Happy Monday, team:

We’re giving So What? another go.

We’ll be honest. When we first started, we didn’t have a plan and stopped writing when we realized we weren’t proud of the content.

We’ve been more thoughtful this time around.

We ran a survey, did 1:1s with current and former consultants, and paid closer attention to other great newsletters all in an effort to deliver something we think consultants will LOVE.

We’ll talk consulting news, consulting gossip, consulting exit opportunities, consulting compensation, consulting charts, and more.

We'll tweak things as we go - reply to this email if you want to share any feedback.

Finally, we are happy to share access to the results from our 2024 Consulting Compensation Report - you’ll find the link at the bottom.

Let’s get started.

📰Consulting news + gossip 📰

Top story: McKinsey facing heat from US Senators Rubio and Hawley

McKinsey & Company, the global consulting giant, finds itself in hot water over its ties to the Chinese government. A report by the McKinsey-led Urban China Initiative, a think tank, has been cited in a new controversy involving the People’s Republic of China’s (PRC) military and industrial strategies. This report, "The Trend and Impact of World Technological Revolution and Industrial Transformation," was created to inform the PRC’s 13th Five-Year Plan and the “Made in China 2025” industrial strategy. The findings, first reported by the Financial Times, highlight the intricate relationship between McKinsey and the Chinese government, raising eyebrows among U.S. lawmakers.

The report outlines how McKinsey’s initiative advised Beijing on technology policies that bolster the People’s Liberation Army (PLA) and challenge Western industrial firms. Notably, it suggests promoting military-civil fusion, integrating commercial technology into military applications, and enhancing China's national champions in critical tech sectors to outpace foreign competition.

U.S. Senators Marco Rubio (R-FL) and Josh Hawley (R-MO) have taken swift action, sending a stern letter to McKinsey Global Management Partner Bob Sternfels. The senators demand that McKinsey disclose its dealings with the PRC and cut all ties with the Chinese government. They warn that failure to comply will result in efforts to block McKinsey from receiving any future federal contracts.

The letter states, “Your company’s inability to come clean about its dealings with the PRC disqualifies it from future work with the United States government—a government your company has worked to undermine both economically and militarily at the behest of our nation’s primary geopolitical adversary.”

McKinsey has previously claimed it does not work for the Chinese Communist Party or on topics connected to defense and security in China. However, the report from the Urban China Initiative, co-founded by McKinsey and based at the same address as its Beijing office, tells a different story. McKinsey's top China representative, Jonathan Woetzel, authored the foreword, and the report’s findings closely mirror previous McKinsey work, further entangling the consulting firm in the controversy.

The senators’ letter also highlights McKinsey’s work with Chinese state-owned enterprises (SOEs), such as the China Communications Construction Company, which has built military outposts in the South China Sea, and the China Ocean Shipping Company, a crucial component of the PLA’s logistics network. Additionally, McKinsey has acknowledged a commercial relationship with the Chinese government and has been credited by Chinese propaganda for consulting on significant initiatives.

In 2018, McKinsey held a corporate retreat in the Xinjiang Uyghur Autonomous Region, a location now infamous for the Chinese government’s human rights abuses against Uyghurs and other Muslim minorities. This move has further fueled criticism of McKinsey’s operations in China.

Rubio and Hawley’s letter concludes with a firm stance: “We will continue to work to ensure McKinsey does not receive another dollar from the U.S. government until such time as the company owns up to its work on behalf of the Chinese government, severs all ties to the PRC, and commits to patriotic service on behalf of the United States of America.”

As McKinsey navigates this storm, the broader implications for U.S.-China relations and corporate accountability remain in sharp focus. The consulting firm's next moves will be closely watched by policymakers and the public alike.

Read more here.

👀Our favorite gossip this week👀

• EY Manager fired after taking vacation for wedding

• MBA students continue to be obsessed with prestige

• PwC consultant has insane stockholm syndrome

📈Show me the data📈

Honestly, Axios charts are usually pretty solid. Do you think the chart’s Y-Axis should start at 0%?

💼 Exit opps 💼

We’ll plan to share a few opportunities that we see that seem interesting for someone with a consulting background. Focus on remote roles or roles in big US metros.

• VP of Strategy + Ops, Fintech, Remote, ~10 years of consulting experience

• Stubhub Strategy Associate, NYC / Hybrid, ~2-4 years of consulting experience

• PayPal Senior Strategy Associate, NYC / Hybrid, ~2-4 years of consulting experience

• ServiceNow Pricing Strategy Manager, Remote, ~3 years of consulting experience

• Instacart Senior Manager of Market Strategy and Planning, Remote, ~8 years of consulting experience

😂Memes😂

🤑Consulting Compensation Report

That’s all for now - we will circle back next week for another edition of So What? Reply directly to this email if you have feedback for how we can get better - we are always on the lookout for how to improve.

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