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Practice Situational Judgement Test 5
Questions Booklet
This is an example situational judgement test (SJT) which will allow you to become familiar
with this format of test. SJTs are commonly used by employers as part of their selection
process.
If you have been invited to sit a SJT this simply means the employer is trying to establish
how you would potentially behave in different situations. The fictional situations you will face
are usually designed by the employer to simulate the kind of decision-making you might be
faced with during your employment with them. Employers will have a set of responses which
reflects how their ideal candidate would respond. Your responses can be compared against
their model responses to help the employer decide if you are a good fit within their
organisation. But remember this test is just one contributing factor to a rounded selection
process; employers will never use the results from one test in isolation, so don't worry if you
feel you haven't done well.
There is no time limit to this test however your first answers are usually the most accurate,
so try not to spend too long thinking about each one. There are four different scenarios to
this test and each scenario contains four questions.
Section 1: Most and Least Likely to Perform (Scenario 1)
Section 2: Ranked Response (Scenario 2)
Section 3: Most and Least Effective (Scenario 3)
Section 4: Rated Responses (Scenario 4)
The questions begin on the next page
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1. Most and Least Likely to Perform
In this test you will be asked to imagine yourself in a number of different scenarios and roles.
You will be presented with situations and asked to select the response you believe you
would be ‘most’ and ‘least’ likely to make to these situations from a range of options. It is
recommended you read all the possible responses before deciding how to respond.
As this test is designed to help you practice your approach to Situational Judgement Tests,
commentary is provided giving information on which answers are considered to be most
effective, least effective and which answers are somewhere in between. Of course, there is
always a certain level of judgement involved with regard to how effective each response is
likely to be.
The commentary provided is based on a considered understanding of global, generic
competencies for each level; in other words, what most organisations and employers would
expect from their employees.
The ideal response will vary from organisation to organisation and this should be borne in
mind when completing an SJT in a live, recruitment context. Being aware of the
organisational competencies, culture and style of your potential employer is very important
when deciding your answers to a Situational Judgement Test, in addition to drawing on your
own experience, skills and approach.
SCENARIO 1
You have recently been hired by Hunter & Sachs, an established law firm known to deal with
high profile cases. Although the company are considered to be extremely robust and hold an
excellent reputation, the public are unaware of various internal issues regarding the current
management structure. These matters have been escalating throughout the previous year
and are becoming a cause for concern, as they threaten to negatively impact the efficiency,
productivity and general cohesion of the company’s workforce.
In your role as a management consultant, you have been charged with the task of
implementing new strategies in order to improve the structure and performance of the
various departments within the firm.
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Situation 1
There have been several complaints from the HR department regarding the accuracy and
efficiency of the finance department’s budget reports. According to a number of staff, there
have been incidents of reports containing outdated or incorrect figures, occasionally resulting
in budget overspending, which in turn can lead to a lack of fiscal flexibility. The financial
department are adamant that they have been producing the most current figures and have
suggested that the errors could be caused by the outdated software system; however, the
software appears to be functional. The finance department has recently been downsized,
and could have caused the remaining members of the financial team to be over-worked.
Review the following responses and indicate which one you believe to be the response to
the situation you would be ‘most likely to make’ and the response to the situation which you
would be ‘least likely to make’.
Most likely to Least likely to
make make
Suggest that the financial department should recruit
additional employees in order to ease the current workload
and improve performance.
Propose that the current software system should be updated
and that smart devices should be introduced, as this would
improve the communication between the two departments
and allow the financial department to work more efficiently.
Introduce accuracy checks throughout the day, obligating the
finance manager to perform random evaluations of the work
produced by the department, in order to ensure accuracy and
promote vigilance.
Recommend that the HR department are given financial
training, enabling them to correct any issues by themselves.
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Situation 2:
The marketing department have collectively written a letter to their marketing director in
order to make a formal statement of dissatisfaction with the way employees are being
assigned to projects. In the letter, it is claimed that the current marketing director is failing to
utilise their individual skills to the optimum level, often allocating tasks to those who are not
best able to complete them, or do not enjoy working on such projects. The marketing director
claims to work on a basis that those who have a free schedule will be given the latest task or
project, and that this is the most effective way to run the department. However, the
marketing team remain frustrated.
