Accenture Entry Level Jobs for Students & Graduates

Case Interview Workbook

What is a Case Interview?

Common Misconceptions About Case

Interviews Case Interview Success Factors

The Case Interview Process: Structured Problem

Solving Clarify the Problem

Decompose the Problem

State Hypotheses and

Develop Test Hypotheses

Summarize and Communicate

Findings Types of Cases

“The Great

Unknown” “The

Parade of Facts”

“The Back of the Envelope”

Samples Frameworks and

Application Putting it Together

2 Case Interview Workbook

TABLE

CONTENTS

3 Case Interview Workbook

A case interview is a type of job

interview, used most frequently

by consulting firms, that allows an

applicant to demonstrate his/her ability

to solve a given business problem.

During a case interview, an interviewer

presents a situation or case and then

asks the applicant to explore the

underlying causes of the problem and

suggest recommendations to remedy

the problem.

The cases given tend to be real business

situations, often drawn from the

interviewer’s actual project experience.

Case interviews typically last from 45

to 60 minutes, with a focus on the case

itself lasting 30 to 45 minutes.

Your success in a case interview will

not depend on identifying the “correct”

answer, but rather on how clearly you

define the problem, how logically

you structure your analysis, your

quantitative analysis skills and how well

you communicate your thoughts to

the interviewer.

Consulting firms are looking for people

who can show problem solving and

business analysis skills, think under

pressure and maintain a professional

presence with their teams and the

clients. A case interview provides

excellent insight into how well you

would perform in a consulting situation.

The purpose of this guide is to help

familiarize you with the process of a

case interview, introduce you to

some potential methodologies, and

provide you with sample cases to

practice. Learning about case

interviews is also a helpful way to

determine if strategic

consulting is right for you, as these

cases reflect the types of business

situations and structured thinking

consultants encounter on a daily basis.

WHAT

IS A CASE

INTERVIEW?

THERE ARE MANY MISCONCEPTIONS

ABOUT THE CASE INTERVIEW AND WHAT

THE INTERVIEWER IS LOOKING FOR.

Myth

There is one

right answer or

approach to the case

The interviewer

expects you to get

the right answer

Industry knowledge

is required to do

well on the case

Fact

Usually there

are several credible

approaches and solutions

The interviewer

expects a

thoughtful,

structured response

The interviewer expects

you to be effective with

the knowledge you have

and make hypotheses

based on sound

common sense

COMMON

MISCONCEPTIONS ABOUT

CASE INTERVIEWS

4 Case Interview Workbook

5 Case Interview Workbook

CASE

INTERVIEW

SUCCESS FACTORS

• Understand the case situation

and what is being asked

• Analyze the case issues and

potential solutions in a structured

manner

• Make certain your thought

processes are transparent to the

interviewer

• Be creative, yet practical—use your

business judgment and give

specifics

• Take notes

• Make sure you are

communicating clear and

logically

• Listen for suggestions and hints

from the interviewer

• Engage the interviewer—it is okay

to ask for direction and

clarification

• Manage time effectively—maintain

your momentum, don’t get

bogged down on one point

• Identify critical focus areas and

ask probing questions to learn

CASE INTERVIEW SUCCESS DEPENDS ON

PROVIDING A THOUGHTFUL AND

STRUCTURED RESPONSE TO THE CASE

PROBLEM.

A case study interview is quite similar to

a consulting situation. First, you will be

given a description of a case problem

by the interviewer. This description may

be as short as one sentence or as long

as a page of detailed information. Once

given the case description, you will need

to understand the problem by asking the

interviewer well thought out questions.

The answers to these questions should

allow you to align on the objectives

and expectations before developing an

approach (framework) that you can use

to analyze the situation.

After you lay out the framework for

the interviewer, you should discuss

the analyses you would perform to

determine potential solutions tothe

business problem. The interviewer may

ask you to perform simple analyses to

test your hypotheses.

Finally, you should summarize your

methodology with any recommendations

you may have as well as addressing

risk factors.

THE CASE INTERVIEW

PROCESS: STRUCTURED

PROBLEM SOLVING

LISTEN

TO CASE

CLARIFY

PROBLEM

DECOMPOSE

PROBLEM

STATE

HYPOTHESES

TEST

HYPOTHESES

SUMMARIZE

FINDINGS

6 Case Interview Workbook

In consulting, understanding the client

situation is fundamental to developing

solutions to important problems as well

as recommendations for how a business

could be run more effectively. A case

interview models this by presenting

you with information, asking you to make

sense of it, and develop potential

solutions. Clarifying the nature of

the business issue (e g , declining

profitability, loss of market share, or new

competitive threats) is an important step.

