McKinsey & Company

In this episode of McKinsey on Building Products, McKinsey partner Rikki Singh speaks with Paul Yacoubian, co-founder and CEO of Copy.ai. They explore how an AI-native company such as Copy.ai leverages product-led growth (PLG), the pivotal role of analytics in the company’s customer outreach strategy, and how start-ups can scale effectively without overexpanding. An edited version of their conversation follows. Background of Copy.ai Rikki Singh: Tell me a bit about…

In just the past few years, a series of unprecedented and fast-moving threats have disrupted organizations. How companies, particularly financial institutions, respond to these complex risks has profound implications. The COVID-19 pandemic wreaked havoc on credit models, and social media has played a leading role in accelerating bank runs to real time. The latter exposed a systemic risk that has required banks to rethink their liquidity and interest rate models.…

Transit agencies in the United States are at an inflection point. Ridership—along with revenue generated from fares—remains, on average, significantly below prepandemic levels. Costs continue to rise as agencies (which manage state and local public-transit systems, including buses, subways, light rail, commuter rail, trolleys, and ferries) pay more to expand services and adopt innovations that are demanded by riders. Aging infrastructure is creating growing maintenance backlogs. Meanwhile, federal subsidies, which…

Mixed-use real estate developments and neighborhoods, where office, retail, and residential property coexist, were growing in popularity well before the COVID-19 pandemic. McKinsey’s research on how the pandemic affected demand for commercial real estate underscores how these areas contribute to resilience, better quality of life, and financial success. Cities with these dynamic spaces saw fewer people fleeing to the suburbs, greater office attendance, and stronger in-store retail than did cities where…

The used-car market has faced unprecedented upheaval in recent years. From 2014 to 2024, prices increased by an average of 3 percent per year. The beginning of the COVID-19 crisis, followed by the supply shock, sent used-car prices soaring, rising by about 50 percent between second quarter 2020 and third quarter 2022. But since late 2022, used-car prices have dropped by 20 percent in several European countries, and there’s significant…

A topic that matters more than ever, and yet is debated more than ever Sustainability matters now more than ever—the increasing need for an urgent step-up in action to meet key climate goals was a common refrain around COP29. Three illustrative facts were often cited: This is the first year we are on track to exceed 1.5 degrees. The costs of climate change are already piling up, global insurance losses…

The emergence of new technologies and geopolitical changes are disrupting industries around the world. Corporations are rethinking how to create value for their customers—whether they are serving other businesses (B2B), consumers (B2C), or both (B2B2C)—and how to rewire their business operations to focus on customer needs. Legacy automotive companies are having to find ways to compete with electric-vehicle disruptors, banks are competing with fintech companies, and consumer goods companies are…

The world’s largest companies increasingly recognize the risks and opportunities presented by nature and natural capital. This awareness is driving more businesses to set specific targets to address their impact on water, biodiversity, forests, and other dimensions of nature. The unprecedented decline of nature and biodiversity underscores the urgency of these commitments. Of the nine planetary boundaries proposed by scientists in 2009 to define a “safe operating space for humanity,”…

In today’s business landscape, organizations face unprecedented levels of change and complexity. Markets shift overnight, new technologies emerge daily, and customer expectations evolve rapidly. This volatile environment demands that organizations adapt quickly, innovate continuously, and respond decisively to new challenges and opportunities. Companies aiming for significant performance improvements may have tried top-down or bottom-up approaches to transformation—either relying on senior management alone or on programs that seek to change employee mindsets.…

Africa’s fintech landscape has undergone a remarkable transformation in recent years, characterized by rapid growth and innovation. Despite significant headwinds, the market remains one of the most dynamic and promising in the world, with notable optimism among fintech leaders and investors. Key fintech players we interviewed indicated they were excited about opportunities across Africa, as reflected by our optimism survey, on which they returned an average score of 4.5, where…

As the suite of technology tools at companies’ fingertips continues its exponential growth, so does the demand for technology’s role in business. Tech transformations are not singular events but rather a constant reality of corporate life. According to our latest McKinsey Global Survey of technology and business leaders, most companies are investing in tech with future growth in mind, and they’re seeing positive results from the transformation work they’ve already done. At…

Throughout his 40-year career, Nathan Bostock has seen the financial services industry change in big ways—and has used these changes to his advantage to usher in the next era of banking. He has led multiple full-scale transformations across several companies, including during his tenure as CFO and CEO of Santander UK and during his time as chief risk officer and CFO of the Royal Bank of Scotland. In this episode…

Like many industries, the upstream sector of the oil and gas industry is facing challenges on several fronts: volatile commodity markets driving higher cost inflation, geopolitical instability causing supply chain disruptions, competition for construction talent and labor in certain geographies such as North America, and increasing pressure to accelerate bringing new production online. Capital expenditure (capex) is rising as a result, calling for cost optimization and innovation in capital deployment…