Review the following responses and indicate which one you believe to be the response to
the situation you would be ‘most likely to make’ and the response to the situation which
you would be ‘least likely to make’.
Response Response
most likely to least likely to
make make
Recommend that the marketing director assert themselves
and state that they have authority when it comes to the
allocation of tasks, while instructing the team to accept their
assignments and continue with their work. After all, the
marketing director is in charge for a reason.
Suggest that the marketing director should be demoted, that
way everyone in the marketing department will get an equal
say when it comes to task assignment.
Implement a new system in order to assign members of the
team to projects that are more appropriate to their skills and
abilities, while taking staff availability into account.
Propose that the marketing director allows the individuals
within the marketing department to choose their own projects,
this way they will get to work on the projects they are good at
and enjoy.
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Situation 3:
The company has raised concerns with you that the current structure of departments might
not be promoting efficiency within the company. It has come to their attention that a number
of recent projects have required significant overlap between various departments,
occasionally leading to multiple employees trying to perform within the same role when it
may not be required. The company are open to the idea of reducing the size of some
departments, but are apprehensive to remove employees who may be needed within the
individual sectors.
Review the following responses and indicate which one you believe to be the response to
the situation you would be ‘most likely to make’ and the response to the situation which
you would be ‘least likely to make’.
Most likely to Least likely to
make make
Recommend that the company avoid taking on cases or projects
that could require overlap within the work-force, this would rule
out confusion and ensure that all departments remain focussed
on separate tasks.
Implement a meeting schedule for all of the heads of departments
and suggest that they hold regular conferences in order to keep a
track of the progress within each sector; this would reduce the
instance of employees performing the same tasks.
Propose a re-structuring of the current departments, aiming to
consolidate the sectors that are most similar and thus experience
the most overlap. That way the necessary reduction of staff may
take place without hindering the individual departments.
Reassure the heads of the company that overlap will not always
be a problem when working on certain cases or projects and that
no business has a perfect structure.
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Situation 4:
According to a conference between the managers at Hunter & Sachs, which involved an
assessment of employee fulfilment, drive and productivity, the current staff members appear
to be quite content in their occupational roles. However, the analysis of a recent Employee
Satisfaction Survey has highlighted a number of issues within the workforce that have been
otherwise unreported, including a lack of communication with their managers. The overall
level of employee satisfaction does not appear to be disruptive, but it would be beneficial to
the company if it could be improved.
Review the following responses and indicate which one you believe to be the response to
the situation you would be ‘most likely to make’ and the response to the situation which you
would be ‘least likely to make’.
Most likely to Least likely to
make make
Suggest that an incentive based regime be put into place, as this
will encourage productivity among the workforce as well as
providing them with compensation for good work.
Recommend that managers should send regular e-mails to the
department workforce, reminding their staff when they will be
available to receive any feedback regarding the work environment.
Propose that the results of the employment satisfaction survey
should be disregarded, as the managers’ conference yielded a
different conclusion. Also, the managers work alongside their
employees and would surely have a greater understanding of staff
satisfaction than a survey.
Introduce “active management”, which would involve the
managers taking some time away from the office each day in order
to visit their departments and ensure that staff members are
content and systems are running smoothly.
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2. Ranked Responses
In these questions you will be asked to imagine yourself in a number of different scenarios
and roles. You will be presented with situations and asked to rank each of the responses to
these situations from 1 to 4 with regard to your opinion of their effectiveness.
As this test is designed to help you practice your approach to Situational Judgement Tests,
commentary is provided giving information on which answers are considered to be the most
effective response, the second, the third and the least effective response. Of course, there is
always a level of judgement involved with regard to how effective each response is likely to
be, and some people may have different opinions.
The commentary provided is based on a considered understanding of global, generic
competencies for each level of role; what most organisations and employers would expect
from their employees. The ideal response may vary from organisation to organisation and
this should be borne in mind when sitting an SJT in a live, recruitment context. Being aware
of the organisational competencies, culture and style, as well as drawing on your own
experience and skills, is very important when deciding your answers to a Situational
Judgement Test.
