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Chapter 5. Employee Testing and Selection. Chapter 5 Outline. Why Careful Selection is Important Basic Testing Concepts Validity Reliability How to Evaluate a Test. Chapter 5 Outline. Basic Testing Concepts EEO Aspects of Testing Research Insight The Issue of Privacy
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Chapter 5 Employee Testing and Selection
Chapter 5 Outline • Why Careful Selection is Important • Basic Testing Concepts • Validity • Reliability • How to Evaluate a Test
Chapter 5 Outline • Basic Testing Concepts • EEO Aspects of Testing • Research Insight • The Issue of Privacy • Using Tests at Work • Computer-Interactive Testing
Chapter 5 Outline • Types of Tests • Tests of Cognitive Abilities • Tests of Motor and Physical Abilities • Measuring Personality and Interests • Research Insight • Achievement Tests • HR.net Using the Web for Testing
Chapter 5 Outline • Work Samples and Simulations • Work Sampling for Employee Selection • Management Assessment Centers • Video-based Situational Testing • The Miniature Job Training and Evaluation Approach • Other Selection Techniques • Background Investigations and Reference Checks • Pre-employment Information Services
Chapter 5 Outline • Other Selection Techniques • The Polygraph and Honesty Testing • Research Insight • Graphology • Physical Examination • Substance Abuse Screening • High-Performance Insight • Strategy and HR: City Garage’s New Hiring Process • Complying with Immigration Law
What You Should Be Able to Do (Cont.) • Describe the overall selection process • List the ethical and legal issues in testing • Explain how you would go about validating a test • List eight tests you could use for employee selection, and how you would use them
What You Should Be Able to Do (Cont.) • Cite and illustrate our testing guidelines • Explain what an assessment center is • Explain the key points to remember in conducting background investigations
Employee Testing and Selection Definition Employee testing and selection is the use of various tools and techniques to select the best candidates for the job. These tools cover the selection process, basic testing techniques, background and reference checks, ethical and legal questions in testing, types of tests, and work samples and simulations.
Why Careful Selection Is Important • HR manager’s performance depends on the performance of subordinates • The cost to recruit and hire is high • Legal implications of incompetent hiring are costly and can result in negligent hiring litigation
How to Avoid Litigation • Carefully scrutinize • Get written okay • Save records • Reject applicants • Balance privacy rights with ‘need to know’ • Take immediate action
Testing Concepts 101 • Test validitychecks whether or not a test measures what it is supposed to measure • Criterion • Content Both test validity • Test reliability = a test’s consistency or accuracy • Validity and reliability aid in effective applicant selection
Test Validity • A typing test corresponds to an on-the- job behavior • Thematic apperception test asks a person to interpret a picture (like that shown below)
Test Reliability • Does the same test given to the same person result in the same test outcome? • Retest estimate • Equivalent form estimate e.g. SAT • Internal consistency or comparison estimate
Causes of Test Unreliability • Questions may do poor job of sampling the material • Changes in testing condition may cause errors • More causes listed in the internet appendix
Analyze job & write description 1 Choose the tests 2 Administer tests 3 Relate scores & criteria 4 Cross-validate & revalidate 5 How to Validate a Test
1 Analyze Job & Write Job Description • Determine and specify predictors or requirements necessary for successful performance • Define what you mean by success on the job • Write the job description and job specification
Choose tests that measure attributes needed for success and combine into a test batterythat measures an array of possible predictors such as aggressiveness, extroversion and numerical ability 2 Choose the Tests
Psychological Intellectual Technical Aptitude Interest inventories Reliability inventories Clerical skills test Telemarketing ability tests Service ability tests Management aptitude test Team skills test Sales ability test Choose the Tests Available tests include: Visit Applied Assessments
Concurrent validation Give tests to employees Compare scores with current performance Predictive validation Test applicant before hiring Use alternate selection technique to hire Compare real performance with test results – determines suitability of test 3 Give the Tests Two formats
