Is it fine to have 4 buckets in case structure?

Question

Hi all, is it fine to have 4 buckets in the case structure? Usually I prefer 3 buckets, but when doing M&A cases I always have an additional bucket related to “execution capability (e.g., integration feasibility, skillsets, financial resource)” or “risk and mitigation”. Do you think it's fine to keep it individually as the fourth bucket?

Answer 1

Hi there!

Yes, it is perfectly fine to have four buckets in your framework. However, you have to ensure that your framework remains MECE and that the additional bucket does not overlap with the existing ones and TRULY adds value. I personally like to add a "Risk" bucket for market entry, M&A, or any investment case with an opportunity cost aspect to it. One last point: I would never go for more than four buckets to preserve MECEness, target my efforts on the root cause of the problem and keep the interviewer engaged!

Hope this answers you question, Goodluck!

Answer 2

Hi there,

You are approaching this from the wrong end.

It's not about the number of buckets but about the question if your top-level buckets cover the problem well = are broad enough and relevant/tailored.

For some cases, two buckets might be okay, for others it could be 5 or 6.

Cheers,

Florian

Answer 3

I would structure the issue tree more as a logic/criteria that has to be met for the decision to make sense, rather t... (read entire answer)

I would structure the issue tree more as a logic/criteria that has to be met for the decision to make sense, rather than buckets of data to look into. IE: decision is sensible... (read entire answer)

Answer 4

There are some pieces of information about a company that are better to be asked before laying out your structure: e.... (read entire answer)

There are some pieces of information about a company that are better to be asked before laying out your structure: e.g. company objective, any constraints to be aware of when yo... (read entire answer)

Answer 5

Hi Anonymous, Feel free to use any synonyms to buckets - e.g. 'I'd like to investigate the following x areas/issues... (read entire answer)

Hi Anonymous, Feel free to use any synonyms to buckets - e.g. 'I'd like to investigate the following x areas/issues/topics/......'. Your interview won't really mind about the... (read entire answer)