SCENARIO 2
You have been contacted by InfinityZone, a small UK based toy manufacturer and retailer
which is beginning to show a lot of potential, despite only being established within the last
few years. The company are unsure of the next steps they should take, as the business is
technically still in its infancy and they feel at risk of making important decisions prematurely.
InfinityZone have employed you as a management accountant in an advisory position. Your
role requires you to assess the current state of the business and provide an assessment of
risks to the business, in regard to implementing new strategies and increasing production.
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Situation 1:
According to the revenue generated during this financial year, InfinityZone have managed to
significantly increase their profits from those of the year before. This could possibly be due to
the introduction of the Phantom Fighter line, based on a popular children’s television show. It
is unclear how long the show will run for, or if the sudden upsurge in demand for Phantom
Fighter characters will continue. However, the company do not want to miss an opportunity
and are keen to use this as a chance to expand and obtain new business.
Review the following responses and indicate whether you believe the response to be 1 –
The most effective response, 2 – The second most effective response, 3 – The third
most effective response or 4 – The least effective response. You may assign each rating
only once.
Most 2nd most 3rd most Least
effective effective effective effective
response response response response
Instruct the company to expand and increase
production immediately, as they should make
the most of the current situation by capitalising
on their recent popularity.
Suggest that InfinityZone should cease
production of the Phantom Fighter line and
focus on acquiring the licence to produce a
more established character range, with reliable
and evident staying power. This strategy will
avoid relying on an unstable brand.
Encourage the company to be patient before
hastily expanding the business, this allows
them to assess the staying power of their
current success and to save resources for
development expenses at a later date.
Advise that the company make a full
assessment of the profit generated throughout
the most recent year. If the profit is attributed to
a range of their products, not just the Phantom
Fighter collection, it may be an appropriate
time to expand.
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Situation 2:
InfinityZone have been looking to acquire licensing patents, in order to increase the range of
toys currently in their production and to improve stock variety. They have expressed interest
in purchasing the rights to Turbo Titan Trucks, as it would provide the company with a range
of merchandise choices, from plastic models to interactive racing games. However, this
specific brand has received interest from a number of competing companies which in turn
has led to a substantial premium in asking price. A cost-benefit analysis has provided you
with information suggesting that the purchase of the Turbo Titan Truck patent might not be a
lucrative strategy for InfinityZone, however, the company remain keen to proceed.
Review the following responses and indicate whether you believe the response to be 1 –
The most effective response, 2 – The second most effective response, 3 – The third
most effective response or 4 – The least effective response. You may assign each rating
only once.
Most 2nd most 3rd most Least
effective effective effective effective
response response response response
Insist wholeheartedly that InfinityZone respect the
findings of the cost-benefit analysis. After all, you
were hired to assess business risks and to advise
them in their future ventures. All the while,
suggesting that you might remove yourself from
their employ if they disregard your professional
opinion.
Support the acquisition of the patent, suggesting
that there could be something that you overlooked
when performing the analysis, thus removing cause
for concern.
Perform another analysis in order to double check
the previous figures, if this provides the same
outcome, reiterate it’s importance to those in
charge of making the final decision.
Double check the figures and inform the company
that going against the cost-benefit analysis would
not be advisable, although you appreciate that it is
their choice as to whether they pursue this
business opportunity or not. Offer some
contingency plans, in order to protect the company
if necessary.
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Situation 3:
The company are being approached by an established high street retailer regarding stocking
and distributing a range of InfinityZone’s products. However, due to the size of the retailer,
they only deal with companies who can provide a certain amount of units and InfinityZone
are currently unable to produce the minimum requirement. In order to increase output,
InfinityZone are considering rationalising the number of moving parts in each toy as this is
the only logistical way to increase the number of units produced. However, this would also
significantly compromise the functionality of the products, which is critical to customer
satisfaction.
Review the following responses and indicate whether you believe the response to be 1 –
The most effective response, 2 – The second most effective response, 3 – The third
most effective response or 4 – The least effective response. You may assign each rating
only once.
