crack the case workshop 2010

7/31/2019 Crack the Case Workshop 2010

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Cr ack t h e Case 2 0 1 0

Dav id Oh r va l l , Fou n der


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Crack the Case a enda

Overview &Core Skills

Practice

Structures &Techniques

PracticeIntegratedThinking

87 5 m i n u t es

8Overview

84 5 m i n u t es

8Video highlights

86 0 m i n u t es

81 mini-business case

8CLASSIC skills

8Market sizing cases

8Case Path structure

8FRAME & MVM

81 full business case

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David Ohrvall

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pa r t i c i pa te

,h a v e f u n

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CASES ar e EVERYW HERE

Consu l t ing Finance

iStrategy/ IT/ Operations

iMarket entry

iM&A transactions

iPrivate equity buy-outs

iDeclining market

iOr anizational redesi n

-

iTime value of money

iNew product

i Lagging product

iAirlines

iHealth care

iNew industry

iBranding remedies

i Internet / telecomm

i Internal strategy

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W h a tt h e

w o r l dsees

W h a ty o u a r em a d e o f

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W h at do cases r ea l l y t est ?

Communication Logic Analytical Social Skills Integration &Creativity


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W h i ch sk i l ls m at t er ?

Market

Sizin Mini FullPre & Post Behavioral&

EstimationCase

Case

Interview Questions



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Be answ er f i r s t !

Answer First



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Sh o w b r e ad t h an d d ep t h

Breadth

Depth



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Ou r cl ien t w an t s t o o en a ch o co lat e st o r e.

T ime Financ ia l Compe t i t o r s Produc t D i s t r i bu t i on

Sh or t Ter m Br eak Ev en Bou t iqu es Or gan ic Cen t r a l

Mid Ter m

Long Term

ROI

Pro f i t Ma rg in

Gi f t Shop s

I ce Cr eam

Cocoa

Consis tency

Reg iona l

c l ien t have a

dead l ine ?

ROI goa l?

da ta on

c o m p e t i t o r s ?

p roduc t

s tanda rds?m a k e on s it eo r d i st r i b u t e

i t ?

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Bu i ld a da t a fou nd at i on

Comfort

Scale

Accurac

Estimating



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Est im a t e f i r st

To w el s Un l i m i t e d I n c.$ #

Sa les a re $ .5B . Pro f i t m arg in i s

3 0 % . Pr o f i t m a y h a v e f a l len 3 0 % .

Cand ida t es m us t be ab le

t o m a n ip u l at e s i m p l en u m b e r s .

Tota lRev

Tota lCosts

Tota lP ro f i t

$Goals

$ 5 0 0 M $ 3 5 0 M $ 1 5 0 MStop t heB leed ing !

1 0 0 % 7 0 % 3 0 % $ 4 5 M~ 1 0% Rev

W hen asked , t heyshou ld be ready t o goin t o de ta i l .

s im p le equa t i ons br eak even ana lys is read ing char t s and da t a

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Be cl ien t r eady

,consistentnormal re and ost

interview skills



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Save y ou r cr ea t i v i t y

Pull together

facts and data

Develop

interestin andquickly applicable

solutions



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2

.you r h i gh est p r act i ce p r i o r i t i es

2 . An a ly t i ca l sk i l ls p i ck - u p q u i ck l y

3 . Fr eq u en t p r act i ce an d w id e

ex p o su r e ar e m o st i m p o r t an tf o r i n t eg r at i on an d cr e at i v i t y

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2

Homework

.( o r o t he r bu siness m agazine )

2 . Assess a st o r y :- w h at s t h e m ain issu e?- w r i t e d o w n issu es t o co n sid er

- w r i t e ou t q u est i on s y ou h av e- l i st d at a y ou n e ed t o so lv e

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Let s d o a case!

Market

Sizin Mini FullPre & Post Behavioral&

EstimationCase

Case

Interview Questions

C L A SS ICommun ca on og c na y ca oc a s n egra onCreativity


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You n eed t o SPEAK

ar et z n g st m at on ases

Coun t ing

# of toothbrushes sold re ularl

Measur ing

How many square feet of

Usage

How fast do consumers gothrough a bottle of hair spray?

