Employee Testing and Selection - Chapter 6 PDF

Chapter 6 Employee Testing and Selection Part Two | Recruitment and Placement Copyright © 2011 Pearson Education, Inc. PowerPoint Presentation by...

Chapter 6 Employee Testing and Selection Part Two | Recruitment and Placement Copyright © 2011 Pearson Education, Inc. PowerPoint Presentation by Charlie Cook publishing as Prentice Hall The University of West Alabama WHERE WE ARE NOW… Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–2 Employee testing and Selection The purpose of this chapter is to explain how to use various tools to select the best candidates for the job. The main topics covered include the selection process, basic testing techniques, background and reference checks, ethical and legal questions in testing, types of tests, and work samples and simulations. LEARNING OUTCOMES 1. Explain what is meant by reliability and validity. 2. Explain how you would go about validating a test. 3. Cite and illustrate our testing guidelines. 4. Give examples of some of the ethical and legal considerations in testing. 5. List eight tests you could use for employee selection and how you would use them. 6. Give two examples of work sample/simulation tests. 7. Explain the key points to remember in conducting background investigations. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–4  Why Careful Selection is Important The Importance of Selecting the Right Employees Organizational Costs of recruiting Legal obligations performance and hiring and liability Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–5 Basic Testing Concepts Reliability Ø Describes the consistency of scores obtained by the same person when retested with the identical or alternate forms of the same test. Ø Are test results stable over time? Validity Ø Indicates whether a test is measuring what it is supposed to be measuring. Ø Does the test actually measure what it is intended to measure? Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–6  Types of Validity Types of Test Validity Criterion validity Content validity Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–7 Types of Validity In employment testing, there are two main ways to demonstrate a test’s validity: criterion validity and content validity. Criterion validity means demonstrating that those who do well on the test also do well on the job, and that those who do poorly on the test do poorly on the job. In psychological measurement, a predictor is the measurement (in this case, the test score) that you are trying to relate to a criterion, such as performance on the job. Employers demonstrate the content validity of a test by showing that the test constitutes a fair sample of the job’s content. The basic procedure here is to identify job tasks that are critical to performance, and then randomly select a sample of those tasks to test. Evidence-Based HR: How to Validate a Test Steps in Test Validation 1 Analyze the Job: predictors and criteria 2 Choose the Tests: test battery or single test 3 Administer the Test: concurrent or predictive validation 4 Relate Your Test Scores and Criteria: scores versus actual performance 5 Cross-Validate and Revalidate: repeat Steps 3 and 4 with a different sample Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–9  FIGURE 6–2 Examples of Web Sites Offering Information on Tests or Testing Programs www.hr-guide.com/data/G371.htm Provides general information and sources for all types of employment tests http://ericae.net Provides technical information on all types of employment and nonemployment tests.www.ets.org/testcoll Provides information on over 20,000 tests www.kaplan.com Information from Kaplan test preparation on how various admissions tests work www.assessments.biz One of many firms offering employment tests Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–10  FIGURE 6–3 Expectancy Chart Example: Those who score between 37 and 44 have a 55% chance of being rated above average and those scoring between 57 and 64 have a 97% chance. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–11  TABLE 6–1 Testing Program Guidelines 1. Use tests as supplements. 2. Validate the tests. 3. Monitor your testing/selection program. 4. Keep accurate records. 5. Use a certified psychologist. 6. Manage test conditions. 7. Revalidate periodically. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–12 Test Takers’ Individual Rights and Test Security Under the APA’s American Psychological Association’s standard for educational and psychological tests, test takers have the following rights: Ø The right to the confidentiality of test results. Ø The right to informed consent regarding use of these results. Ø The right to expect that only people qualified to interpret the scores will have access to them, or that sufficient information will accompany the scores to ensure their appropriate interpretation. Ø The right to expect the test is fair to all. For example, no one taking it should have prior access to the questions or answers. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–13 Legal Privacy Issues Defamation Ø Libeling or slandering of employees or former employees by an employer. Avoiding Employee Defamation Suits 1. Train supervisors regarding the importance of employee confidentiality. 2. Adopt a “need to know” policy. 3. Disclose procedures impacting confidentially of information to employees. