Strategy&

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Strategy& (Formerly Booz & Company)
Partnership
Industry Management consulting
Founded 1914
Headquarters Flag of the United States.svg New York, New York
60 offices[1] in 33 countries
Key people
Joe Saddi, Chairman
Shumeet Banerji, CEO
Revenue $1.1 billion (2008)[2]
Number of employees
3,000[3]
Slogan Helping make companies more valuable
Website www.strategyand.pwc.com

Strategy& (Formerly Booz & Company) is currently the oldest management consulting firm in business.[4] Founded in 1914 by Edwin Booz, Strategy& is a partnership and thus entirely owned by its approximately 200 officers. With 60 offices worldwide, the firm has a large international presence. Among Strategy&'s clients are 70 of the world's 100 largest corporations, and 400 of the 500 largest US corporations. The company recently separated from parent company Booz Allen Hamilton, taking the entirety of its commercial consulting business as well as all consulting operations with government entitites outside the United States. Meanwhile, Booz Allen Hamilton is now focused exclusively on U.S. government consulting endeavors. While the two firms continue to collaborate on a limited number of joint opportunities, their non-compete agreement will lapse in 2011, and it is possible that both organizations will attempt to move into each other’s existing market space. The company recently purchased Katzenbach Partners for an undisclosed sum.[5]

History[edit]

After graduating from Northwestern University in Chicago in 1914, Edwin Booz developed the business theory that companies would be more successful if they could call on someone outside their own organizations for expert, impartial advice.[6] This theory developed into a new profession — management consulting — and the firm that would bear his name. Booz established a small consulting firm in Chicago, and, two years later, he and two partners formed the Business Research and Development Company, which conducted studies and performed investigational work for commercial and trade organizations. This service, which Booz labeled as the first of its kind in the Midwest, soon attracted such clients as Goodyear Tire & Rubber Company, Chicago's Union Stockyards and Transit Company, and the Canadian & Pacific Railroad."[7]

By the end of the 1950s, Time Magazine dubbed the firm "the world's largest, most prestigious management consulting firm."[8]

In 1970, Booz Allen went public with an initial offering of 500,000 shares at $24 per share. Trading continued through 1976.[9]

Notable Contributions[edit]

Over the years, Booz has been credited with developing some of the most important concepts in business. Most notably, the firm coined the terms and developed the concepts of supply chain, supply chain management, product life cycle, the PERT Chart and organizational DNA.[10][11]

The firm publishes the majority of its thought leadership in its quarterly management magazine Strategy+Business, which in 2009 was one of just two business magazines to grow its circulation, along with the The Economist.[12]

The Katzenbach Center at Strategy& has generated pioneering research on the importance of fostering companies' informal organization to improve corporate performance. In a white paper entitled "Fast Track to Recovery"[13] and the book Leading Outside the Lines,[14] Booz Partner Jon Katzenbach uses various case studies to illustrate the exchange between the formal and the informal elements of organizations.

Prominent Assignments[edit]

Strategy& has had a hand in several notable private and public engagements throughout its years. The dawn of the contract system for Hollywood movies, the merger of the National and American football leagues, the rescue of the Chrysler corporation from bankruptcy, and the creation of Deutsche Telekom from government agencies that had grown up on both sides of the Iron Curtain all involved Booz assignments.[15]

Competition[edit]

Booz competes most directly with McKinsey & Company, Boston Consulting Group, and Bain & Company.[16]

Recruiting[edit]

In 2007, the firm had roughly 150,000 applicants and 1033 new jobs.[17] The firm recruits employees from the world's best business schools. Strategy& is the second largest recruiter at Columbia Business School[18] (behind McKinsey) and the third largest recruiter at INSEAD[19] (behind McKinsey and Boston Consulting Group, respectively).

The firm operates on a modified version of the Cravath System, under which employees are promoted within a certain time frame or "counseled out".[20]

Notable Companies founded by current and former employees[edit]

Private Equity

Professional Services

Other

Notable Alumni[edit]

Strategy& employees have been known to exit into industry after consulting, as clients often look to hire them. Below is a list of former employees prominent in industry.

Business[edit]

Politics and Public Service[edit]

See Also[edit]

References[edit]