Based on your questions, the interviewer

will often provide you with more details

about the case. By structuring your

questions, you will cue the interviewer to

how you plan to work through the

problem. It is important to be flexible

in your approach and open to multiple

solutions If the questions you are asking do

not yield useful answers, try switching to

an alternate approach. Remember, you are

also being evaluated on your ability to ask

insightful questions.

CLARIFY

THE

PROBLEM

LISTEN

TO CASE

CLARIFY

PROBLEM

DECOMPOSE

PROBLEM

STATE

HYPOTHESES

TEST

HYPOTHESES

SUMMARIZE

FINDINGS

Goal: Articulate Key Case Problem

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Ask clarifying

questions

Activities:

Probe for additional Assess

information case facts

Summarize issues Confirm objectives Document and

for discussion and expectations confirmassumptions

Pause to structure

your thinking

Once you have stated and clarified

the problem, you need to decompose

it in an exhaustive, logical manner.

By using an issue tree, you can break

the problem into smaller pieces and

illustrate logical relationships among the

component parts.

Basic issue trees are

structured as follows:

To develop a good issue tree, you

should ensure that the subcomponents

are linked in a logical manner, that

it prioritizes the issues, and that it

reveals possible solutions. Also, each

branch of the tree must not overlap

with another (mutually exclusive),

and the branches should thoroughly

represent contributing elements

(collectively exhaustive).

DECOMPOSE

THE

PROBLEM

LISTEN

TO CASE

CLARIFY

PROBLEM

DECOMPOSE

PROBLEM

STATE

HYPOTHESES

TEST

HYPOTHESES

SUMMARIZE

FINDINGS

Goal: Identify Root Causes of Problem

Activities:

Break the problem into its component parts in a structured manner

Problem

(e.g. declining

profitability)

Issues/Causes

(e.g. declining

revenues)

Issues/Causes

(e.g. increasing

costss)

…

8 Case Interview Workbook

Once you are confident you understand

the problem, you should list out

potential hypotheses that may resolve

the core problem. You will then need to

choose a framework (or analysis tool) to

structure your hypotheses (see “Sample

Frameworks and Applications” section),

but do not feel constrained by these

since many cases will not fit neatly into

one of those frameworks. The framework

is a key to structured thinking—it allows

you to approach a problem in a holistic

manner, while directing your analysis

to each of the componentswithin

the framework.

STATE

HYPOTHESES

AND DEVELOP

LISTEN

TO CASE

CLARIFY

PROBLEM

DECOMPOSE

PROBLEM

STATE

HYPOTHESES

TEST

HYPOTHESES

SUMMARIZE

FINDINGS

Goal: State Hypotheses/Potential Solutions

9 Case Interview Workbook

Reviewproblem

decomposition

Activities:

Identify potential

hypotheses/solutions

State your

assumptions

Choose appropriate framework to test hypotheses

(See “Sample Frameworks and Applications” section) for example:

Porter’s Five Forces, 4 P’s of Marketing, Profitability Analysis, Three

“C’s”

Once a framework is selected, you must

analyze each component of the

framework in a logical manner. Discuss

the analyses you would perform to

determine if your initial hypotheses are

true. You may have to ask additional

questions of the interviewer to get the

information needed to develop these

Analyses. Often times, you may be asked to

perform an analysis with simple data

supplied by the interviewer.

If you find that your analyses are not

confirming your initial hypotheses,

develop new ones If your analyses do not

appear to be enlightening, the interviewer

may direct you towards

another path. Take advantage of these

hints if they are offered.

TEST

HYPOTHESES

LISTEN

TO CASE

CLARIFY

PROBLEM

DECOMPOSE

PROBLEM

STATE

HYPOTHESES

TEST

HYPOTHESES

SUMMARIZE

FINDINGS

Goal: Apply framework to Test Hypotheses

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Describe analysesto

be applied

Activities:

Break problem into its

component parts in a

structured manner

Apply framework and discuss

findings/implications to

solution definition

Finally, summarize the framework and

analyses you utilized in the case and

communicate effectively those

findings. Suggest recommendations

for the client and potential next steps

the client should take. The interviewer

may tell you what happened with the

real project situation on which the case

was based. However, don’t worry if your

methodology or answer did not match

the real project situation because you

are being evaluated on your thought

processes and not against some

predetermined answer.