Most 2nd most 3rd most Least
effective effective effective effective
Encourage InfinityZone to decline the offer,
informing the retailer that they would be unwilling
to compromise the quality of their products, while
also expressing their interest in accepting the
offer when they are able to produce the
necessary amount of units.
Propose a compromise with the high street
retailer by supplying a small number of high
quality products for “provisional distribution”. The
retailer can then assess whether they are willing
to reduce their unit requirement depending on
customer satisfaction and sales performance.
Advise that the company reject the offer from the
high street retailer as they are unable to meet the
minimum unit requirements at this time.
Suggest that InfinityZone increase their output
and accept the offer immediately, as it’s a great
opportunity for profit growth and improving
company awareness.
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Situation 4:
There has been a disagreement between two company directors over the opening of a new
store. One of the directors is adamant that it is time to open a chain of shops in order to
increase distribution; however, the other director is concerned that this would be too large an
expenditure for the company at this time. Your financial assessment suggests that it could
be premature to pursue a strategy of a large high-street presence, although failure to pursue
this option could miss a lucrative business opportunity. You have reservations about tackling
this issue as you do not wish to offend either of the directors; however, the dispute has been
escalating over the past couple of weeks and does not appear as though it will be resolved
without your input.
Review the following responses and indicate whether you believe the response to be 1 –
The most effective response, 2 – The second most effective response, 3 – The third
most effective response or 4 – The least effective response. You may assign each rating
only once.
Most 2nd most 3rd most Least
effective effective effective effective
Allow the directors to come to a decision
between them, after all, they will have the final
say whether you provide input or not and this
avoids the possibility of displeasing some of
the most powerful people in the company.
Request a meeting with the directors so that
they can both communicate their beliefs and
concerns regarding this matter. You will be
present to provide counsel in case the situation
becomes unproductive.
After consideration of both directors’ opinions,
make a decision as to which of their strategies
would be the most effective for the company
and convey your apologies to the director with
whom you did not agree.
Offer alternative solutions, such as an on-line
store. This would satisfy the need to increase
distribution, while requiring a smaller financial
expense.
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3. Most and Least Effective Responses
In these questions you will be asked to imagine yourself in a number of different scenarios
and roles. You will be presented with situations and asked to select the ‘most’ and the ‘least’
effective responses to these situations from a range of options.
As this test is designed to help you practice your approach to Situational Judgement Tests,
commentary is provided giving information on which answers are considered to be most
effective, least effective and which answers are somewhere in between. Of course, there is
always a certain level of judgement involved with regard to how effective each response is
likely to be, which in practice will be applied by the company for whom the test is being
conducted. You will see that with situational judgement tests you might find yourself thinking
"it depends"; this is almost inevitable but the consensus is that over the range of questions,
your responses will average out and your true behaviour characteristics will be revealed.
The commentary provided is based on a considered understanding of global, generic
competencies for each level; in other words, what most organisations and employers would
expect from their employees.
The ideal response will vary from organisation to organisation and this should be borne in
mind when completing a situational judgement test in a live, recruitment context. Being
aware of the organisational competencies, culture and style of your potential employer is
very important when deciding your answers to a Situational Judgement Test, in addition to
drawing on your own experience, skills and approach. It would help if you have an
understanding of the culture and attitudes of the company you are applying to. Often, the
company describe the qualities they are looking for in the job advertisement, or on their
website.
SCENARIO 3
Forrest & Carlisle are a reputable department-based retailer and have been established in
Britain for over one hundred years. They specialise in a range of products including clothing,
furniture, homewares, groceries, spa products, beauty and footwear. Despite the continuing
success of their “lifestyle” stores, Forrest & Carlisle are eager to implement innovative
methods to attract new customers, while continuing to satisfy returning shoppers, as a
means to fend-off competition from rival brands and maintain their footing in the
marketplace.
To achieve the company’s latest objectives they have hired you as a business strategy
consultant. This role requires you to assess the current processes used by Forrest & Carlisle
and formulate procedures to improve the internal and external structure of the business,
while introducing creative ideas to achieve the company’s goals.