The healthcare industry has been buffeted by a growing number of challenges over the past few years. This turbulence struck provider organizations in 2022, while payers were initially sheltered from the storm (Exhibit 1). But conditions became more difficult for payers in 2023, which has continued into this year, and there’s limited respite on the horizon. Unlike the widespread challenges the provider and payer sectors have faced, the picture for…

Unexpected crises, volatility, and a generally accelerated pace of change have increasingly become the norm. But it doesn’t feel normal. For many, it feels stressful and exhausting. Think of all the very large disruptions on leaders’ agendas these days—widespread use of automation, artificial intelligence, and other technologies at work; geopolitical and global economic shifts; impacts from climate change; genomic editing and other scientific and bioengineering innovations; social justice trends; and…

The Basel Committee on Banking Supervision (BCBS) issued its standard number 239 (BCBS 239) nearly a dozen years ago in 2013, with the aim of strengthening banks’ risk management through improved risk data aggregation and internal risk reporting. Its binding compliance deadline for global systemically important banks (G-SIBs) was nearly nine years ago, in January 2016. For domestic systemically important banks (D-SIBs), compliance was expected within three years following their…

In this edition of Author Talks, McKinsey Global Publishing’s Raju Narisetti chats with Tony Blair, founder and executive chair of the Tony Blair Institute for Global Change (TBI) and former Prime Minister of the United Kingdom, about his book, On Leadership: Lessons for the 21st Century (Crown/Penguin Random House, September 2024). In 2016, Blair established TBI, a not-for-profit that supports leaders and governments on strategy, policy, and delivery, with a…

Global real estate development, which has never been simple, has in recent years become more complex. Building “green,” once a choice and a differentiator for developers, is increasingly the only way to satisfy new regulations, consumer preferences, and investor expectations. New technologies—many powered by recent advances in AI and generative AI (gen AI)—offer huge opportunities but can require detailed knowledge. Higher interest rates, supply chain snafus, and greater market uncertainty…

In October 2024, more than 9,000 participants running the gamut of insurance industry players gathered for the annual ITC Vegas insurance conference. The hot topic of the conference, unsurprisingly, was the use of generative AI (gen AI) and its potential implications for the insurance industry. In this episode of the McKinsey on Insurance podcast, Matt Cooke, global director of marketing and communications for McKinsey’s Financial Services Practice, sat down at…

Healthcare organizations, especially health systems, have a large, untapped opportunity to use their clinical expertise and reputation to serve health media (medically validated, contextually relevant content, including advertising) to engage, support, and educate consumers. The health media trend is accelerating concurrently with healthcare organizations’ efforts to boost digital engagement with consumers as they engage with their care—for example, through a more sophisticated digital front door and personalized marketing efforts (moving…

Companies often overestimate the impact of short-term changes in technology and underestimate the effect of long-term changes. This well-known dynamic is particularly relevant for generative AI (gen AI) in enterprise technology. Today’s many bold predictions about its impact on enterprise technology often focus on shorter-term horizons (with immediate focus on efficiency and productivity in two to three use cases) rather than on more forward-looking shifts and implications. Our recent discussions…

At the heart of virtually every large organization is a massive anchor slowing a business down: the tech debt found in legacy IT systems. Often built decades ago, these large systems form the technical backbone of companies and functions across almost every sector. As much as 70 percent of the software used by Fortune 500 companies was developed 20 or more years ago (see sidebar “What are legacy systems, and…

This transcript has been edited lightly for clarity.Is it time for a procurement (r)evolution? Mauro Erriquez: Dominique, thank you for being with us today. It’s amazing that we have an opportunity to talk about the future of procurement. Many of my clients are saying they have never seen such a challenging period like the last two years. Is your view the same? Dominique Lebigot: Yes, there has been this pandemic,…

For sennder, a leading European digital road freight forwarder, challenges have been catalysts for growth. Founded in 2015, the Berlin-based trucking company has rapidly transformed the European industry by digitalizing road logistics. Although sennder’s growth has been explosive, it hasn’t come without hurdles. However, thanks to a culture of learning, transparency, accountability, and team spirit, the company has used setbacks as opportunities to scale its operations, secure significant funding, and…

The Dutch labor market is strong and evolving: labor force participation is notably high, and unemployment levels are historically low. But ongoing trends, including an aging population and declining productivity growth, are putting the labor market under pressure. Recently, McKinsey projected that labor market tightness could triple by 2030 if the Netherlands maintains current levels of growth in GDP (1.6 percent CAGR) and productivity (0.4 percent CAGR). While traditional automation…

Latin America’s grocery retailers are finally on firm ground again. After several volatile years—with grocers battling everything from the COVID-19 pandemic to inflation and rising joblessness—the sector showed signs of stabilizing in the first half of 2024, leading to increases in spending. Yet challenges persist. Our latest report finds four primary trends grocery retailers across Latin America must respond to: consumers’ continuing search for value, an ongoing transformation of the…

Over the past five years, nongrocery retailers in Europe have faced twin challenges: navigating fierce macroeconomic headwinds and a heightened competitive landscape while catering to increasingly selective consumers. On the first count, inflation-adjusted sales have yet to return to 2019 levels in all top European markets, and generalist marketplaces and discounters have ignited a race to the bottom on price and quality. Balancing sustainability with growth poses a dilemma to…

