BCG

CONTENTS

The Interview Process

Interviewer’s Perspective

Why We Use Case Studies and How to Prepare

Sample Case

Practice Advice and Logistics

WELCOME TO BCG

Congratulati ons on being o  ered an interview with The Boston Consult ing Group (BCG). To make it this f ar, you are already an outstanding candidate with the education, background and experience we value. This document is designed to help you prepare for your upcoming inter views and to h elp answer some of t he questions you may have at this st age.

About The Boston Consulting Group BCG is a global m anagement consult ing

 rm

and the

world’s leading advisor on business strategy. We partner with clients in all sectors and regions to identif y their highest-value opportunit ies, address their most cr iti cal challenges, and tr ansform t heir businesses. Our customised approach combines deep insight into the dynamics of companies and markets wit h close collaboration at all levels of t he client organisation. This ensures that our clients achieve sustainable competitive advantage, build more capable organisations, and secure lasting results. Founded in 1963, BCG is a pr ivate company with more than 65 o ces in over 40 countri es and around 4,500 consultants worldwi de

INTERVIEW PROCESS

The inter view process consists of t hree rounds of

How You Will be Evaluated

interviews, with six individual interviews in tot al.

Each interviewer will try to develop a comprehensive understanding of your potenti al at BCG. They will tr y to

During your rst round of interviews we will also ask you to sit a maths test and an online case.

answer questions along a broad set of criteria throughout the interview.

The Maths Test

How E  ective and Impactful are You?

This is a test of numeracy and arithmetic and is non calculator based. To prepare, you may wish t o review the questions in the maths section of the ‘GMAT’ test.

We are looking for self-moti vated and tenacious indivi duals who can demonstrat e being both a leader

The Online Case This online case study will give you the opportunity

and team pl ayer. We will t est that your answers have substance and that you can back up your claims. Do you actively pursue selfdevelopment and drive to deliver results?

to show how you would work by yourself on a real case.

Can You Solve Complex Problems and Generate Insight?

The Intervi ews

Consulting requires you to structure problems and resolve ambiguity. You need to show business judgment

Each int erview will be conducted by a senior BCG consultant, o  en a Principal or Partn er, and will last about 45 minutes:  10-25 mins: The personal interview – an open

and the ability to prioritise. You need to be rigorous, accurate and quant it atively sound. We are looking for indivi duals who are curious and creative, who go beyond

discussion on your prior experiences,accomplishments

the obvious. Finally you need to be able to synthesise and develop conclusions.



and motivations 20-25 mins: The case study – work through a typical



business problem that you would confront at BCG 5-10 mins: Q&A – your chance to ask questions

Do You Have the Communication Skills and Presence Needed for Consulting? Do you project self-assurance and credibility? You should communicate concisely and e   ectively. Remember to actively listen and show that you can build relationships and trust.

INTERVIEWER’S PERSPECTIVE

Name: Paddy  Role: Principal, UK University Recruiting Director  Education: MEng in Engineering Science, Oxford University  Prior Experience: Deloitte Consulting (formerly Andersen) for  four years  BCG Experience: Paddy has worked in the Sydney and London    ces at BCG with a focus on  nancial services and  o  healthcare 

Picture of Paddy

“ “

While we evaluate candidat es across vari ous criteria, I am ultimately trying to answer two questions: Can I send you alone to the client? Would I like to have you on my case?

“

Listen to your interviewer. If I o er advice on where to go with your analysis, take it.

You don’t need to ‘crack the case’. Sometimes you won’t get to the answer to the case because you missed something small. This is not such a big deal so long as I can see that your approach was well structured, hypothesis driven, and that you exercised sound judgement and remained composed throughout.

GI VING A GOOD IMPRESSION

“

Dress professionally, preferably in a suit, and aim t o get t o the int erview early. Ten to een minut es beforehand gives me enough t ime t o relax and alleviate any stress.

determination to succeed at BCG. Even if it feels a little unnatural, be sure t o sell yourself (many other candidates will!). I spoke to my interviewer a er the rst round regarding this point and made sure that I acted on the f eedback given.

Lisa, Consult ant  I did Teach First a er university and was worried that Present yourself in a condent and professional manner, speak slowly and clearly. Think about eye contact and body language and try not to dget (you might even want

I m ight not be the t ype of person BCG was looking for. However, many people come from a diverse range of backgrounds (PhDs, medical student s etc). Try to use

to remove any distract ing it ems). I always  nd that smiling and adopting a positive outlook throughout an

this to your advantage. In particular think about how the skills you’ve acquired are t ransferable to consultin g.

inter view creates a favourable impr ession. Whilst showing con dence and enthusiasm during the During the interview, be enthusiastic about your personal experi ences so that t he int erviewer can see your passion coming through. Remember, thi s is your chance to show that you have the dr ive and

interview process, it is important to be yourself as much as possible. I also used the int erview as a t wo-way process, to nd out m ore about BCG and whether I would enjoy working with them.

