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1. Frameworks

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Consulting Case solving Page Layout
Crazy Ideas
Problem Statement
Structure
Clarification Questions
Scoping
Calculations
Guesstimates (24/30 – A.A)
Approach (Mix of both)
Population
approach
Household
Approach
Direction Wise
Top Down
Quantity Wise
Bottom Up
Demand
Side
Supply
Side
Bottleneck
Approach
Duration &
Unit Clarity
Life /
Replacement
Start with
Population and
then filter
Key Filters
e.g. start with
Delhi and use
Proxy for other
cities and add
Urban-Rural
When supply is
abundant e.g.
FMCG, white
goods
Age
Income
When Supply is
constrained e.g.
flights take-off,
burgers @McD
Gender
Peak Time
Analysis
Occupancy
Rate
Ask Clarifying
Questions
Make MECE Basket
First Define the
structure and then
add numbers at the
end
Create a formula
Narrow the estimate
e.g. AC (res or comm,
new v/s used)
Use replacement life
+ new addition
Strategies
Journey Map
Prioritise
Start  End
MECE
80:20 Rule
Formula Approach
(useful in identifying delay,
giving solution)
Data Centric
Critical Comparison
(data point. Abnormality)
Customer Experience –
Layout Structure
Five Sense
then
(Aircraft Go Green Exampl)
fill numbers
Ear, Eye, Nose, Tongue,
Touch
Big Picture
Scoping Questions
Essential Methods
MECE
Process Mapping
Business Framework
Formula
CCPC
7S
Think of this,
when it is
Manufactured
Products
Product
Time
Price
Quality
Place
Location
Promotion
Service Mix
5C
4P
5W & 1H
5 Why
Packaging
………..
Positioning
Essential Steps
Services
Unconventional Case  Case Framework Breakdown
Recommendation Matrix
Must ask questions
• Current objective & Any other objective
• Issue occurring since when
• Timeline & Financial Constraint
• Currently where they are  Where they want to be in future  what is bridge here and how many
stages
Storage / Over capacity / Stock out cases
• Input – Output = Storage
Profit – Loss = Revenue
Income – Expenditure = Revenue
Core
Problem
Peripheral
Problem
Short Run
Solution
1 ….
2 ….
1 ….
2 ….
Long Run
Solution
1 ….
2 ….
1 ….
2 ….
Govt. Related Cases
FIR Matrix
• Think from PESTEL point of view
SOS solution to Cases
• Past – Present – Future  Problem, Solution
• Current situation – Capacity constraint (HR, Capital, Time) • 5W & 1H – Who, What, Where, When, Why, How
• 3V – Variety, Volume, Value (14/30 A.A Case) , Revenue = Variety x Volume x Value
• Funnel approach (filter based on parameter) – e.g. Booz report, Govt. disinvestment case
• 5 Why to come to an reason ---- Aircraft incidents (10/30 A.A Case)
High
Low
High
1 ….
2 ….
1 ….
2 ….
Low
1 ….
2 ….
1 ….
2 ….
Do following assessment after Solution
• FIR 2*2 Matrix  Feasibility – Impact – Risk -------- see FIR matrix through lens of PESTEL (9/30 A.A
Case)
• PESTEL Analysis (P= Politico-Admin, S=Socio-Cultural)
FIR Feasibility
CCapability
IInvestment
TTime
EEffort
Unconventional Case  Case Framework Breakdown
Must ask questions
• Objective = Why, what benefit
• Time
• Since when it is occurring
• By what time it has to be solved
• Money = Any constraint
• Quantum of damage
• Geography = location of plants, operations
• Competitor = facing challenges ?
• Industry = vide issues ?
• Economy
• Regulatory Constraints
• Company = Line of business, m share
• Value Chain = know current process completely
Barriers to Entry
Suppliers
Need
Capital
Requirement
Govt.
