UC Berkeley IEOR Hosts Inaugural Tesla Case Competition on Global Sourcing Strategy
The Department of Industrial Engineering and Operations Research (IEOR) at the University of California, Berkeley, hosted its inaugural Tesla Case Competition last month, bringing together more than 40 student teams to tackle one of the most pressing challenges in global operations today: managing supply chains amid shifting trade and tariff conditions.
Developed in collaboration with Tesla’s supply chain organization, the competition was designed as both an applied learning experience and a recruiting initiative, giving Tesla leaders a firsthand look at Berkeley’s top Master of Analytics and undergraduate IEOR and Analytics talent. As teams presented, Tesla judges and recruiters observed how students approached ambiguity, structured decisions, and communicated under pressure.
Case Focus: The Tariff Challenge
The case, “Tesla Sourcing Dilemma,” posed a realistic scenario in which a 25% U.S. import tariff, enacted under Section 232 of the Trade Expansion Act, disrupted Tesla’s sourcing for a key exterior lighting component. Students were asked to recommend an optimal production location—among supplier facilities in the United States, Mexico, and China—balancing trade exposure under the U.S.-Mexico-Canada Agreement (USMCA) with cost, yield, and logistics considerations.
Competition Structure
The competition followed a structured executive presentation format. In the preliminary round, each team had five minutes total—one to three minutes to present its recommendation and the remainder for Q&A with Tesla judges. Finalists advanced to a 10-minute final round, featuring rapid-fire questioning designed to probe analytical reasoning and business communication skills.
Held simultaneously in Blum Hall and Jarvis Auditorium, the event drew participants from UC Berkeley’s Master of Analytics program and IEOR undergraduate major, highlighting the department’s emphasis on experiential, industry-connected learning.
Innovative Approaches to Global Sourcing
Teams explored a wide range of strategies to address the sourcing dilemma. Some recommended maintaining production in China to leverage mature manufacturing infrastructure and lower labor costs, while others proposed relocating to Mexico to benefit from trade protections and proximity advantages under USMCA. A number of teams proposed hybrid sourcing models, diversifying production across multiple regions to mitigate tariff and logistics risks.
Analyses incorporated detailed cost modeling, yield projections, and assessments of transportation volatility and geopolitical risk. Some teams emphasized quantitative precision, while others focused on communicating complex ideas in accessible, strategic terms—a balance that reflected the interdisciplinary strengths of Berkeley IEOR students.
Royal Flush Wins with Strategic Clarity
After a highly competitive final round, Team Royal Flush earned first place for its nuanced understanding of the trade environment and clear, confident communication.
“Royal Flush picked up on the nuances of the tariff landscape and the subtleties we built into the case—such as the implications of the USMCA trade deal,” said one Tesla judge. “They recognized that supply chain management isn’t black and white and delivered a thoughtful, creative solution that challenged assumptions.”
Another judge noted that the team “didn’t just take our numbers at face value—they questioned the data, reasoned from first principles, and supported their decision with a well-structured, holistic argument.”
Runners-Up Demonstrate Depth and Collaboration
Tied for second place were Team Gigawatt Girls and Team 27, recognized for integrating business insight with teamwork and technical rigor. “They demonstrated a holistic perspective that went beyond cost alone,” said a Tesla judge. “Their proposals reflected an understanding of real-world trade-offs—and every team member played a meaningful role in the presentation.”
Real-World Lessons in Decision-Making
Throughout the day, Tesla’s judges and recruiters evaluated not only analytical skill but also communication, composure, and teamwork—qualities essential for success in industry. While some teams relied heavily on complex statistical models, the top performers stood out for their ability to simplify complexity, communicate with clarity, and defend their reasoning.
“The teams that stood out were those that could distill complexity into clarity,” said a Tesla representative. “In practice, the best decisions combine data-driven rigor with strategic judgment and communication.”
As a reward for their first-place finish, Team Royal Flush was invited to an exclusive dinner with Tesla leaders and recruiters, chauffeured in Tesla’s own fleet.
UC Berkeley IEOR extends its sincere appreciation to Tesla’s judging panel:
M.J. Cifre – Sr. Supply Chain Program Manager, Energy
C. Knight – Sr. Supply Chain Manager
C. Cai – Supply Chain Manager, LFP Battery Cells
M. Meeth – Supply Chain Manager, Extrusions
K. Saoji – Manager, Supply Chain – Vehicle Plastics & Composites
L. Ariza – Staff Sourcing Engineer
C.K. Vieira – Internships Recruiting, Supply Chain
A. Chokshi – Internships Recruiting, Supply Chain
Congratulations to our winning and finalist teams:
1st Place:
Royal Flush: Pranil Arsid, Om Gole, Naima Hammad, Alkis Toutziaridis, and Lochland McStravick
Finalists:
Gigawatt Girls: Katie Chang, Hannah Nguyen, Erin Pan, and Ava Shah
Team 27: Diya Garg, Tanaisha Mistry, Krithika Muralidhar, Vibha Shivarajan, and Urmi Sumant