The document serves as a comprehensive guide for preparing for consulting case interviews, covering strategies for building relationships with target firms, resume preparation, and answering key interview questions. It includes tips on case execution, math tricks for estimation, and exercises for practicing interview techniques, alongside various case scenarios to enhance analytical and problem-solving skills. Additionally, it outlines important business concepts and case types relevant to the consulting field.

1. Peter Anderson, KPMG
Peter Purcell, Deloitte & Touche
Adapted from Consulting Interview Preparation Guide
Marquis, Stanford GSB Class of 2006
Case Interview Preparation Guide

2. 2
Prior to the Interview

3. 3
Building Relationships at your Target Firms
 Attend as many events as possible for the firms that
interest you

Including school / company-wide, affinity groups, and regional /
office-specific events

At these events, talk to as many people as possible to make an
impression
 Have a set of good questions to ask firm representatives
to show your level of interest in the company

Don’t ask about topics that can easily be found on the company’s
website
 Get the contact information for each person with whom
you speak and follow up with an e-mail after an event

4. 4
Building Relationships at your Target Firms
 Always make a positive impression when interacting
with company representatives

This includes when attending official company presentations and
dinners, during informal exchanges, and even at school
sponsored functions

Be on the lookout for deliberate attempts to see how you act when
you’re not “on the clock”

Assume that all interactions with a firm’s employees could affect
your standing, so be on your best behavior AT ALL TIMES!

5. 5
Resume Preparation
 Without a prior banking or consulting background, you
will likely have to tailor your resume to appeal to the
consulting firms
 Instead of focusing on the “must have” skills for your
previous industry, emphasize the following:

Analytical abilities

Experience in teams

Communications skills

Leadership / management experiences

History of achieving results
 Use an “Additional Information” section to highlight
qualities / interests to differentiate yourself

6. 6
Answering the “Why Firm X?” Question
 Show a specific desire to work at Firm X, rather than
simply a general desire to work in consulting
 Learn the “ins and outs” of the company

Locations

Business areas of specialty

Reputation

Career progression and direction

Company culture
 Research the firm’s competitors to find points of
differentiation
 Give reasons that the firm is a good fit for you and that
you are a good fit for the firm

7. 7
Describing your Work Experiences
 Resume “walk through”

Develop a coherent story for each step along your educational
and career path – it should not seem like a random walk

Some firms analyze the walk through as if it were a case – be
structure when describing the sections of your resume
 Work experience stories

Allow firms to learn about your experiences in a variety of work
situations

Have four or five unique stories ready to share
− Led an initiative to a successful conclusion
− Had an impact on a team where you were not in charge
− Worked in a group where there was internal conflict
− Found success in a challenging environment
− Initiated change within an organization

8. 8
Generating a List of Questions
 It is crucial for the candidate to develop good questions
to ask the interviewer at the end of the interview
 Tips for creating strong questions:

Ask questions beyond standard travel and work-life balance
issues (interviewers hear these questions all the time)

Show that you have done some prior research about the firm

Ask questions that pertain to your own background

If given interviewer biographies, ask questions about their
backgrounds and how they were able to leverage them at the firm

9. 9
Generating a List of Questions
 Brainstorm sample questions

Firm culture / office culture

Performance management

Specialist vs. generalist skills

Long-term employee development

Others??

10. 10
Approaching the Case
Interview

11. 11
Interview Technique Basics
 Keep clean and organized notes

Use two separate sheets (landscape oriented) for your
information, analysis, and calculations

Write in pencil and write neatly
− This may seem basic, but being able erase mistakes helps
produce clean and easy to read notes
− Some companies will collect your notes to get insight into how
you structure your thoughts
 Use tables and graphs to demonstrate structured
presentation of information
 Get comfortable with using “educated estimates” when
concrete data is not provided

12. 12
Interview Practice Basics
 Practice makes perfect

Start with sample cases early to develop your own technique

Seek opportunities to participate in, or observe, case studies
 Case guides can help build your case analysis skills
 Run through cases with classmates and friends

Friends who’ve graduated before you; those with internships

Mock interviews and case study workshops
 Don’t practice with company reps unless you’ve
developed a case approach

Being unpolished during a company case coaching session is a
wasted chance

Coaching sessions should sharpen your skills, not initiate them

13. 13
Math Tricks
 Use round numbers wherever you can, especially when
you have the chance to pick the numbers
 Do “ballpark” calculations if possible

It isn’t about getting the exact mathematical response

There is usually an allowable margin of error, so take advantage
of that
 Calculations must be solved correctly

KISS

If you do calculations in your head, write your solutions down so
you can refer to them later

