations of teams (i.e., team restructuring) but when working with F500 or even F1000 companies, you have to be agile (buzzword) and change when industries change. Anyone fortunate enough to work at one of the Big 4 accounting firms or the Big 3 Consulting firms will have a bright future in developing high performance teams.
We used Bain & Company for a feasibility of our plant expansion. We paid them around $650,000 to tell us what we already know and that is that we should move forward. Some people look at that and think consulting is a scam. But this is what companies do to minimize risk. There's nothing wrong with getting a second opinion on a huge investment. The 650k was a small price to pay for that.
If you have 650k to waste then go for it.
All of the most pathologic people in my med school class; the kids who only wanted to tell people they got into med school or that they were doctors, rather than actually do the work, were poached by recruiters to try out for consulting groups like BCG and McKinsey. I don't have much respect for their line of work, no matter how much money they make or travel they do.
Yup, psychotic Type A's are a perfect fit for MBB and IB
Lmao that's my goal too
😂😭@@lelele1408
This whole video is just the same 3 people interspersed with stock video. Bravo CNBC. Bravo.
Whenever McKinsey came into our company it meant massive layoffs ahead.
1:47 woah ! McKinsey did BarCode thing ! Wow !.
Wow such a great invention 🤣
Great video & covers a number of key details.
I have first hand experience with the feedback loop generating conflict of interests within our biggest corporations. McKinsey is truly terrifying on this front. Employee empowerment always outperforms these SWAT teams of outside consultant firms. Delivering process improvement is something that should be coached, not held as a trade secret.
Elite: get into Ivy League school and apply ( Watch House of Lies as well)
Or
Get a MBA, JD, PHD to be considered for an interview
Their alumni network must be phenomenal if they were able to get Robert De Niro'a european brother to work for them
is this an ad?
Yes
fleischwolf82 its a "paid feature" CNBC actually hired Mckenzie to advise them on how to monetize social media. And here are paid feature.
Wow such a long ad! It would have been more credible had it included a few negative bits too.
In other words they helped destroy the US middle class.
The Firm is now on my reading list
This video tells me absolutely nothing. How did they become so powerful? What are the direct links between the alumni and the company?
McKinsey started in 1926, back then there weren't many famous consulting firms and Mckinsey used that to their advantage by selling their ideas aka solutions to the business problems in various large companies. As most of the large companies are already uses to McKinsey's services, they keep coming back for more. And everything else has been briefly explained in the video. In my opinion, it was pretty informative but you're right, there really is so much more to know about this secretive firm's success.
Thanks man. I did not understand the praise for this video in the comments. It’s like I learned nothing new here.
This episode brought to you by McKinsey
Sounds more like a private intelligence firm
As someone working in a company that usually needs consultants. McKinzey is in a whole another level. We (a billion dollar revenue company) only wish they show interest in our projects.
Hello
I'm wondering what happened to your company
@@huseynabzad2687 it probably shut down lol. What a disgusting wannabe
ruclips.net/video/YtN-W7WdK5Y/видео.html
I'm going to college soon and looking for a career at a consulting firm but on the technology side(IT, cybersecurity). Any advice?
Johnston don’t have career advise but definitely look into capgemini(IT consulting firm)
they Mckinsey looks like a skimmer.When stuck with corruption charges I wouldn't doubt a lot of employees will have taken the money and run
Great content CNBC but let’s not forget that this video is a PR play by McKinsey
The Firm is a great book.
It is nice to know- that business has gotten under the radar- of government- and has created integrated networks... ...will sustain the world economy- for generations to come... :D
So crazy, and dangerous. It has the power and influence.
Didn’t know Robert De Niro used to work at McKinsey 03:10
The best advertisement in years
Please do video about big 4 companies
Solar Impulse guy looks a lot like Robert De Niro
Im not alone in that thought
Seems more of a paid commercial then documentary 🤣🤣🤣
I hope to be working at McKinsey soon
Every College Grad: cool, let me dust off my CV!
