Our History

Korean consultants were very entrepreneurial-minded and pioneers because they were making a choice to be with McKinsey at a time McKinsey wasn’t a big name.

When the Korea office moved its operations from the Westin Chosun into new offices at the Kyobo Building near Gwanghwamun in 1992, the Korea office numbered about 30 members. A nucleus was formed to begin a journey of growth.

“The McKinsey Korea Report,” a newspaper series published by the Maeil Newspaper.

McKinsey Korea history

“We needed to find outstanding people. The challenge was significant because consulting was new to Korea and to the big companies here. So we had to find people with strong experience who would be well accepted by our clients,” said Jim Bemowski, a former office manager (1993–1998).

“Korean consultants were very entrepreneurial-minded and pioneers because they were making a choice to be with McKinsey at a time when McKinsey wasn’t a big name. Everybody was asking how much commitment the firm had to Korea. We tried to explain to them that we expect this to be a very substantial office with major growth and they became attracted to that mission.”

Kim Dong-jae, a professor at South Korea’s prestigious Yonsei University and a former associate (1992–1994), recalls one Maeil story that was part of a series titled “The McKinsey Korea Report” that ran with the headline, “The Rolls-Royce of the industry.” This, Kim says, reflected the mystique that surrounded the industry and McKinsey at the time. The newspaper series was a huge success and became a highly popular source of reference and study among Korea’s growing coterie of business people. The office further built its reputation through efforts such as the McKinsey Global Leadership Forum and started to engage various Korean companies in different industries who had heard of McKinsey's growing reputation.

A McKinsey report helped position the firm as the authority on restructuring efforts during the gravest financial crisis in Korea’s modern history.

1997 Asian financial crisis

McKinsey Korea history

The Asian financial crisis struck at the end of 1997, casting a dark shadow over the region, and especially South Korea. Indeed, a number of consultants were under utilized at the time, as there were fewer clients to serve.

One particular McKinsey report, however, turned this downturn into an opportunity. In early 1997, the Korea office began work on an MGI report titled “Productivity-led Growth for Korea,” which was premised on the idea that various South Korean institutions, including the banking sector, had become an obstacle to further economic growth, due to their inefficiency.

MGI report titled, “Productivity-led Growth for Korea.”

McKinsey Korea

Realizing the extent of the impending crisis, the office put even more focus on the report, which naturally received a great deal of publicity in Korea. Before long, the report helped position McKinsey as the authority on restructuring efforts during the gravest financial crisis in South Korea’s modern history and provided the foundation for ongoing discussions for spurring growth. During this period the firm's reputation as the preeminent partner in overcoming business problems was cemented as the Korea office contributed to the restructuring efforts of many Korean industries.

Apart from client work, the Korea office is committed to advancing the country’s role on the global stage.

More than 450 alumni are working in every nook and corner of various industries in Korea now, typically in leadership positions, shaping company policies and having a deep impact on the country’s business community. Meanwhile, Korean companies have also carved out their role in the global economy, and the Korea office is helping them in navigating today’s unpredictable world. Apart from client work, the Korea office is committed to advancing the country’s role on the global stage, supporting the Seoul G20 Business Summit and contributing to the world’s understanding of Korea with the publication of books such as Korea 2020.

For sure, those who have been with the Korea office for considerable time understand the challenges ahead.

The Korea office supported the Seoul G20 Business Summit.

McKinsey Korea history

“In order to be truly relevant to clients, one has to be able to combine practical insights into international trends with a clear understanding of how Korean businesses can make the most of them, given their very specific strengths and weaknesses," points out Dr. Roland Villinger, an active member of key government committees and former Korea office managing partner. "Since our consultants are serving industry-leading clients both internationally and locally, and our partners advise senior public officials on policy-making while at the same time working day-to-day with their private sector clients, they can provide their clients with a unique combination of sound strategic judgment and rapid impact in execution that is more critical in these volatile times than ever.”

The sentiment is echoed by others.

“It’s an advanced market that has clearly evolved and calls for expert counseling now. Clients know a lot more and they are very specific nowadays in what they want. It makes our work that much harder,” says Senior Partner Wonsik Choi. “The upside would be that we have new reference points. People have a much better understanding of what we do and although the [consulting] industry has gotten much more competitive, when it comes to the heavy lifting people will now say, ‘you should probably go to McKinsey.’”

The Korea office moved to its new building, Center 1, in January of 2011.

Korea Our History

As Korean businesses and society ready themselves to face an increasingly complex global environment, Asia Chairman Gordon Orr stresses that the Korea office must do so as well. “I am certain that many of South Korea's leading businesses will become ever more significant global leaders in the years ahead. For the firm to remain relevant to the remarkable executives and owners driving these transformation journeys, we must develop more world-class local leaders, Koreans with global insights and connections, with world-leading industry and functional expertise.”