Regulations
HR & Legal
Cost
Patents /
Proprietary
Items
Economies of
Scale
Access to
Distribution
Channel
Switching Cost
Brand Loyalty
Awareness
Accessibility
Availability
Affordability
Post Sales
Experience
Product
Differentiation
During Sales
experience
Market Entry
3 type of situations
First of its kind product
Product exist but new to given
geography
Objective of
Market Entry
Similar product exist in this
geography
Step 1
Step 2
Step 3
• Check Market Attractiveness
• Market Size
• Market Share
• Market Growth
• Check Financial Feasibility
• Cost, Pricing & Profit
• Check Barriers to Entry
• Regulatory Barrier
• Macro- Environment (PESTEL)
• Industry Analysis
• Porter’s 5
• Know Competitor
• Know Customer
• Define Customer Persona
• Know Product feature gap
• Define MVP
• 6-P
Step 4
Step 5
Step 6
• Operational / Value Chain
Feasibility
• Raw Materials
• Logistics (I/B, O/B)
• Production
• Distribution
• Marketing
• Again check Financial viability
based on Step 3 &
• Re-Calculate Market Share
• If we enter Market
• Scratch Start
• JV
• M&A
Financial
Non Financial
Profit
Branding
Break even
Sale of
complementary
goods
Market Size Calculation (A.A 13/24 video, time: 0:30)
Look at 3 parameters:
1. Availability – supply chain side
2. Accessibility – regulations side
3. Affordability – willingness to pay and capability to buy
Who are consumers:
1. New Customers
2. Repeat purchasers – using life of the product
Market Share Calculation (A.A 13/24 video, time: 4:30)
Monopolistic Market Share:
Little difficult to calculate
Fragmented market share:
50 players with 2% Market Share
1. Unlikely to have more than 2% Market Share in 1st year
2. Go for acquisition
Consolidated market share:
5 players with 20% M. Share
1. Look at history of last player. 4 were already there and 5th was entering. What 5th player got Market
Share in 1st 2nd 3rd year of operations. Compare product with them, value chain, competitive adv. Vis-àvis 5th player and also with other 4 players and calculate your Market Share
2. Say if they have 10% in 3 years then may be we may also have same Market Share
3. Also look at market growth rate
If nothing comes to mind then 5% market share and take approval of interviewer and then move ahead
Growth Strategy
High Growth
Low M. Share
High Growth
High M. Share
Growth Strategy
Current
Revenue
stream from
Low Growth
Low M. Share
Low Growth
High M. Share
Inorganic
Growth
Organic
Current
Market
Company
Old
Product
Inc.
Volume
Product
More
Usage
New
Product
New
Market
Product
Extension
VAS
Old
Product
JV
New
Product
Product
Extension
Positioning
People
M&A
New
Geography
Inc. Margin
Increase
Customer
Reduce
Cost
Increase
Price
Competitor
Customer
Product
Price
Place
Promotion
Packaging
Process
Growth Strategy – model 2
Growth
Strategy
Inorganic
Growth
Organic
Current
Market
Same
Channel
New
Channel
Same
Product
Bundle
Product
New
Customer
More
Usage
JV
Product
Extension
Old
Product
New
Product
Same
Customer
Frequency
New
Product
New
Market
Price
New
Variation
Marketing
Product
Extension
Diversified
Product
M&A
Synergies during M&A – Part 1
Synergy
Revenue
Synergy
Increased
Volume
Increased
Product Price
Cost
Synergy
Increased
Marketing
Channel
Shared R&D
HR
Layoffs of
duplicate roles
Shared
Operations 
Low FC & VC
Tax Saving
Production
Inc. Debt
Capacity
Cross- Selling
Logistics
Inc. in cost of
capital
Reduction of
Competition
Sales &
Distribution
Improvement in
Working Cap.
Access to New
Markets
Infrastructure
Inc. in
Profitability
Reduced Cost
High production
& Low cost
Finance
Synergy
Revenue
addition by
Inc. in
Market
Share
Cost
efficiency by
Economies
of Scale
Financial
Value
Generation
Due Diligence during M&A – Part 2
Due Diligence – look into following aspects
Vision &
Mission
Support Services
Finance
HR
IT System
Value Chain
Legal
Operations
Strategic
Cultural Integration during M&A– Part 4
Marketing
Strategy
Systems
Pain points during M&A– Part 3
Financial
HR
Integration
Structure
Shared
Culture or
Values
Due
Diligence
Style
Skill
Staff
Root Cause Analysis - Product Manager or otherwise
External Factors
• Any campaign by competitor – higher discount or big campaign
• Any regulation by govt
• Economic factor – pandemic, demonetization
Internal Factors
•
•
•
•
•
•
•
•
Any new campaign  visibility lost for particular product
Demographic pattern (change of behaviour based on age, gender, location etc.)
Product Pattern (any change in specific pattern e.g. quality, stockout)
Any other data pattern
Any particular time of issue
Customer Journey (which touchpoint is having the issue)
Technical – App Updates, android or ios, mobile model, any bugs
Any visual / process simplification – learning curve
If stuck during case in between
Critical Comparison / Trend Analysis vis-à-vis competitor, past data
Ask / Revisit – Primary & Secondary Objective
Segment and Process Mapping
Mini Synthesis
4P & 5C
Ask for Help
Healthcare Sector
Comprises of
• Healthcare services (hospitals, clinics, diagnostic centres)
• Medical devices and equipment (scanner, machines, OTG devices)
• IT technologies (bio science, apps, SAAS)
• Medicines / Pharmaceuticals
• Insurance
Growth drivers
• Lifestyle diseases
• Medical Tourism
• FDI investments
• Awareness and easy approachability through m-apps
• Government’s agenda
• Rural healthcare
• R&D = Pandemics
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