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Medium Strategic Response Strategic Decision Public Policy

California Wildfires

#Non-profit #Energy
ProHub Comment

This is a well-structured public sector case that combines qualitative analysis (diagnosing crisis causes and trends) with quantitative decision-making (cost-benefit analysis for SafeWall implementation). The case tests both strategic thinking about prevention vs. mitigation and analytical rigor in comparing options across multiple cities using expected value calculations.

Estimated Time 27 minutes
Difficulty Medium
Source IESE
10 / 100
The state of California has experienced devastating wildfires in recent years, causing deaths and billions of dollars worth of damage. The disasters are only projected to intensify, and the government needs to act fast. The governor has hired you to propose an action plan for prevention and mitigation. What factors would you analyse?

Clarifying Information

Not explicitly labeled as ‘Clarifying Information’ section in the provided pages. The case provides exhibits as supplementary data:

  1. Exhibit 1: California Historical Wildfire Report showing number of fires by source (Utilities Failure, Human Error, Natural Causes) and total area burned by source from 2000-2020
  2. Exhibit 2: 2022 California Department of Forestry Analysis with cost-benefit data for SafeWall implementation across Oakland, Santa Barbara, and Sacramento
Mock Interview
Interviewer

The state of California has experienced devastating wildfires in recent years, causing deaths and billions of dollars worth of damage. The disasters are only projected to intensify, and the government needs to act fast. The governor has hired you to propose an action plan for prevention and mitigation. What factors would you analyse?

You

Thanks. Before analyzing, I'd like to clarify a few key questions...

Interviewer

Good question. Let me provide some background information...

You

Based on this, I suggest analyzing from these dimensions...

AI Score
Structure Analysis Communication Business Sense Quantitative
Practicing...
Score coming soon
Practice this case with AI Mock Interview

California governor seeks an action plan to address devastating wildfires. The case guides candidates through diagnosing the problem (human error drives most preventable fires), analyzing response options (SafeWall fireproof structures), and recommending a prioritized approach combining short-term tactical actions with long-term infrastructure investments.

Key Insights:

  1. Human error fires have doubled over 20 years and represent the most preventable category—this is the key focus area for prevention efforts
  2. Outlier years (2010 natural causes, 2021 utilities) represent ‘disaster’ fires requiring different long-term mitigation approaches
  3. Quantitative analysis reveals Santa Barbara should receive SafeWall investment first due to 5x higher expected value saved ($1.125B vs. $200-225M for other cities)
  4. Candidates must balance financial optimization with other considerations (population, feasibility) and acknowledge data gaps requiring further investigation
  5. Effective recommendation requires both preventive actions (targeting human error) and defensive infrastructure (SafeWall) with clear time horizons