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Crack the Case Level 2

David Ohrvall MBACASE

Today’s workplan

Sizing & Structuring
 90 minutes  Answer First warmup  Market Sizing with partners  Structuring drills

Advanced Analytics
 45 minutes  Anticipating your data set  Practice drills

Cases

 75 minutes  2 mini cases  Problem solving with mid-case structures

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We will use this MBACASE Path as a guide to our skills.

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prioritization and a dose of enthusiasm 4. Tenaciously search for insights that are connected and meaningful 6. Recommend solutions that are data oriented and actionable 7. Make a great impression with all of your interactions 2. rather than being pushed 5. Close with a hunger for more problems like these and company/interviewer specific questions 4 . flexible and defensible 3. Show ownership with a structure that is broad.We must build skills at each step 1. deep. Anticipate data analysis and dive. Exude common sense.

Let’s start by assessing the interviewer’s first impression of you 2 1 3 6 7 4 5 5 .

 Integrate data into your fit so that you seem case ready.1. tracking. Be ready with the 90 second and 30 second versions. Show your counting. Add data to your stories. Try to bring the most important points to the front like a headline for an article. Communicate clearly and to the point. Make a Great Impression. 6 . All the Time  Be answer first in your stories. We’re even seeing that approach more often in magazines where they summarize the main points of the article. numbers oriented self.

What do cases really test? C Communication L Logic A Analytical SS Social Skills IC Integration & Creativity .

Warm-up with IMPACT I ndividual Contribution M anage or Lead P ersuasion A nalytics C hallenge or Failure T eam 8 .

Structuring well is the most critical part of the case 2 1 3 6 7 4 5 9 .

deep. flexible and defensible Show breadth Be ready with 3-5 categories you want to explore Show depth Feel free to go 1-2 layers down Be ready to add-on “What else?” will be the annoying question Defend but don’t be defensive Interviewers want to see if you can respond well 1 0 .2. Show ownership with a structure that is broad.

training materials 1 1 . •Companies. build or lease •Equipment – for check-ins with patients. cars? • People & materials – bandages. Charities •Individual Donations Cost s •Fixed – building. Local Govt. medicine. buy. State. How should they think about growth? Industry /Comp • What is the trend with other nonprofits? •Is a multilocation approach best? Growth options •Serving more patients locally? •Serving more in new location? •Serve different demographics? Different offerings? Funding • Sources for day to day funds? •National.Home Nurses wants to enter a new state.

SPEAK for market sizing
Market Sizing/ Estimation Cases  Counting  # of toothbrushes sold regularly  Measuring  How many square feet of windows are in Seattle  Usage  How fast do consumers go through a bottle of hair spray?

Communicate your comfort with numbers, ambiguity and logic
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SPEAK is a guide

S tate your assumptions P ick your metrics E stimate quickly with round #s A ssess your approach and answer K eep exceptions and next steps in mind
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You also need to show an understanding of priorities as you structure

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Watch Components Why are the component prices going up? Block Raw Materials Transportation Fewer Competitors Break Industry Specific shift Suppliers Ship Land Air Short -term Longterm 15 .

ATT Add-ons How do we get customers to add-on more services and make us more profit? Block Sales Create What If Turn-on/off Break Promotions. Bundles Create Confusion Texts Sharing International Roll-over Minutes Add-on people (teens) 16 .

Advertising Sales A large advertising firm wants a quick review of ways to win more pitch bake-offs with other competitors? Ideas? Block Creative Speed Flexibility Break Fresh Ideas Pitch Response Output Response Traditional Social Media Lots of Options One Off Tasks 17 .

Interviewers want to hear how you would practically work through a situation.3. There should be some sense of excitement about solving the problem. they want to know what it’s going to be like to work with you.  You are there because you want a job – show off your enjoyment. prioritization and a dose of enthusiasm  Listen to the interviewer – focus on the obvious at first  Be confident in sharing a prioritization scheme. 18 . Exude common sense. Ultimately.