The past few decades have not been easy for project deployment in metals and mining. Historically, the approach to project execution has been characterized by poor front-end project definition, misaligned incentives, constrained resources, and deeply ingrained legacy practices. Further complicating matters, the outbreak of COVID-19 created a whirlwind of volatility in most industrial markets, with volatility in few markets rivaling the level of operational disruption in mining. Since then, mining…

It’s been five years since the Business Roundtable, an association of more than 200 CEOs of leading US companies, redefined the purpose of a corporation as delivering value to all stakeholders—“our companies, our communities, and our country.” While the perception of stakeholder capitalism has evolved since then, the roundtable’s focus on stakeholders beyond shareholders reinforced the importance of a skill that not all chief executives have mastered: managing a broad range…

At first glance, the outlook for the global cement industry appears grim. Particularly in Europe, the industry has limited opportunities for growth, with flat or declining volumes and low valuation multiples. Companies are also having trouble attracting talent and facing significant costs to reach net-zero emissions. This is a challenging puzzle to solve—but it could be the start of a new “golden age” for the industry.One major unlock—the greater adoption…

As one of the oldest industries, insurance has evolved significantly since its inception and grown to include new, niche offerings. Throughout Vince Tizzio’s long career in insurance, he has developed a deep understanding of the specialty insurance space and proved he can develop strong organizational cultures. As the president and CEO of AXIS, Tizzio constantly strives to deliver premium growth for small and mid-size specialty businesses, expanding AXIS’s offerings and…

Nearly one hundred years of McKinsey’s insights and knowledge serve as the source material for the firm’s AI platform, “Lilli.” In this episode of the At the Edge podcast, Erik Roth, a McKinsey senior partner and global leader of growth and innovation, joins senior partner Lareina Yee to discuss how Lilli was developed and thoughtfully executed—and why immediate access to the firm’s intellectual property has transformed the way McKinsey serves its clients.…

Global growth is expected to remain stable and slow into next year, according to the International Monetary Fund (IMF). Its World Economic Outlook report, released in October, predicts global annual real GDP growth to be 3.2% in both 2024 and 2025, rising to 3.1% in five years’ time, a performance it describes as mediocre compared with the prepandemic average. Unsurprisingly, forecasts for 2024 and 2025 see emerging markets and developing…

As the earth continues to warm and concerns increase over climate risks ranging from extreme flooding to heatwaves, world leaders are gathered in Baku, Azerbaijan, for another round of climate discussions at COP29. For companies, the strategic consequences of climate action — particularly in the face of rising global uncertainties — are top of mind. Corporate leaders are thinking about how to meet their own net-zero goals, and how to…

“Update now or risk losing access to your company’s systems and services.” Executives have likely seen this kind of message regularly sent to their company-issued mobile phone or computer. And when it pops up, they know exactly what it means and why: upgrading a device’s operating system can help protect it against bugs or unlock new features for more effectiveness. As a leader, updates to your own operating system can…

Change can be challenging—and slow. Case in point: a decade of research on Women in the Workplace, conducted by McKinsey in partnership with LeanIn.Org, discloses several areas where women still lag behind their counterparts. In this episode of The McKinsey Podcast, McKinsey senior partners Alexis Krivkovich and Lareina Yee speak with global editorial director Lucia Rahilly about where women’s experiences have improved, stalled, and even worsened over the past ten years, as…

When İşbank decided to design a daily banking experience for the next generation, it found itself in a sector with more than 600 fintechs already competing to capture an exploding market with the tens of millions of young, digitally savvy customers. The bank assembled a team and challenged them to develop a banking app in just six months. The team delivered, and only three months into the pilot launch of…

Methane emission abatement and flaring reductions are central to global decarbonization, especially for the upstream oil and gas (O&G) sector. Upstream O&G accounts for roughly 7 percent of total global greenhouse gas (GHG) emissions, and half of that comes from methane.Since 2021, when many O&G players committed to the Global Methane Pledge (GMP), the call to cut methane emissions has only grown stronger. Regulatory, corporate, and social pressures are mounting…

The post-COVID-19 era has created lasting fissures in the supply chain. Amid increasing globalization, rising customer expectations, and double-digit shipping growth, supply chain organizations—not just manufacturers and suppliers but also the warehouses and transporters they rely on—are under duress. They grapple with issues related to operational efficiency, demand forecasting, inventory management, and fulfillment. This complexity affects every part of the supply chain in every industry: retail, technology, automotive, industrial, food…

It has been nearly two years since the launch of ChatGPT and other generative AI (gen AI) tools that revolutionized the way AI is perceived and consumed by industries, businesses, and other users. In that time, McKinsey experts estimate the capabilities unlocked by gen AI have helped accelerate levels of human performance by a decade, on average.No industry remains untouched by the impact of gen AI, but adoption levels vary…