2023 ESG Report

Accelerating
sustainable
and inclusive
growth for all

McKinsey colleagues Damien, Wenting, and Liz.

 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

Message from our global managing partner

It was a year of upheaval and opportunity. Devastating wars and humanitarian crises Economic inclusion was also a focus of our firm’s research and giving last year. The McKinsey
impacted countless lives, and people across the world faced economic uncertainty. Global Institute published new research on the empowerment line, resetting the floor for progress
beyond the poverty line. We also upskilled, reskilled, or supported toward economic inclusion
Still, global growth was better than expected. Generative AI entered the mainstream,
19 million people through our nonprofit partners and pro bono programs, including Forward and
promising to unleash productivity and democratize innovation. And landmark climate
[Link], to help deliver against our ten‑year, $2 billion commitment to social responsibility.
actions were accelerated at COP28.
And we remain committed to diversity and inclusivity when it comes to our talent. Our belief
Only the most resilient agendas thrived in 2023. Our work to accelerate sustainable
that “exceptional can come from anywhere” saw us continue broadening our search for talent
and inclusive growth was one of them. It’s the metric we use to measure our impact
in 2023. Today, our global workforce is 48 percent women.
on society and the planet. In this report, we take stock of that effort.

Sustainability Responsible practices

Adhering to the highest professional and ethical standards is one of our core values, and we
We aspire to be the largest private‑sector catalyst for decarbonization. That begins
constantly refine how we do that in practice. Last year’s enhancements included a reimagined
with our client work, which included 1,720 sustainability engagements with 761 clients
Code of Conduct and new policies and oversight to guide the responsible use of generative AI.
in 2023 alone.
Our risk, legal, and compliance teams include world‑class experts from top public and private
We served as an impact partner for COP28, driving action that included helping
institutions. Their work is bolstered by approximately $1 billion in spending in these areas
to establish the Oil and Gas Decarbonization Charter. Its 50 members—representing
since 2018. In 2023, we vetted 100 percent of new clients against our CITIO client‑service
40 percent of global production—have committed to near‑zero methane by 2030.
framework, which serves as a guide for what work we will and will not do.
We partnered with Frontier in its $156+ million offtake agreements to permanently
All of our colleagues are required to complete comprehensive training on our policies
remove more than 338,000 tons of CO2 from the atmosphere by 2030. Inside of our
annually. Every member of our firm is critical to upholding our high standards.
own firm, we collected an internal carbon fee of $50 per ton on all of our air travel
emissions while also adopting new ways of working to reduce travel.

Inclusive growth Creating positive, enduring change means working side by side with leaders from idea
to impact delivery. We encourage them to take action, and we build their capabilities to help
We believe growth is good. It’s essential for organizations and people to thrive. Each
them continue driving transformative impact over time.
year, our clients contribute 20 percent of GDP growth and create one million jobs.
It’s our privilege to serve our clients and communities in this way, and I’m humbled to help
Leap by McKinsey has helped build 620 new businesses since 2019, including more
add this chapter to the nearly 100‑year story of our firm.
than 20 unicorns or decacorns. In 2023, we enrolled 29,600 participants in our
Connected Leaders Academy training program to help equip future leaders to meet
their aspirations. And McKinsey Academy’s capability‑building programs celebrated
reaching their first one million people—with more to come.
Bob Sternfels
Global managing partner, McKinsey & Company

2023 ESG Report 2

Introduction Sustainability Inclusive growth Responsible practices Reporting approach

2023 progress highlights

Sustainability 4,600 2,000 $156M+ 100%
of our colleagues worked climate technology leaders allocated by Frontier buyers, of our air travel
on 1,720 sustainability convened at our Green including McKinsey, across emissions are covered by
engagements with 761 clients Business Building Summits four offtake agreements to a $50/ton internal carbon
across 67 countries and in in 13 countries support innovative carbon fee to finance our carbon‑
every industry removal companies1 related procurement2