We’ll focus on our starts Qualitative Warm-up Warmth & Client Ready Integration & Creativity Start Logic & Breadth So what? Data End Quantitative Depth & Analytical Chart/ Table Data Dump Insight! Estimate Solve for X 19 Equations .

where the interviewer sees how you approach problems Qualitative Warm-up Warmth & Client Ready Integration & Creativity Start Logic & Breadth So what? Data End Quantitative Depth & Analytical Chart/ Table Data Dump Insight! Estimate Solve for X 20 Equations .Let’s practice in the Start zone.

When presenting. Show Breadth the Depth 4. Be flexible and ready to explain 21 . remember Think and Ask 5.David’s Top 5 Tips for Structuring 1. Don’t confuse “housing structure” with ideas 3. Use an integrated structure 2.

What’s your objective with every case? Maximize the Value of the Company 22 .

Develop an integrated mental map – Maximum Value Model (MVM™) C I Zone 5 S P E A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations R Customer Volume People Mix Price Systems Fixed Variable . CA$H Measure D/E C Processes 23 .

Waterfall – each zone adds value Zone 4 Zone 3 Zone 2 Zone 1 24 .

shrink Zone 4 Zone 3 Zone 2 Zone 1 Strategy 25 . change.Strategy – increase.

Operations – revenue and cost Zone 4 Zone 3 Zone 2 Zone 1 Strategy Operations R Volume Mix Price Customer C Fixed Variable 26 .

Measure Processes C 27 .Organization – people. systems. processes and measurement Zone 4 Zone 3 Organization Zone 2 Zone 1 Strategy Operations R Customer Volume People Mix Price Systems Fixed Variable .

Finance – cash, debt, equity

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Maximum Value Model (MVM™)

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“House” your ideas in a way that is easy to understand Facts Plan Main Idea Group A •Why? •Data? •Questions? Group B Group C Group D Data 31 .

Profit trees remove overlaps but may not be best for all cases Facts Plan R T T P V VC FC issue driver Data C 32 .

Acquire. JV Growth Strategy New Product/ Bus New Market (Geo) Ops & Org Maximize Profit Change Price New Processes Restructure Team External Forces Competitor Attack Market Shift Let’s look for common patterns 33 .Let’s practice our integrated thinking Strategy Merge.

move through your mental map Zone 5 S P E C 3 I A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 4 1 2 C R Volume People Mix Price Systems Fixed Variable .First. CA$H Measure Customer D/E Processes 34 .

lay out your plan Facts Plan Main Idea Group A •Why? •Data? •Questions? Group B Group C Group D Data 35 .Then.

Acquire. CA$H Measure Customer 4 D/E Processes 36 .1 . Joint Venture United and Continental want to merge.Merge. Should they do it? Zone 5 S P E C 1 I A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 3 1 2 C R Volume People Mix Price Systems Fixed Variable .

HQ Practical •Culture people and implemen. Acquire. • Think practically. Speed •Financing: cash. How quickly can the deal be done? Facts Plan Acquire new airline Strategy • What is the main goal? Share? Cost savings? • Short term vs. training. maintenance. Are they revenue or cost? Be specific. more points.1 . storage. Long term? Ind/Comp • Do we have to do this? •Will we have advant? Rev/Cost Synergies • Revenue: more routes. Joint Venture United and Continental want to merge. more flights • Costs: hubs. Should they do it? Takeaways • Always explain “synergies”. external funding? Data 37 . equity.Merge.

2 – Growth Strategy Medical device maker just signed a new hospital chain. Help them anticipate growth. Zone 5 S P E C 1 I A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 2 2 R Customer Volume People Mix Price Systems Fixed Variable . 3 Measure CA$H D/E C Processes 38 4 .

Takeaways • Check for sustainability.2 – Growth Strategy Medical device maker just signed a new hospital chain. legislation need to spend to grow? Capacity? •Hidden funding available costs: sales . training. Help them anticipate growth. we support new initiatives? •Type of suppliers. – growth expectations Growth options Funding •How will Cost s •What do we Data •Alternatives •Products? •Channels? •Marketing? •New tech. central team 39 . Will demand suddenly drop off? • Are there special sources for funding? Facts Plan Industry /Comp to this option? Medical Device Co.

3 – New business or product Dasani is launching caffeine water. 5 CA$H D/E Measure Processes C 40 . Zone 5 S P 3 E C 3 I 3 A L 3 T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 1 R 2 Customer 4 Volume People Mix Price Systems Fixed Variable . Help them think through the implications.

