Which training method involves representing a real-life situation with trainees making decisions resulting in outcomes that mirror what would happen on the job?

Answer: Simulation.

Explanation:

Simulation when used for training is a method of creating a controlled environment that resembles a real world situation, where an individual is required to use their knowledge in an area to solve problems while also learning in the process.

Simulation in most cases, is applied to train individuals present in departments which requires perfection in decision making in real life situations.