Role: Consultant  Education: BA, Philosophy, Politics and Economics, Oxford Universit y  BCG Experience: Since joining in August 2007, Lisa has worked  within the Financial Services, Retail and Telcommunications  practice areas.

THE PERSONAL INTERVIEW

The Personal Interview The personal inter view is an open discussion on your prior experiences, accomplishments and motivations. While we recommend that you prepare for some of the more obvious questions, try to be yourself and let your own personality shine through. Be ready to think on your feet for any unexpected questions. Some typical questions that you should be ready to answer include  

Why strategy consulting? Why BCG? What att ribu tes do you have which would make you a valuable addition to BCG?

 

What i s your greatest st rength? Your greatest weakness? When have you demonstrated l eadership?

The interviewer will spend time talking to you about your application, so you should know it inside-out. It might be helpful to prepare the following to ensure you communicate your ‘story’ e  ectively in one minute, two minute, ve minute versions: What you did at each  job, what you learned, how you got the next position - tie your experiences into a career. What sets you apart? Be prepared to guide the conversation if appropriate. The interviewer will also tr y to determine what you would be like to work with and whether you will

t

in

with the BCG cultur e which is open and collaborative. Keep it conversational and fun. Show energy and condence – smile and engage the i nter viewer.

THE PERSONAL INTERVIEW

“

Have a well-prepared answer for key questions, for example, “ Why str ategy consulting? Why BCG? What at tr ibut es do you have which would make you a valuable BCG consultant?” I made sure that I had strong and compelling answers to these questions.

Know your CV inside-out. You should be prepared to

Gavin , Consult ant 

haven’t prepared for – be ready to think on your feet and take a moment before responding. I helped start a football league while at university; one of my

Think about questi ons regarding personal qualiti es and practice some example answers. The types of

answer any questions r elated to your experiences and achievements. However, your int erviewer will not know your CV bullet-by-bullet so make sure you highlight any relevant points which re ect well on you. Don’t be put o   if an int erviewer asks you a question you

interviewers was a football fan and asked me what three

questions you might expect are: What is your greatest strength? When have you demonstrated leadership?  – but these do vary quite a bit. I found that it was

things I would do to raise the pro le of women’s football in the UK. Of course I had not prepared for this question,

important to listen to the question asked rather than

taking a few seconds to think and gather m y thoughts. Just be natural and try not to panic!

 just recit e a rehearsed answer. Be yourself and t ry t o

but could come up wi th some sensible answers a  er

treat it like a conversation rather than an interview.

Role: Consultant  Education: PhD, History, Cambridge University  BCG Experience: Gavin has worked on banking, industrial goods as well as healthcare 

WHY WE USE CASE STUDIES

Why We Use Case Studies Case studies help us gain insight into how you might approach and analyse a typical business issue. We want to assess your problem-solving capabilit ies, analytics and business judgment. We nd that case studies are the best way of evaluating this. Case studies also give you a perspective of what consultants do. The case studies are representative of our work. Our inter view cases are generally t aken from real BCG case work . Similar to a case study, as a consultant at BCG, you would be trust ed to lead case team knowledge and thi nking on a speci c module. You would encounter complex problems and be expected to gather and synthesise data and nd innovative soluti ons. Above all you are expected to thi nk strategically and go beyond the obvious. However, keep in mind t hat in t he interview there are not always clear ‘ri ght’ or ‘ wrong’ answers. To do well on t he case, the interviewer is looking for you to   

Provide a clear structure for your analysis Prioritise the components of the problem Listen and use relevant information to develop a clear recommendation

Case perform ance is not the onl y metr ic BCG uses to evaluate candidates; others in clude education, work and lif e experiences as well as interpersonal and communication skills.

HOW TO PREPARE FOR THE CASE

How to Prepare for and Approach the Case

Some Ti ps for Practising Case Studies

Generally, the case interview will follow 5 broad stages. Below we have identi ed some typical areas that m ay be

We recommend t hat when practi sing the case studies, you make it as realistic as possible (eg timing, write

covered in each, but be aware that case studies are a discussion rather than of a set format.

down ideas/approach, talk out loud). If practising with friends, playing the interviewer role may help to see things from the “other side”.

