When doing cases, I was trained that I shouldn't ask open ended questions, and that it is better to brainstorm possible reasons and test with interviewer.
When I was reviewing Victor Cheng's LOMS program, he mentioned it is important to ask WHY questions. I have provided to examples of how he asked the question in the sample case as below.
My question is: (1) How to ask the WHY - is it fine to ask WHY, or it's always better to bring out some hypo? (2) When is asking “WHY” appropriate? Does it depend on the “Depth” that you go into the root cause? (e.g. for higher level such as “quantity dropped”, it definitely doesn't make sens to ask WHY.)
Example 1:
Interviewer: The competitors usually do a production run, it takes them about 90 days to complete a run.
Candidate: That’s interesting. Why is there such a big difference between the two? Our client’s doing it in three days and the competitors are doing in 90 days.
Example 2:
Candidate: We’re buying it from the same place, we can’t change where we buy it from, and yet our competitors are getting a lower price. Do we have any data as to why the competitors are able to get a lower price? Are they perhaps buying in larger volume, getting some sort of volume discount, because I know they are bigger. Do we have any data on that?
Thanks!