McKinsey India now focusing on 3-4 big themes
, ET Bureau|
Updated: Nov 14, 2017, 01.21 AM IST
MUMBAI: At a time when consulting firms are fighting to stay above rapidly changing market conditions, stiff competition and employee turnover, McKinsey India’s new managing director Gautam Kumra said the white-shoe consulting firm’s India revenues grew in double digits.
45-year-old Kumra took over the firm’s corner office from Noshir Kaka on January 1, 2017. In his first few months, he focused on realigning and resetting the firm’s business.
“We are focusing on 3-4 big themes. We will continue serving leading institutions of today and tomorrow and be relevant to them. Secondly, we are building new capabilities for McKinsey in India. And the third focus area is to renew three of the classic functions of our practice — operations, organisation and then risk and strategy,” he said.
In regards to sharply increased competition from firms like BCG, Bain, Big Four advisory services — especially EY and Deloitte — and IT firms like Accenture, Kumra is marking out areas to play and win.
“We identified 35 priority client situations in January. We said okay, this is where we are going to compete or die. We are tracking those closely, how much of our work is coming from these key clients,” he said.
Mirroring its global strategy, McKinsey is investing in building new capabilities in India. The firm is betting on three new areas: RTS (Restructuring and Transformation Services), MADS (McKinsey Analytics Digital Solutions) and building and renewing ‘growth’ capabilities. Already 20% of the firm’s work involves these capabilities.
In a new innovation launched a couple of years ago, the firm started McKinsey Implementation — now largest in Asia — that involves hiring senior industry folks working part-time to aid clients in project implementations.
At a time when digital and analytics are fast becoming part of every brief and client solution, McKinsey has rapidly beefed up its expertise in these areas. Between Bangalore, Mumbai and Chennai, the firm has hired more than 850 people for these functions. A key challenge for Kumra, however, will be retaining talent. The firm lost more than 100 consultants in last two years to industry, startups and VC/PE firms.
“We have 500 global alumni who are running billion dollar plus businesses. The fact that the McKinsey has the largest number of CEOs produced by any institution in the world is a matter of pride for us,” he said. To fill the talent gap, the firm has stepped up hiring from B-schools, but in a major departure from tradition, the firm has taken into its fold more than 100 industry experts for the first time in India.
45-year-old Kumra took over the firm’s corner office from Noshir Kaka on January 1, 2017. In his first few months, he focused on realigning and resetting the firm’s business.
“We are focusing on 3-4 big themes. We will continue serving leading institutions of today and tomorrow and be relevant to them. Secondly, we are building new capabilities for McKinsey in India. And the third focus area is to renew three of the classic functions of our practice — operations, organisation and then risk and strategy,” he said.
In regards to sharply increased competition from firms like BCG, Bain, Big Four advisory services — especially EY and Deloitte — and IT firms like Accenture, Kumra is marking out areas to play and win.
“We identified 35 priority client situations in January. We said okay, this is where we are going to compete or die. We are tracking those closely, how much of our work is coming from these key clients,” he said.
Mirroring its global strategy, McKinsey is investing in building new capabilities in India. The firm is betting on three new areas: RTS (Restructuring and Transformation Services), MADS (McKinsey Analytics Digital Solutions) and building and renewing ‘growth’ capabilities. Already 20% of the firm’s work involves these capabilities.
In a new innovation launched a couple of years ago, the firm started McKinsey Implementation — now largest in Asia — that involves hiring senior industry folks working part-time to aid clients in project implementations.
At a time when digital and analytics are fast becoming part of every brief and client solution, McKinsey has rapidly beefed up its expertise in these areas. Between Bangalore, Mumbai and Chennai, the firm has hired more than 850 people for these functions. A key challenge for Kumra, however, will be retaining talent. The firm lost more than 100 consultants in last two years to industry, startups and VC/PE firms.
“We have 500 global alumni who are running billion dollar plus businesses. The fact that the McKinsey has the largest number of CEOs produced by any institution in the world is a matter of pride for us,” he said. To fill the talent gap, the firm has stepped up hiring from B-schools, but in a major departure from tradition, the firm has taken into its fold more than 100 industry experts for the first time in India.