4 Relate Test Scores and Criteria • Does a statistical relationship exist between the test scores and job performance?
5 Cross-validate and Revalidate • To cross-validate, perform Steps 3 and 4 on a new sample of employees • An expert should revalidate the test periodically • To demonstrate content validity: • Do a careful job analysis that identifies the work behavior required • Combine samples of these behaviors into a test
EEO Aspect of Testing • Validity tests must meet Equal Employment Opportunity Laws in two key ways • Your tests are related to success or failure on the job (validity) • Your tests don’t unfairly discriminate against minority or non-minority subgroups
Guidelines for a Testing Program • Use tests as supplements • Validate tests with your own organization • Analyze all your current hiring and promotion standards • Keep accurate records • Use a certified psychologist • Manage test conditions
Test Takers Individual Rights • Confidentiality • Informed consent • Expect that only qualified people will interpret and have access to test results • Expect the test is fair to all – no one has answers in advance
Perceived Fairness to Test Takers • Follow good test practices – a quiet, monitored test room • The “obviousness” of the line between the selection procedure and the job Graphology Honesty & Personality Written Ability Biographical Information Interviews & Work Sample Unfair Neutral Favorable Fair
Privacy and the Law • Supreme court decisions protect us from intrusive government action by setting limits on disclosure of personal information • Common lawof torts precludes disclosure of personal information outside the company • Some states recognize common law as it applies to invasion of privacy
Guidelines for Privacy • Train your supervisors regarding the importance of employee confidentiality • Adopt a “need to know” policy • If you know your firm can’t keep information confidential, you may limit your liability by disclosing that fact before testing
Using Tests at Work Are you prone to accidents at work? This test helps you rate your chances
Computerized Testing Visit Their tests reduce costs and raise quality
Types of Tests • Cognitive • Intelligence quotient • Specific cognitive abilities or aptitude Which shape has the greatest area? • Motor and physical ability • Dexterity Smoothest ride? A, B, or C?
Types of Tests • Personality and interests • Interest inventories • Achievement What is ‘tolerance’?
Types of Tests • Wonderlic personal characteristics inventory measures general mental ability • Predictive Index measures work-related personality traits, drives, and behaviors • Projective techniques like MAPS, HTP, and Forer Structured Sentence Completion
Effectiveness The “Big Five” Even More About Tests! "5" • Interest Inventories • Achievement Tests
Smart or Personable • Both personality and intelligence drive careers • When defining career success in terms of intrinsic and extrinsic success, conscientiousness predicted both • Neuroticism negatively predicted extrinsic success • Intelligence positively predicted extrinsic career success
Work Sampling for Employee Selection • Work samples measure actual on-the-job tasks • Work sampling technique measure how one performs some of the job’s basic tasks • Benefits include fairness to minorities, accuracy, no invasion of privacy and better predictor of performance
Management Assessment Centers Definition • A management assessment centeris a two to three-day simulation in which 10 to 12 candidates perform realistic management tasks (like making presentations) under the observation of experts who appraise each candidate’s leadership potential
Typical MAC Exercises • The In-basket • Leaderless group discussion • Management games • Individual presentations • Objective tests • The interview
Well, I’m glad you’re here. Oh? Why is that? But I didn’t work late last night. Maybe not but this has happened before. Video Based Situational Tests • Presents candidate with several scenarios Look at this place, that’s why! I take a day off and come back to find this mess.
Video Based Situational Tests • If you were this associate what would you do? • Let the other associates responsible for the mess • know that you had to take the heat. b. Straighten up the department, and try to reason with the manager later. c. Suggest to the manager that he talk to the other associates who made the mess. d. Take it up with the manager’s boss. e. Quit!
Other Selection Techniques • Background investigations are effective because they verify factual information and may uncover criminal records • Reference checking is harder as several federal laws give rejected applicant rights to know the information which might result in litigation
Giving and Getting References • Common law • Defamation • Making background checks more useful • Giving references: know the law
Pre-employment Information Services • Services store and search databases to delve into candidate criminal, driving, work, and credit histories • Various EEO laws discourage or prohibit their use in candidate screening • Non-EEO laws restrict their use
Guidelines for Using Background Information Checks • Check all applicable state laws • Review the impact of federal equal employment laws • Remember the Federal Fair Credit Reporting Act • Do not obtain information that you’re not going to use
Guidelines for Using Background Information Checks • Remember that using arrest information will be highly suspect • Avoid blanket policies • Use information that is specific and job related • Keep information confidential and up to date • Never authorize an unreasonable investigation
Honesty Testing • The polygraph can no longer be used routinely • Paper and pencil honesty tests are widely used to find personality flaws • Research shows that honesty testing can spot problems
What’s an Employer to Do? • Ask blunt questions • Be good listeners • Do a credit check • Check all personal and employment references • Use paper & pencil honesty as well as psych tests • Test for drugs • Establish a search and seizure policy
Hand Writing Tests • Graphology may not be used as a screening test as it is not reliable