SUMMARIZE AND

COMMUNICATE

FINDINGS

LISTEN

TO CASE

CLARIFY

PROBLEM

DECOMPOSE

PROBLEM

STATE

HYPOTHESES

TEST

HYPOTHESES

SUMMARIZE

FINDINGS

Goal: Summarize Findings/Implications

11 Case Interview Workbook

Succinctly remind

interviewer of issuescovered

Activities:

Present

solutions

Present alternative

scenarios

Poise

• Are you confident in your answer?

• How do you handle yourself when

you make a mistake?

• Do you perform well under pressure?

12 Case Interview Workbook

Communication

• Are you articulate in communicating

your thought processes and

conclusions with others?

• To be a successful consultant, you

must be able to clearly communicate

your recommendations and articulate

how you were able to arrive at

your conclusions

• Listening skills: are you leveraging

all the information/data provided by

the interviewer

Flexibility

• As situations change and new

information becomes available, are you

able to adapt your thinking to new data

or an emerging environment?

Other Intangibles

• Do you display energy and drive?

• Do you show initiative?

• Do you manage time effectively?

• Do you demonstrate decisiveness?

• Do you convey a genuine interest in

the career and the firm?

“SOFT

EVALUATIVE”

CRITERIA

In addition to your ability to ask probing questions, decompose

the problem, define the preferred analysis framework and perform

the analyses in the case, you will also be evaluated

on many intangible qualities. While interviewers look at these

criteria in non-case interviews as well, you will need to be extra-

conscious of them in a case interview, since often times your

concentration will be on solving the case.

The “Great Unknown” and “Back of the Envelope”

cases are the most common types of cases. However,

regardless of the type, be sure you have a solid

understanding of the facts and what is being asked of

you before you begin to “crack” the case.

The

“Great Unknown”

Provides very little

information

Tests candidate’s ability

to probe for additional

details

Requires structuring

framework based on

new facts

The

“Parade of Facts”

Provides a significant

amount of detail—

some unnecessary

Tests candidate’s ability

to distill key issues

Requires depth of analysis

based on relevant facts

The

“Back of theEnvelope”

Provides little information,

but asks a key question

Tests a candidate’s

analytic abilities

Requires logical thought

process and ease with

numbers

TYPES

CASES

THERE ARE THREE GENERAL

TYPES OF CASES:

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14 Case Interview Workbook

One of the most common types of case

interviews poses the situation in one or

two sentences, leaving you with little

information or structure on which tobuild.

These cases are used often because they

test your ability to discover necessary

facts by posing the rightquestions

and being able to develop analytical

frameworks to solve the problem.

Potential Methodology:

Case Description

Listen carefully and determine the

central business problem being asked.

Problem Decomposition

Identify and prioritize root causes of

the problem by breaking the problem

down into its component parts. An issue

tree is a valuable tool to ensure that

decomposition is exhaustive and that the

sub-components are linked together in a

logical manner.

Problem Understanding

Consider the central problem What

additional facts do you need to fully clarify

this problem? What are the crucial pieces

of information that willallow you to

develop a framework around this problem?

Write those questions out and ask the

interviewer. Be prepared to go several

layers deeper into the issue as the

interviewer’s answers may lead you to

additional questions.

Hypotheses and Framework

Development

Describe to the interviewer what some of

the potential issues/hypotheses could be.

Then choose a framework that will

structure your thinking and guide you

through testing the issues/hypotheses.

Hypotheses Testing

Using the framework selected, explore the

issues/hypotheses initially laid out.

Describe the factors in each section of the

framework that are relevant to the central

problem. Also list out analyses to test the

hypotheses in each section of the

Framework. By asking additional questions,

you may still yield more information about

the case from theinterviewer.

Case Summary

Review your initial issues/hypotheses in

light of your structured analyses and

suggest possible recommendations for

the client.

THE

“GREAT

UNKNOWN”

Interview Example:

• The client, a leading manufacturer of

prefabricated kitchen furnishings, has

been steadily losing market share over

the last two years.

15 Case Interview Workbook

• The senior executive team would like

you to help them understand why and

what they can do to improve their

market standing.

Potential Methodology:

Problem Understanding

• Has the size of the market changed in

the last two years?

• Has the competitive structure of the

industry changed? Mergers and

Acquisitions? New Entrants?

• Are there any new products or new

technologies that are gaining

market share?