14. 14
Math Tricks
 Rule of 10’s and Rule of ½’s

Break difficult numbers into either tens or halves to do quicker
calculations

Quick! What is 37% of 25,000?
− 25,000 / 10 = 2,500  10% of 25,000
− 2,500 / 2 = 1,250  5% of 25,000
− 1,250 / 2 = 625  2.5% of 25,000

From the above, you can approximate the answer
(2,500 * 3) + 1,250 + 625 = 9,375  37.5% of 25,000

15. 15
Math Tricks – Exercise
 What is the annual U.S. market for chewing gum

Total number of consumers

Units sold

Revenue

Profit

16. 16
Math Tricks – Example
 What is the annual U.S. market for chewing gum (total
number of consumers)

Estimate the total U.S. population (~300 million)

Segment the population based on some metric (hint: age is
usually a good metric)

Estimate the number of people in each population segment

Make a guess at the percentage of each segment that chews gum
[(100 m) * 80%] + [(150 m) * 60%] + [(50 m) * 20%] =
80 + 90 + 10 = 180 million

17. 17
Math Tricks – Example
 What is the annual U.S. market for chewing gum (units
sold)

Start with the estimate of total gum chewing consumers

Make a guess at the number of packs an average consumer
purchases in a given week

Multiply the above two numbers to estimate the number of packs
sold each week

Multiply by number of weeks in the year (ballpark!)
180 million X 2 X 50 = 18 billion

18. 18
Math Tricks - Example
 What is the annual U.S. market for chewing gum
(revenue)

Start with the annual number of pack sold

Make a guess at the average price of gum per pack (ballpark)
18 billion X $1 = $18 billion

19. 19
Math Tricks - Example
 What is the annual U.S. market for chewing gum (profit)

Method #1: Annual revenue X estimated profit margin
$18 billion X 10% = $1.8 billion

Method #2: Unit profit X number of units
$1 per pack X 10% X 18 billion units = $1.8 billion

Use round numbers:
− Round, but reasonable (e.g., wouldn’t expect a 50% margin)
− It’s the methodology they want to see!

20. 20
Learning to “Think Business”
 Structuring the case well and executing the math are
great, but… you need to get to the “so what”
 Relationships within and between industries is important
in determining implications of business decisions
 “Connecting the dots” in a business scenario can
demonstrate key business insights in a case analysis

21. 21
Learning to “Think Business”
 Useful tactics for learning to “think business” include:

Reading business related periodicals (WSJ, CNN Money, Fortune,
etc.)

Watching business related programs (MSNBC, Bloomberg, etc.)

Analyzing business events to figure out the full set of implications

Example: OPEC nations decide to restrict the supply of oil
− Direct: US gas prices increase  oil company revenues increase
− Indirect: Sales of SUVs decrease  auto companies offer promotions
− Indirect: Airlines raise fares  travelers fly less  airline layoffs
− Indirect: Use of public transportation increases  revenues for
business related to auto use decline
− Indirect: US government faces pressure  US applies trade sanctions

22. 22
Key Business Concepts
 Solvency / Profitability

Revenues

Costs
 Industry attractiveness / market issues

Total size of market (in dollars)

Number of competitors

Minimum efficient scale

Market conditions and associated implications

23. 23
Key Business Concepts
 Mergers and acquisitions

Financials of the deal (will it be profitable?)

Product, service, or support synergies

Market reaction

Culture issues
 Marketing

Pricing

Placement (distribution channels)

Product

Promotion

24. 24
Key Business Concepts
 Product introduction

Potential market for product or service
− Do consumers want it?
− Does market have to be developed?

Profitability of the product
− Cost to introduce
− Expected revenues and margin

Competitor reaction
− Can they copy it?
− Do they already have competing products

Does the new product fit your current company and product line
− Does it fit with the brand?
− Are there implications on existing products?

25. 25
Key Business Concepts
 Other concepts that show deeper business insights

Labor issues
− Unionization
− Defined benefit programs

Long-term contracts

Revenue stream analysis

Costs
− Fixed vs. variable
− Direct vs. indirect

Supply / demand issues, and their affect on pricing

Operational issues

Culture and morale issues

26. 26
Case Execution

27. 27
Case Execution Tips
 Break case problems into distinct segments to create a
structured response

Use decision trees to set up the analysis

The case question serves as the root, and the problem components
serve as the branches

Once you’ve presented a roadmap, follow it!

