List of top Decision Making Questions on Statements and Conclusions asked in XAT

Humane Dynamix is a leadership training organization based in Mumbai. Established in 2015, the organization is gradually becoming a leader in behavioral training. In the organization, trainers are assigned to training projects based on their expertise. Corporates seek behavioral training services on a regular basis, from Humane Dynamix, for upskilling their executives. Humane Dynamix is headed by the Chief Executive Officer (CEO), to whom the Training Assignment Officer (TAO) reports. The TAO position rotates among the senior trainers for a fixed tenure; the CEO assigns this position to a senior trainer.
Companies, desirous of hiring Humane Dynamix, share their training needs with the organization. The TAO assigns a trainer to the client. Typically, the satisfied client requests for a particular trainer that the client is satisfied, giving repeat business to Humane Dynamix from the same client company. However, the TAO takes the nal call. Years of training experience plays a big role in client satisfaction, and hence, senior trainers conduct most training programs while the newly recruited trainers apprentice with them. However, the senior trainers have the autonomy to decide on who they want to accept as an apprentice..
Further, during a training program, the senior trainer takes most of the sessions, if not all, while the apprentice helps the senior trainers to organize their sessions, and occasionally take a few sessions. As the apprentices gain experience, they start getting their own independent projects, but that typically takes quite some time..
Dheeraj, a senior trainer, takes over as the TAO. As soon as he assumes the office, the CEO shares a concern with him: “We have a lot of young trainers who we have recently recruited. Since they are not known to the outside world, they do not get enough opportunities. Many of them are impatient to prove their mettle. Unless they are assigned more programs, we risk losing them rapidly.”

Chetan Textile Mills (CTM) has initiated various employee welfare schemes for its employees since the day the mill began its operations. Due to its various welfare initiatives and socially responsible business practices, the organisation has developed an impeccable reputation. Majority of the regular workers in Chetan Mills had membership of Chetan Mills Mazdoor Sangh (CMMS), a non political trade union. CMMS had the welfare of its member as its guiding principle. Both CTM and CMMS addressed various worker related issues on a proactive basis. As a result no industrial dispute had been reported from the organization in the recent past. 
These days majority of the employers deploy large number of contract labourers in their production processes. In an open economy survival of an organization depends on its competitiveness. In order to become competitive, an organization must be able to reduce cost and have exibility in employment of resources. Engaging workers through contractors (contract labourer) reduces the overall labour cost by almost 50%. Indian labour legislations make reduction of regular workers almost impossible, but organisations can overcome this limitation by employing contract labourers. Contract labourers neither get the same bene t as regular employees nor do they have any job security. According to various recent surveys, government owned public sector units and other departments are the biggest employers of contract labourers in the country. Contractors, as middle - men, often exploit the contract labourers, and these government organizations have failed to stop the exploitation.
Over time CTM started engaging a large number of contract labourers. At present, more than 35% of CM’s workers (total 5,000 in number) are contract labourers. CMMS leadership was wary about the slow erosion of its support base as regular workers slowly got replaced by contract workers and feared the day when regular workers would become a minority in the mill. So far, CMMS has refused to take contract labourers as members. Recently, based on rumours, CTM management started to investigate the alleged exploitation of contract labourers by certain contractors. Some contractors felt that such investigations may expose them and reduce their pro t margin. They instigated contract labourers to demand for better wages. Some of the contract labourers engaged in material handling and cleaning work started provoking CTM management by adopting violent tactics.
Today’s news - paper reports that police and CTM security guards red two or three rounds in air to quell the mob. The trouble started while a security guard allegedly slapped one of the contract labourers following a heated argument. Angry labourers set re to several vehicles parked inside the premises, and to the police jeeps.

(Questions 115 to 117): The year 2004 was a great year for Top-Cloth cotton mill. Manufacturing towels for the export market and employing more than 2000 workers, the company had an impressive growth in sales and profits. The Chairman felt that employees were entitled to a share in the profits, and it was proposed that the employee mess be air-conditioned. The proposal was discussed in a meeting attended by, among other senior officials, the marketing director, the personnel director and the finance director. The proposal was based on the fact that the shop floor of the mill often had temperatures in excess of 40 degrees C with a relative humidity of 99%. The air-conditioned mess would represent management's appreciation of the employees' hard work.

At the end of 2005, management reviewed the mill's performance. Profits were higher, and employee attrition was negligible. The Chairman decided that employees deserved additional recognition for their fine work. Since the mess had already been air-conditioned, the Chairman wanted to know if the employees appreciated this sort of action. In the course of discussion, the Chairman asked the personnel director to send a questionnaire to a sample of fifty employees and obtain their reaction to the air-conditioned mess. The management agreed to decide only after obtaining the feedback from the employees.

The personnel director mailed a simple form to fifty employees, asking them for the following information: "Please state your reaction to the air-conditioned mess." Of the fifty forms mailed, forty-six were returned. The answers received were as follows:
ReactionFrequency
"I did not know it was air-conditioned."16
"I never eat there"8
"If management can spend money like that, they should pay us more"6
"I wish the entire mill was air-conditioned."8
"The mess is for management employees."4
"It is OK."2
Miscellaneous comments2

115. The main conclusion(s) about the personnel director that emerge(s) from this situation is(are):
A. The personnel director did not have the competence to manage an employee feedback survey, and should have been given the task to a professional consultant.
B. The personnel director was responsible for employees' reactions.
C. The personnel director had failed in his duty of maintaining constant touch with employees.
D. The cost of air-conditioning is a waste, since its beneficiaries did not feel any benefit.