McKinsey Horizon Model
By: A Staff Writer
Updated on: Jul 19, 2024
What: Maps your efforts along three horizons: Horizon 1 (optimizing the core business), Horizon 2 (growing emerging businesses), and Horizon 3 (disruptive ventures).
Who: McKinsey & Company, the consulting firm.
Why: Helps entrepreneurs balance short-term needs with long-term possibilities, allocate resources wisely across horizons.
When: In strategic planning, budget reviews, or when assessing any new initiative for fit.
How:
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- Place your current projects/products in their relevant Horizon.
- Is there a good balance, or are you neglecting a certain timeframe?
- Use it to guide investment decisions.