Kearney case interview: make the numbers work.

A cost recommendation is easy to make on a slide: switch suppliers, consolidate sites, reduce waste. The useful question is whether the saving survives contact with how the business operates.

For a Kearney interview, I would practise taking an attractive headline number apart. What is included in the cost? What must the company deliver? What changes when quality, timing or capacity enters the calculation? This builds the commercial judgement needed in a wide range of cases, including operations and procurement.

Prepare for your office and role

Practise logical analysis and creative alternatives within a working conversation. Refine your hypothesis when the interviewer supplies useful feedback.

For the actual sequence, use your invitation and local recruiting team. For example, Kearney Belgium publishes three rounds of two interviews. Do not build your schedule around a different office's description.

Confirm whether you will solve a case live, analyse a written pack, present a recommendation or work in a group. Then practise that task with the time and tools you will have. Keep a separate preparation slot for your motivation and experience discussion.

Compare the cost of meeting the requirement

Here is an original procurement exercise. A manufacturer needs 10,000 usable components per month. It pays for every component delivered, including defective ones. Defects are identified before production, and the supplier replaces nothing for free.

InputSupplier ASupplier B
Price per delivered component£5.00£4.60
Usable share of deliveries98%92%
Monthly freight£1,000£8,000

A quick comparison says B is 8% cheaper. That compares quoted prices, while the client needs usable components delivered to its factory.

Start by naming the common basis:

“I will compare the monthly cost of obtaining 10,000 usable components, including defects and freight.”

Using expected yields for planning, A requires approximately 10,204 delivered components: 10,000 divided by 98%. Purchase cost is about £51,020; freight brings the total to £52,020.

B requires approximately 10,870 delivered components: 10,000 divided by 92%. Its purchase cost is £50,000 before rounding delivery quantities; adding freight gives £58,000.

B costs approximately £5,980 more each month, despite the lower quoted price. Actual orders would use whole components and whatever batch sizes the contract requires; that small rounding adjustment does not change this decision.

Quick Case Math Drill

A café chain spends £10,000 a month on avocados. A new grower quotes a lower price, but the chain pays for bruised fruit it throws away.

Usable avocados needed
12,000 per month
New grower's price
£0.72 per avocado delivered
Usable share
80% of avocados delivered

What would the new grower cost each month to supply enough usable avocados?

Explain the finding before expanding the analysis

Your next sentence should connect the calculation to the choice:

“Supplier A is cheaper on the stated requirement because B's higher defect rate and freight outweigh its lower price. I would retain A on these economics and check whether either supplier creates a delivery or capacity constraint.”

That is a recommendation with a specific remaining test. It gives the interviewer a clear position to question.

Avoid turning the answer into a list of every imaginable procurement consideration. Ask about the variables that could overturn it. If both suppliers already meet the delivery schedule and capacity requirement, move forward rather than repeatedly reopening them.

Find the condition that would change your choice

Suppose the interviewer asks, “Could we negotiate with B?”

You have a useful target. To match A's approximately £52,020 total cost, B can spend about £44,020 on components after paying £8,000 freight. Divide that by its required deliveries of roughly 10,870: its price needs to fall to about £4.05 per component.

This is roughly a 12% reduction from £4.60. A request for a 3% discount would not close the gap under the given assumptions.

Alternatively, hold B's price and yield constant. Its purchase cost remains £50,000, so freight would have to fall to about £2,020 for the totals to match. That directs the conversation towards shipment consolidation, sourcing location or freight terms, rather than vague “supplier optimisation.”

Matching cost is only the threshold for reconsideration. If changing suppliers requires qualification work or transition expense, B needs to provide enough additional benefit to cover those too.

Quick Prioritisation Drill

An online furniture retailer is choosing a warehouse operator. It prefers Operator B's faster dispatch, but only if B's monthly cost matches A's.

Operator A total quote
£150,000 per month
Operator B site fee
£60,000 per month
Operator B handling fee
£5.00 per order, 20,000 orders a month

Which single request would bring B's monthly cost level with A's?

Choose your answer

Turn the recommendation into a workable transition

Now imagine B offers a much better price. You should still explain how the manufacturer changes supply without interrupting production.

A sensible sequence might be to qualify a production batch, verify the assumed usable yield, confirm delivery performance, then increase allocation gradually while retaining a fallback. The important detail is what each step protects: production quality, delivery reliability or continuity of supply.

If the interviewer asks for a saving estimate, include the cost and timing of that transition. Do not apply a full year's new price to volumes purchased before the contract changes.

This is where operational judgement adds value. You can support the commercial idea while identifying the work needed to realise it.

Collaborate without handing over the case

A strong case discussion makes your reasoning easy to inspect. Explain why you need a figure before requesting it, and acknowledge information that changes the direction.

For example:

“I had prioritised price because the initial brief suggested comparable suppliers. The defect and freight data change that. I will compare delivered usable cost before looking at negotiation options.”

