| Topic Name: |
McKinsey in decline? |
| Message Name: |
Give and take |
| Date Posted: |
01/31/2006 |
| In Reply To: |
Some comments:
HBS and Stanford are top MBA schools in the world with acceptance rate in the range of ~10%. HBS has the highest McK offer rate of all b-schools at around 10%. The product ~.10 and ~.10 is around 1%. This is 1% from prospective HBS MBA applicants (~6000) who thought they had a chance of acceptance--obviously, application process is not a stroll through a park.
If you look at 2nd tier MBA schools, Duke/Cornell/Michigan, total number of McK offers drops down to single digits PER class, compared to HBS?? ~100 offers per year.
Just to set the record straight, less than 10% of Stanford MBA grads went to M/B/B in 2000 (according to previous post by marty_k: 20 for Mck, 6 for BCG, 6 for Bain, out of class of ~350+)
As far as PE/VC shops being more competitive, no arguments here. Blackstone??s PE group has 60 professionals total WorldWide, including 16 managing partners. So instead of top 1%, firms like Blackstone probably interview top .1%, who are conveniently differentiated by GPAs between 3.7 and 3.9. (Who knew that B+ in marketing could make such a big difference in your career : )
Calling_marvin, I think you would agree that informal surveys are sometimes unreliable. The phenomena of recent brain drain due to b&b migrating to 1) Tech companies 2) Financial-Banking 3) Entrepreneurship is moot as illustrated by Stanford data showing the industry placement trends have been essentially been the same for the past 8 years.
From the little knowledge that I have, PE/VC and mgmt consulting are very different careers. One cannot just assume that all b&b will opt for PE/VC, simply because it??ll pay more. Astute applicants will obviously make his/her determination based the long term career goals and his/her professional interests.
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| Message: |
You are right, "Average at HBS" is not "average in Corporate America".
Similarly, "average corporate America" is not average "higher-level-education institute, worldwide".
McKinsey recruits between 1.400 and 2.000 associates per year, worldwide. Some offices cannot make their recruiting targets, and it is not for lack of applicants. It is for lack of "quality of applicants".
Further, in some other offices recruiting administrators are also finding out that the most attractive students (for McKinsey) just decline to interview with McKinsey.
Unreliale survey? Well, maybe, but it is based on a large sample (several hundred) and there is only one question asked, always the same.
Finally, I agree that "the best and brightest" do not opt out of Management Consulting becaus it pays less than PE/VC". I am of the opinioni that they opt out because 1) the industry is commoditised and feels "square"; 2) Firms like McK are as attractive today as Arthur Andersen was 30 years ago: big name, good on your resume, but just not where you want to be when you believe you are part of the "b&b" and want to plough your own furrow rather than tread in the one of others
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