1/23/20 1 QUESTROM SCHOOL OF BUSINESS JANUARY 2020 PRESENTED BY JENNY RAE LE ROUX CASE INTERVIEW BOOTCAMP MANAGEMENT CONSULTED 1 PRE-TEST Size the market for suitcases in Germany (2 min) Then, defend your answer to a partner (1 min each) MANAGEMENT CONSULTED 2 4 STEPS TO SOLVE ANY SIZING QUESTION Population / Households % Who Own/Buy Frequency of Purchase Weighted Avg. Price MANAGEMENT CONSULTED 3
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CASE INTERVIEW BOOTCAMP - Management …...CASE INTERVIEW BOOTCAMP MANAGEMENT CONSULTED 1 PRE-TEST Size the market for suitcases in Germany (2 min) Then, defend your answer to a partner
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1/23/20
1
QUESTROM SCHOOL OF BUSINESSJANUARY 2020
PRESENTED BYJENNY RAE LE ROUX
CASE INTERVIEW BOOTCAMP
MANAGEMENT CONSULTED
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PRE-TEST
Size the market for suitcases in Germany (2 min)
Then, defend your answer to a partner (1 min each)
MANAGEMENT CONSULTED
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4 STEPS TO SOLVE ANY SIZING QUESTION
Population /
Households
% Who Own/Buy
Frequencyof Purchase
Weighted Avg. Price
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NEED TO KNOW INFO
U.S. Population
Population of city living in
Population of city interviewing for
Population of 2 Countries/ContinentMANAGEMENT CONSULTED
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QUESTION
What is one thing you hope to take away from today?
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AGENDA
� Market Sizing� Case Interview Overview� Case Walkthrough� Strategy Simplified� Case Structures and Key Equations� Case Practice Plan
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WHAT WE DO
www.managementconsulted.com
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MCFree
content
On-site bootcamps
Self-study training
materials
1:1 editing/training
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MC COVERS THE FULL PROCESS
Resumes & Cover Letters
Networking
Fit Interview PrepCase Interview Prep
On-the-Job Skills Training
JOB OFFERS!
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CLIENTS RECEIVE OFFERS FROM:
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CLIENTSRECEIVEOFFERSFROM:
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CASE INTERVIEWS
It’s not about the answer – it’s about the process.
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THE INTERVIEW PROCESS
OFFER!
Case Interview
Fit Interview
Network
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THE REALITY OF SCORING
Fit Interview
Case Interview
Fit Interview Case Interview
1st round 2nd round
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1:1 Interview
Presentation Interview
Group Interview
3 KINDS OF CASE INTERVIEWS
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WHY FIRMS USE CASE INTERVIEWS
Can you do the tactical work of a consultant?
Do you understand how a consultant works?
Are you someone who would be fun to manage?
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BACKGROUND –Jenny Rae
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3 EVALUATION CATEGORIES
Structure Problem-solving Communication
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CASE INTERVIEW ANATOMY
• The Background
• The Recap
• Case and Objective Clarification
• The Grand Pause
• The Game Plan
• Creative Questions
• Quantitative Questions
• Case Summary and Next Steps
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KEY CASE INTERVIEW DIFFERENCES
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Top 3
Big 4
Boutique
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SCORING (MCK; BY QUESTION)
Scoring key 1 (Opening question)
1 Candidate does not recap the background
2 Candidate recaps the background with too much detail or lacks confidence
3 Candidate hits most of the key elements but provides them in an unstructured way; begins to ask detailed questions not relevant at this point in case
4 Candidate gives answer that hits key elements of background at a high level but does not demonstrate complete understanding of what company does
bullets, even during creative responses; manages the flow of the case with ease and does not get confused.
___ 7 Overall Problem Solving (1-5): Candidate maintains focus/awareness on hypothesis and drives to solutions; excellent at math (mental/calculations), quick to realize and correct mistakes, adept at tying data to overall conclusions.
___ 8 Overall Communication (1-5): Candidate provides concise, well-spoken responses to each question; demonstrates confidence and works through difficulty (but maintains positive attitude). You would enjoy working with and managing this candidate, and would trust them to be clear and complete.
_______ OVERALL TOTAL _______ OVERALL AVERAGE
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SCORING (BAIN/BCG; ABBREVIATED)
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CASE INTERVIEW OPENINGS
You never get a second chance to make a first impression.