Co m m u n icat e y ou r co m f o r t w i t hn u m b e r s, a m b i g u i t y a n d l o g ic

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SPEAK i s a g u id e

tate your assumptionsS

ick your metrics

s ma e qu c y w roun s

ssess your approac an answer

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Ho w m u ch sh a m p o o d o p eo p le u se

tate your assumptionsS

iWe are counting hotel supplied shampoo only

iDowntown hotels have 20 floors

iShampoo bottles from the hotel are 1 ounce

i15 rooms per floor

i

iCustomers open 1 bottle per day

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ick your metricsP

iOunces or units of product used

iOthers include:

iPopulation Dont use this one every time

iObservation (people entering a store)

i

iDistance

iGeography

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stimate quickly and with round #sE

i20 floors x 15 rooms = 300 rooms

i300 rooms x 75% occupancy = 225

i225 x 1 oz bottles = 225 ounces per day

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ssess your approach and answerA

i225 ounces = 28, 8 oz bottles (visually makessense)

ery s mp e approac

iHow else could you have approached it?

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eep exceptions and next steps in mindK

i60% of people use hotel shampoo

i225 x 60% = 135 ounces (divide for bottles)

iSome people take extra bottles from hotel

i Floor lay-out may vary

i

i Look into wall mounted pumps (no waste)

iSurvey customers to understand needs

iConsider 2 sizes of bottles

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Mar k e t Sizin g Pr act i ce

i

i1 person gives the case using the

answer ke

i1 person receives the case usingwhite paper

iTake about 10 minutes for each case

i

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3

.com m un ica t i on and ana ly t i cs

2 . Use SPEAK as a gu ide l ine a t f i r st

3 . Be r e ad y t o an a ly ze t h e p r o b lem

w i t h d i f f er e n t ap p r o a ch e s

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3

Homework

.

.

y o u r sel f w ar m ed u p

3 . Sp eak o u t l ou d f or a l l y o u r w o r k

4 . Tr y y ou r o w n st y l e o ver t i m e an dpr act i ce so lv in g t h e sam e case

28er en t w ay s


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Toda s work lan


Practice



87 5 m i n u t es

8Overview

84 5 m i n u t es

8Video highlights

86 0 m i n u t es

81 mini-business case

8CLASSIC skills



8FRAME & MVM


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Bu sin ess cases ar e t h e

m ost com m on

Merg e, Acqui r e , JV

St ra tegy

Max im iz e Pro f i t

Ops & Org

Com pe t i t o r A t t ac k

Ex t ern a l For ces

Gr ow t h St r a t eg y Ch an g e Pr ice Mark e t Sh i f t N ew Pr o d uct / Bu s

N ew M ar k e t ( Ge o )

New Processes

Res t ru c tu r e Team

Most cases fo l l ow a sim i lara t t e r n

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MBACASE P t h M t


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MBACASE Pat h : Most an y case y our e cei v e w i l l f o l lo w t h i s f l o w

Qua l i ta t i ve

Star tW a r m - u p

n t eg rat on &Creat i v i t y

W a r m t h &Cl ien t Ready

Logic &Bread th

Da ta

En d

Quan t i t a t i ve Dep t h &

Char t / Da ta

Ana ly t i ca l

Tables m a e

Equa t ionsSolvef o r X

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M Sh i & S


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Meet Sh ar i & Sam eerTo w a tch t h i s v i deo go t o

w w w .m bacase .com . Cl i ck onth e im age o f Dav id ho ld ing t h e

s l ide . Go t o V ideo 3 .

I n t e r v i e w e rSh ar i Rog ge- Fid ler , ex -BCG

MBACASE coach( ca lm , po in t ed , ana ly t i ca l )

Cand ida teSameer

( eager , ana ly t i ca l , su f fe rsf r om som e SS d i so r de r s)

1 T i t i


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1 - Tr an si t i on

Qua l i ta t i ve

Star tW a r m - u p

n eg r a on Crea t i v i t y

4W a r m t h &Cl ien t Ready

Log ic &Bread th

Da ta

5

En d

Quan t i t a t i ve 1 2

Dep t h &

Char t / Da ta

Ana ly t i cs 3

Tables m a e


1 T i t i


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1 - Tr an si t i on

2 & 3 Q t i & R


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2 & 3 Qu est ion & Recap

Qua l i ta t i ve

Star tW a r m - u p



Log ic &Bread th

Da ta

5

En d

Quan t i t a t i ve 1 2

Dep t h &

Char t / Da ta

Ana ly t i cs 3

Tables m a e


2 Q est i on


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2 Qu est i on

3 Recap


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3 - Recap

4 & 5 I n i t i a l d at a & p lan


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4 & 5 I n i t i a l d at a & p lan

Qua l i ta t i ve

Star tW a r m - u p



Log ic &Bread th

Da ta

5

En d

Quan t i t a t i ve

1 2

Dep t h &

Char t / Da ta

Ana ly t i cs 3

Tables m a e


4 I n i t ia l d at a


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4 I n i t ia l d at a

5 Plan


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5 - Plan

6 7 & 8 Sh ar i pu sh b ack


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6 ,7 & 8 Sh ar i pu sh b ack

Qua l i ta t i ve

Star tW a r m - u p



Log ic &Bread th

Da ta

5

En dQuan t i t a t i ve

1 2

Dep t h &

Char t / Da ta

Ana ly t i cs 3

Tables m a e


6 Dat a?


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6 Dat a?