If the interviewer simplifies a variable, work with the simplification. “Assume both suppliers can deliver on time” is a signal to stop investigating logistics reliability for this exercise. You can state that assumption once and continue.

Make your preparation practical

Work through the official preparation material, then use a fresh example to test whether you can identify the right cost basis without being prompted.

Repeat the supplier exercise with one change: the supplier now credits defective components, freight becomes variable, or the client's required volume doubles. Rebuild only the parts of the calculation affected by the change. Explain why the answer moves.

For your experience interview, prepare a story about improving an outcome with other people. Be specific about your role, disagreement, evidence and result. A credible account of a modest improvement is more useful than a grand claim you cannot unpack.

Finally, choose an unfamiliar practice case and ask your partner to challenge the implementation of your recommendation. You should be able to answer what changes first, who needs to act and which assumption deserves testing before the client commits.

Full case practice

Carry it into a fresh case.

Choose a case, work through the decisions with Casey, and review where your reasoning can improve.

Choose a case

Frequently asked questions

Understanding Kearney's interview process

What format will my Kearney case interview follow?

It depends on your office and role, so confirm the details with your invitation and local recruiting team. Check whether you will solve a case live, analyse a written pack or present a recommendation. For example, Kearney Belgium publishes three rounds of two interviews. Do not plan your preparation around a different office's description.

What should I focus on when preparing for a Kearney case?

The guide recommends practising logical analysis and creative alternatives within a working conversation. You should also refine your hypothesis when the interviewer gives useful feedback. In particular, practise testing whether an attractive headline saving holds up in practice. Ask what the cost includes, what the company must deliver and what changes once quality, timing or capacity are considered.

Working through the supplier cost case

Why is the supplier with the lower unit price not automatically cheaper?

The client needs usable components, not just deliveries. In the guide's exercise, the manufacturer pays for every component delivered, including defective ones, and receives no free replacements. Supplier B's price of £4.60 is lower than A's £5.00. However, B's higher defect rate and freight push its total above A's roughly £52,020 for 10,000 usable components a month.

How do I work out how many components to order from each supplier?

Divide the number of usable components required by each supplier's usable share. A higher defect rate means ordering more units to get the same usable output, and the client pays for every extra unit. For Supplier B, this means roughly 10,870 deliveries to secure 10,000 usable components, before adding £8,000 of freight.

After the cost calculation, what should I say before analysing anything else?

Connect the result to the choice and name the remaining test. For example, say that Supplier A is cheaper on the stated requirement because B's defects and freight outweigh its lower price. Recommend keeping A on these economics, then check whether either supplier creates a delivery or capacity constraint. This gives the interviewer a clear position to challenge.

The interviewer asks whether we could negotiate with Supplier B. How should I respond?

Calculate the price B would need to charge to match A. After £8,000 of freight, B can spend about £44,020 on components. Across roughly 10,870 deliveries, that is about £4.05 per component, around 12% below £4.60. This gives a concrete negotiation target and shows that a request for a 3% discount would not change the decision.

Turning a saving into a workable change

If Supplier B offers a much better price, should the client switch immediately?

No. Recommend a staged transition that avoids interrupting production. A sensible sequence is to qualify a production batch, verify the assumed usable yield and confirm delivery performance. Then increase B's share of orders gradually while keeping a fallback. A better price changes the economics, but it does not prove that B can deliver the required quality and volume.

Why explain what each transition step protects rather than just listing the steps?

The purpose of each step is what makes the plan credible. Qualifying a batch and verifying yield protect production quality. Confirming delivery performance protects reliability. Gradually increasing orders while keeping a fallback protects continuity of supply. Linking each step to a risk also helps you adjust the plan if the interviewer changes a condition.

Collaborating and practising well

How collaborative should I be without letting the interviewer run the case?

Make your reasoning easy to follow while keeping ownership of the analysis. Explain why you need a figure before you request it. Acknowledge information that changes your direction, then decide the next step yourself. Collaboration means the interviewer can follow and challenge your logic. It does not mean they choose each move for you.

What should I say when new data contradicts my earlier priority?

Say what you had prioritised and why, explain what has changed and state your new approach. For example, you prioritised price because the brief suggested the suppliers were comparable. The defect and freight data change that, so you will compare delivered usable cost before looking at negotiation. This shows judgement rather than inconsistency.

How should I practise beyond Kearney's official material?

Work through the official preparation material first, then test yourself on a fresh example. The aim is to identify the right cost basis without being prompted. For example, recognise that defective units, freight or delivery requirements belong in the comparison. If you only rehearse familiar cases, you cannot tell whether you would spot the right basis on your own.

How can I get more out of the supplier exercise by changing it?

Repeat it with one change at a time. The supplier might credit defective components, freight might become variable, or the client's required volume might double. Rebuild only the parts of the calculation that the change affects, then explain why the answer moves. This trains you to update a recommendation efficiently instead of recalculating everything from scratch.

Kearney case interviews | Case Room