ShipTech Wrecked

ProHub Comment

This case tests the candidate's ability to diagnose operational constraints in a declining business and connect root causes (driver retention/hiring) to financial performance. The case requires both quantitative modeling (calculating required driver hires) and qualitative insight (understanding driver value propositions through survey data). Success depends on recognizing that while market opportunity exists, capacity constraints are the limiting factor.

Estimated Time 15 minutes
Difficulty Medium
Source Duke
50 / 100
Your client is ShipTech, a shipping company that specializes in ground transportation in the United States. ShipTech has experienced decreasing revenue in recent years and has asked your team for advice on how to reverse the trend

Clarifying Information

  1. ShipTech would like to increase revenue by 10% or $100M in the near term
  2. ShipTech specializes in commercial transportation (bulk liquid, flatbed, large equipment, etc).
  3. No new competitors have entered the market or are taking significant share
  4. ShipTech does not outsource any part of its operations. It does not have any quality issues
  5. ShipTech pays a commission-based salary and drivers are not guaranteed pay