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CASE INTERVIEW OPENINGS
Case and objective clarification
The recap
The background
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CLARIFICATION FOR BETTER STRUCTURES
OKAYNew data
New objectivesMetrics for success
GREATAnything you missed
Confirm understandingReduce problem scope
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SAMPLE CASE INTERVIEW OPENING
Your client makes popular organic snacks, including snack bars, organic bite-size chocolates, and organic chips. The client has strong distribution in North America and has been in operation for 8 years. The company’s overall revenues last year were $600M with 2,000 employees.
The client is interested in accelerating growth. What should they consider?
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CASE INTERVIEW STRUCTURE
The grand pause
The game plan
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CASE INTERVIEW STRUCTURE
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Bucket A
• Data 1• Data 2• Data 3
Bucket B
• Data 1• Data 2• Data 3• Data 4
Bucket C
• Data 1• Data 2
Bucket D
• Data 1• Data 2• Data 3
1 2 4 3
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CASE MATH QUESTIONS
Support your blob of ideas with some real numbers.
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KEYS TO GETTING IT RIGHT
Use all 4 structured steps Do all steps
verbally Accuracy >speed Don’t pause
(exception: McKinsey)
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CASE MATH I
� Your client is interested in expanding into France. 20% of consumers in France do not eat snacks. Of those that do, there are 3 segments of snackers in France – occasional (2 snacks/week), consistent (4 snacks/week), and frequent (7 snacks/week). The breakdown is 50% occasional, 30% consistent and 20% frequent. How many snacks are currently consumed in France each year?
� What does this mean to the client?
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ANSWER KEY – CASE MATH I
� 70M French residents� 80% who eat snacks = 56M snackers
� Total snack consumption/week = 201.6M snacks/week� Total snack consumption/year = 10,080M snacks/year
(10.1B snacks/year)� Rounded using 50 weeks
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CASE CREATIVE QUESTIONS
Dive deep into your plan with structured brainstorming.
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KEYS TO GETTING IT RIGHT
Use all 4 structured
steps
Do all steps verbally but take notes
What else?Don’t pause (exception: McKinsey)
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CASE CREATIVE I
� After reviewing the market, your client is interested in selling in France. What are some of the things they should be considering over the next 3-6 months to plan for the market entry?
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ADDITIONAL CASE PIECES
Extra creative/extra math for the win
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CASE MATH II
After gathering extensive data about consumer wants, the team believes there is significant opportunity associated with the introduction of our current products in the market.
Given budget constraints at Orgo, the president would like to know how many snacks they would need to sell year 1 to break even. Assume the following:-Unit production cost $0.50/snack-Fixed costs: advertising and promotion $10mm; SG&A $2mm-Revenue/snack $1.25� What is their breakeven point?� What does this mean to the client?
� Our client is interested in new product development in the U.S. What additional new products would make sense for them to launch, and why?
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CASE CLOSINGS
Make a great last(ing) impression.
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CASE CLOSINGS
Final recommendation
3 elements of every
case closing
2 types of case
closings
Why the case closing
is so important
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CASE INTERVIEW CLOSING
� Your client is interested in a summary of what you have done so far.
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STRATEGY SIMPLIFIED
This is what you should spend the first 30 secondsof every case figuring out
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QUESTION
How do you calculate profit?
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PROFIT EQUATION
• Profit = Revenue – Cost
OR, more appropriately:
• Profit = P * Q – (VC * Q) – FC
• Applied: Is a business primarily a fixed cost business or a variable cost business? Which it is affects its strategy.• Fixed cost businesses price to maximize revenue• Variable cost businesses price to maximize contribution margin
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MC STRATEGY SIMPLIFIED 2X2
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Premium (Variable cost) Unicorn (Both)
Undesirable (Both) Common (Fixed cost)
Volume
Price – VC (Contribution
Margin)
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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PRIMARILY FIXED OR VARIABLE COST?
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CASE INTERVIEW STRUCTURE
Start strong – it will make or break the case.
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QUICK STRUCTURE QUIZ
• Duration to create• Duration to present• Number of categories• Number of levels• How to end
What are characteristics of a good case structure?
