Hospital Profitability

BCG Case Study Prompt

A hospital group has been experiencing growing pains and has asked our firm for help.

The hospital group originally consisted of one hospital and then it acquired 3 other hospitals – but now its profits are going down.

The CEO of the main hospital changed; it was originally an MD doctor, now it is now an experienced MBA.

We can exclude issues from the external market – growth is steady.

What should the hospital group do to address these growing pains? How would you approach this problem?

Case Study Overview

In the BCG case study, the client is a hospital group that has been expanding through the acquisition of other hospitals. However, the company has seen its profits go down recently. Your job is to dig into the profitability, determine the root causes of the decline, and recommend a strategy for addressing the issue.

We recommend using the Profitability Framework to create a structure to solve the case, but don’t stop there. Use your creativity, knowledge of the frameworks, and business acumen to build a custom framework.

With a qualitative difficulty score of 3/4, this BCG case study will set you up to do well in a second round case interview. The case has several math diagrams for you to analyze and interpret.

BCG Case Study Tips

BCG is looking for candidates that are structure and communication experts.

Make sure that your structure is crystal-clear, and that you verbalize every part of your process. BCG isn’t focused on you getting to the “correct” answer, but on how you got to the answer.

Make the most of your practice in this BCG case study by focusing on these 2 things:

1. Timing yourself as you walk through the case, trying to hit the sweet spot for each section
2. Work on your overall polish and communication throughout the case

If you need a leg up in your case interview prep, book a session with an ex-MBB interview coach today.