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Situation 1:
In order to increase the number of consumers who complete a transaction in store, as
opposed to just browsing, it has been suggested that Forrest & Carlisle reduce their prices to
encourage a new range of customers. However, the pricing and sales department have said
that the expensive prices are part of the exclusivity of the brand, giving it a luxury feel and
reputation for excellence. It is true that the company name is associated with quality and
exclusivity, however, the intent to attract a new clientele is necessary for the company to
remain relevant within its niche.
Review the following responses and indicate which you believe to be the ‘most effective’
response to the situation and which the ‘least effective’.
Most Least
effective effective
In a tactical effort to protect the brand, advise that Forrest & Carlisle
continue with the current pricing scheme; by reducing the price of
the products, you could reduce the value of the company itself.
Propose that Forrest & Carlisle wait to see if rival companies begin
to win custom from them, in order to avoid making a hasty decision
that could change the reputation of their brand.
Suggest that the prices should be reduced for a limited period of
time, as this will give the brand an affordable reputation and should
help to encourage new customers.
Introduce a new, more expensive range within the stores, while
simultaneously reducing the prices of the existing goods. This
should make the brand more affordable, while still providing a
luxury line of products for those who wish to opt for exclusive items.
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Situation 2:
It has been brought to your attention that Forrest & Carlisle customers are increasingly
favouring a company called Montpellier. Montpellier specialise in authentic French baked
goods, ranging from traditional baguettes to patisserie treats, and have received praise for
their original techniques and recipes inspired by European flavours. The news of
Montpellier’s rising popularity is a concern, as Forrest & Carlisle have recently experienced a
decline in the sales regarding their own bakery and in-house tea room, a staple that would
ordinarily yield significant profit for the company.
Review the following responses and indicate which you believe to be the ‘most effective’
response to the situation and which the ‘least effective’.
Most Least
effective effective
Suggest that Forrest & Carlisle develop their own selection of
luxury European pastries, in an attempt to compete with
Montpellier and increase the revenue generated by their in house
tea room.
Encourage Forrest & Carlisle to try and replicate the goods sold by
Montpellier, as they are already an established brand and could
detract from the attention garnered by Montpellier.
Advise that the company abandon their in-house tea room and opt
to provide a new service in store that would not be threatened by
Montpellier’s future success.
Propose that Forrest & Carlisle form a reseller partnership with
Montpellier, allowing them to sell Montpellier produce in their in-
house tea room.
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Situation 3:
Following the recent acquisition of Montpellier, an authentic French patisserie company,
Forrest & Carlisle are hoping to replace the products that are currently being sold at their in-
house tea room with those of this new business. However, in order to uphold the current
standard of Montpellier produce, a complete renovation of the present in-house tea room will
be required throughout stores. Although financial analysis of this development suggests it
would be beneficial to the company long-term, liquid assets could be vital to its initial
success, meaning that company cost-cutting may be needed.
Review the following responses and indicate which you believe to be the ‘most effective’
response to the situation and which the ‘least effective’.
Most Least
effective effective
Carry out the renovation whilst keeping costs to a minimum, allowing
Forrest & Carlisle to avoid staff downsizing or damaging cuts to day-
to-day operations.
Perform an assessment of Forrest & Carlisle’s departments in order
to analyse the most suitable area for structural realignment, allowing
for the removal of any inefficient or redundant aspects of the
business.
Introduce the new products within the existing in-house tea room, to
avoid renovation costs and further expenditure.
Propose that Forrest & Carlisle re-assess the wages of the present
staff in the department, in an attempt to create some financial
flexibility during the renovation.
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Situation 4:
A recent survey regarding the attitudes among the general public towards different high
street retailers yielded feedback that was primarily positive for Forrest & Carlisle, with many
customers praising the quality of their products. Although it appears as though the company
could benefit from incorporating stronger interaction with its clientele, in order to uphold a
“caring and approachable” standing among the public. With many companies already
adopting the use of social media, Forrest & Carlisle are reluctant to do the same, at the risk
of overwhelming customers with streams of information and would prefer to employ a
different approach to achieving their goal.
Review the following responses and indicate which you believe to be the ‘most effective’
response to the situation and which the ‘least effective’.
Most Least
effective effective
Reassure the company that social media is an important tool in the
promotion of today’s businesses and suggest that they reconsider their
dismissal of its use.
