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Dicision Making Test - 8

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Dicision Making Test - 8
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  • Question 1
    4 / -1

    Directions For Questions

    Direction: Read the passage and answer the questions that follow.

    Arjun had just quit his job to start an online tutorial for teaching English to people in smaller towns and villages across the country while also being available for people in the urban areas. Arjun’s idea was to have a set of courses related to English speaking and writing on his new website. He planned to add more courses based on the response he receives on the first few courses. Arjun’s research had shown that English Letter Writing (ELW) was a course that many people would be interested in. He was a techie with a keen interest on starting an online venture of his own. He, however, realized that he needs course material for the ELW course which he was not qualified to create. He contacted his close friend, Rajiv, who was a very popular Math teacher for suggestions on a good English teacher who could create course content for his ELW course. Rajiv introduced Arjun to Vinay, who was an English teacher in another institute and a close friend of Rajiv’s. Arjun and Vinay spoke on a phone call where Vinay liked Arjun’s idea and offered to help him with the course material required for the ELW course. Vinay said he would collect Rs. 5000 for his services(which would be paid on delivery) and promised to deliver the work within 15 days. Since his close friend had recommended Vinay, Arjun was quite comfortable giving the entire project of the ELW course to Vinay.

    Not the one who likes to waste anytime, Arjun decided to market his ELW course and start enrolling students for the program that would begin in 15 days time. He signed up more than 200 people for this course in the first 12 days. However, he noticed that Vinay was not responding to any of his calls anymore. Since Vinay was Rajiv’s close friend, Arjun assumed there would be no issue on delivery and hence did not contact him in the first eight days. He tried calling Vinay for an update on the project a few days ago but had not received any response then. Since then he emailed Vinay and dropped multiple messages but still got no response. Arjun had not paid Vinay any amount but he was a worried man. With just three days to go before the course is launched, Arjun was not sure about what needed to be done. On one hand, he had enrolled more than 200 students by collecting money for the course and on the other hand, he did not want to shelve the course as that would affect his company’s name in its first month of operation making it difficult to recover.

    ...view full instructions

    It was later found that Vinay had a personal family problem along with a very hectic office schedule because of which he could not work on Arjun’s project for the first 10 days. After 10 days, he realized he will not be able to deliver the project but chose to avoid any communication with Arjun instead of letting Arjun know that he could not deliver. What should Vinay have ideally done in order to alleviate the problem at Arjun’s end?

    Solution

    Option a is not correct as Rajiv was not a stakeholder in the project in anyway. Although this is an option that is better than what Vinay did, it is not the best option among the ones given.

    Option c will amount to lying as it is clearly stated that Vinay had a family problem along with a hectic office schedule.

    Option d is not a good option at all as it does not solve the problem in anyway and instead avoids it.

    Option b & Option e are both very close options but option b is the better option between the two. Option e says Vinay will deliver in the next 15 days but it is not certain how viable this option is for Arjun. Instead, letting Arjun know of his inability to deliver in the agreed upon time and suggesting other alternatives of which the additional 15 days could also be one of the alternatives. Hence option b is better.

  • Question 2
    4 / -1

    Directions For Questions

    Direction: Read the passage and answer the questions that follow.

    Arjun had just quit his job to start an online tutorial for teaching English to people in smaller towns and villages across the country while also being available for people in the urban areas. Arjun’s idea was to have a set of courses related to English speaking and writing on his new website. He planned to add more courses based on the response he receives on the first few courses. Arjun’s research had shown that English Letter Writing (ELW) was a course that many people would be interested in. He was a techie with a keen interest on starting an online venture of his own. He, however, realized that he needs course material for the ELW course which he was not qualified to create. He contacted his close friend, Rajiv, who was a very popular Math teacher for suggestions on a good English teacher who could create course content for his ELW course. Rajiv introduced Arjun to Vinay, who was an English teacher in another institute and a close friend of Rajiv’s. Arjun and Vinay spoke on a phone call where Vinay liked Arjun’s idea and offered to help him with the course material required for the ELW course. Vinay said he would collect Rs. 5000 for his services(which would be paid on delivery) and promised to deliver the work within 15 days. Since his close friend had recommended Vinay, Arjun was quite comfortable giving the entire project of the ELW course to Vinay.