7 Plan ?


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7 Plan ?

8 W h at d o y ou m ean ?


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8 W h at d o y ou m ean ?

9 Div in g in t o d at a


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Qua l i ta t i ve

Star tW a r m - u p



Log ic &Bread th

Da ta

5

En d

Quan t i t a t i ve

1 2

Dep t h &

Char t / Da ta

Ana ly t i cs 3

Tables m a e




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1 0 , 1 1 , 1 2 I n t eg r at i on


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1 0 , 1 1 , 1 2 I n t eg r at i on

Qua l i ta t i ve

Star tW a r m - u p



Log ic &Bread th

Da ta

5

En d

Quan t i t a t i ve

1 2

Dep t h &

Char t / Da ta

Ana ly t i cs 3

Tables m a e


1 0 I n t eg r at e & En d


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1 0 I n t eg r at e & En d

1 1 W r ap u p


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p p

1 2 Get p r act i ca l


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p

1 3 W r ap u p


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p p

Qua l i ta t i ve

Star tW a r m - u p



Log ic &Bread th

Da ta

5

En d

Quan t i t a t i ve

1 2

Dep t h &

Char t /

Da ta

Ana ly t i cs 3

Tables m a e


1 3 W r ap u p


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p p

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.t h e spo t and ch a l l eng ed

2 . Use t h e i n t e r v i ew er sq u es on s as a w ay o s ow

con f idence

3 . St r uct u r e and dat a ar e used

53a t eve ry st ep

4


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Homework

.qu est i ons an in t er v i ew er

2 . La ou t an sw er s

3 . Lay o u t t act ics. W h er e w o u ld y o um ove t he d i scussion? W ha t da taw o u ld y o u ask f o r ?

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MBACASE Pat h : Most an y case y our e cei v e w i l l f o l lo w t h i s f l o w


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r e cei v e w i l l f o l lo w t h i s f l o w

Qua l i ta t i ve

Star tW a r m - u p

n t eg rat on &Creat i v i t y

E

W a r m t h &Cl ien t Ready

Logic &Bread th

Da ta

En d

Quan t i t a t i ve Dep t h &

Char t /

Da ta

Ana ly t i ca l M

Tables m a e


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Th e FRAME Met h od con sist s o f 5 sk i l l s ou need t o bu i l d


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con sist s o f 5 sk i l l s ou need t o bu i l d

orm a PlanF

ead Your AudienceR

nchor a HypothesisAine for DataM

nd the Case!E

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con sist s o f 5 sk i l l s ou need t o bu i l d

orm a PlanF Listen & take notes

Group your thoughts

Think holistically

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Li st en & t a k e n o t es


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i -

iWrite the bare minimum think white board

Prepare to show your work

Develop a consistent system youll use every time

Use your notes!

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Deve lop you r ow n cons ist en t app r oach


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Facts Plan

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W hat s you r ob j ect i vew i t h eve r y case?

ax m ze t e a u e

o f t h e Com an

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Dev e lo p a n in t e g r a t e d m en t a l m a p Max im um Va lue Model MVM


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SP L

T

one

Organization

Finance

Zone 2

Zone 3

Strategy

Operations

Zone 1

People.

CA$H

RVolumeMix

ys ems

Processes

Measure D/E

CFixedVariable

Cus tomer

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W a t e r f a l l each zone adds value


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Zone 2

Zone 3

Zone 1

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St ra t egy increase, change, shrink


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Zone 2

Zone 3

Strategy

Zone 1

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Opera t ions revenue and cost


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Zone 2

Zone 3

Strategy

Operations

Zone 1

RVolumeMix

CFixedVariable

Cus tomer

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Or gan iza t i on people, systems,rocesses and measurement


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OrganizationZone 2

Zone 3

Strategy

Operations

Zone 1

People.

RVolumeMix

ys ems

Processes

Measure

CFixedVariable

Cus tomer

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Fin an ce cash, debt, equity


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Organization

Finance

Zone 2

Zone 3

Strategy

Operations

Zone 1

People.

