IBM Case Study Interview Intro
Your client is a $5 billion computer maintenance company with 25,000 staff worldwide.
80% of their current business is in servicing mainframes and the other 20% in servicing network servers.
While the server segment has been growing at 25% per year for the past 3 years, the mainframe segment has been declining at about 9% per year for the past 3 years.
The operating margins for the mainframe segment is 20% while that for the server segment is 8%.
Your client is thinking of entering the PC segment because it has been growing at 40% per year. However, the operating margins in this segment are only 1%.
Should your client enter the PC segment?
Case Study Overview
In this IBM case study interview, the client is a computer maintenance company. The firm is considering moving into a new segment of the market, and have hired you to advise on whether or not to enter the market. Your job is to analyze the situation (market, competitors, financials, etc.) and give the client a strong recommendation on what to do.
It is recommended to use the Market Study Framework to aid you in solving the problem presented in the IBM case study interview. That said, don’t frame yourself into the basic frameworks. The best case interview candidates combine their knowledge of the frameworks their own business acumen to come up with a custom structure for the case.
This case will prepare you for a first round interview at IBM GBS. The case does not have any math exhibits.
IBM Interview Tips
What does IBM GBS look for in its case interview candidates? High-level structure and insight, with a focus on qualitative impact.
In this IBM case study interview, focus on timing yourself as you walk through the case (2min for structure, 5min for math, 2min for brainstorming, 2min for conclusion).
Book an hour of out-loud case practice with an expert interview coach if you need more help getting prepped for your IBM interview!
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