Introduction Understand the situation and question. Organise the facts and ensure they are current. Ask questi ons to

Ask fri ends who have experience with case intervi ews for advice or for mock interviews.

clarif y any details of which you are unsure. For further problem solving practice, you could investigate  Publications such as Vault, Wet Feet

Approach Take some time to think and structure how you want to tackle the case. Use what makes sense to you - not necessarily a traditional framework. Develop some working hypotheses and prioritise!

Analytics Investigate the case and focus on t he question posed. Follow a fact-based approach. Ground any assumptions



Interview workshops and mock interviews



Student peers, current and f ormer BCG-ers

Practising this approach through the example cases in this brochure and online at www.bcg.com, should help you famili arise yourself with case studies and perform to the best of your ability on the day.

in logic. Summarise your thinking at regular intervals and outline explicitly the direction of your argument. Remember to sense check your results. Introduction

Recommendation Summarise your ndings and dri ve to conclusions.

  e    l   o    R    G    C    B

Next Steps If appropriate, outline any gaps in the approach/  analytics. What el se should be considered?

  e    l   o    R   r   u   o    Y

  n   o    i    t   a   u    l   a   v

Approach

Analytics

Recommendations

Next Steps

• Pose problem to be solved • Provide basic facts (will vary in detail)

• Provide guidance and steer discussion

• Ask questions to check logic and rationale • Provide data and context

• Prompt for recommendation • Test and validate recommendations

• May prompt with “is there anything else that should be considered?”

• Clarify details as necessary to make sure you understand the problem • Take some time to develop an approach

• Explain approach • State and priorit ise hypotheses • Identif y which analyses you think you need and why

• Ask for relevant data; explain any assumptions • Execute computations • Explain the im pact

• Conclude analyses with actionable recommendations • Tie back to initial hypotheses

• Identify next steps for investigation, assumptions to verify • Possible implementation steps

• N/A

• Logical, structured thinking

• Accuracy and efficiency of computations • Able to translate into meaning

• Clarity and succinctness of recommendations

• Creativity, broader thinking, ability to translate into actionable steps

ANSWERING THE CASE STUDY

“

Practice case studies either with a friend, online or at the careers centre. Be sure to pretend it is a real interview – you won’t get much out of it if you keep looking at t he answer!

have general knowledge, not expert knowledge! If you

Alex, Proj ect Leader 

assumpti ons and checked with the int erviewer that t hey

Try not t o speak too soon or jum p to conclusions too quickly. Listen properly to a question and t ake time t o

were logical. The int erviewer later gave me positive feedback about being proactive, rather t han just saying “I don’t know”.

think about what you’re being asked. When I int erviewed, I asked for two minut es to get m y thoughts together, which is completely acceptable. I t hen told t he interviewers what I thought the case was asking to check that I was answering t he right question. Ask questions to clari fy if any points are unclear and

don’t have information on the size of a market or the price of a product, use common sense to suggest a number. One of my case studies was on a retail company. I have never had any experience with the business side of retail , but I have been a shopper. So, I just made some

Case studies will usually involve some numbers. Interviewers are looking to see if you have a good grasp of mental arithmetic. Use the pen and paper to help, and use reasonable simpli  cation and rounding t o make your calculations easier. A quick check at the end is good common practice – does your answer make sense?

make sensible assumptions. You are only expected to

Role: Project Leader  Education: BSc, Neuroscience& Medicine, Bristol University  BCG Experience: Alexander has worked on a range of cases  from healthcare to private equity, and has recently been  focusing on organisational design within the energy industry 

ANSWERING THE CASE STUDY

“

Don’t expect to know all the answers! If you are unsure of t he answer, explain an approach on how t o get there Sarah, Associate  In one int erview, I was asked a question about m erging two companies. Aer a while thinking “ what do I do?”, I explained three key aspects you would need to look at. My int erviewer then provided guidance and hints on how to expand further. Structure, structure, structure! It’s very easy to jump in to a problem but structure all ows you to break up the question and b e more concise. I personally try to start by explicitly laying out the structure, for example by saying “There are thr ee import ant aspects: Firstly,...” This has the added advantage that i f one of the aspects is not essential, the int erviewer can suggest you focus on only a subset of the issues.