    Not the one who likes to waste anytime, Arjun decided to market his ELW course and start enrolling students for the program that would begin in 15 days time. He signed up more than 200 people for this course in the first 12 days. However, he noticed that Vinay was not responding to any of his calls anymore. Since Vinay was Rajiv’s close friend, Arjun assumed there would be no issue on delivery and hence did not contact him in the first eight days. He tried calling Vinay for an update on the project a few days ago but had not received any response then. Since then he emailed Vinay and dropped multiple messages but still got no response. Arjun had not paid Vinay any amount but he was a worried man. With just three days to go before the course is launched, Arjun was not sure about what needed to be done. On one hand, he had enrolled more than 200 students by collecting money for the course and on the other hand, he did not want to shelve the course as that would affect his company’s name in its first month of operation making it difficult to recover.

    ...view full instructions

    Arjun decides to not rely on Vinay for the delivery in the remaining three days but he also has enrolled 200 students during the marketing efforts that are still currently on. If you were Arjun, what would be the best business decision you would take with other new students who want to pay and enroll for the course going forward?

    Solution

    Option c is a slightly extreme step at this point of time until more information is available on the availability of the course material. Refunds can be made in case none of the other options work out. In case another option works out in the interim, an option of refund can be provided to students in case of a delay instead of going ahead with the refund for all.

    Option d does not make much business sense and hence is not the best option

    Option a,b,e appear close. On closer inspection option b & e mention very similar actions worded differently. Stopping enrollments is a more ethical option to adopt as you are uncertain on meeting the timelines promised in the marketing campaign. One might argue that if the first 200 students can be informed of a delay, then even the new students enrolling can also be informed of a delay in case it is decided to defer the course. However, in the first case, the promises and the money was collected knowing that the course can be delivered. But now, it is uncertain if the course can be delivered. Hence, the most ethical option now will be to not take any more enrollments until there is more certainty on delivery.

    Hence, option b is the best solution.

  • Question 3
    4 / -1

    Directions For Questions

    Direction: Read the passage and answer the questions that follow.

    Arjun had just quit his job to start an online tutorial for teaching English to people in smaller towns and villages across the country while also being available for people in the urban areas. Arjun’s idea was to have a set of courses related to English speaking and writing on his new website. He planned to add more courses based on the response he receives on the first few courses. Arjun’s research had shown that English Letter Writing (ELW) was a course that many people would be interested in. He was a techie with a keen interest on starting an online venture of his own. He, however, realized that he needs course material for the ELW course which he was not qualified to create. He contacted his close friend, Rajiv, who was a very popular Math teacher for suggestions on a good English teacher who could create course content for his ELW course. Rajiv introduced Arjun to Vinay, who was an English teacher in another institute and a close friend of Rajiv’s. Arjun and Vinay spoke on a phone call where Vinay liked Arjun’s idea and offered to help him with the course material required for the ELW course. Vinay said he would collect Rs. 5000 for his services(which would be paid on delivery) and promised to deliver the work within 15 days. Since his close friend had recommended Vinay, Arjun was quite comfortable giving the entire project of the ELW course to Vinay.

    Not the one who likes to waste anytime, Arjun decided to market his ELW course and start enrolling students for the program that would begin in 15 days time. He signed up more than 200 people for this course in the first 12 days. However, he noticed that Vinay was not responding to any of his calls anymore. Since Vinay was Rajiv’s close friend, Arjun assumed there would be no issue on delivery and hence did not contact him in the first eight days. He tried calling Vinay for an update on the project a few days ago but had not received any response then. Since then he emailed Vinay and dropped multiple messages but still got no response. Arjun had not paid Vinay any amount but he was a worried man. With just three days to go before the course is launched, Arjun was not sure about what needed to be done. On one hand, he had enrolled more than 200 students by collecting money for the course and on the other hand, he did not want to shelve the course as that would affect his company’s name in its first month of operation making it difficult to recover.

    ...view full instructions

    If Arjun wants to avoid similar incidents such as the one with Vinay for any future course launches, which of the following options represent an action that is the weakest given his objective?

