Key Concepts and Solved Examples: Decision Making

Decision Making in Logical Reasoning

Introduction: Decision making is the process of arriving at a final outcome by evaluating given information and applying specified rules or conditions. In reasoning sections, these questions test analytical ability, attention to detail, and the capacity to apply conditional rules to individual cases. Common formats include eligibility tests, passages with follow-up questions, and statement-course of action problems.

Decision Making

What is Decision Making?

In logical reasoning, Decision Making refers to questions where a set of conditions, rules or criteria are provided and one must decide whether an individual or case satisfies those conditions. Typical outcomes are: accept/shortlist, reject, provisionally accept, or refer to a higher authority (for example, a manager). These questions require careful reading, methodical application of rules and avoidance of assumptions beyond the provided data.

Types of Decision Making Reasoning

• Eligibility Test: A list of eligibility criteria (age limits, minimum marks, qualifications, test scores, deposits, etc.) is given along with biodata of applicants. The task is to judge each applicant against the criteria and determine the correct decision.
• Passage-Based Decision Making: A short passage or caselet presents facts, rules or a situational description. Questions require interpretation, inference and application of the passage rules to draw logically valid conclusions.
• Statement and Course of Action / Statement and Decision: One or more statements are given followed by suggested courses of action. The candidate must decide which action(s) logically follow from the statement(s).
• Caselets with Multiple Conditions: Small case scenarios where multiple interdependent conditions determine an outcome; these require stepwise elimination and combination of conditions.

Tips and Tricks for Solving Decision Making Questions

• Read the instructions first: Understand exactly what each rule requires before looking at candidates' biodata. Pay attention to inclusive/exclusive words such as "at least", "not more than", "between", "only", "except".
• Underline key conditions: Mark age limits, minimum marks, special concessions and exceptional clauses. This reduces mistakes when comparing several candidates.
• Evaluate biodata precisely: Compute ages correctly as of the specified reference date and check whether percentages meet the exact cut-offs given.
• Handle exceptions explicitly: If rules allow special concessions (for example, reduced deposit for children of employees), compute the concession amount before comparing against candidate's capability to pay.
• Follow the prescribed course of action: Apply the exact decision rules (for example: provisionally select if candidate can pay 3/4th; refer to Manager if only half can be paid; refer if test score between 45-50) rather than making intuitive judgments.
• Work step by step for each candidate: Check eligibility criteria one by one (age, qualification, test marks, deposit) and record which rule fails or passes.
• Do not assume missing facts: If required information is not provided, state that the data is inadequate to make a decision unless the rules provide a default action.
• Practice varied scenarios: Regular practice with a range of problems (concessions, provisional selections, borderline cases) enhances speed and accuracy.
• Manage time: Prioritise straightforward cases first. If a question is time-consuming, mark and return to it after answering easier ones.

Sample Decision Making Questions

Before attempting the sample decision making reasoning questions read the directions given below.

Following are the conditions for selecting trainees for winter internship at ICICI bank. The candidate must

1. Be at least 19 years in case of females and 21 years in case of males, but not more than 25 years of age for either case as on 31.03.2012
2. Be a Graduate in any discipline with at least 55% aggregate marks
3. Have secured at least 50% marks in the selection test.
4. The conditions for arrangement of Money Deposit are as follow:

Money Deposit conditions:

• Money Deposit of Rs. 40000 along with the application form if the candidate has passed graduation with less than 60% marks but more than 55% marks.
• If the candidate has secured more than 80% marks at graduation, the money deposit is Rs. 25000. If the candidate has secured marks between 60% and 80% then deposit is Rs. 30000.
• If the candidate is the son/daughter of a serving employee, the amount of the deposit will be one third of that applicable to others, keeping the merit criteria the same.

In case of a candidate who fulfils the required conditions but

1. Can pay only 3/4th of the applicable amount, he/she may be provisionally selected.
2. Can pay only half of the applicable amount, he/she may be referred to the Manager.
3. Have secured below 50% marks but above 45% marks in the selection test, he/she may be referred to the Manager.

Q1: Rahul has passed B.Com. with 50% marks and secured 55% in the selection test. Born on 28 January 1988, he can pay the required amount for recruitment.
Solution: Rahul's case is evaluated against the eligibility criteria:

• He has scored 50% in graduation, which is below the required minimum of 55%.
• Since meeting the minimum graduation percentage is a mandatory condition, failure to meet it leads to disqualification.
  Conclusion:
  Rahul is not eligible for selection (Reject), irrespective of other qualifications.
  
  

Q2: Max has passed B.A. with 82% marks and secured 69% in the selection test. He is the son of a teacher, born on 12 September 1989, and can pay up to ₹14,000 as a deposit.
Solution: Evaluate each criterion step by step:

• Age (as on 31.03.2012):
  Born on 12 September 1989 → Age is 22 years, which lies within the required range of 21 to 25 years.

• Graduation Marks:
  82% (above 80%), so the applicable deposit is ₹25,000.

• Deposit Relaxation (Son of Employee):
  Required deposit = ₹25,000 ÷ 3 = ₹8,333.33

• Deposit Capacity:
  Max can pay ₹14,000, which is greater than the required amount.

• Selection Test Score:
  69% (≥ 50%), hence meets the requirement.

Conclusion: All eligibility conditions are satisfied.
Max is eligible for selection, and no referral to the Manager is required.

Q3:  Riya Sharma was born on 31 May 1992. She has passed B.Sc. with 62% marks and secured 49% in the selection test. She is the daughter of a bank cashier and can pay up to ₹10,000 as a deposit.
Solution: Check each condition:

• Age (as on 31.03.2012):
  Born on 31 May 1992 → Age is 19 years, which meets the female age requirement of 19 to 25 years.

• Graduation Marks:
  62% (between 60% and 80%), so the applicable deposit is ₹30,000.

• Deposit Relaxation (Daughter of Employee):
  Required deposit = ₹30,000 ÷ 3 = ₹10,000

• Deposit Capacity:
  She can pay ₹10,000, which matches the required amount.

• Selection Test Score:
  49% (below 50% but above 45%).

• As per rules, candidates scoring between 45% and 50% must be referred to the Manager.

Conclusion: Riya should be referred to the Manager.