Also remember to be exible with the structure as interviewers may lead you down a di  erent path. Talk t hrough the case with t he inter viewer, telling t hem what you are doing and why at every stage. Use them as a discussion partner. You and the interviewer can catch mistakes if t hey are made and so correct t hem quickly. Remember it is how you think, not the speci c answer, that the interviewer wants to know. While practicing, I had built very simple keyword diagrams such as Cost = Variable + Fixed Costs. I did use some of these in the case interviews, but no case ever stuck to them completely. Interviewers want to see how you thi nk through a problem, rather than reciting frameworks which you’ve learnt . Don’t let yourself be limited by frameworks and don’t panic if the case goes in a di  erent direction than the one you had prepared for.

Role: Associate  Education: MEng, Chemical Engineering, Imperial  College London  BCGExperience: Since joi ning, Sarah has worked on strategy  and due diligence projects in the energy, retail and media  industries, as well as a not-for-pro  t case for a UK charity.

CASE EXAMPLE

Our client i s a leading UK mobile phone network operator

Interviewee Question/Response

with slowing revenue growth and f alling pro ts. They want our help to increase the pro tabilit y of their core business

Take some time to digest the information and come up with some quick hypotheses

(ie phone calls and SMS) in the UK. On which f actors do you think t hey should focus?

Ask clarifying questions if necessary

 tabi li ty means increasing r evenue and/  “Increasing pro  or decreasing costs. Some things I’d like to look into are:   Growing the number of customers   Increasing the amount each customer spends   Reducing costs” 

“Do we want t o focus only on phone calls and SMS- i s  exploring new revenue streams part of the case?” 

Interviewer’s Thoughts and Responses

Interviewer’s Thoughts and Responses

Structures the problem. A good start with some clear hypotheses but could go into a little more depth

Interviewee Question/Response

Candidate i s ensuring he/she underst ands case and asking for clari cation before answering question

“ Yes, that i s a good point but t he cli ent only wants us to  focus on phone and SMSrevenues. Also consider that the  case is UK speci  c.” 

Exhibit 1: UK Mobile Phone Market

40 34

36

37

38

36

37

35

32 26 20

23

24

25

25

25

26

Pre-paid

17

15

14

12

12

12

12

12

12

Subscription

12 15 9

4

2 11 7

Interviewee Question/Response   , but  “ It seems the number of active users is   attening o  only two thirds of the 60m people in the UK are active users. So the cli ent could tr y to wi n non-users as customers or  poach customers from other networks.” 

Interviewer’s Thoughts and Responses

Active Users (M)

20

“OK. We have some basic market data in Exhibit 1. Have a look – does thi s change your thi nki ng?” 

14

Shows creativi ty i n thi nkin g about t he problem. Identi es two sources of new customers. “Good point. I can tell you that there’s little room to cut  costs and winning non-users has proved tough. So let’s  take thi s idea of poaching customers forward .”  Inter viewer is steering conversation t owards one particular hypothesis. If this happens, go with it! “ Where would you star t wi th t his idea?” 

CASE EXAMPLE

Interviewee Question/Response

Interviewer’s Thoughts and Responses

Feel free to take some time to think about this – you don’t need to jump in straight away!

“Good. So to get to pro  tability by customer type you’re  assuming each customer t ype costs t he same to serve, which is a fair assumpti on.”  Candidate made this implicit assumption – a strong candidate would point this out  table these customer types are?”  “ Can you rank how pro 

“ The client could do a number of thi ngs includi ng:   Reducing pricing to get more customers   Better marketing and advertising” 

Interviewer’s Thoughts and Responses Interviewee Question/Response

“ That sounds logical and t he cli ent is keen to do both. Do  you think there are di   erences between customer s which  need t o be thought about ?” 

“ Yes, that’s the assumpti on. Give me a moment.”  Divide revenue contribution by client customers by segment to get r evenue per customer. Explain your answer (shown on next page).

Interviewee Question/Response “ The cli ent should t arget t he most pro  table customers. One  place to star t mi ght be looking at pr e-paid vs subscri pti on  customers. Do we know anything about the pro  tability of  these customers?” 

Interviewer’s Thoughts and Responses Demonstrates rigour in analysis  “Good. So you now know how pro  table these customer  types are. What should the client do then?” 

