National Institute of Industrial Engineering (NITIE)
National Institute of Industrial Engineering (NITIE)
I applied via Campus Placement
The interview started with the Interviewer asking me to introduce myself. I did that as prepared. There were a few more questions based on my work experience, some achievements during work ex etc. I explained all those clearly. After this, the interviewer said that we shall discuss a case now. It was a profitability case, and details are as below.
Consider this situation. There is a coffin manufacturer in XYZ country. The population of the country is 4 million. The manufacturer is currently using manual methods for coffin manufacturing. First let’s calculate the total profit earned by them in a year.
[Please note that I stands for Interviewer and C stands for Candidate]
C: (Repeated the case as given by the interviewer).
So our objective is to find out the total profit earned by the coffin manufacturer in a year. Are there any other objectives I should be looking at?
I: You are correct, carry on with analyzing the profit.
C: Profit can be given by revenue minus cost. I would like to start with the revenue part.
I: Sure.
C: The current population is 4 million. I need some information regarding the population growth rate and the mortality rate in the country.
I: The population growth rate is stagnant at 0. The average life expectancy is 75 years. Additionally, only 75% of the deceased are buried in coffins.
C: That’s interesting. So, going by the life expectancy of 75 years for a population of 4 million and that only 75% are buried in coffins, the total number of coffins required per year can be calculated as below:
No. of coffins required per year= 0.75 *(4,000,000/75) = 40000
I: That is correct.
C: Can I have some information about the current market share of our client in the coffin sales?
I: The market share is 10%.
C: That gives the total annual sales of 4000 coffins. Now let’s go to the cost analysis. Can you share some info about the costs of manufacturing?
I: The total cost of manufacturing is $4800 per coffin. Out of which 10% is cost of raw materials and rest is cost of manual labor.
C: Ok. At what price is the client selling the coffin?
I: The selling price per unit is $5000.
C: That gives a profit of $200 per coffin. Therefore, the total profit shall be 200*4000= $800,000 per year. Are there any other fixed costs involved?
I: Good that you asked it. There is a fixed cost of $700,000 per year.
C: So, that leaves a final profit of 800,000-700,000=100,000 per year.
I: Perfect. Let’s move on to some more details. Suppose that the manufacturer wants to invest in some new technology by which the manual labor cost can be reduced by 50%. The total investment required is 1 million. I want you to analyze whether it is feasible to invest in the technology or not.
C: (Repeated the objective) Is there any other objective I should be aware of?
I: No. Everything else remains the same as earlier.
C: Ok. Could you share details about how the manufacturer is planning to raise the find of 1 million? If it is a bank loan, please share the interest and repayment term details.
I: The manufacturer is planning to take a bank loan of 1 million. The interest is 5%, for a repayment period of 5 years. Simple interest method can be used for calculation.
C: Ok. Shall I consider that the capital amount of 1 million is split into 5 equal instalments of 200,000 each and interest is paid on the balance capital remaining to be paid.
I: Yes.
Me: So, the repayment calculation can be analyzed as below:
Year 1:
Repayment amount - 200,000
Balance - 800,000
Interest to be paid - 50000(5% of 1,000,000)
Year 2:
Repayment amount - 200,000
Balance - 600,000
Interest to be paid - 40000(5% of 800,000)
Year 3:
Repayment amount - 200,000
Balance - 400,000
Interest to be paid - 30000
Year 4:
Repayment amount - 200,000
Balance - 200,000
Interest to be paid - 20000
Year 5:
Repayment amount - 200,000
Balance - 0
Interest to be paid - 10000
I: Correct. Let’s consider the profitability of the first year only.
C: Ok. The net repayment for first year towards loan is 250,000. Let’s analyze the cost part now. The manual labor cost will be reduced to half by introducing new technology. The calculations are as below:
Cost of raw materials: 480 (10% as discussed earlier)
Cost of manual labor: 4320/2= 2160
Total cost = $2640 per coffin
I: Correct.
