"Referring to it as the "25 squared" approach, Sternfels said McKinsey is growing its client-facing roles - what you typically picture when you think of a McKinsey consultant - by 25%. At the same time, he said non-client-facing roles, which make up the other half of its workforce, have shrunk by about 25% while output from that side has grown 10%."
""Our model has always been synonymous that growth only occurs with total head count growth. Now it's actually splitting. We can grow in this part, the client-facing side, and we can shrink in this part and have aggregate growth in total," he said. "That's a new paradigm and a new dynamic." Sternfels said the firm has seen massive productivity gains as it's embraced AI, saving 1.5 million hours in search and synthesis work last year alone."
McKinsey is reshaping its workforce using AI, expanding client-facing roles by roughly 25% while reducing non-client-facing roles by about 25% yet increasing their output by 10%. The firm employs 40,000 human staff and 25,000 AI agents, with potential parity by year-end. AI adoption delivered substantial productivity gains, saving approximately 1.5 million hours in search and synthesis work last year. Routine tasks typically handled by junior staff have been automated or reduced, enabling consultants to focus on more complex, higher-value problems and producing aggregate growth without net head-count increases.
Read at Business Insider
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