McKinsey Being McKinsey

McKinsey and Company has a reputation as being an ethical consultant.

For the life of me, I do not know why.

We have seen it aiding corrupt politicians and businessmen steal from the taxpayers, and now they are managing bailouts to hospitals while instructing their hospital clients about how to game the system.

This is classic McKinsey.  Their job is not about ethics, or even good management, it is about placing an ethical gloss on self-dealing, corruption, and looting:

The global consulting firm McKinsey, which has been tapped by the Department of Health and Human Services to help manage and audit billions of dollars in coronavirus relief for hospitals, has worked for at least 10 hospitals and chains that have received federal recovery funds, according to tax records and other public disclosures.

McKinsey was hired to help manage the program and establish audit procedures for the funds, according to the contract award, which was granted in late April and is worth $4.9 million.

The majority of the $175 billion in funds had yet to be paid out to hospitals when McKinsey was hired, though McKinsey denied playing any role in deciding which hospitals received funds. Among those that have already received payments are at least 10 hospitals and chains that have in recent years retained McKinsey & Co.’s extensive health care business, which employs more than 1,700 consultants. The hospitals have paid as much as $20 million for McKinsey’s services in a single year as they seek to streamline costs and boost revenue, according to public disclosures.

By, “Streamline costs and boost revenue,” they mean firing lots of people, price gouging, and reducing patient safety.

That’s in addition to using their inside position in monitoring the fund to help their clients to get a jump in the line.

Maybe when we talk about jailing bankers, we should add their consultants to the list.

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