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ANSWER
• Completed in 2 minutes (not more, not less)• 2 minutes• 4 categories (this lines up with staffing)• 2 levels: 1st level is concept, 2nd level is data• Ends with hypothesis (open or defined)
What are characteristics of a good case structure?
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CASE FRAMEWORKS
Market Sizing Profitability
Market StudyMergers & Acquisitions
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PROFITABILITY
4 types of profitability cases
Key clarification questions
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PROFITABILITY STRUCTURE
Price
• Demand• Customer
negotiation• Product mix• Discounting• Competitor
pricing
Volume
• Channels• Marketing• Competitor
features• Price
elasticity
Variable Cost
• Variable Labor
• Materials• Distribution
Fixed Cost
• Fixed Labor/Salaries
• Rents• Utilities
? ? ? ?
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BREAK OUT – PROFITABILITY
Your client is a large video content streaming provider in the U.S. The platform is under pressure to stop a decline in profitability, and they believe user experience is to blame.
The managing director of content has 2 choices: either roll out more U.S. focused content or focus on international growth. Which should she choose, and why?
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MARKET STUDY
3 types of market study cases
Key clarification questions
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MARKET STUDY STRUCTURE
Market
• Size• Growth• Cycles
Competitor
• Share• Growth• Features• Price
Customer
• Segments• Growth• Share by
segment• Needs
Company
• Capabilities• Sales force• Fixed
operating costs
• Fixed investment costs (R&D)
Product/Service
• Features• Messaging• Variable
costs
? ? ? ? ?
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BREAK OUT – MARKET STUDY
Our client is a major U.S. airline carrier. The client currently operates over 1000 flights per day in the U.S., Caribbean and LATAM.
The client has 3 major international locations to which it runs 6 flights per day. However, over the last year they have been losing share on those routes. What should they think about and why?
Our client is a major U.S. grocery retailer with operations in 14 states and over 200 stores. The firm began as a mom and pop grocery shop over 50 years ago and has now become a supply chain master with expertise in complex operations.
The client has the opportunity to buy a discount grocery chain with 20 U.S. stores. Some of its competitors are also interested in the purchase. What should they do, and why?
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ADVANCED CASE STRUCTURE (LEVEL 2)
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Mix & match structures
•Worry more about being non-MECE than being MECE
•Never use full Profit + others•3 levels (2 written, one
spoken)
Clearly use metrics
•Longer structure, faster case•Data Example: Who are our
competitors vs. how much market share do competitors have?
Stay practical
•Rename buckets•Add categories•Establish data to support
Our client is an indoor arcade center with games, entertainment, and birthday partners. The company has operated for over 40 years, has $800M in annual revenue, and boasts over 200 locations.
The client has historically had major market share in the birthday party market for ages 2-12. However, in the last 3 years, their market share has declined. They are interested in figuring out what’s happening.
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THE ULTIMATE CASE PRACTICE PLAN
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You’re welcome
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THE ULTIMATE CASE PRACTICE PLAN
Start with Market Sizing questions – 2
per day
Diagnostic interview
Do 10 cases 2X
MC Offerings
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DIAGNOSTIC INTERVIEWS CAN HELP!
• Do 1-3 hours of structuring• Read CIB, watch structure videos• Review Crack the Case, Case Interview Secrets
Structure help
• Do 2-3 hours of math problems under time pressure• Re-do math problems with no time pressure• MC drills/GMAT drills
Math help
• Ask case partners to push you to Top Rec of what to do• Review insights after case• Record case prompt, biz problem, key insight
Insight help
• Time yourself on each section of the case• For sections you go over, re-do in the moment • Video yourself and review/watch others’ videos
Communication help
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MC COACHING PLAN
Example outline for 8 hours� Start with a diagnostic case to learn best practices� Enables coach to learn strengths and 2-3 weaknesses to devise a plan
specific to student
� Structure coaching – Multiple case starts in one session to practice tailoring frameworks and implementing a hypothesis driven approach (individual “homework”)
� Math coaching – Practice how to set up a variety of math problems in an efficient, structured manner (individual “homework”)
� Fit coaching – Practice telling your story!� Combined coaching – Creative brainstorming, charts, etc.
� Practice multiple cases to refine problem solving and communication� Target a variety of case types to give exposure to different content or