• What are you assuming to be true with the launch? Facts Plan Caffeine water impact Strategy •New Revenue growth •What is •Year 1 Broad overview issues? Org & Fin Data direction for products? •Add to demand? revenue? •Cannibalize •Any supply •What do we other products? New portfolio? other prods? need to do to support •Comp. Takeaways • With new products. & we ahead? sales? •Industry •How many barriers? years to Patents? invest? Regulations? 41 . consider cannibalization.3 – New business or product Dasani is launching caffeine water. Help them think through the implications. – are new prod.

4 – Enter new geography or market AMC theaters wants to open in Asia. a new country? Should they enter Zone 5 S P 3 E C 3 I 3 A L 3 T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 1 R 2 Customer 4 Volume People Mix Price Systems Fixed Variable . 5 CA$H D/E Measure Processes C 42 .

4 – Enter new geography or market AMC theaters wants to open in Asia. – products? who’s dominant? •Can we •Industry charge more barriers to per seat? foreign Snacks? company? partners in place? •Will we build new theaters? •How much to fund? 43 . enter a new country? Should they Plan Enter Asia? Challenges? Takeaways • What is the same and what is different? • Use a “broad bucket” to group several small ideas. Strategy •Why Asia? •Same Revenue growth •Can we Broad overview • Digital Org & Fin •Do we have Data products as before? •Strength in network? Brand? build interest rights isssues? in our •Comp.

5 – Restructure the team Insurance Co. wants to evaluate workload and reallocate team members. 1 4 CA$H D/E Measure Processes C 44 . How would you do it? Zone 5 S P E C I A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 3 2 R Customer Volume People Mix Price Systems Fixed Variable .

Facts Plan Enrique How do we realign the team? Rev/ Impact allocate resources in a profit maximizing way? People / Size •Who will Costs •Costs Process Steps each process step •How can Data • Stay analytical. reallocating teams Takeaways • Break down the process (just like process improvement). support this process? •What is associated with each function in the process? •How will •How do we •Map out the flow overall? they change under each option? each step be optimized? 45 .5 – Restructure the team Insurance Co. • Align people to the steps.

How would you help them? Zone 5 S P E C 1 I A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 3 2 R Customer Volume People Mix Price Systems Fixed Variable . Mass market wedding dresses are stealing share. CA$H Measure D/E C Processes 4 46 .6 – Competitor Attack A chain of high-end wedding dress stores are facing a new threat.

new innovation . new product competition Takeaways • What’s the company’s “super power”? • Consider strengths first before going into new areas. •How Rev / Costs •Overall Strategy •What kind Action Steps •What has to Data competing? •Price. wedding dress maker. better dist.? • what appeal to customers? impact? •Which product lines? •Have our costs been hurt at all? of large actions can we take? •Drop prods? •Introduce innovation? •Play fear? change? •Process steps? •Team alignment? 47 . Facts Plan How respond to competition? Compet.6 – Competitor Attack High-end.

supply) Major packaged food maker of cookies. crackers and other starchy snacks is getting hurt by the low carb craze. What should they do? Zone 5 S P E C 1 I A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 4 R 2 C Customer Volume People Mix Price Systems Fixed Variable . tech. 3 Measure CA$H D/E Processes 48 .7 – Market Shift (industry.

Facts Plan Carbo Foods Change in consumption Rev / Costs •To what External Forces •How is the Organ Strategy Data shift taking place? •What is the specific impact? •Implications for other prods? degree is the drop off/ •How will this continue? •Can sales be brought back? •How do we •What high realign our people. drop off in product sales Takeaways • Consider time to market and pay back. systems and technology? protein prods can we launch now to slow the decline? 49 .7 – Market Shift (industry. • Don’t try to stay in the same space if the shift is strong. supply) Packaged food maker. tech.

Today’s workplan Sizing & Structuring  90 minutes  Answer First warmup  Market Sizing with partners  Structuring drills Advanced Analytics  45 minutes  Anticipating your data set  Practice drills Cases  75 minutes  2 mini cases  Problem solving with mid-case structures 50 .