Suggest that the customer feedback section of the company website
should be redesigned so that it is more engaging, increasing the
likelihood that those browsing the site will provide opinions of their
shopping experience.
Reiterate the fact that Forrest & Carlisle received “primarily positive”
feedback regarding the public survey, recommending that no further
action is necessary.
Propose that Forrest & Carlisle encourage customer interaction in-
store, for example by continuing the items that receive the greatest
public demand or by listening to feedback in-store.
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4. Rated Responses
In these questions you will be asked to imagine yourself in a number of different scenarios
and roles. You will be presented with situations and asked to rate each of the responses to
these situations on a 5 point scale. You may assign each rating only once.
As this test is designed to help you practice your approach to Situational Judgement Tests,
commentary is provided giving information on which answers are considered to be Very
Effective, Effective, Slightly Effective, Ineffective or Counterproductive. Of course, there is
always a certain level of judgement involved with regard to how effective each response is
likely to be, which in practice will be applied by the company for whom the test is being
conducted.
The commentary provided is based on a considered understanding of global, generic
competencies for each level of role; what most organisations and employers would expect
from their employees. The ideal response may vary from organisation to organisation and
this should be borne in mind when sitting an SJT in a live, recruitment context. Being aware
of the organisational competencies, culture and style, as well as drawing on your own
experience and skills, is very important when deciding your answers to a Situational
Judgement Test. It would help if you have an understanding of the culture and attitudes of
the company you are applying to. Often, the company describe the qualities they are looking
for in the job advertisement, or on their website.
SCENARIO 4
Salucci’s is a traditional Italian bistro that was founded approximately fifty years ago,
originating as a family owned restaurant that generated popularity for its hearty authentic
cuisine. Salucci’s currently has three restaurant locations, with a possible fourth in
development and hopes for further expansion in the near-term. Due to the planned growth of
the business, it is vital that Salucci’s have access to the relevant expertise necessary to
make logical, informed decisions regarding forthcoming projects and ventures.
For these reasons, Salucci’s have sought your help as an actuary. This role which requires
your accurate assessment of current situations and future investments, in order to identify,
reduce and counteract potential threats to the success of prospective developments.
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Situation 1:
You have been brought in by the company to replace the previous actuary, who
unfortunately is no longer able to continue due to ill-health. Your predecessor had been
finalising assessments of a potential investment and was yet to come to a conclusion as to
whether it would be advisable for Salucci’s to proceed. The company are very keen to go
ahead with the investment. There is plenty of time to familiarise yourself with the data, as the
contracts will not be drawn up for some time and you have been informed that all previous
workings should be accurate.
Review the following responses and indicate whether you believe the response to be Very
Effective, Effective, Slightly Effective, Ineffective or Counterproductive. You may
assign each rating only once.
Very Slightly Counter-
Effective Ineffective
Effective Effective productive
Avoid relying on the assessment
provided by the previous actuary and
re-assess all of the information
provided, in order to formulate your own
data.
Go over your predecessor’s workings,
trusting that they are accurate. Make a
swift decision based on the existing
assessment, allowing Salucci’s to
continue developing the project as
quickly as possible.
Take thorough consideration of your
predecessor’s workings and advise
Salucci’s based upon your interpretation
of the information.
Advise that Salucci’s proceed with the
proposed venture, as you are aware
they are keen to do so, allowing the
company to make up for the time lost
employing a new actuary.
Re-assess all of the information
provided by the previous actuary and
formulate your own data. Arrive at a
decision based upon your own
assessment, while keeping in mind the
workings of the previous actuary.
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prior written permission from AssessmentDay.Practice Situational Judgement Test
Situation 2:
Salucci’s are eager to purchase a specific plot of land for the construction of their fourth
restaurant, having searched thoroughly and found it to be an ideal location with prospects of
expanding their clientele base significantly. However, a survey of the terrain was
inconclusive, suggesting that during construction it might be discovered that significant
reinforcement works are required to underground utility tunnels. The location is receiving a
lot of interest due to general lack of availability in the area, meaning that the company will
need to come to a decision soon, or risk losing the plot to another buyer
Review the following responses and indicate whether you believe the response to be Very
Effective, Effective, Slightly Effective, Ineffective or Counterproductive. You may
assign each rating only once.