C: Is there any change in the selling price?
I: No.
C: So, the net profit per coffin is $5000-$2640= $2360. The total profit per year for annual sales of 4000 coffins= 2360*4000=9,440,000.
I: That is correct.
C: Is the fixed cost of $700,000 still present.
I: Yes.
C: Therefore, the net profit = 9,440,000-(700,000+250,000) = 8,490,000.
I: Correct. So, should the manufacturer invest in the new technology.
C: Yes, the manufacturer should invest in the new tech as he will be earning much higher profits per year.
I: Thank you.
The interview started with interviewer introducing himself. Then asked me to tell about myself. I did the same introduction as in the previous interview. I had mentioned about photography in my introduction. Then the interviewer put forward a case based on photography.
The case was basically a profitability analysis, where he mentioned that Canon is losing its profits in India. He asked me to analyze the reasons.
I used the same approach of profit= revenue-cost. The interviewer asked to begin with revenue.
I drilled down the several sources of revenue. At every step, I could suggest 3 or 4 reasons for the point analyzed. Some points discussed were types of equipment sold, reasons for dip in sales of point and shoot camera, reasons for popularity of DSLR camera, competitors performance, service levels etc.
There were no numerical involved, so every point was discussed, exploring reasons and suggesting improvements.
The interview took about 20 minutes.
I applied via Campus Placement
I applied via Campus Placement
Was asked about how the previous round was etc.
Was then given another problem. There is only one call centre of Airtel in Mumbai. Calculate its approximate operating cost & provide a solution to optimize it.
I divided the cost in various parts such as the labour cost, equipment cost etc.
I started it with finding out the number of airtel customers in Mumbai. Out of all these customers, I found out the percentage that might be interested in using the services provided by the call centre. I divided what percentage of which age group of the customer base might be using the service. I assumed the approximate time for each call & the working hours of each employee. Based on that I calculated the number of employees required & then assumed the salary of each employee to be 20k. I also included the salaries of the various other employees in the hierarchy. This led me to the labour cost involved. In a similar manner I considered the various other costs involved.
That was it, the interviewer seemed happy & I was again asked if I had any questions.
I applied via Campus Placement
Interview started with HR questions, I was asked about the previous panelist and the kind of discussions I had with her. I was again asked why I want to join Deloitte and if I had ever thought of switching Deloitte before joining NITIE.
Asked clarifying questions and gave them all possible criteria that can help identify the right processes which can be automated. Was asked to reason every criterion identified by me. I was then given data points to calculate the cost of automated processes and the current cost of manual operations involved to execute the same processes. Decision based on these calculations were to be made to conclude about the feasibility of automation. I was then asked about any questions I had for them.
An Investment Banking firm, operational in 50 countries is looking to implement RPA. How will you identify the processes which can be automated?
(45 minutes)
I applied via Campus Placement
Topic: “China, the second largest economy faced a political coup which resulted in the blockage of trade with all other countries. What will be the effect of this scenario globally?”
Points highlighted:
• China being the second largest economy, blockage of trade means a financial crisis.
• Devaluation of Chinese currency, Yuan and its effects on US dollar.
• Stock market crash across the world due to abrupt selling of shares by investors.
• India, the biggest trade partner of china will become the worst affected.
• Chinese organizations shifting operations to other countries which benefits emerging economies like India in the long run.
• Unemployment in china as well as other countries due to market crash.
Note: GD was the primary selection criterion. Bulk of the elimination was from GD.
I applied via Campus Placement
CV questions.
Question on profitability (Which is more profitable for Starbucks - selling a coffee @33% discount or selling extra coffee at the same price?
10 min interview on CV.
A US based insurance company whose profits are declining. It provided insurance across 3 segments- auto, property and specialty. Initial discussion revolved around factors to be considered and why, the trends in overall industry and the data required to reach on to a conclusion. The data had 4 tables. Table 1 contained info about clients and average premium per client to analyse each segment. Table 2 contained info about risk calculation as per present scenario and brief info about the 5 systems used for risk evaluation. Table 3&4 had info of a new unified solution which could replace the current system and what could be the expected profit/loss. This had to be calculated using NPV. A brief summary was asked in the end.