Dive in. Qualitative Warm-up Warmth & Client Ready 2 1 Start 3 Integration & Creativity 6 So what? Logic & Breadth 7 5 Insight! Data End Quantitative 4 Depth & Analytical Data Dump Our Focus Chart/ Table Estimate Solve for X 51 Equations .We are focusing on the data pool. don’t wait to be pushed.

realistic volume we’ll achieve 5 2 . multiples of revenue. rather than being pushed  Build the habit of anticipating the data you need and how you’ll likely be tested  For instance. expected return on investment  New Product >>> anticipated market demand (volume). and volume shift  Acquisition >>> sale price. Anticipate and dive into the data .4. if you hear:  Profit >>> pricing data. cost data over time. expected price points.

Talk through the data – stay connected to your interviewer. 4.develop transitional phrases for diving into the data pool. Wait to got to the detailed level. 53 . 5. 2.Diving into Data Rules of Thumb 1. Estimate first – try to get out of the pool with a rough insight.maintain order when swimming around. No splashing . 3. Talk your way in . Think ahead – anticipate as soon as you hear the initial question.

Acquire. VC External Forces Competitor Attack Competitor share Sales by product Growth Strategy Projected sales – multi year New investments Targets: ROI. cost base Ops & Org Maximize Profit Profit variables: P. JV Target’s revenue.Anticipate! What kind of data would you likely need for each type of case? Strategy Merge. V. sales Change Price Pricing over time Units sold w/ new price Pricing range or options Market Shift Sales gap due to shift Timing to replace Projected prices and units New Product/ Bus New Processes Projected sales by category Process steps Projected prices People and time per step Cyclicality Dollars invested/ profit per step New Market (Geo) Restructure Team Projected sales by location Process steps and team actions Projected prices Financial and efficiency goals Data supporting typical activities 54 . FC.

Do you have sales over the last 12 months?”  “Let’s explore the cost side of the equation. do you have prices for recent transactions – price paid or annual revenue times the multiple?”  “You mentioned that they want to focus on fixed costs. Do you have the total amount and which facilities are sharing the costs?” 55 . I’d like to look at some specific costs like labor for each plant if you have it?”  “Since they want to do an acquisition.Show that you are eager to dive in by using phrases that get you data  “If it’s OK with you let’s look at revenue.

2x2’s  Use bar charts over pies – easier to see value  Avoid over complicating and getting lost  Practice old cases multiple times to build speed Equations  Usually driven by the interviewer  Look for novel ways to weave in variables  Focus on the basics like break-even 56 .Maintain order by using techniques to capture data quickly and accurately.  Move through in order Data Tables  Practice creating the table without recoding  Anticipate ahead of time your columns and rows  Answers jump off the page when you’re neat Charts. Block & Break  Develop the skill to break each discussion into clean categories  Break each block into an A & B.

Let’s practice some data drills Can you anticipate the data set? 57 .

Slides Slash & Burn 5 8 .

Data Dump Fitness Xtreme 5 9 .

Data Dump Green Thumb 60 .

Slides Clark & Gable 6 1 .

Close with a hunger for more problems like these and company/interviewer specific questions 62 . deep.Quick Review 1. Exude common sense. Recommend solutions that are data oriented and actionable 7. rather than being pushed 5. Tenaciously search for insights that are connected and meaningful 6. Make a great impression with all of your interactions 2. prioritization and a dose of enthusiasm 4. Anticipate data analysis and dive. Show ownership with a structure that is broad. flexible and defensible 3.

We are now focused on finding deeper insights. 2 1 3 6 7 4 5 63 .

Use your notes effectively 2. Anticipate with tables and charts 4. Build a go-to tool kit for breaking down ideas 5.Keys to Finding 2nd Level Insights 1. Master the basics of Block and Break 3. Practice and present using material you already know (old cases) 64 .

Do you have a note taking strategy? Page 1 Data Plan Pages 2-3 Mid-case Structures Facts Data Questions Page 4 • • • • • summary points x x x x Usually don’t need 65 .

Mid-case structures are necessary to do well consistently Which ones do you naturally do today? 66 .