    Solution

    Options b,c,d are very valid options on avoiding a similar incident. Signing an agreement ensures there is a deterrent for the person to not abandon a project. Having regular status updates gives you a sense of whether the project is moving forward at the right pace and hence you can plan accordingly if something is not going to plan. Having an alternate option in mind will always save time in such scenarios. The questions asks us to find options that are weak in helping Arjun avoid such incidents in the future. All these actions (some may sound infeasible given such a small company) will prevent an incident such as the one Arjun faced.

    Option e & a can both sound weak. One cannot stop demand building activities and this is a normal practice among a number of businesses. However, option is too extreme to be logical and hence is the weakest. It is not possible to know everyone you will have a professional relationship with beforehand and hence is extreme and not so feasible.

  • Question 4
    4 / -1

     

    Raju is a traveler who subscribed to the travel package mentioned in the case above. Raju is aware that the program allows for a zero fee cancellation at any point in time. He tries to book as many tickets in a year as possible to take complete advantage of the program. Many times he has booked air tickets for which he was almost certain he will not be able to make it and cancelled it during the last minute. On such instance, he was contemplating visiting his favorite cricketer’s final test match in Mumbai. However, he is aware that the match is on weekday during an important project deadline and there is only an extremely slim chance that he will be able to visit Mumbai. Nevertheless, he still decides to go ahead and block his ticket as he knows there are no cancellation fees. What do you think of what Raju did?

     

    Solution

    Raju has subscribed to a program that allows him to cancel a flight anytime he wishes. Hence, he is free to do it the way he wishes. He has not violated any of the agreement clauses or rules of Indian Airlines and hence is being completely ethical.

    Option c is not correct as he is not manipulating anything. He is playing within the rules of the program that he paid for which allows him this flexibility of cancellation.

  • Question 5
    4 / -1

    Directions For Questions

    Direction: Read the following case and answer the questions that follow

    Raghu is newly appointed as the Head of Human resource manager of a Company X. The company employs over 300 people, but has seen a rise in the attrition rate recently. This was the reason for the management of the company to replace the head of human resources with Raghu. Raghu was well known for his work as a HR head at his previous company, but he had never seen such a high attrition rate. He decides to understand the reasons for the employees leaving the company at this rate. So he stops by the desk of Clara and starts a usual conversation. He introduces himself and then asks how she feels about working for the company. When he asks Clara about why employees are the leaving the company, she says "It’s a boring work environment for everyone. After the new Managing Director came in, things have changed a lot here. There is no fun, no leisure. It is just work all the time and we are not compensated enough for the amount of work we do. The new manager is very strict and the workplace does not keep anyone interested. So a lot of them are leaving and even I am looking for a new job"

    ...view full instructions

    What should Raghu’s immediate course of action be?

    Solution

    The other options a, b, c, d would all mean taking actions based on one person’s opinion in a casual conversation.

    Hence, collecting more information from other employees before taking any action is the best thing to do here.

  • Question 6
    4 / -1

    Directions For Questions

    Direction: Read the following case and answer the questions that follow

    Raghu is newly appointed as the Head of Human resource manager of a Company X. The company employs over 300 people, but has seen a rise in the attrition rate recently. This was the reason for the management of the company to replace the head of human resources with Raghu. Raghu was well known for his work as a HR head at his previous company, but he had never seen such a high attrition rate. He decides to understand the reasons for the employees leaving the company at this rate. So he stops by the desk of Clara and starts a usual conversation. He introduces himself and then asks how she feels about working for the company. When he asks Clara about why employees are the leaving the company, she says "It’s a boring work environment for everyone. After the new Managing Director came in, things have changed a lot here. There is no fun, no leisure. It is just work all the time and we are not compensated enough for the amount of work we do. The new manager is very strict and the workplace does not keep anyone interested. So a lot of them are leaving and even I am looking for a new job"

    ...view full instructions

    Raghu decided to investigate further and created three distinct groups – Employees who have left the organization, employees who have been with the organization for more than a year and employees who have been working with the organization for less than a year. He sent all of them a survey on things they were dissatisfied with at the organization and the following were the biggest factors of dissatisfaction among each group

    Employees who have left: We had to work on Sundays and are not compensated for it

    Employees working more than a year: The salary is very low compared to those in other similar companies

    Employees working less than a year: My boss is very strict, micro-manages, has unrealistic expectations and is not a good people manager.