I applied via Campus Placement
I applied via Campus Placement
2nd round started with interviewers introducing themselves followed by the question tell me about yourself.
Next, there were a couple of CV Questions. After that, they straight away went to case.
A valve manufacturing company (safety valve) used primarily in Oil and Gas sector, a leader in North America wants to expand its presence in India. There were two questions
1. What factors should it consider,
2. Estimate the size of Indian market,
3. Using the previous calculations, estimate the size of other safety devises as well.
[Please note that I stands for Interviewer and C stands for Candidate]
Not a very detailed case but relating to my mechanical back ground and work experience in core sector, I could relate it very well to the situation at hand. It was a case of market expansion.
C: I first summarized the case & then asked if there are any secondary objectives that we need to achieve.
I: No.
C: I would understand the economy of the country first. Looking at the present scenario, India looks to me as the only bright spot in this gloomy global economic scenario. Other factors that I would take into considerations are macroeconomic stability recent government’s reforms like GST legislation, ease of doing business rankings improvement, government stability, Pro business approach. Etc.
I: Looked satisfied and said other things apart from Economy.
C: Then I would look into the industry, the factors being:
• Performance of industry (trends),
• Market structure and number of players (both domestic and international if any) in the market and their market share,
• Ease of entry and exit,
• Public sector and private sector (public sector generally have a preference of MOUs with some government PSUs or MSMEs for purchasing while private sector is more focussed on cost).
I: I want you to figure it out my market size. Tell me the way to do it.
C: There would be two major segments: existing industries and expansion of the existing ones. Existing would already have these safety devises in place, so my preferred area would be upcoming plants. But there would be continuous requirement of valves even in the existing because of the life of a valve -It’s a safety feature and needs to be replaced at certain places based on the hours of its use or duration of its installation, whichever being earlier. To this the interviewer smiled and said You seems to know a lot!
I: Lets now look at new plants. How would u do a market sizing for me.
C: (After analysing the situation at hand) I would do some market research to find out the ratio of the price of these devises to the overall cost of the machinery. Different industry has different levels of safety consciousness and have according levels of quality of safety spares used. This ratio would help me to estimate the size of the expanding industry on the basis of their investment value.
I: That’s good. Provided me with the amount of investment of companies. And the ratio?
C: Figured it out and said the size.
I: Using this, Find out the size of other products in my portfolio, and decide what should be my priority. A table was presented with the ratio and the investment value of different sectors.
C: Figured it out on the basis of calculation and decided on the priority on the basis of market size.
I: CAGR of 3 industries were given (investment value), Now would your answer be the same?
C: Simple percentage calculation to arrive at the values.
Interviewer: That’s fairly decent!
After this, the case finished. He asked some more CV Questions and then asked if I have any question for him. I had discussed with my previous boss about the history of consulting firms association with SAIL, He narrated me a Mckinsey instance, wherein the changes suggested were not feasible and implementable. I asked them about differentiating factor in such a case, to which he explained me. I popped up a follow up question with approval, to which he answered in great details.
Overall a very smooth experience. At no point of time did I feel any stress. They made me really comfortable and guided in case I was either digressing or entering into greater depth than required (qualitative points).
I applied via Campus Placement
I applied via Campus Placement
Basic HR questions on introduction.
Why MBA?
Why NITIE?
Why consulting?
What do you know about the firm?
Something about you that’s not written in CV.
A case on Market entry: A hair product company wants to enter food products market. You have first meeting with CEO. List down all the questions that you will need to ask him to come to a recommendation. Explain the rationale behind every question.
Suppose you write a novel on your biking experiences 10 years down the line, estimate the market for your novel then.
A case on pricing: How will you price your novel?