There’s no standard question to cut labor cost by X%. One of the things in the case interview is how structured you approach problems. If that problem turns out to be how to reduce cost, one possible approach is to go over all the major costs and ask if/how you could reduce those.
Yes: For labor the potential answer could be (1) paying people less ($/hr) and/or (2) doing the same work with less people (automation, lean). Exploring the option does not mean it’s a desired path. (Eg perhaps the company in the case is already below market wages and has a retention problem)
There’s no standard question to cut labor cost by X%. One of the things in the case interview is how structured you approach problems. If that problem turns out to be how to reduce cost, one possible approach is to go over all the major costs and ask if/how you could reduce those.
Yes: For labor the potential answer could be (1) paying people less ($/hr) and/or (2) doing the same work with less people (automation, lean). Exploring the option does not mean it’s a desired path. (Eg perhaps the company in the case is already below market wages and has a retention problem)