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Tricks to Solve Decision Making Questions with Example

Published on Saturday, March 25, 2017

Decision Making

Decision Making is a section in the exams which is very scoring and needs very less efforts in preparation. Decision-Making is a process in which a final outcome is derived by evaluating and analyzing the given data. The objective of “Decision making” is to reach a certain conclusion from the given information or a given set of conditions.

A typical question involves a statement which is followed by 2 or more assumptions and we must answer which assumption follows.


Caution to be taken:

Remember the following while solving:
(i) Leave your logic aside about how things work helps.
(ii) While you can make common sense assumptions but do not bring in your own assumptions about things that may not be true always.
(iii) Assumption in the questions is something that author believes.

Procedure to solve the question:

Neglecting Method: This method is really effective when solving assumption questions. It is a tested method that can help in scoring. All you have to do is neglect the assumption after reading them. The passage where author gives a statement only after assuming some things. That means some basic assumptions in which author definitely believe in. And if some assumption contradicts that basic belief of author then that assumption can never follow.

Types of Decision Making

1. Statement and Assumption

Ex: Statement: Many people fell ill after consuming meal at a wedding reception and were rushed to the nearby govt. and private hospitals.

Assumptions:

I. The relatives of the affected people refuse to take them to the Govt. hospitals.
II. The nearby hospitals may be able to attend to all the affected people.

Options: 

1. Assumption I is implicit.
2. Assumption II is implicit.
3. Either Assumption I or II is implicit.
4. Neither Assumption I nor II is implicit.
5. Both Assumptions I and II are implicit.

2. Statement and Course of Action

Ex: Statement: Large number of students of the local school fell ill after having their midday meal provided by the school.

Courses of action:

I. The govt. should suspend the school Principal immediately.
II. The school authority should initiate an enquiry to find out the reason for students’ sickness.
III. The govt. should instruct all the schools to suspend their midday meal scheme till further order.

Option: 

1. Only I follows
2. Only II follows
3. Only III follows
4. Only II and III follow
5. None of these 

3. Statement and Arguments

Ex: Statement: Should the govt. deregulate the retail prices of petrol, diesel and cooking gas and allow the prices to be driven by market conditions?

Arguments:

I. Yes, this will help the oil companies to sell their products at competitive price.
II. No, the general public cannot afford market driven prices of these products.
III. Yes, govt. needs to stop subsidizing for these products and channelize the money for developmental projects.

Options: 

1. Only I and II are strong
2. Only I and III are strong
3. Only II and III are strong
4. All I, II and III are strong
5. None of these

4. Cause and Effect

Ex:
I. The bank has provided a link on its website to obtain feedback from customers.
II. Customers have been complaining about poor services in the bank’s branches.

Options: 

1. Statement I is the cause and statement II is its effect.
2. Statement II is the cause and statement I is its effect.
3. Both the statements I and II are of independent causes.
4. Both the statements I and II are effects of independent causes.
5. Both the statements I and II are effects of some common cause.

5. Another Category

In this type a vacancy is being declared. The necessary qualifications required by the
Recruiting agencies are given with certain exceptions. The qualifications and merits of candidates are mentioned. The decision about each candidate has to be made from amongst the five given choices.

Ex: The following criteria have been drawn to finalize the list of candidates to be called for interview after the written examination for bank P.O., held by the XYZ Bank of India. The candidate must:
  1. hold a degree in any stream, from a recognized university, with a first class in graduation and at least Second division in post-graduation.
  2. Be at least 21 years, as on 01.01.02.
  3. Possess at least 80% marks in the bank P.O written exam. 
  4. Have a computer course certificate for 1 year or more.
  5. Be drawing at least Rs.4500 p.m. in his/her previous job.
  6. Be of Indian nationality.
  7. In case of candidates qualifying all conditions except (2) above, the case will be referred to the General Manager(GM).
  8. In case of candidates qualifying all conditions except (4) above, the case will be referred to the Director.

Based on these conditions, decide the course of action and give answers as:

Options:

(a) if candidate can be admitted for interview.
(b) if candidate cannot be admitted for interview.
(c) if candidate is to be referred to the G.M.
(d) if candidate is to be referred to the Director.
(e) if data are inadequate to decide the course of action.

1. Sapna has done her graduation at the age of 20. She possesses the requisite percentage of marks in graduation, post-graduation and P.O. exams. Currently she is drawing Rs 12,500 salary per month. She obtained a 2-year computer degree in 2002. She is an Indian.


2. Rita, an Indian, topped the P.O. exam with 94% marks. She has done her B.Com and M.Com from Punjab University with 86% and 74% marks. She is nearly 26 years old and possess 5 year computer degree. She is employed at Rajapura Agro Tech Ltd for the past four years and gets a salary of Rs.10,000 per month at present. She was born on 11.12.1974.


3. Prasoon is living in India for the past 20 years. He has secured the required marks at graduation as well as at post-graduation. He is a management trainee in a company which gives him Rs.5000 p.m. as basic salary. He is Indian by birth. He obtained 84% marks in the P.O. Exam. He also holds the requisite computer proficiency-level certificate.


Solutions:

1. E
2. A
3. C
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About Me

Ramandeep Singh

Ramandeep Singh - Educator

I'm Ramandeep Singh, your guide to banking and insurance exams. With 14 years of experience and over 5000 successful selections, I understand the path to success firsthand, having transitioned from Dena Bank and SBI. I'm passionate about helping you achieve your banking and insurance dreams.

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