CA$HR

VolumeMix

ys ems

Processes

Measure D/E

CFixedVariable

Cus tomer

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Ex t er n a l For ces


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SP L

T

one

Supp l i e r s

Pub l i c

Techno logy

Le al

Ec o n o m y Au d i t i n g

Co m p e t i t o r s I n d u s t r y

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Max im um Va lue Mode l ( MVM)


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SP L

T

one

Organization

Finance

Zone 2

Zone 3

Strategy

Operations

Zone 1

RVolumeMix

People.

CA$H

CFixedVariable

ys ems

Processes

Measure D/ECus tomer

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orm a PlanF Listen & take notes

Group your thoughts

Think holistically

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Use you r p l an t o conn ect and ex p la in


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Facts

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Use you r p l an t o conn ect and ex p la in


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Facts P

V

TT

C

FC

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Al w ay s Fr e sh ( w w w .m b acase.co m )


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iSubsidiary of $30B consumer products conglomerate

iSuccessful line of deodorant/anti-perspirant spray, roll-on andstick

i

i I s i n t e rna t i ona l expans ion a good i dea? W h i ch coun t r i esa re best ?

How d o I st ar t in a sim lea n d co m m o n sen se w a y ?

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Mo v e t h r o u g h y o u r m en t a l m ap


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SP L

T

one

3

Organization

Finance

Zone 2

Zone 3

Strategy

OperationsZone 1

People.

CA$H

4

1 RVolumeMix

ys ems

Processes

Measure D/E

CFixedVariable

Cus tomer

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La y o u t y o u r n o t e s a n d b e r e ad y t o sh a r e


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T

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Read you r aud ience a t a l l t im es


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i

- Chatty Charlie vs. Data Maam vs. Silent Partner

iExpect changes in style throughout the interview

- Relaxed to intense to relaxed again is common

iRespond!- , ,

- Track with the interviewer at all times

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Ancho r a hypo t hesi s


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i

iPut a mental stake in the ground on what you

think solve to rove or dis rove itiYou do not have to state your hypothesis!

R

P

T

C

FC

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W h e r e w o u l d y ou l ik e t o g o f i r st ?


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r ev ou sexper ience

w i t h t eam an d

v i t a l

High dem and i s

t h e k e y t o

f i n d i n g t h eT

r i g h t m ar k e t r o u c sd i f f e ren t i ab l e ;

can t ake

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share

M i n e f o r a n a n sw er ( f i n d d at a! )


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Dem and ex i st sand can be Prod uc t i sd i f f e ren t i ab l e

Teamsu or t i s

iDo eo le iW h a t i s

es m a e

v i t a l

iI s t h e t e amw an t t h i sp roduc t?

iDem and by

un ique abou tp roduc t?

iH ow ca n w e

in p lace? Dow e h av eexper ience?

i

iPr ice?

iWh ere ist h e r e r o w t h ?

iHis tor ica lcompe t i t o rresponse?

se ll an d

d i st r i b u t e t h ep roduc t?

iF n an c n g n

place?

Fi n d sp e ci f ic a n sw er s t o y o u r q u e st i o n s

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M i n e f o r a n a n sw er ( co n t i n u e d )


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,

Pr i ce d i f f e r en t i a t i on : Spr ay i s h igh er

r az an ap an ar e r ag m en e , s ar e g a n s ar e

poss ib le

N o d eo d o r a n t t y p e is d o m i n an t b y co u n t r y

En t e r i ng a l l t h r ee coun t r i es w i l l b r i ng i n annua lr e v en u e o f $ 1 8 3 M

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End t he case !


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i

iBe concise and answer the main uestion

iTie data to your recommendations dontanswer just from your gut!

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Th e FRAME Met h od


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orm a PlanF

ead Your AudienceR

nchor a HypothesisAine for DataM

nd the Case!E

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.you r w eaknesses

2 . An ch o r i n g a h y p o t h esi s h e l psou f ocu s an d s eed u . Youdon t have t o say i t .

3 . Min in g f or d a t a an d an sw er sr eq u i r es y o u t o o w n t h e

82

p r o em .

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Homework

.assess you r pe r f o r m ance

.

d i d y o u h a v e t r o u b l e?

2 . Do w n l oad A lw ay s Fr esh a n d d o t h ef u l l case w i t h a par t n e r ( 2 x ) .

83

Toda s work lan


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Practice



87 5 m i n u t es8Overview

84 5 m i n u t es8Video highlights

86 0 m i n u t es81 mini-business case

8CLASSIC skills



8FRAME & MVM


1 5 m in .

84


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Cr ack t h e Case 2 0 1 0

Dav id Oh r va l l , Fou n der

crack the case workshop 2010

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