• How are we currently positioned (low

cost, high quality, etc )? What is our

competitive advantage?

THE

“GREAT UNKNOWN”

CASE EXAMPLE

16 Case Interview Workbook

These cases are relatively rare because

of the amount of time necessary to

present the case description, but can

also be one of the more challenging

types of questions. You will be given

more information than you need in the

case description, and one of your key

tasks is determining which facts are

relevant to the client’s business problem.

Consultants are often faced with a

deluge of details, and the ability to sort

out the crux of a problem is a key skill for

which firms are looking.

While most of our process steps are

similar to “The Great Unknown,” how we

understand the central issue and probe

for insight differs.

Potential Methodology:

Problem Understanding

Pause for a moment and consider the

central problem. Which of these facts are

totally irrelevant? Eliminate them for now

Which facts are definitely related to the

problem? Ask questions about facts that

appear relevant.

Probe for additional facts that the

interviewer may have.

THE

“PARADE

OF FACTS”

Interview Example:

• Client is a leading food company that

wants to develop a fresh prepared

meal business

• Trend among consumers is toward

fresher food with no artificial

preservatives or coloring

• Consumers are currently purchasing

$5 0 billion of frozen meals—trendis

toward more upscale products

• A fresh meal plate combining a

protein, vegetable and starch is

delicately arranged in a sealed plastic

dome package

• Nitrogen gas flushing is used to

extend shelf life

• Product is currently in limited

consumer test at $5 50 to $850

per meal

• Shelf life of product is 14 days—

product will spoil in 21 days potentially

causing food poisoning

• Client wants to know if they can make

money in this business

• Client wants to know if the market

is big—how will they keep

competition out

• Client wants a consultant to assist in

building business case

17 Case Interview Workbook

Potential Methodology:

• Key Problem: Profitability of Business

and Size of Market

• Problem Understanding:

• Ask about consumer test What

prices are consumers responding

to? Are there any items spoiling on

the shelf?

• What is the competitive structure

of this market currently?

• What are the components of the

company’s cost structure?

• Structure Analysis:

• What is the break-even point for

the firm?

1 Determine Gross Margin per Unit

2 Determine fixed costs

3 Divide to find break-even

• Estimate the size of the market (a

case within a case)

• Determine the market share they

will need to break-even

• Develop Recommendations:

• Discuss the competitive structure

of the market Can the firm

realistically achieve the break-even

market share?

THE

“PARADE OF FACTS”

CASE EXAMPLE

Don’t be afraid to make too many

assumptions, but be certain that they

are needed and that you can explain

why you are making that assumption.

Often, you will hit a “dead end” in your

thinking If you find yourself in a situation

where you don’t know how to proceed,

you should back up several steps in your

analysis (make sure you communicate this

to the interviewer) and pursue an

alternative path.

18 Case Interview Workbook

“The Back of the Envelope”questions

are very different from other types

of cases in that they are primarily

numerically driven. You will be asked

to estimate the number of some

everyday item in society. The

interviewer is not looking for a random

guess, but rather a structured thought

process to get to a numerical answer.

These types of questions not only test

your comfort level with numbers, but

also force you to create your own

framework to develop a numerical

answer.

There are often several different ways to

approach these problems, and all of

them are correct as long as they are

internally consistent and holistically

structured to arrive at a logical answer.

Problem Understanding

Rather than asking probing questions,

take a moment to think about the steps

you would need to take to get to an

answer. What assumptions will you have

to make along the way?

Framework Developmentand

Numerical Analysis

Walk the interviewer step-by-step through

your framework, calculating the numbers

for him as you go. You will need to begin

with some assumption about the

population (of people, objects, etc ) and

will need to make other assumptions at

certain points throughout the case.

THE

“BACK OF

THE ENVELOPE”

Interview Example:

• Estimate the total number of dry

cleaners in Philadelphia

19 Case Interview Workbook

Potential Methodology:

• Assume there are two million people

in Philadelphia

• Estimate the size of market by

segmenting the population

• Assume the population consists of

25% adult men, 25% adult women,

and 50% children

• Assume children have no dry

cleaning and only 25% of adults use

dry cleaning

• Estimate the average number

of “units” of clothing each man

and woman brings weekly to the

cleaners For this case, assume that

3 shirts/ blouses and 1 suit are

brought to the cleaners each week

• Thus the total size of the market

(per week) is one million units of

clothing (1 million people x 25% x

4 units per person)

