McKinsey getting in sourcing advisory? What do they know about it?

I am a great fan of McKinsey. I love reading their Quarterlies. One of the greatest leaders of McKinsey’s , you might almost want to call him the father of McKinsey was Marvin Bower. No, not James O’McKinsey but Marvin. Marvin spent his last years telling how McKinsey should stay away from temptation. Anyways ode to Marvin is not what we are doing here.

McKinsey hd launched a program called Lean IT, which they normally refer to the “Toyota Way but for IT’ when I was working for my past employer. They have run through the program and its all done and did it really turn that organization competitive? Not really. It got thin and lean.

Working in the management consulting we started coming across McKinsey as a competitor. In some places we defeated them as well! Why? Not because they weren’t good, we were better!

Why again? Because global sourcing advisory is our DNA, not that of McKinsey. Today I was talking to someone about this large Danish client who McKinsey helped with its Lean IT and also went around doing both applications and Infrastructure sourcing advice. After all the years it turned out that all those excel sheets really didn’t really get the gist of it all. 2-3 years down the road, the client is struggling.

Funny thing is that one of the top key executive of the firm which got the outsourcing order was complaining to me that if McKinsey gets in, then they always consistently give deal away to HP and IBM.

Our founders have amazing skills that they can leverage to TRULY help clients get the RIGHT deal. It’s nto about the frameworks, excelsheets alone, its about true understanding. This is the only reason when we get into a boardroom we leave an impression any client would die for extra 30 minutes. And I’m talking about the truly connected clients. There are a lot of those who are disconnected from reality and sure enough any advice is good enough. They insist “we only work with McKinsey!” Hey, McKinsey is not Louis Vutton! [I dont care if that CIO is frowning now]

It is not about lean IT, its about understanding the sourcing eco-system. It is not about the frameworks and information collection, its about the KNOWLEDGE and EXPERIENCE. Banks dont need Lean IT, Banks need elastic IT! Banks dont need to have Lean IT to fix defect bugs, they need to understand why soft-aspects such as relationships and another xx number of sub-factors that affect the defects in Application development.

I read this article and I felt sad. Sad because I could write more and I am not even as experienced as my other colleagues.( This is what CIOs are buying? and McKinsey, there are niche-players that have performance monitors that do a lot more cooler things per industry vertical.

Marvin Bower always believed that you should stick to what you know and don’t get into what you don;t know. He always resisted all the temptation when Booz Allen Hamilton were going down the slippery slope. He died in 2003. Had he lived, he would have fought for his brand.



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