McKinsey & Company

Definition

McKinsey & Company is a global management consulting firm that provides strategic advice to corporations, governments, and other organizations. It is known for its expertise in helping companies make decisions on investments and managing projects effectively.

5 Must Know Facts For Your Next Test

1. McKinsey & Company uses the McKinsey 7S Framework to analyze organizational effectiveness.
2. They offer services in corporate finance, including capital allocation and investment strategies.
3. McKinsey often employs data-driven approaches and advanced analytics to support decision-making.
4. The firm has been influential in developing concepts like the Three Horizons of Growth model for prioritizing investments.
5. McKinsey's advice can significantly impact a company's competitive advantage and market positioning.

Review Questions

• What framework does McKinsey & Company use to analyze organizational effectiveness?
• How does McKinsey contribute to a company’s investment strategy?
• Name one model developed by McKinsey that helps prioritize investments.

Related terms

Capital Allocation: The process of distributing financial resources among various projects or business units.

Three Horizons of Growth Model: A strategic framework for balancing existing businesses and new opportunities over different time horizons.

Advanced Analytics: The use of sophisticated techniques such as machine learning and predictive modeling to inform business decisions.