List of necessary business/finance concepts

How much do you earn in consulting? We analyze entry-level salaries in the DACH region!

When applying to top consulting firms, one of the most crucial stages of the interview process is the case interview. This format is designed to assess your analytical competencies, problem-solving skills, and ability to think strategically under pressure. Let's take a look at what to expect.   Structure of a Case InterviewA case interview is a 30-minute simulation of a typical business project that consultants may have worked on. Cases provide a real example of an on-the-job experience and the assumption is that if a candidate is successfully able to tackle a case interview, he or she is also more likely to be a successful management consultant.Case studies are the most important and usually the longest part of consulting interviews. In addition to the case study, the interview typically includes introductory small talk, a personal fit interview, and closing questions (see the illustration below).Many companies review and standardize their consulting cases prior to a real interview to ensure that the case is neither too difficult nor too easy. Companies also ensure that a variety of skills are tested during the interviews. The Typical Flow of a Case InterviewThe case interview typically follows a structured flow to ensure that both the interviewer and the candidate cover all necessary aspects of the business problem. It involves the following phases:1. Case Presentation and Problem UnderstandingTo start off, the interviewer will present a specific business problem or scenario. This could range from market entry considerations, to profitability issues, or organizational changes. The problem is usually based on real-world business issues that the consulting firm dealt with in the past.You are expected to listen carefully, take notes, and clarify any points that are not clear to fully understand the scope and context of the problem.2. Framework DevelopmentAfterwards, you outline a structured approach or framework to tackle the problem. Common frameworks include the SWOT analysis, Porter’s Five Forces, or the 4P's, with which you can structure your information. This step demonstrates your ability to break down complex issues into manageable parts.However, keep in mind that it is not enough to simply memorize the standard framework concepts. While standard frameworks are useful for a rudimentary outline of a case problem, they need to be optimized and adapted to the individual case. Don't worry, as this is a skill you can develop, but it definitely requires thorough preparation and practice. Once you have crafted your structure, clearly explain your framework to the interviewer, ensuring he or she understands your thought process and logical flow.3. Analysis and Problem SolvingNext, you dive into the analysis. During the interview, your interviewer may provide additional data, charts or exhibits. Analyze this information to support your framework and build your argument. Formulate hypotheses based on your analysis and test them against the data provided. If needed, adjust your approach based on your new findings.During the quantitative analysis, perform the necessary calculations to support your findings. This could include market sizing estimations, profitability calculations or a cost analysis. Good mental math skills will definitely help in this phase.