Inclusive
growth 19M $856M 48% 620
people upskilled, reskilled, contributed in monetary of our global workforce new businesses created
or supported toward and in‑kind support since were women3 by Leap by McKinsey
economic inclusion through 2020 toward our $2 billion since 2019, including 20+
our nonprofit partners and commitment to social unicorns or decacorns
pro bono programs responsibility by 2030
($206 million this year)

Responsible
practices ~$1B 100% 100%
spent on building, enhancing, of our new clients were of colleagues completed annual
and operating our risk, legal, vetted against our industry‑ risk training and certified
and compliance functions leading CITIO client compliance with firm policies
since 2018 service framework4 and our Code of Conduct5

1 Learn more about the Frontier offtake agreements. 

2 In 2023, we collected the carbon fee on all air travel. Starting in 2024, we will collect the fee on all carbon emissions, including, but not limited to, emissions from air travel, ground transportation, and hotel stays.
3 All demographic‑related metrics in the report are based on colleague self‑identification.
4 CITIO is the framework we use to assess a potential client or engagement consisting of five interrelated dimensions: Country, Institution, Topic, Individual, and Operational considerations. Learn more about CITIO. 
5 This figure does not include firm members exempted from the training because they weren’t actively working at the time of the program (for example, leave of absence, left our firm).

2023 ESG Report 3

 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

About McKinsey 45,100 68 4,100 $16B

colleagues countries clients served revenue

McKinsey is a global consulting firm. We are united by our dual mission, a strong set
of values, and the drive to deliver positive, enduring change with our clients. In a world
facing growing inequality and the impact of climate change, our aspiration is to
accelerate sustainable and inclusive growth in the societies where we operate.

Our Our Our

purpose mission values
To help create positive, To help our clients make – Adhere to the highest
enduring change distinctive, lasting, and professional standards
in the world substantial improvements – Improve our clients’
in their performance performance
and to build a great firm significantly
that attracts, develops,
– Create an unrivaled
excites, and retains
environment
exceptional people
for exceptional people

Learn more about our purpose,

mission, and values 
Colleagues in our
London office.

2023 ESG Report 4

 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

We aspire to accelerate sustainable and

inclusive growth
Our aspiration is to drive measurable progress on sustainability, inclusion, and
growth—all at the same time. When economies thrive and the planet flourishes, people
everywhere have a better chance at a better life.
For us, this starts with growth. But not just any growth. Growth that builds resilience and
leaves no one behind. The kind that helps businesses prosper and catalyzes positive
enduring change for people and the planet alike. Learn more about how we are driving
measurable progress. 

We’re partnering with our clients to lead on sustainable

and inclusive growth.6 They have contributed:

20% 1M 80%
of global GDP growth new jobs per year of reported CO2 emissions
reductions

6 The following numbers are based on our ongoing analysis of publicly held companies between 2015–2022. We assess the percentage
of global gross domestic product (GDP) growth driven by our clients, relative to total global GDP growth. In the same time period, we look
at total Scope 1 and Scope 2 CO2 emissions reductions reported by these publicly held companies and the percentage of those achieved
by our clients. We also establish the average net new jobs created by our publicly held clients during this period.

2023 ESG Report 5

 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

How we
Our aspiration
approach ESG To accelerate sustainable and inclusive growth
At McKinsey, our commitment to accelerating
sustainable and inclusive growth informs
and guides our Environmental, Social, and
Environmental Social Governance
Governance (ESG) agenda.
Sustainability Inclusive growth Responsible practices
Our ESG priorities, identified through periodic materiality
assessments, are integral to our firm’s broader sustainable and Become the largest private sector Build inclusive economies, institutions, Lead with integrity and set
inclusive growth strategy; both are underpinned by our commitment catalyst for decarbonization and workforces that reflect our the standard for accountability and
to responsible business practices. communities compliance in our profession

How we bring our aspiration to life

Our clients Our insights Our actions Our giving

We partner with clients to We develop research and We implement our best insights We advance economic inclusion
We
accelerate sustainable and insights that help leaders and client counsel to manage by promoting job creation and
inclusive growth that can be pinpoint strategies that will our firm responsibly and make placement, upskilling, reskilling,
measured in the societies in reshape tomorrow progress toward and education
which we operate ou commitments
our