Be sure that your problem components are “MECE”
− Mutually exclusive: No overlaps between issues
− Collectively exhaustive: Key issues are covered by the branches

28. 28
Case Execution Tips
 Example: An automobile dealership is experiencing
declining profits
 What could be the problem?
Why is profitability declining?
Revenues Costs
Price Quantity Fixed Variable
… … … … … … … … … … … …

29. 29
Case Execution Tips
 Don’t be afraid to ask clarifying questions if you don’t
understand something
 Assumptions are powerful; be clear when you use them
 Be quick, but correct, when doing calculations (use
round numbers and ballpark estimates)
 Be confident in your analysis
 Be ready to change direction if guided to do so

30. 30
The First Four Steps
 Summarize the question
 Verify the objectives
 Ask clarifying questions
 Lay out your structure – it’s OK to ask for a few minutes
to collect your thoughts!

31. 31
Types of Cases
 Entering a new market

Step 1: Investigate the market
− Would entering the market make good business sense?
− Assess market attractiveness

Step 2: If you decide to enter the market, determine the best way
to become a player
− Start from scratch
− Acquire an existing player
− Form a JV or strategic alliance with a complementary player

32. 32
Types of Cases
 Developing a new product

Step 1: Analyze the product

Step 2: Analyze the market and develop a strategy

Step 3: Analyze potential customers and segments

Step 4: Develop project financial model

33. 33
Types of Cases
 Pricing strategies

Step 1: Investigate the product

Step 2: Determine pricing strategy
− Pricing methodology:
○ Cost-based pricing: Analyzing product cost, estimating
margin, and generating sales price
○ Price-based costing: Analyzing market for price point,
costing out production to meet price point with desired
margin
− Supply / demand forces and price elasticity

34. 34
Types of Cases
 Growth strategies

Step 1: Clarify objectives
− Nature of growth (organic, acquisitive
− Scope of growth (division vs. enterprise)

Step 2: Analyze and select growth strategy
− Increasing sales
− Expanding distribution channels
− Expanding product line
− Invest in major marketing programs
− Diversify products / services
− Acquire another firm

35. 35
Types of Cases
 Starting a new business

Step 1: Investigate the market to make sure entering it makes
good business sense

Step 2: Analyze the project from a VC’s point of view
− Management team
− Market and strategic plan
− Business model and operational strategy
− Product and service footprint
− Customer segmentation
− Distribution channels
− Financing

36. 36
Types of Cases
 Competitive Response

Step 1: Ask probing questions
− What is the competitor’s new product or service?
− How does it differ from ours?
− What has the competitor done differently?
− How has market share shifted?

Step 2: Analyze and select a response action
− Acquiring the competitor
− Merging with or acquiring another complementary player
− Copy the competitor
− Hire the competitor’s top management
− Launch marketing and PR campaigns to increase profile

37. 37
Types of Cases
 Increasing sales

Step 1: Ask probing questions to gather information
− Market
− Product line
− Customer

Step 2: Analyze market factors and determine sales strategy
− Increase sales force (and presumably sales volume)
− Increase price point (or reduce price point)
− Increase marketing
− Enter new markets
− Expand customer base
− Improve customer service
− Rationalize product line
− Create seasonal balance

38. 38
Types of Cases
 Reducing costs

Step 1: Ask for a breakdown of costs

Step 2: Identify and analyze cost drivers for significant cost
categories

Step 3: Analyze market dynamics and their impact on cost
drivers

Step 4: Benchmark competitors

Step 5: Determine cost reduction strategy
− Labor
− Facilities and real estate
− Capex
− Opex
− Other

39. 39
Types of Cases
 Turnarounds

Step 1: Evaluate the magnitude of the problem
− Test the business model
− Analyze liquidity and understand debt covenants
− Review costing and pricing and develop top down cost model
− Review business model and market strategy

Step 2: Choose appropriate actions (and be creative!)
− Control cash and cut all non-essential spending
− Clean up the balance sheet
− Retain key staff and cut non-essential payroll
− Communicate / negotiate with key constituencies
− Suppliers
− Banks
− Tax authorities
− Customers

40. 40
Case Examples

41. 41
Case Example Introduction
 The following case samples are provided to facilitate
first-level analysis
 For each case, practice setting up the high-level tree
that could be used to attack the problem:

Place the key question for the case at the root of the tree

Break the problem into a set of solvable components and assign
those components to the tree branches

Define the high level steps you would take to solve each
component

42. 42
Case Example
 Your client owns a professional football team that has
just won the Super Bowl. Despite the Super Bowl
victory, the team finished the season with a financial
loss for the 5th
season in a row.

What could be the cause of the team’s profitability problems?

How would you go about developing recommendations to reverse
this past season’s financial performance?

43. 43
Case Example
 You are the owner of a small, but relatively successful
towing company with a hand full of locations
throughout the Southeastern U.S. Two recent MBA
graduates have approached you about purchasing the
company.

