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Cost per drop for a courier in Dubai
You run the case. Read the prompt, answer questions from the notes below, and share data only when the candidate asks for it or gets stuck. Score at the end.
Case timer
00:00
1. Read the prompt aloud
Read it slowly, then pause. Let the candidate ask questions before they structure.
A courier van in Dubai costs AED 250 a day for the driver, AED 150 for the van lease and insurance, and AED 60 for fuel. The driver attempts 100 deliveries a day, and 8 percent fail (nobody home, wrong address). What is the cost per successful drop? What happens if failed deliveries fall to 3 percent?
2. Answers to clarifying questions
This case has no scripted clarifying answers. Answer from the prompt, and say "assume what you think is reasonable" if the prompt does not cover it.
3. A model structure
Compare the candidate's structure with this one. A different split can be just as good if it is clean and fits the problem.
- Cost per drop = daily van cost divided by successful drops per day
- Daily van cost = driver + van + fuel
- Successful drops = attempts x (1 minus failure rate)
4. The working, step by step
Each step shows how a strong candidate works it out. Share a new fact from it only when the candidate asks or is stuck, and let them do the math: the result in the dark box is what they should reach.
Step 1: Daily van cost
What a strong candidate does: Driver, van and fuel.
Daily van cost (AED): 250 + 150 + 60 = 460
Step 2: Cost per drop at 8 percent failures
What a strong candidate does: 92 successful drops.
Cost per drop (AED): 460 ÷ (100 × (1 - 0.08)) = 5
Step 3: Cost per drop at 3 percent failures
What a strong candidate does: 97 successful drops.
Cost per drop at lower failure (AED): 460 ÷ (100 × (1 - 0.03)) = 4.74
The recommendation to listen for
At the end, say: "The CEO walks in. What is your recommendation?"
The courier should cut failed deliveries, because lowering them from 8 to 3 percent cuts cost per successful drop from AED 5 to about AED 4.74, about 5 percent. First, the van costs AED 460 a day whether a drop succeeds or not. Second, each failed parcel also needs a second trip later, so the true saving is larger. The risk is that delivery time slots or lockers cost more than they save. As a next step, test delivery time slots and pickup points on a few routes.
Score the candidate
Score each criterion from 1 to 5. A 2 or a 4 sits between the descriptions.
This case has no exhibit. Score Exhibit reading on how the candidate used the data you gave them: did they pick out the number that matters and say what it means?
Total
0 out of 25
Score all five criteria to see the band and the feedback template.