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 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

Sustainability at a glance

We aspire to be
the largest private
sector catalyst for “The net-zero transition must

decarbonization
be clean, secure, and affordable.
We are working to make this
vision a reality every day.”
Driven by our sector knowledge and insights, we are moving decisively Daniel Pacthod
toward net zero while partnering with clients to do the same.
Senior partner, global coleader
of McKinsey Sustainability
New York

Our clients Our actions Our insights

1,720
sustainability‑related client
100%
of our air travel emissions are
90%
of the greenhouse gas
engagements covered by a $50/ton internal (GHG) abatement our planet
carbon fee to finance our needs could come from
carbon‑related procurement7 proven technologies8

7 In 2023, we collected the carbon fee on all air travel. Starting in 2024, we will collect the fee on all carbon emissions, including, but not limited to, emissions from air travel, ground
transportation, and hotel stays.
8 To limit global warming to 1.5°C, these technologies need to scale exponentially by 2030. Learn more in our report, What would it take to scale critical climate technologies? 

2023 ESG Report 7

 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

Case studies

Lufthansa: Using data to enhance TPG: Building a next-generation One Ocean Foundation: Using GenAI to help
carbon footprint visibility carbon platform green businesses better protect the ocean
We developed a solution to help Lufthansa gain greater visibility into its In partnership with TPG, we created Rubicon Carbon, a digital platform QuantumBlack, our AI arm, has collaborated with One Ocean Foundation,
procurement data and carbon footprint via the Spendscape platform. This that connects companies to risk‑adjusted portfolios of high‑quality based in Italy, to quantify what businesses are doing to protect the oceans.
is helping Lufthansa make progress toward its goal to halve emissions carbon credits to accelerate their paths to net zero. The platform has Using analytics and GenAI, QuantumBlack analyzed the sustainability
by 2030 and reach carbon neutrality by 2050. Partnering with SAP, we grown to become a market leader in next‑generation carbon solutions, reports of 2,500 companies across 17 sectors to identify actions
coalesced data sources from across its global network and leveraged including four distinct product offerings and a $1 billion targeted in support of ocean sustainability. GenAI was used to extract detailed
our Spendscape solution to provide a full understanding of Lufthansa’s capital commitment. information from the reports, providing insights on partnerships, eco
procurement spend and Scope 3 emissions to enable actions that design, and other initiatives. The resulting report highlights the opportunity
simultaneously reduce emissions and costs. for companies to develop “blue businesses” and outlines various projects
and technologies that can create value and reduce costs. The collaboration
aims to create an Ocean Disclosure Initiative for businesses to track their
marine‑related projects.

100%
spend transparency across
Learn more 
$1B
targeted capital commitment
Learn more 
2,500
companies across 17 sectors
Learn more 

connected systems

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 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

Inclusive growth at a glance

We’re helping build

inclusive economies,
institutions, and
workforces “As the economy expands,
there should be more
Through our client work, operations, and community engagement,
for all—that is where
we seek to accelerate growth that builds resilience and enables more
people to contribute to and benefit from a growing economy.
growth and inclusion
come together.”
Tania Holt
Our clients Our actions Our insights Senior partner, leader

1M 19M 46%
of Europe social
sector practice
London
participants reached through people upskilled, reskilled, or supported average person’s lifetime
McKinsey Academy’s capability‑ toward economic inclusion through our earnings come from skills
building programs since 2014 nonprofit partners and pro bono programs learned on the job9