Interviewer’s Thoughts and Responses Shows businessjudgement. Excellent. Honed in on the key issue of pro tability of di  erent customer types “Great. Pre-paid customers are on t he average less pro  table  than subscri pti on customers. Havea look at Exhibi t 2 which  shows di   erent subscription customer types for the client. We call these ‘segments’. Can you tell anything about the   tability of di   erent t ypes of customers here?”  pro 

Interviewee Question/Response

Exhibit 2: Subscription Customer Segmentation

Average Age in Segment

Market Share by Segment i n %

Older Sleepers

50

20

25

25

20

Hyperactives

35

5

10

30

20

Incomers

45

10

10

10

20

Moderns

35

30

30

15

30

Careful

40

15

15

5

30

Young M overs

22

20

10

15

50

39

100

100

100

28

12M

4M

£1.5Bn

Customer Segments

Client Revenue Customers by Contribution Segment in % by Segment i n %

Customers Leaving Each Year in %

Take a moment to look at this carefully

“ Yes– there’s a column with revenue contr ibut ion f rom the  cli ent segment and also segment share for client. That t ells  you how much revenue you get from a typical customer in  each segment .” 

Total Customers

CASE EXAMPLE

Interviewee Question/Response “Go a  er the most pro  table customers – Hyperactives and  Young Movers are the top two.” 

Interviewer’s Thoughts and Responses Able to digest the information to prioritise the customer segment s. A strong candidate would also have proactively considered the di  erences in retention between customer segments.

Interviewer’s Thoughts and Responses

“ This sounds fair. We had some inf ormati on earl ier in  Exhibi t 2. Can you use that to recommend what t he cli ent  could do to go a  er t hese customer segments?” 

Interviewee Question/Response “ The cli ent’s doing well wit h Hyperactives wit h a higher  than market share of these customers and below average  percent leaving each year. On the contr ar y, the cli ent has 

Client Customer Share in %

Synthesisesand able t o develop conclusion  Accurately described t he issues with t hese two customer segments “ Excell ent. Now have a think of what could be done to  improve the client’s share of Young Movers and how to  retain these customers. And if the CEO of the client walks  in and asks you for a 15 second summary of your latest  thinking, what would you say?”  Interviewer wants to close o   the interview and push towards a concise recommendation

Interviewee Question/Response

Profitability of the Customer Segments

Customer Segments

below average penetration with Young Movers with a very  high percentage leaving each year. The client should assess  what it is doing well with Hyperactives and further  consoli date t hese customers and also look more closely at  what Young Movers want and address the high percentage  leavi ng each year.” 

Client Revenue Estimated Revenue Contribution in % per Customer i n £

Estimated Pro tability Rank

Older Sleepers

25

25

375

3rd

Hyperactives

10

30

1,125

1st

Incomers

10

10

375

3rd

Moderns

30

15

187.5

5th

Careful

15

5

125

6th

Young Movers

10

15

562.5

2nd

“ I’d say, the client needs to focus on the highly pro  table  Hyperactives and Young Movers segments. Consolidate with  Hyperacti vesand impr ove penetr ati on and l oyalty of Young  Movers”.

Interviewer’s Thoughts and Responses Concise and to the point. A strong candidate would have also proactively described ways to improve loyalty of Young Movers, such as loyalt y rewards and/or upgraded handsets.

SOME FINAL TIPS

Practical Advice and Logistics

... and Don’t s

If staying overnight before the interview, familiarise



Jump immediately into the analysis without

yourself wit h the route and tim e from your hotel to the oce/interview location.



the proper level of understanding Panic if the answer isn’t readily apparent



Aim to arrive ten to

een

minutes before the interview.

You’ll be given short biographies of your interviewers when you arrive; in addition to presenting a good

  

Defend your own solution at all cost Internalise your thought process Stick to an arti cial framework (3 C’s, 4 P’s, ...) Circulate cases or use advance knowledge

impression and allowing you time to relax, arriving early will give you a chance to familiarise yourself with your interviewers’ backgrounds.

Finally – be con dent in yourself. We are o en unable to o er excellent candidates an interview due to the very competitive process. Getting this far is already very

BCG consult ants may be in t he inter view waiting area

impressive. We hope that together wit h the inf ormation

and if so, are happy to discuss any aspect of BCG or the interview. Do let them know if you would prefer some

presented here, you will be able to enjoy the experience and perform to the best of your ability.

peace and quiet however!

General Do’s ... 

Listen to t he interviewer and interact with him /her



Structure t he problem by developing a customi sed



framework Focus on issues where most impact can be brought Explore a variety of options with creative thinking

  

Demonstrate business judgment Make quick and accurate calculations



Synthesise your thought s and conclude your analysis

Good luck, and we look forward to meeting you soon.

Any further questions? If you would like to nd out m ore about BCG London, please visit our website www.bcg.com or contact the London recruiting team. Phone: +44 207 753 5353 BCGis an equal opport unit y employer. © The Boston Consulti ng Group, Inc. 2008. All rights reserved.