Korn Ferry
| Company type | Public |
|---|---|
| Industry | Management consulting, Executive search |
| Founded | 1969 |
| Founder | Lester Korn, Richard Ferry |
| Headquarters | Los Angeles , United States |
Area served | Worldwide (53 countries) |
Key people | Gary Burnison (CEO) |
| Products | Consulting, Digital, Executive Search, Recruitment Process Outsourcing, Professional Search |
Number of employees | 8,198 (2019) |
| Website | www |
Korn Ferry is a management consulting organization based in Los Angeles, California. Established in 1969, the company maintains 111 offices across 53 countries and employed 8,198 individuals globally as of 2019. Its operations are divided into several segments including Consulting, Digital, Executive Search, Recruitment Process Outsourcing, and Professional Search.
History
Korn Ferry was founded in 1969 by Lester Korn and Richard Ferry, who first connected while working at Peat, Marwick, Mitchell. The firm went public the same year but reverted to private ownership in 1974. Growth accelerated with the establishment of Korn Ferry International Japan in 1973 and continued throughout the 1970s with new offices opening in Singapore (1975), Malaysia and Hong Kong (1978), along with acquisitions such as Hazzard & Associados in Mexico City (1977), John Stork in the UK (1978), and Guy Pease Associates in Australia (1979).
By 1981, under Lester Korn’s leadership as chairman and CEO, Korn Ferry had become the world’s largest executive search firm. The company expanded into Bangkok by 1987 and was serving approximately 1,250 clients from 37 offices across 15 countries. Revenue exceeded $100 million by 1989. In 1991, Richard Ferry assumed the roles of chairman and CEO, overseeing some office closures amid evolving industry conditions.
During the early 1990s, Korn Ferry embraced video conferencing for candidate evaluations and broadened its European reach through acquiring Carre Orban and Partners in 1993. The firm also entered additional Asian markets including India (1994), China (1995), Indonesia (1996), and South Korea (1998).
In 1998, Korn Ferry launched Futurestep.com in partnership with The Wall Street Journal, focusing on recruitment for middle management; by 2001 it had operations in 22 countries but faced losses totaling $60 million. The late 1990s and early 2000s featured acquisitions such as Germany’s Hofman Herbold, Australia’s Amrop International (1999), London-based PA Consulting Group ($35 million in 2000), Boston’s Westgate Group, and Canada’s Pratzer & Partners.
In response to an industry downturn following the tech bubble burst, Korn Ferry undertook major staff reductions in 2001 under CEO Paul C. Reilly to restore investor confidence. That year also saw acquisitions of Levy Kerson, Helstrom Turner & Associates, and Pearson Caldwell Farnworth. By 2005, the regional headquarters had shifted to Shanghai with operations spanning 40 countries through 73 offices.
The company enhanced its leadership development offerings by acquiring Lominger Limited for $24 million in 2006. Gary Burnison became CEO in 2007 as Korn Ferry acquired LeaderSource; subsequent purchases included Lore International Institute (2008), London-based Whitehead Mann (2009), Sensa Solutions (2010), Minneapolis-based PDI Ninth House ($80 million in 2013), Pivot Leadership (2015), and Hay Group ($452 million in 2015).
In 2018, Korn Ferry consolidated all its business units under a single brand identity, taking a one-time intangible asset impairment charge of $106 million related to retiring sub-brands such as Futurestep, Hay Group, and Lominger.
Following widespread corporate exits from Russia after the 2022 invasion of Ukraine, Korn Ferry initially maintained its operations there but suspended them in April 2022.
Whitehead Mann
Whitehead Mann was an executive search company headquartered in London that became part of Korn/Ferry International following its acquisition in June 2009.
Originating in the 1970s from the merger of Clive Whitehead's Whitehead Engineering and Anna Mann's Mann Recruitment, Whitehead Mann went public on the AIM in 1997. By 2003, its market value had grown to £33 million, largely fueled by a series of acquisitions. The firm maintained offices across London, Paris, Frankfurt, Hong Kong, and New York, complemented by divisions focused on training and consulting services.
The company's performance experienced volatility during the dot.com boom. After internal strategic conflicts with CEO Gerard Clery-Melin, Anna Mann departed in 2003 and subsequently founded MWM Consulting in 2004. In 2006, Palladian Investors—a branch of Och-Ziff—backed a management buyout valued at £26 million. Carol Leonard led the search division until her exit in February 2009.
Litigation
In 2005, Korn Ferry initiated legal action against former recruiter David Nosal for allegedly misappropriating confidential client information to establish a rival enterprise. Nosal faced charges under the Computer Fraud and Abuse Act (CFAA) in 2008. The US 9th Circuit Court determined in United States v Nosal (2016) that his conduct breached the CFAA. After an extended legal process, Nosal received a prison sentence in 2018.
Sponsorship
On June 19, 2019, Korn Ferry and the PGA Tour announced a decade-long partnership designating Korn Ferry as the title sponsor of the developmental circuit now known as the Korn Ferry Tour. This sponsorship replaced Web.com and is set to continue through the 2028 season. The Korn Ferry Tour grants PGA Tour membership to its leading 50 players, including the top 25 from the Regular Season points standings and an additional top 25 from the three-event Korn Ferry Tour Finals points list.
Notable persons
- Prith Banerjee (born 1960), Indian American scholar and computer science expert
- Gordon Orlikow (born 1960), Canadian decathlete, Chairman of Athletics Canada, member of the Canadian Olympic Committee, and partner at Korn/Ferry International
- Ron Pelosi (born 1934), American entrepreneur and public figure
- Stephen Joel Trachtenberg (born 1937), served as the 15th President of George Washington University
- Stephen A. Unger (born 1946), American recruitment professional
- Ronald H. Walker (born 1937), American corporate executive