9 Learn more in our report, Performance through people: Transforming human capital into competitive advantage.

2023 ESG
2023 Report
ESG Report 9 21
 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

Case studies

Starbucks: Designing stores that are inclusive ING: Using generative AI to put people first CP AXTRA: Building a new platform to help
for all small businesses stay resilient
The global bank ING hears from 85,000 customers by phone and online
We partnered with Starbucks to create a design framework for more chat each week in its core market, the Netherlands. To make customer We partnered with CP AXTRA Public Company Limited, the parent
inclusive spaces for people living with disabilities. Future growth plans will support more inclusive and accessible, we partnered with ING to develop company to well‑known wholesaler Makro, to build a first‑of‑its‑kind
include the use of these new accessibility guidelines so that all newly built an advanced chatbot. The first‑of‑its‑kind pilot in Europe provides business‑to‑business online platform to streamline goods‑purchasing
and renovated Starbucks‑operated stores in the United States, including a scalable model for additional markets where chat support may not have for small‑business owners in Thailand, helping create a more resilient
600 new stores planned in 2024, incorporate these more inclusive previously been available. supply chain for small businesses. We also helped embed upskilling
design elements. and professional development into the organization’s culture, building
the capabilities of more than 200 employees.

1ST
Starbucks store leveraging
Learn more 
37M
customers projected
Learn more 
200
employees hired and upskilled
Learn more 

the inclusive design to be impacted

framework opened

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 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

Responsible practices at a glance

Our ambition is to lead

with integrity, deliver
impact responsibly, and
“Trust and accountability are
maintain the trust of clients, integral to driving holistic

colleagues, and society.

impact, living our
values, and leading
with integrity.”
We aim to govern our firm through the highest professional and ethical Daniel Trujillo
standards. These are embedded in our daily practices, from the way we Partner, chief ethics and
select clients and suppliers to how we protect data. compliance officer
Austin

Our clients Our actions Our insights

100%
of new clients vetted against our
~$1B
spent on building, enhancing,
60%
of surveyed consumers would be willing
industry‑leading CITIO client and operating our risk, legal, and to pay more for products when employee
service framework compliance functions since 2018 safety and no child labor are guaranteed10

10 Learn more in our report, Enabling socially responsible sourcing throughout the supply chain. 

2023 ESG Report 11

 Introduction Sustainability Inclusive growth Responsible practices Reporting approach

Report scope Sarah, a partner in our London office,

moderates a session with carbon
market leaders at COP28.
McKinsey’s 2023 Environmental, Social, and Governance (ESG) Report (“the Report”)
is our annual report detailing our commitments, programs, and performance on ESG
priorities. All information reflects McKinsey’s worldwide operations, covering the period
from January 1, 2023 to December 31, 2023, unless otherwise noted.
We continue to align our reporting with leading ESG standards and frameworks.
The Report has been prepared in accordance with the Global Reporting Initiative (GRI)
Standards for this reporting period. It also includes our disclosure against the World
Economic Forum International Business Council’s (IBC) Stakeholder Capitalism Metrics
and serves as our sixth Communication on Progress (CoP) to the UN Global Compact.
We are also reporting in line with the recommendations of the Task Force on Climate‑
related Financial Disclosures (TCFD).
Read the ESG reporting indexes in our full ESG report.
Our GHG emissions inventory and renewable energy use data as well as select social
responsibility contributions data were independently reviewed by Grant Thornton at a
limited assurance level. See Grant Thornton’s report of independent certified public
accountants in our full ESG report.11
For questions about this report, please contact us
at Social_Responsibility@[Link]. 

11 Disclaimer: The analyses and conclusions contained in this report refer to the period of the calendar year 2023 and
to information and data available to McKinsey and do not purport to contain or incorporate all the information. Although
its content reflects McKinsey’s current expectations regarding future events, the analyses and conclusions contained
in this report are based on various assumptions, being based upon factors and events subject to uncertainty. Statements
of expectation, forecasts, and projections relate to such future events and are based on assumptions that may not remain
valid for the whole of the relevant period. Future results could be materially different from any forecast contained in the
analyses. The analyses contained herein were undertaken by McKinsey as of the dates noted herein. McKinsey undertakes
no obligation to revise or update any such analyses or any forward‑looking statements.

© 2024. McKinsey & Company. All rights reserved.

2023 ESG Report 12

Learn more online at:
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We welcome your comments and questions

regarding this report. Please contact us at:
Social_Responsibility@[Link]