Touch Stakeholder View 67 . Hear. Smell. Taste.Do you have a note taking strategy? Pages 2-3 Mid-case Structures Info Flow Process Flow Observation: See.

prep and plating Process Flow 2) Grilling: Prep>grill>season>plate 68 . let’s talk about another challenge Kung Pow is facing. Touch Activities: Cutting. They need to speed up their kitchen activities. Taste.Kitchen Blaze “Now that we’ve looked at the acquisition targets. cleaning. Smell. grilling. How should they do that?” Observation: 1) See. Hear. baking.

pharma supplier. management.Dispense Sense “One of improvement the hospital is considering is rolling out new Dispense Sense automated pharmacy control machines. How would you evaluate this idea?” 1) Stakeholder View Think through each opinion: Doctor. hospital pharmacy. financial team. patient Process Flow 2) Typical Flow: Doctor>declares need >Nurse>Pharmacy> Nurse>Patient 69 . nurse.

Info Flow Priorities For each of the following information “flashes”. “ our inventory is low” retail stores marketing / sales “ new performance reviews” employees / managers HR external head hunters legal dept. think through which parties in the organization would care the most. purchasing senior management “ new competitor product is very good” management marketing sales R&D 70 .

2 x 2’s can have a variety of dimensions Pages 2-3 Mid-case Structures Opposites New / Old Top / Bottom Low / High (also a continuum) Internal / External Continuums Financial (dollar amt. years) Difficulty (simple to very hard) Skill (beginner to advanced) 71 .) Time (months.

) Difficulty to enter “ how increase sales” CUSTOMERS New Exist Exist PRODUCTS New 72 . How would you label each dimension? “ which country to enter” Financial (dollar amt.“2x2” these situations Develop a 2x2 for each scenario.

“2x2” these situations Develop a 2x2 for each scenario. How would you label each dimension? “ which company to acquire” Expected Return (range) Price Point (range) “ give loans to micro organizations” SUCCESS POTENTIAL Low High High SPEED OF SUCCESS Low 73 .

2nd Level Insights Wrap-up  Get organized with your notes  Don’t just brainstorm with your interviewer – hit the table with a small structure  Master Block and Break  Practice making instant tables and charts  Develop a tool kit of mid-case structures and use them often  Practice on random topics all the time  Redo old cases to lock in “mental memory” 74 .

Close with a hunger for more problems like these and company/interviewer specific questions 75 . deep. prioritization and a dose of enthusiasm 4. Show ownership with a structure that is broad. Recommend solutions that are data oriented and actionable 7. Make a great impression with all of your interactions 2. rather than being pushed 5.Our Approach 1. Exude common sense. Tenaciously search for insights that are connected and meaningful 6. Anticipate data analysis and dive. flexible and defensible 3.

We are now focused on using our insights to finish strong 2 1 3 6 7 4 5 76 .

Structure well in the beginning 2. Integrate all of the key pieces – look for your marks 7. 2 and 3 5.Quick Review 1. Lead your conclusion with logic – 1. Mark the key points as you go 4. Anticipate where you are taking the story 3. data. data – use any number you can to support your final recommendation 77 . Assess what you’ve covered in your initial structure and what’s left 6. Data.

. As a result . .1) Structuring well in the beginning helps you finish strong Page 1 Data Plan Refer back to it “To wrap up.” Facts Data Questions 78 . Competitors are taking share due to rapid innovation and our R&D results have been diminishing. . let me go back to the 2 key points we discussed.

sales Next steps Projected sales over time Projected market share Exit/ Don’t exit Total hidden costs due to deal Detailed next steps 79 . volume.2) How do you think this story will turn out? Anticipate the ending (1 of 3) Strategy Zone Merge. JV Growth Strategy New Product/ Bus New Market (Geo) Exit a Business Go/ No Go on deal Price to pay / terms Investments to make ROI goals and overall timing Projected price. Acquire.

VC) Pricing strategy How to measure price changes New process steps Projected results (savings or revenue increase) New team allocations Projected impact 80 . V.2) How do you think this story will turn out? Anticipate the ending (2 of 3). Ops/Org Zone Maximize profit Change Price New Processes Restructure Team Actions to address variable (P. FC.

2) How do you think this story will turn out? Anticipate the ending (3 of 3). External Forces Competitor Attack Market Shift Defense or offense strategy Projected sales and impact Solution to the shift Projected sales with new products 81 .