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–14 How Do Employers Use Tests at Work? Major Types of Tests Ø Basic skills tests Ø Job skills tests Ø Psychological tests Why Use Testing? Ø Increased work demands = more testing Ø Screen out bad or dishonest employees Ø Reduce turnover by personality profiling Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–15  FIGURE 6–4 Sample Test Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–16 Computerized and Online Testing Online tests Ø Telephone prescreening Ø Offline computer tests Ø Virtual “inbox” tests Ø Online problem-solving tests Types of Tests Ø Specialized work sample tests Ø Numerical ability tests Ø Reading comprehension tests Ø Clerical comparing and checking tests Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–17  Types of Tests What Different Tests Measure Cognitive Motor and Personality Current abilities physical abilities and interests achievement Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–18 Types of Tests Cognitive tests include tests of general reasoning ability (intelligence) and tests of specific mental abilities like memory and inductive reasoning. Tests of motor and physical abilities measure motor abilities, such as finger dexterity, manual dexterity, and reaction time. Personality tests measure basic aspects of an applicant’s personality, such as introversion, stability, and motivation. Achievement tests measure what someone has learned. Most of the tests you take in school are achievement tests. They measure your “job knowledge” in areas like economics, marketing, or human resources.  FIGURE 6–5 Type of Question Applicant Might Expect on a Test of Mechanical Comprehension Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–20  The “Big Five” Extraversion Emotional stability/ Conscientiousness Neuroticism Openness to Agreeableness experience Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–21  Work Samples and Simulations Measuring Work Performance Directly Management Video-based Miniature job Work assessment situational training and samples centers testing evaluation Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–22  TABLE 6–2 Evaluation of Assessment Methods on Four Key Criteria Costs (Develop/ Assessment Method Validity Adverse Impact Administer) Applicant Reactions Cognitive ability tests High High (against minorities) Low/low Somewhat favorable Job knowledge test High High (against minorities) Low/low More favorable Personality tests Low to Low Low/low Less favorable moderate Biographical data inventories Moderate Low to high for different High/low Less favorable types Integrity tests Moderate to Low Low/low Less favorable high Structured interviews High Low High/high More favorable Physical fitness tests Moderate to High (against females and High/high More favorable high older workers) Situational judgment tests Moderate Moderate (against High/low More favorable minorities) Work samples High Low High/high More favorable Assessment centers Moderate to Low to moderate, High/high More favorable high depending on exercise Physical ability tests Moderate to High (against females and High/high More favorable high older workers) Note: There was limited research evidence available on applicant reactions to situational judgment tests and physical ability tests. However, because these tests tend to appear very relevant to the job, it is likely that applicant reactions to them would be favorable. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–23 Background Investigations and Other Selection Methods Investigations and Checks Ø Reference checks Ø Background employment checks Ø Criminal records Ø Driving records Ø Credit checks Why? Ø To verify factual information provided by applicants Ø To uncover damaging information Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–24 Background Investigations and Reference Checks Former Employers Current Supervisors Sources of Commercial Credit Information Rating Companies Written References Social Networking Sites Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–25  Limitations on Background Investigations and Reference Checks Legal Issues: Defamation Background Employer Legal Issues: Investigations and Guidelines Privacy Reference Checks Supervisor Reluctance Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–26 Making Background Checks More Useful 1. Include on the application form a statement for applicants to sign explicitly authorizing a background check. 2. Use telephone references if possible. 3. Be persistent in obtaining information. 4. Compare the submitted résumé to the application. 5. Ask open-ended questions to elicit more information from references. 6. Use references provided by the candidate as a source for other references. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–27  Using Pre-employment Information Services Acquisition and Use of Background Information 1 Disclosure to and authorization by applicant/employee 2 Employer certification to reporting agency 3 Providing copies of reports to applicant/employee 4 Notice of adverse action to applicant/employee Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–28 Honesty Testing Programs: What Employers Can Do Antitheft Screening Procedure: Ø Ask blunt questions. Ø Listen, rather than talk. Ø Do a credit check. Ø Check all employment and personal references. Ø Use paper-and-pencil honesty tests and psychological tests. Ø Test for drugs. Ø Establish a search-and-seizure policy and conduct searches. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–29 Physical Examinations Reasons for pre-employment medical examinations: Ø To verify that the applicant meets the physical requirements of the position. Ø To discover any medical limitations to be taken into account in placing the applicant. Ø To establish a record and baseline of the applicant’s health for future insurance or compensation claims. Ø To reduce absenteeism and accidents. Ø To detect communicable diseases that may be unknown to the applicant. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–30 Substance Abuse Screening Types of Screening Ø Before formal hiring Ø After a work accident Ø Presence of obvious behavioral symptoms Ø Random or periodic basis Ø Transfer or promotion to new position Types of Tests Ø Urinalysis Ø Hair follicle testing Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–31  Improving Productivity Through HRIS: Using Automated Applicant Tracking and Screening Systems (ATS) Benefits of Applicant Tracking Systems “Knock out” Allows employers to Can match “hidden applicants who extensively test and talents” of applicants do not meet job screen applicants to available openings requirements online Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 6–32  Basic Types of Interviews Selection Interview Types of Appraisal Interview Interviews Exit Interview Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–34  Selection Interview Structure Selection Interview Characteristics Interview Interview Interview structure content administration Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–35  Selection Interview Formats Interview Structure Formats Unstructured Structured (nondirective) (directive) interview interview Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–36 EEOC ( Equal Employment Opportunity Control) Aspects of Interviews Use objective/job-related questions Avoiding Discrimination Standardize interview administration in Interviews Use multiple interviewers Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–37  Interview Content Types of Questions Asked Situational Behavioral Job-related Stress interview interview interview interview Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–38  Administering the Interview Unstructured sequential interview Structured Panel sequential interview interview Ways in Which Mass Interview Can Phone interview be Conducted interviews Computerized Video/Web-assisted interviews interviews Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–39 Three Ways to Make the Interview Useful Structure the interview to increase its validity Making the Carefully choose what sorts of Interview Useful traits are to be assessed Beware of committing interviewing errors Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–40 What Can Undermine An Interview’s Usefulness? First impressions (snap Nonverbal behavior judgments)-Halo effect and impression or stereotyping management Interviewer’s Factors Affecting Applicant’s personal misunderstanding An Interview’s characteristics of the job Usefulness Candidate-order Interviewer’s (contrast) error and inadvertent behavior pressure to hire Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–41 How to Design and Conduct An Effective Interview The Structured Situational Interview Ø Use either situational questions or behavioral questions that yield high criteria-related validities. Step 1: Analyze the job. Step 2: Rate the job’s main duties. Step 3: Create interview questions. Step 4: Create benchmark answers. Step 5: Appoint the interview panel and conduct interviews. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–42 How to Conduct a More Effective Interview Being Systematic and Effective 1 Know the job. 2 Structure the interview. 3 Get organized. 4 Establish rapport. 5 Ask questions. 6 Take brief, unobtrusive notes. 7 Close the interview. 8 Review the interview. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–43 Creating Effective Interview Structures Base questions on actual job duties. Use job knowledge, situational or behavioral questions, and objective criteria to evaluate interviewee’s responses. Use the same questions with all candidates. Use descriptive rating scales (excellent, fair, poor) to rate answers. If possible, use a standardized interview form. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–44  FIGURE 7–2 Examples of Questions That Provide Structure Situational Questions 1. Suppose a more experienced coworker was not following standard work procedures and claimed the new procedure was better. Would you use the new procedure? 2. Suppose you were giving a sales presentation and a difficult technical question arose that you could not answer. What would you do? Past Behavior Questions 3. Based on your past work experience, what is the most significant action you have ever taken to help out a coworker? 4. Can you provide an example of a specific instance where you developed a sales presentation that was highly effective? Background Questions 5. What work experiences, training, or other qualifications do you have for working in a teamwork environment? 6. What experience have you had with direct point-of-purchase sales? Job Knowledge Questions 7. What steps would you follow to conduct a brainstorming session with a group of employees on safety? 8. What factors should you consider when developing a television advertising campaign? Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–45 Using a Streamlined Interview Process 1. Prepare for the interview 3. Conduct the interview Knowledge and experience Have a plan Motivation Follow your plan Intellectual capacity 4. Match the candidate to the job Personality factor 2. Formulate questions to ask in the interview Intellectual factor Motivation factor Personality factor Knowledge and experience factor Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–46  FIGURE 7–4 Interview Evaluation Form Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–47  FIGURE 7–5 Interview Questions to Ask 1. What is the first problem that needs the attention of the person you hire? 2. What other problems need attention now? 3. What has been done about any of these to date? 4. How has this job been performed in the past? 5. Why is it now vacant? 6. Do you have a written job description for this position? 7. What are its major responsibilities? 8. What authority would I have? How would you define its scope? 9. What are the company’s five-year sales and profit projections? 10. What needs to be done to reach these projections? 11. What are the company’s major strengths and weaknesses? 12. What are its strengths and weaknesses in production? 13. What are its strengths and weaknesses in its products or its competitive position? 14. Whom do you identify as your major competitors? 15. What are their strengths and weaknesses? 16. How do you view the future for your industry? 17. Do you have any plans for new products or acquisitions? 18. Might this company be sold or acquired? 19. What is the company’s current financial strength? 20. What can you tell me about the individual to whom I would report? 21. What can you tell me about other persons in key positions? 22. What can you tell me about the subordinates I would have? 23. How would you define your management philosophy? 24. Are employees afforded an opportunity for continuing education? 25. What are you looking for in the person who will fill this job? Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 7–48