• Estimate the average number of units a

dry cleaner can handle per week

• Assume that the average dry

cleaner has two workers who

typically handle 20–30 customers

(or 80–120 units of clothing)

per hour

• If the average dry cleaner is open

eight hours a day, 5 days/week,

they typically handle 3200–4800

units per week (80–120 units

x 8 hours x 5 days)

• Divide the total market size by the

average units handled per dry

cleaner to find the total number of

dry cleaners

• There are between 208 and 312

dry cleaners in Philadelphia

THE

“BACK OF THE ENVELOPE”

CASE EXAMPLE

In the preceding section we outlined

several types of case “formats” you

are likely to encounter throughout the

interviewing process. However, this

doesn’t describe the actual content of

cases or the problems and issues you

will be asked to consider. There are many

different categories of business issues or

problems that can be presented within a

case interview and oftentimes numerous

business problems will be combined

within one case situation. The following

frameworks are not exhaustive but are

provided as a guide to get you started

thinking about how to solve different

types of case problems.

Business Issue

Profitability

MarketExpansion

Competitive Analysis

MarketStrategy

Opportunity Assessment

• Product (e g new product launch)

• Business unit

• Overall market

• Asset valuation/maximization

Potential Framework

SAMPLE

FRAMEWORKS

AND APPLICATION

Customer

Strengths Threats

Product

4 P’s

Price Promotion

Place

Profitability

Revenue

Cost

Volume

Price

Fixed

Variable

Potential Entrants

Industry CompetitionSuppliers Buyers

Substitutes

Porter’s

FiveForces

20 Case Interview Workbook

Market Penetration Product Expansion

Market Development Diversification

Market

Current

New

Current New

3 C’s

Company Competition

SWOT

Weaknesses Opportunities

Products

The interview process we have outlined

will help you structure your thinking and

the “types” of cases we have suggested

will help you orient yourself to the

different way in which information may

be presented.

In addition, the types of business issues

and corresponding solution frameworks

provided on the preceding page will

help you determine how to analyze the

situations given.

Remember, there will always be multiple

methodologies and frameworks that

can be used successfully to approach

a solution and you will work more

effectively if you choose a framework

you are comfortable with.

21 Case Interview Workbook

Building and Refining Skills

One of the best ways to prepare for case

interviews is by practicing them. Some

suggestions for sharpening skillsinclude:

• Rehearse before your first interview

• Think through potential types of

business problems and applicable

frameworks

• Practice cases with friends alternating

between various styles and cases- start

with practicing the case example in

this workbook!

• Refine your skills throughout the

recruiting process

PUTTING

TOGETHER

22 Case Interview Workbook

• A major furniture retailer has

experienced declining profits for four

quarters, yet over that same time

period, it has experienced a 25%

growth in sales and has opened many

new stores. Why are profits declining?

• A fast food company is thinking about

putting a franchise in an airport.They

hire you to see if they should do so.

• A bread division of a large food

company is facing increasing

competition in its market and wants to

know if it should exit the market.

• A car company is interested in

developing a new car. What marketing

related issues should it consider

before doing so?

• What factors influence the revenue

potential of a new pharmaceutical

product?

• Citibank is considering purchasing

another credit card company If the

acquisition is made, Citibank will gain

access to 100,000 new card holders.

What is the estimated value of this

acquisition?

• A commercial bank is re-evaluating the

number of branches it operates, and

whether they should increase the

number of branches or close some

down. How would you suggest they go

about it?

• A large conglomerate company is

facing declining profits in its railroad

company division and is considering

shutting it down. You have been hired

to determine if this is the

right course of action and identify

potential alternatives.

• New York City has hired you to

determine what optimal route or what

destination taxi drivers should go to

when they do not have a customer.

PRACTICE

CASES

THE “GREAT UNKNOWN” SAMPLE

23 Case Interview Workbook

• How much money could Continental

Airlines save by giving customers 1/2 a

can instead of a whole can of Sprite?

• What is the estimated value of a

taxi medallion in New York City?

• Discuss what is wrong with the

following statistic: the Volvo is the

safest car on the road because a

recent study has shown that Volvos

have the fewest number of accident

deaths per mile driven.

• Estimate the change in the price of oil

in the year 2000 from today’s price.

Will it increase or will it decrease?

• Estimate the number of attendees for

a free concert for U2 in Central Park

in New York City.

PRACTICE

CASES

THE “BACK OF THE ENVELOPE ” SAMPLE

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