3) Mark key points as you go Page 1 Profit down 30% ($25M) Lunch Your Way Page 2  2 yr.    Frequent menu changes Page 3 Non-stand product High profit margin Low profit margin Stand. product  Marking as you go gives you the ability to quickly wrap up 82 . volume decline 100+ menu choices Spend on equp.

Fill in Fill in Fill in 83 . second and third are always good. First. You want to think about ending the case with some kind of logical structure that is easy to follow: 1.4) Lead your conclusion with logic. 3 Short term Long term Domestic strategy vs. 2. international Homework) What approaches work well for you? Develop several that can help you close the case.

” 84 . . but I do think there are some clear priorities. Do you mind if I give my recommendation?” • “There are some clear actions they can take given the data. . so let’s go through them now.4) Also. .” • “I think I have all the data to solve this and give my final conclusion.” • “We covered a lot of topics. show off your answer first style at the end of the case Work on phrases that sound natural to you and help drive to a conclusion: • “Well. I’m ready to wrap up. There are 3 key points they should consider. The top two are .

I recommend that Lunch Your Way cut their menu choices by 30% and reduce overall complexity. volume decline 100+ menu choices Spend on equp.” 85 .   High profit margin Low profit margin   Frequent menu changes Mention in your wrap-up where you focused your analysis and where you did not have time or data. “So to close our analysis. This complexity is causing 2 main issues: customer confusion and resulting drop in revenue. We didn’t have time to discuss employee and kitchen processes. and the need to buy new equipment.5) Assess what you’ve covered in your initial structure and what’s left Page 1 Profit down 30% ($25M) Lunch Your Way Page 3 Page 2 product Non-stand Stand. but I would want to look there next for additional savings due to simplification. product  2 yr. You can explain what you would do in next steps.

volume decline 100+ menu choices Spend on equp. product  Plan to mention why each of the areas was important and how it ties to your conclusion 86 .6) Integrate all of the key pieces – look for your marks Page 1 Profit down 30% ($25M) Lunch Your Way Page 2  2 yr.    Frequent menu changes Page 3 Non-stand product High profit margin Low profit margin Stand.

In fact. To capture some of this money in the bottom line.” 87 . I suggest that we look into automating the approval system in SAP and have an exception-based review process. OK Ending “Kryptonite needs to focus on profitable deals for the company as a whole.” Great Ending “Kryptonite is turning down a large number of profitable deals every year. To do this. I recommend we automate an approval system and have “close call” deals reviewed by senior management. data. Internally.7) Data. data – use any number you can to support your final recommendation Example A) Toy Transfer Pricing The Great Ending has more data and a strong conviction about where to go next. in 2001 the total average net profit from all rejected deals amounts to about 10% of total net profit. we need to think differently about our structure. each deal should be evaluated on its value to the entire company. they’ll need to put an end to the outdated Net 15% policy. Instead. We’ll need to clearly explain the benefits of this approach to each region head. Decentralizing the decision-making for global price quotes and sticking to the ‘Net 15’ rule for every deal doesn’t make sense anymore. KTP should put a team in place to monitor the rollout of this new process. as they have not been open to corporate initiatives in the past. we’ll need to ensure that each region gets a fair portion of the profits from the deal.

Since almost 1/3 of our revenue is in states where these issues are important. As for next steps.” 88 . We are also seeing revenue drops in key states like California. Build relationships with acquisition targets and find a way to partner with them.” Great Ending “In sum. these issues are serious: 1/3 of our revenue comes from high awareness states.7) Data. At this point the lawn reduction trend seems small. data – use any number you can to support your final recommendation Example B) Lawn Chemical Company The Great Ending has clear points about what to do next and two data examples. which may be attributed to these environmental concerns. Continued pressure from the communities to reduce water. legislation to limit watering is increasing and about 1/3 of polled customers want to limit chemical usage. data. 2. OK Ending “It is pretty clear from the data that these environmental risks are big and growing. we should consider protecting our overall revenue by pursuing new products. I would pursue further analysis of the drivers of revenue decline in our key states. I recommend we focus on two areas: 1. Market our push toward “green” solutions and our concern for the environment. leaves us somewhat vulnerable. coupled with increasing sensitivity to using chemicals.

