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Decision Making is the key to crack XAT

XAT Exam Date 8th January 2023

Decision Making is the key to crack XAT

The XAT 2023 has 4 sections, however, only 3 sections are considered while determining the percentile and cutoff for interview selection process:

  1. Decision Making (DM)
  2. Verbal & Logical Ability (VA) Used to determine percentile & cutoff
  3. Quantitative Ability & Data Interpretation (QA,DI)
  4. General Knowledge (GK)

‘Decision Making’ section is unique to XAT and is the key to crack it successfully.

Here is all you need to know about the Decision Making section in XAT 2023 exam.

What is Decision Making?

Decision Making is the process of making a choice out of the presented options in any given situation. Here are 6 steps you need to take in order to arrive at any decision when you are presented with a case:

  1. Read the case thoroughly.

  2. Gather all the facts and figures.
  3. Identify the concerned and/or impacted parties (or stakeholders)
  4. Form the problem statement.
  5. Analyze the options available.
  6. Come to a feasible, ethical and optimum decision.

What is the history of DM section in XAT?

Questions on decision making have been a regular feature in the XAT exam all these years. In the last 10 years the number has increased from 10 to 24. There was a significant rise in the number of questions to 25, in 2012. Since then the section has a minimum of 20+

xat exam year 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
total questions in
dm section
10 8 10 12 25 25 24 23 23 21 21

What is the purpose of DM section in XAT?

Unlike the other sections like QA, DI, and VA that test a candidate’s knowledge, aptitude and speed, the DM section tests seven crucial qualities:

  1.  Logical/Analytical reasoning skills
  2. Reading comprehension skills
  3. Business acumen
  4. Decision making ability
  5. Ethical virtues
  6. Understanding of basic business terminology
  7. Analyzing the importance of each stakeholder involved

What are the types of questions asked in DM section?

The type of questions can be classified into 3S - Structure, Subject Matter and Situation Structure Type. The students are presented with a situation in the form of a case - study. The structure of the questions could be:

  1. Cases with individual question
  2. Cases with multiple ( 2-6) questions

Subject Matter Type
The students have to make decisions based on four main subjects:

  1. Decisions based on logic
  2. Decisions based on managerial conflicts
  3. Decisions based on financial issues
  4. Decisions based on ethical virtues - individual, social, and organizational level

Situation Type
The questions or Caselets are based on following types of situations:

  1. Real - life business scenarios related to IT, Production & Manufacturing, HR, and Finance.
  2. Ethical dilemmas - individual, social, and organizational level.
  3. Regarding revenue and resources of an organization.
  4. Data analysis & critical reasoning.

What should be the approach while preparing for DM section?

DM section is all about practice. Make sure you do the following:

  1. Solve previous year XAT DM questions. The DM questions for last 10 years are available online.
  2. Write as many mock tests as you can.
  3. Read various case-studies available online and analyze them

What should be the approach while attempting the DM section?

Follow the below approach while attempting the questions under the DM section:

  1. Read the case details thoroughly.
  2. List down all the information - facts and figures - related to the case provided.
  3. Identify the stakeholders and all the concerned parties involved and/or impacted.
  4. Form the problem statement/issue which is often hidden in the question itself.
  5. Analyze the options or alternatives presented as part of multiple choices available.
  6. Eliminate options which are:
  • Ethically incorrect
  • Biased
  • Emotionally motivated
  • Do not do well for an individual or society or the organization.

7.Choose an answer which is:

  • Ethically correct
  • Feasible
  • Profitable on a long-term basis (or short-term based on the problem statement)
  • Justifies your role (as presented in the question)
  • Logically & rationally correct

What is the score v/s percentile for the DM section?

A raw score between 6 to 8 marks can fetch you a percentile between 80 and 90+.

XAT Exam Related Articles

XAT Eligibility Criteria 2023 XAT Admit Card 2023
XAT Result 2023 XAT Exam Centers 2023
XAT Syllabus 2023 XAT Selection Procedure 2023

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