Case Interviewing

1. Case Interviewing Graduate Business Career Center Carlson School of Management

2. Agenda • Why case interviews? • What are they? • Approaching a business case • Takeaways

3. Case interviews help companies assess your problem-solving skills.... Recruiters say: “How a person thinks is most important” Case interview gives employers a level evaluation field “We’re looking for subtlety and thoughtfulness” “We get to test candidates in a real-world atmosphere” “The interviewer wants to know that you’ll perform well in front of a client, even if you’re asked something you don’t know”

4. …and characteristics for success in business Characteristic Description Problem solving How you handle ambiguity, think creatively and/or strategically Provides complete picture of candidate’s abilities and fit with position Process more important than finding “right” answer Analytical skills How you deal with interrelated numbers Structuring How you think and organize Leadership How you manage the case and deal with frustration; how you present yourself Communication skills How you interact with the interviewer

5. A case interview simulates communication about a business problem • Conversation between you and interviewer • Common types of cases • Real-life business scenario • Group case • Guesstimate • Brainteaser • Applicable to all functions - not just for consultants anymore!

6. Approach a case interview using 4 basic steps Clarify Structure Analyze Conclude • Develop approach to solve problem • Be hypothesis-driven • Communicate approach and assumptions (if necessary) • Prioritize hypothesis • Ask questions to test hypothesis • Synthesize findings and their relation to the question • Make recommendations • Identify implications • Ensure complete understanding of question • Take notes and write question

7. What to do: Listen carefully to question Take notes Confirm time available Understand objectives of client/company Confirm problem statement with interviewer Helps ensure you’re answering the right question! Guides you to structuring your analysis Clarify the issue and confirm with interviewer

8. Develop and communicate your framework BEFORE diving into the case analysis What to do: • Take a minute in silence to collect your thoughts and break the problem into pieces • Write approach/framework on paper • Describe overall approach to interviewer • Use hypothesis and explain how each piece of hypothesis relates to overall question Demonstrates structured approach to problem-solving Allows interviewer to give you additional information or guidance

9. Use an issue tree as a good general way to structure your analysis Business Situation/ Client Objective Each issue should contain hypothesis for answer to question Issue Issue Issue Each sub issue is hypothesis that could give answer to issue Sub Issue Sub Issue Sub Issue Sub Issue Sub Issue Output Output Output Output Output Output Output Output Output Output Output

10. Use frameworks selectively to cover relevant issues Common frameworks: • Profit Model • Porter’s Five Forces • BCG Growth-Share Matrix • Four P’s • Five C’s • Value Chain • Cost-Benefit Analysis • Order-Winning Criteria Remember: frameworks are tools to help you organize your thinking, NOT solutions to problems

11. Prioritize the issues and begin analysis Broad approach: • Walk the interviewer through your thinking • Prioritize issues • Ask relevant questions • Do the math! • State findings for each analysis, and how they relate to question Other suggestions: • Alternate frequently between hypothesis and data • Keep analysis as simple as possible: remember 80/20 rule!!

12. Use issue tree to keep your analysis on track Business Situation/ Client Objective After completing analysis of one branch, communicate the “so what” Communicate hypothesis of solution based on previous branch and why moving onto next branch Eliminate all non-key issues B C Issue Issue Issue A Sub Issue Sub Issue Sub Issue Sub Issue Sub Issue Output Output Output Output Output Output Output Output Output Output Output

13. Be creative in your analysis and recommendations • Think about broad strategy issues: • Should the client even be in the business? • Are there significant barriers to implementation? • Are there cultural and or inter-personal issues? Use pictures to communicate broad trends or keys to success: 2X2 matrix Relationships between things 80/20 Rule Cost Millions Revenue Millions 50 80 Seg A 70 ‘01 100 Revenue Potential 50 Seg B 70 ‘00 70 20 70 ‘99 50 % of Profit % of accounts Service Rating Year

14. Finish with specific, actionable recommendations and relate them back to the problem statement At the end of the case: • Synthesize findings • Build your argument • Discuss trade-offs • Develop overall recommendations that relate to the problem statement • Communicate how you would deal with any open issues You will never have enough data! Make the best decision you can with what you have

15. Takeaways: top 7 things to DO • Enjoy the process!! • Listen and trust what the interviewer says; use verbal and non-verbal cues • Manage your time • Organize your answer first, then explain it • Explain your thought process so interviewer can see where you are going and why • Be creative in your thinking • Stay calm if interviewer challenges part of your answer - it’s usually part of the test

16. Takeaways: top 7 things to NOT to do • Try to force-fit a framework to the problem • Label your frameworks • Hide from the details or numbers • Ask a lot of questions without explaining why you’re asking • Work against your interviewer • Forget what question you’re trying to answer • Panic

17. Takeaways: key to success PRACTICE! • Resources: • Case Interview Toolkit • Harvard College Guide to Consulting Case Questions • Case in Point • Wetfeet guides • Vault guides • Company websites (BCG, Capital One, Bain and many others)