Very Slightly Counter-
Effective Ineffective
Effective Effective productive
Assess the likelihood of further
finances being required to develop the
groundworks, in order to provide
Salucci’s with more clarity of the risks
related to purchasing the land.
Suggest that Salucci’s look for a
different plot of land to purchase as the
location for their fourth restaurant.
Encourage Salucci’s to purchase the
land as you are aware that they are
keen to do so. Reassure them that any
extra costs could probably be covered
by the increased clientele brought in by
the new location.
Quantify the costs involved in extra
groundworks. Assess whether the
company have the financial reserves
available to put aside as an insurance
policy. Base your judgement on this
information and the likelihood of further
development being required.
Perform a cost assessment of the
remedial groundworks, in order to
calculate potential further expenditure.
Present this to the company along with
an evaluation of the likelihood that the
foundations will require development.
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prior written permission from AssessmentDay.Practice Situational Judgement Test
Situation 3:
Prior to the construction of Salucci’s fourth restaurant, the company have expressed concern
about expenditure and would like to reduce costs if possible, without delaying construction.
To this end, Salucci’s are considering hiring PHC Ltd, an inexpensive, although less
experienced, construction business as an alternative to the highly qualified, yet more
expensive company they have employed in previous years. Analysis of PHC Ltd’s portfolio
suggests that they should be able to complete the task adequately, however there are
concerns as PHC Ltd have not received particularly positive reviews and the premiums
previously put aside as contingency have largely been spent.
Review the following responses and indicate whether you believe the response to be Very
Effective, Effective, Slightly Effective, Ineffective or Counterproductive. You may
assign each rating only once.
Very Slightly Counter-
Effective Ineffective
Effective Effective productive
Inform Salucci’s of the risks associated
with hiring PHC Ltd and make the
company aware that employing less
experienced contractors could result in
potential further expenditure.
Propose that Salucci’s look into
alternative construction companies, in
order to find labourers better suited to
meeting the company’s pricing
requirements.
Suggest that the company employ PHC
Ltd in order to cut down any unnecessary
expenses; after all, your analysis of their
portfolio suggests they should be able to
complete construction.
Inform the company of the negative
feedback received by PHC Ltd and
calculate the additional capital that
Salucci’s could be required to spend in
the event of the restaurant being built to
an unsatisfactory standard.
Recommend that Salucci’s employ the
more experienced company while
suggesting other possible cost reductions
such as materials or architectural design.
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prior written permission from AssessmentDay.Practice Situational Judgement Test
Situation 4:
The company directors at Salucci’s have grave concerns regarding the liquidity of their
assets, as most of their cash is currently tied up in construction projects. Although the
restaurants are becoming increasingly popular, awaiting return on their investments has the
company growing ever more apprehensive about unforeseen expenses. Salucci’s are
reluctant to sell any of their restaurant locations, having put so much time and effort into
expanding their business empire.
Review the following responses and indicate whether you believe the response to be Very
Effective, Effective, Slightly Effective, Ineffective or Counterproductive. You may
assign each rating only once.
Very Slightly Counter-
Effective Ineffective
Effective Effective productive
Propose the implementation of a new
pricing system within the restaurants,
allowing Salucci’s to receive greater profit in
a shorter period of time.
Reassure the company directors that they
should be patient, as the restaurants are
becoming “increasingly popular” and look
set to produce profit in the near future.
Encourage the company to sell one of their
restaurants, they might be reluctant but it
would protect them from bankruptcy.
Introduce a franchising scheme, entitling
Salucci’s to a portion of the profit generated
by privately-owned restaurants, keen to
monopolise on the recent success of the
brand.
Prepare a list of options to raise short-term
capital such as selling shares, bank
borrowing, and deferring payments to
suppliers. Suggest that Salucci’s sell some
shares in the company, as this allows
financial insurance for any additional
expenditures while also permitting them to
maintain ownership of all business
locations.
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- End of Practice Situational Judgement Test 5 -
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