    If Raghu wants to address the employee concerns and control the attrition, which is the most effective step among the following based on the above results?

    Solution

    We need to pick the best answer that helps Raghu check any further attrition. If attrition needs to be controlled, the most effective reason among the following will be the ones given by the people who actually left the company. The reasons given by the people still in the company may or may not lead to further attrition but the information from the people who left is a more significant inn addressing the attrition issues.

    Among options a & b, option a is the better option as this would solve the problem of people feeling they were not compensated for their extra work and a sense of fairness is brought in the minds of the employees.

    Cancelling Sundays is not a great option as sometimes, business needs may dictate additional working hours which include Sundays. The whole point is possibly not around “Sunday” but around extra hours and not being compensated adequately.

  • Question 7
    4 / -1

    Directions For Questions

    Direction: Read the following case and answer the questions that follow

    Raghu is newly appointed as the Head of Human resource manager of a Company X. The company employs over 300 people, but has seen a rise in the attrition rate recently. This was the reason for the management of the company to replace the head of human resources with Raghu. Raghu was well known for his work as a HR head at his previous company, but he had never seen such a high attrition rate. He decides to understand the reasons for the employees leaving the company at this rate. So he stops by the desk of Clara and starts a usual conversation. He introduces himself and then asks how she feels about working for the company. When he asks Clara about why employees are the leaving the company, she says "It’s a boring work environment for everyone. After the new Managing Director came in, things have changed a lot here. There is no fun, no leisure. It is just work all the time and we are not compensated enough for the amount of work we do. The new manager is very strict and the workplace does not keep anyone interested. So a lot of them are leaving and even I am looking for a new job"

    ...view full instructions

    Raghu, from a survey sent out to employees who left the organization in the last 12 months, noticed that 70% of the respondents mentioned that extreme workloads outside office hours was the primary reason of leaving. He concluded that majority of the employees left because of extreme workloads outside office hours. Which of the following could undermine his conclusion the most?

    Solution

    Option c talks about the second biggest reason of dissatisfaction but the question focuses on Raghu’s conclusion that majority of the people left the organization for extreme workloads and that that was the primary reason.

    Option d & e are irrelevant to the actual conclusion of Raghus. What current employees think and whether someone would return are different to the reasons for which the other employees left.

    Between Option a & b, b is the one that weakens the conclusion the most. If only 1/3rd of the employees responded to that survey, then it would be wrong to conclude that majority of them left for that reason. Option a suggests only employees who left in the last three months responded. This does not weaken as much as ‘b’ as the issue of employees who left in the previous quarter is still valid enough to come to that conclusion that Raghu did. Moreover, It is also possible that most of the employees left in the previous quarter and a not too significant prior to that in the 12 month period. Hence, option b is the one that weakens the most.

  • Question 8
    4 / -1

    Directions For Questions

    Direction:Read the case and answer the questions that follow.

    Fazreen Fashions Ltd is a garment manufacturer well known for its fashionable designs and quality clothing. However, recently there was a fatal fire at one of its factories in Bangladesh in which 112 workers died and many more were injured. The company operated within the highly controversial Bangladeshi textile industry, where numerous activists had long expressed concern about general working conditions, pay, health and safety. Months before the fire, employees had staged protests demanding increased wages. It was alleged that the factory improperly stored flammable materials in a non-fireproof area and lacked a fire safety certificate. It was also alleged that when the blaze began and the alarm sounded, managers prevented employees from leaving their workstations. According to survivors, exit doors at the factory were locked and stacks of materials blocked the stairways, trapping many people. Bystanders claimed that people were forced to jump from the windows of the eight-storey building in an attempt to escape the flames. International retailers and brands such as Mal-Wart, Nisdey, Seddy Tmith have threatened to withdraw their business with Fazreen Fashions. The Members of the Board are in a dilemma about the next step to take.

    ...view full instructions

    What should be the immediate course of action for the Board members?

