130. Steven Chao, Lucking into Building a Great Healthcare Consulting Firm

Show Notes:

Steven Chao, a US-born second-generation college student, shares his experiences growing up in South Carolina and feeling overwhelmed upon arriving at Harvard in 1988. He found solace in joining the Collegium Musicum, a classical musical singing group at Harvard, which helped him find his footing and connect with people from his class. 

From Biochem to Game Design to Consulting

Steven majored in biochemistry, which expanded his social circle and helped him find happiness. Steven's parents were both PhDs and pushed him into the MD PhD program. However, he faced challenges in medical school and research, leading to questions about his path and the decision to pursue a career in computer gaming. Steven talks about his experience working in the sound and asset acquisition field at Activision in LA. He initially had a great time there but ultimately decided that it wasn't the long-term solution for him. He returned to his PhD program and he pinned his hopes on becoming a doctor. During the last half of the MD program, Steven realized that he didn't want to be a researcher or go into medicine. He found an opportunity to explore other careers beyond medicine or research through a sub-intern at McKinsey. 

The McKinsey Years

Steven joined McKinsey full-time in 2001 and worked in the Boston office. The bulk of his work was in the payer and provider space, mainly health insurance and hospital systems. He spent about four and a half years at McKinsey, starting from scratch with no business background, which proved difficult. Steven's PhD focused on biology, not analytical skills, but rather gene genetic rearrangement and plasmids, and he felt lost at the beginning of McKinsey. At the same time, he also participated in the mini MBA program in Austria.  Despite meeting great friends at McKinsey, his work was hit or miss. Steven talks about a few of the McKinsey projects he worked on and how a pharma project with Jeff Elton piqued his interest in returning to biopharma. He later worked with Kim Packard, who was his first and best mentor at McKinsey. Steven was late to promotion and advancement, and in 2004, when his wife became pregnant, he gave up his job and started considering what he would do next.

Boutique Consulting, Life Sciences, and Biotech Companies

In 2004, Steven joined a small consulting group at an investment bank called Leering Swan, which focused on life sciences and biotech companies. This was a better fit for Steven, who had always wanted to leverage his love for science. He joined the firm and was assigned to a project in Parkinson's disease. The experience was mind-blowing, as he interviewed world experts in this space. He was hooked within a week and found the career to be a good fit for him. The combination of his love for science and medicine, without needing to do research or have a career in clinical practice, was perfect, as he loved learning about different aspects of medicine, and the variety and diversity of the day-to-day work.  

Founding ClearView

Steven left Leering Swan with two other people in 2008 to co-found ClearView. ClearView was born of the same concept as Leering Swan, but focused on life sciences, biotech, pharma, private equity clients, diagnostics companies, and strategic consulting. Steven's primary hat was recruiting, and he continued to love every second of doing so. ClearView Healthcare Partners is now a well-known, private consulting firm with several 100 employees. The company has a growing presence in London, India, San Francisco, New York, and Boston. 

Family Life and a Love of Musicals

On the personal side, Steven has a family of four children, three girls and a boy. They also have two in college and two still in high school. The oldest is a sophomore at Harvard. Music has always been a significant part of their family. They have a love for Broadway musical theater, and they have spent a lot of time attending performances. Their youngest son is doing a local production of Hadestown in Wellesley, and their oldest is performing at the Agassi theater in a production of 9-5, the film with Dolly Parton, which has themes of female empowerment.

Timestamps:

04:50: Transition to Medical School and Early Career Challenges 

13:14: Joining McKinsey and Early Consulting Experience 

23:20: Discovering a Passion for Biopharma Consulting

30:04: Founding ClearView Healthcare Partners 

37:27: Personal Life and Family 

Featured Non-profit:

Hi. This is Steve Chao, class of 1992. The featured nonprofit of this episode of The 92 report is the Merriemack Repertory Theater. My wife and I love live theater. The MRT is a fantastic organization that puts on plays and musicals every year, serving a wide catchment area in and around Lowell, Massachusetts. I was actually introduced to the MRT via a fellow class of 92 Carrie Suzawa, married named Michael. And you can learn more about the work of the MRT through the website, mrt.org. And for now, here is Will Bachman with this week's episode. 

To learn more about their work, visit: https:mrt.org.