McKinsey HR: Marketing department sucks!
Why not cover BCG and Bain at the same time
Zhang Yu when talking about usain bolt do you also mention the people that came 2nd and 3rd in the race. No
@@mohammedhussain6749 😂😂🤭🤭
@@mohammedhussain6749 😂😂😂😂😂😂😂😂
@@mohammedhussain6749 got emm
McKinsey : We are the most powerful company in the world
Google: Hold my beer
They actually control Google
I don’t think you understand how much power and influence McKinsey, and other management firms, truly possesses. People talk about Google, Facebook, and Amazon all the time, but they seem to ignore the true masterminds who operate behind the scenes.
lots of employees at Google are from McKinsey
The CEO of Google is literally ex-McKinsey if you watched the video lol
And I love it when they come with the conclusion pre-ordered by the client...loolll. No wonder they have been involved in the biggest corporate scandals. I should be able to tell you
Look at you, cnbc, speaking truth to power.... it’s a good look!
Your forgot to mention Taimur Saleem Jhagra, the new finance minister of KP Pakistan. He was previously in McKinsey.
this is just a 16 minute long McKinsey ad, that glosses over the more controversial points of the companies history, while promoting the companies services.
Good report!
BOSTON CONSULTING GROUP MCKINSEY BAIN & AND COMPANY
ALL BIG3 CAN BE SEEN ALSO IN SAUDI ARABIA.
They don't just give advice to private companies most of their clients are government.
Looks more like an ad for McKinsey..!
*_aerial shots of downtown intersections_*
Successful companies don’t use McKinsey.
Their shareholders make them use them at least once. Might be a way for them to build their data intelligence division. You'll be shocked at how many of the Fortune 500 have used them at least once due to shareholder pressure.
You don’t know anything about successful companies then! 80% of them use McKinsey!
Nobody:
McKinsey: lay off everyone.
I've had a very bad experience with Mckinsey folks. These guys are overpaid and over hyped. They are not experienced enough to solve domain specific problems. On top of that they are arrogant and interfere instead of advising.
Yup, agree on that, but consultants were basically like that , they must "know" everything eventough its wrong and not applicable
So many of the people there who do most of the groundwork are fresh graduates (Bachelors/MBA degree) or people at the early stage of their careers, it is hard to expect a deeper domain-specific experience. Is it worth the money paid for what these guys do? I highly doubt so. However, it is often with the backing of companies like these that certain management agendas could be pushed to the higher levels. That people are willing to pay for services as such shows that there is still a strong perceived value towards them. So essentially what McKinsey had done best is not in providing actual business value, but in increasing its perceived value via its decades-long branding. I think they are way overpriced too anyways.
I think you've hired McKinsey folks to answer the wrong question. They are never known for solving tactical problems with specific domain expertise. Why not hiring a domain expert or guru?
Worked for them for a few years when I was fresh out of school in a support role. They are full of it. They waste a whole lot of money, rehash the same work over and over again.
i wouldn't work here even if am paid millions, they are very rude to their vendors/supplier and the company encourages this behavior all in the name of they work under pressure #ihatethiscompany
If the employees are U.S nationals, chances are they have attended Ivey League universities via legacy admission preferences.
Unless they’re affirmative action hires, then Howard, Holyoke, etc. get looks.
Repair Man shut up
Not just in the US mate, Globally they only hire from "specific" schools. Scam artists hiring the children of scam artists!
"in what needs to be disclosed in bankrupcy court" lol
Core management consulting, technology, data analytics and visualization, artificial intelligence, industrial design
Hire them and your competitors who pay them more will know your secrets.
If that were true they’d go out of business almost instantly. Their business is built on trust
@@codycast ha ha ha
KeyboardWarrior why do large companies still pay them then?
@@TheZoeBig To get the secrets of the smaller ones.
KeyboardWarrior I think you were rejected by them, so you’re being salty here! 😂