How would you go about determining whether you should accept
the offer to sell your company?

44. 44
Case Example
 Your client is an industry-leading security software
company that is considering acquiring a data
management software company.

How would you go about determining if your client should go
through with the acquisition?

45. 45
Case Example
 Your client is a national chain of fitness centers with
locations in 35 major cities. The company is thinking of
creating a sub-brand of gyms for the small-town
market.

How would you go about determining whether your client should
launch the sub-brand?

What issues come into play when making this decision?

46. 46
Case Example
 A publishing company that has traditionally created
news and entertainment magazines is thinking of
introducing a new sports-focused magazine.

How would you go about determining whether they should do it?

47. 47
Case Example
 You have taken over as the Executive Director of a non-
profit that has had trouble raising enough money to
fund its programs.

What could the problems be?

How would you go about determining what might be done to
resolve the issues?

48. 48
Case Example
 You have just accepted a job as the Superintendant of a
city school district where more than 90% of the
students have scored below proficient in English and
Math for the past 15 years.

How will you solve this long-standing academic performance
problem?

What resources might you need to implement your plan?

49. 49
Case Example
 Your client is a beverage company that was excited to
see its sponsored cyclist win the Tour de France. That
is, until authorities announced that the cyclist had
tested positive for performance enhancing drugs.

What sort of damage control should the company do in light of
this event?

What could be the effects on the company’s brand as a result of
this discovery?

50. 50
Case Example
 Your client is an enterprise software company that has
spent over $100 million developing a new product that
isn’t selling well.

What could the problem be?

How would you go about identifying what could be done to resolve
the situation?

51. 51
Case Example
 A friend of yours is considering becoming a franchisee
of a national fast-food chain

What issues should she be thinking about in making her decision?

How would you go about determining whether she should open
the franchise?

52. 52
Final Words of Advice

53. 53
General Advice
 Relax, and don't let yourself get too stressed out before
or during the interview – succumbing to nerves is the
quickest way to sabotage yourself.
 Be confident during the interview, but be humble!
 Be sure to have a strong list of questions to ask the
interviewers

This is your chance to gain insights from their experiences

It shows that you care enough about getting a position to ask
insightful questions

54. 54
General Advice
 If you make a mistake, learn from it and move on.

Don’t let it fester in your mind

It will serve as a distraction later on.
 Make sure the interviewer understands your thinking.

Gives the interviewer a chance to give you correct information if
you've got something mixed up

Gives the interviewer a chance to ask follow-up questions to gain
more insight about you as a candidate
 Take time to think about what you're going to say before
you say it.

There is nothing wrong with taking 5 or 10 seconds to think
through something

Fight the urge to say the first thing that comes to mind

55. 55
Advice on Cases
 Focus on structure from start of interview until the end

Initial case breakdown

Set up and execution of calculations

Final case wrap-up
 Having a structured approach in a case interview is just
as important as getting the "right" answers
 Think “big picture” whenever you can

Don’t dig too deep into the details until you have to

The big picture should be the foundation of your approach; it is
especially important when developing your initial case roadmap
and issue tree

56. 56
Advice on Cases
 Make sure you bring out the "So what?" insights and
not just surface level ideas.

Simply reciting facts won't distinguish you from the pack

Drawing out insights about the case situation, and the larger
business context is key
 Be as efficient as possible when doing the math on
your cases.

Writing out equations can use up a lot of time that would be better
spent doing case analysis and gathering data

Find shortcuts to get through your calculations quicker, such as
canceling zeros or recognizing patterns in numbers

Use the Rule of 10’s and Rule of ½’s

57. 57
Advice on Cases
 Make your notes as neat and clear as possible.

It will help so you don't confuse yourself during interviews

Some firms collect your case notes to gain insights on how you
structured your analysis
 Don’t become restricted by the explicit details of the
case – be creative!

There are many ways to solve a problem

Creativity can make a strong and lasting impression on the
interviewers

58. 58
Advice on Cases
 Use assumptions to your advantage, but check first

If you need a piece of information during the case, ask for it

The worst that can happen is that the interviewer won't have the
information and you will have to make an assumption about it

The alternative to not asking is making an invalid or incorrect
assumption and going down the wrong path

In most cases, the interviewer will have additional data that can
help you sharpen your case analysis

59. 59
Advice on the Fit / Experience Discussion
 The interview is not all about the case, the interviewer’s
cultural fit assessment is highly important!
 Focus on your role – the interviewer wants to hear
about what you did
 Have several stories prepared (I’d recommend at least
four) that cover a wide range of anecdotes about your
leadership experience (try not to repeat stories across
interviews on a single day)
 Be concise and make sure you bring out only the most
important points