    Solution

    The problem for the board members is that their employees have lost their lives due to a fire mishap and there are many allegations around how employees are not safe, and not well treated at the plant.

    Option a is the best option because it addresses the problems that caused the mishap as well as looking into the allegations placed from various quarters.

    Option b is only an allegation it is not certain if managers in fact did that.

    Option c sounds like something Fazreen would like to do. But option a takes precedence over here as it more directly hits the more pressing issue. The partners threatening withdrawal is also an issue but actions in Option a can help resolve that as well.

    Option d: This is not an immediate requirement. This can be done at a relatively later stage as well as this does not solve the problem although it might be a necessary action. Priority should be given to problem solving acitvities.

    Option e: is not a strong option. It addresses the less important issue at this point in time and calling a press conference and saying things alone will also not help. Fazreen will need to show more concrete and constructive actions that saying things in a press conference.

  • Question 9
    4 / -1

    Directions For Questions

    Direction:Read the case and answer the questions that follow.

    Fazreen Fashions Ltd is a garment manufacturer well known for its fashionable designs and quality clothing. However, recently there was a fatal fire at one of its factories in Bangladesh in which 112 workers died and many more were injured. The company operated within the highly controversial Bangladeshi textile industry, where numerous activists had long expressed concern about general working conditions, pay, health and safety. Months before the fire, employees had staged protests demanding increased wages. It was alleged that the factory improperly stored flammable materials in a non-fireproof area and lacked a fire safety certificate. It was also alleged that when the blaze began and the alarm sounded, managers prevented employees from leaving their workstations. According to survivors, exit doors at the factory were locked and stacks of materials blocked the stairways, trapping many people. Bystanders claimed that people were forced to jump from the windows of the eight-storey building in an attempt to escape the flames. International retailers and brands such as Mal-Wart, Nisdey, Seddy Tmith have threatened to withdraw their business with Fazreen Fashions. The Members of the Board are in a dilemma about the next step to take.

    ...view full instructions

    After a few months, the factory was back to normal operations after the rebuilding efforts. However, a similar turmoil again hit the company when a large group of employees re-started protests for an increase in wages. The employees were aware of that the management did not want any negative publicity and hence wanted to take advantage of the situation.

    The senior management realizes that increase in wages will result in losses for the company. At the same point, the company does not want any more negative publicity around employee dissatisfaction after their recent rebuilding activity. What should do the company do?

    Solution

    Option a : Calling the media and letting them know of the employees intentions only creates new problems for the companies. Hence it is not a good solution.

    Option c: There is no information given in the passage to conclude that price increases are viable and will have a positive effect on the business.

    Option d: Is an extreme action to suspend all the workers.

    Option e: May sound right at first glance but further inspection will reveal that there is no information to suggest that the company can support a minor price increase without denting its profits or that the employees will be accept such a decision.

    Option b is the best option to let the employees know the exact reasons why the increases are not feasible and an increase would mean that the company cannot survive for too long, possibly putting their jobs at risk.

  • Question 10
    4 / -1

    Rajesh is a favorite among many employees within his company. Not only is he a superstar manager and very well-liked by his colleagues, he is also known to be very approachable with an open door policy where anyone in the company can visit him. Many people look up to him and approach him for help on professional or a personal problems. Rajesh, being a very nice guy that he is, finds it difficult to say “No” to anyone who approaches him. But recently, Rajesh has had a very heavy workload and people continue to approach him for help on their personal and professional problems. He is unable to juggle his own professional pressures and the expectations of the people who look up to him. What should Rajesh do?

    Solution

    Options a & d are very insensitive towards people who have been approaching him and hence not the best option

    Option c: Will only aggravate the problem in the future if it continues and it is mentioned that Rajesh is unable to juggle both currently

    Option e is the best option as it allows him to interact with people and let them know directly while also giving them a channel where their problems can be solved. This is better than Option b as people approach Rajesh because they connect with him and not with Ramesh and this approach only shifts the burden onto Ramesh and is not solving the problem. The HR cell which is equipped to handle such cases as their normal job will be the best solution. This also solved the problem for Rajesh in the longer term.

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