I decided to focus on the low growth/ low margin targets first.” 89 . OK Ending “It seems like we have to get out of Heavy Lawn Equipment because of its low numbers on both growth and margin. so I’d also sell Congren. I focused on the assets within the Heavy Lawn Equipment category because of its poor performance on both of these dimensions. Divesting of Lawn Kraft. In particular. I recommend that we pare the division down to True Cut only and quickly build its innovation to maintain market dominance. in the meantime I’d remove everything but True Cut. but our holdings are too large. data – use any number you can to support your final recommendation Example C) NY Investors Need $500M The data in the Great Ending is very clear and ties well with the recommendation.” Great Ending “To reach our goal of divesting $500M of assets. Our remaining holdings still give us a strong presence in home improvement. So. data. Together. I think we’ll still have a good presence in the stores. It would be good to eventually get out of this category altogether.7) Data. these total $556M. We could also throw in Congren to boost the total divestiture to $556M. a fading company. Shaker Smith and Trim Assist does not total $500M.

Mark the key points as you go 4. Lead your conclusion with logic – 1. Anticipate where you are taking the story 3. Assess what you’ve covered in your initial structure and what’s left 6.How to Finish Strong Wrap-up 1. 2 and 3 5. Integrate all of the key pieces – look for your marks 7. data. Structure well in the beginning 2. Data. data – use any number you can to support your final recommendation 90 .

Build key skills at each step of the MBACASE path 2 1 3 6 7 4 5 91 .

Make a Great Impression.1. Add data to your stories. We’re even seeing that approach more often in magazines where they summarize the main points of the article. Communicate clearly and to the point. numbers oriented self. tracking. Show your counting.  Integrate data into your fit so that you seem case ready. 92 . Try to bring the most important points to the front like a headline for an article. All the Time  Be answer first in your stories. Be ready with the 90 second and 30 second versions.

CA$H Measure Customer D/E Processes 93 .2. first move through your mental map C 3 Zone 5 S P E I A L T Zone 4 Finance Zone 3 Organization Zone 2 Zone 1 Strategy Operations 4 1 2 C R Volume People Mix Price Systems Fixed Variable . When structuring.

Then. lay out your plan showing breadth and depth with case specific terms Facts Plan Main Idea Group A •Why? •Data? •Questions? Group B Group C Group D Data Don’t forget to THINK and ASK as you go through your plan and show ownership 94 .3.

Acquire. FC. VC External Forces Competitor Attack Competitor share Sales by product Growth Strategy Projected sales – multi year New investments Targets: ROI. cost base Ops & Org Maximize Profit Profit variables: P.4. JV Target’s revenue. As you move into the data pool be sure to anticipate what you’ll need Strategy Merge. V. sales Change Price Pricing over time Units sold w/ new price Pricing range or options Market Shift Sales gap due to shift Timing to replace Projected prices and units New Product/ Bus New Processes Projected sales by category Process steps Projected prices People and time per step Cyclicality Dollars invested/ profit per step New Market (Geo) Restructure Team Projected sales by location Process steps and team actions Projected prices Financial and efficiency goals Data supporting typical activities 95 .

Taste. Hear.5) Practice going to 2nd level insights with mid-case structures Info Flow Pages 2-3 Mid-case Structures Process Flow Observation: See. Smell. Touch Stakeholder View 96 .

volume decline 100+ menu choices Spend on equp.    Frequent menu changes Page 3 Non-stand product High profit margin Low profit margin Stand. product  97 .6) Plan your ending in advance and integrate all the key points Page 1 Profit down 30% ($25M) Lunch Your Way Page 2  2 yr.

next steps and a dash of creativity OK Ending Weak data Poor integration No firm recommendation Little support No next steps Great Ending Specific facts Ties all the key points Clear and well supported recommendation Backed up with data Concrete actions 98 . specifics.7) Finish strong with data.

Today’s work plan Sizing & Structuring  120 minutes  Answer First warmup  Market Sizing with partners  Structuring drills Advanced Analytics  75 minutes  Anticipating your data set  Building mid-case structures  2 sets of slides  Practice drills Advanced Cases  180 minutes  4 challenging cases that emphasize different skills:  Market sizing  Quick calculations  Presenting options  Integration 99 .

Crack the Case Level 2 David Ohrvall MBACASE .