Interviewing Simply: Run Your Show
Meta's Data-Driven Decionmaking Question

Lesson 2: A "3D" Framework

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IN THIS LESSON

A great case interview starts with a great framework.

With Meta’s new data driven decisionmaking course live, it will be critical to have an approach that stands up to scrutiny. In the past, Meta case interview frameworks have been so well-understood that they were essentially commodities. Now, things aren’t so simple. At least, not until now.

The question we’ll be answering is this:

Should meta build a new product that helps local businesses advertise even though we already have a full tech stack for ads

How should we approach this type of question? As we discussed, the question requires a choice, making it a strategy question at its heart. In a strategy question, we must decide which course is the right on to take. That’s not all though. It’s also an Analytical question, so we need to demonstrate our numeracy in addition to our strategic thinking skills. Here’s a framework that can help address both concerns.

  1. Define the goal

  2. Identify strategic considerations

  3. Assume it’s a good idea, then proceed with defining metrics

  4. Conduct A/B Testing

  5. Provide a recommendation

The idea behind this framework is essentially this: a product theory can be validated when it’s tested using metrics-based experiment. Deciding whether or not to build something, in other words, requires first-principles thinking, a strong sense of the strategic environment, and actionable data. This framework provides a means for doing so.

Here’s why each section is necessary:

  • Defining a goal is critical because a strategy is about achieving a particular end state. A strategy without a goal is no strategy at all.

  • An important element of any decisionmaking process is an understanding of how likely success is. If you do a good job identifying the circumstances that you’re in, you can come up with good reasons for why it does—or does not—make sense to try.

  • Meta doesn’t make any decision without considering all available data. The first step to making an informed decision is to decide which metrics will be used to decide go or no-go.

  • Once you understand which metrics to use, you need to setup an A/B test. This critically includes your launch criteria, that is, what test results would have to look like in order to ship. If your launch criteria are met then you can go ahead and ship the product, feature, or change.

  • If you’ve established from a strategic point of view that the product is worth testing AND your tests met your launch criteria, you are ready to ship. If not, it’s back to the drawing board.