Have McKinsey and its consulting rivals got too big?

Of course they got too big, and especially they got too enmeshed with the auditing business.

It's time to break them all up. The "firewall" that should be there from a legal perspective is a joke in practice, and when there are only three to four companies, there is no place for fresh blood and with it fresh ideas to enter the market.

McKinsey isn’t in the auditing business at all. And those that do play both went the other way, transitioning from auditing into consulting.

There’s a ton of competition in consulting in general.

> they got too enmeshed with the auditing business.

McKinsey does not have an auditing business.

> too enmeshed with the auditing business

that's not the issue; consulting pays much more than auditing, which is why the Big4 would probably be fine spinning off their auditing businesses

The firewall is of course a fiction.

The entire point of these consultancies is to allow collusion between competitors, which is otherwise illegal.

This is false, the Big 4 are all in the auditing business, in addition to high-end management consulting.

What part of the statement is false?

McKinsey is not a part of the Big 4. The Big 4 refers to the big four auditing firms.

Interesting, I never considered that thought before.

Thanks for the correction.

My sister worked at McKinsey some years ago. Her favorite story is the firm working on the Obama and McCain campaign at the same time! Heh just a wee bit of conflict there.

Said spinoffs would probably start new consulting branches after some period of time