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Issue № 65. December 2017

Corporate Growth in McKinsey Methodological Dimension

Vyacheslav M. Purlik

Ph.D., Associate Professor, School of Public Administration, Lomonosov Moscow State University, Moscow, Russian Federation.
E-mail: Purlik@spa.msu.ru

The article provides an overview of the results of growth research in large corporations, performed by McKinsey analysts. Taking into account the practical importance of management tools (three growth horizons, a growth staircase, a growth chart) used in corporate growth studies by McKinsey for Russian companies, the author analyzes each of them in detail. It is shown that the need to solve the problem of growth arises in companies only when they reach an acceptable level of operational efficiency. It is established that the use of the concept of seven degrees of freedom by top managers allows them to overcome the limitations of their own thinking and to identify real opportunities for business growth. It is revealed which specific growth drivers should be used by companies (taking into account the specifics of the business), on different horizons of growth.

Keywords

Corporate growth, growth strategy, the parallel management, growth horizons, growth ladder, growth chart, operational efficiency, the movers (sources) of growth.

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