Selecting Employees

1. Selecting Employees

2. Selection • Choosing from available applicants those most likely to successfully perform a job. • Necessary prerequisites: • Job Analyses • HRP • Recruitment 7-2

3. Multiple Cutoff Technique in Selection • Series of screening devices: • Application Forms • Interviews • Tests 7-3

4. Employment Application Form • First step in most selection procedures: • Provides basic informationto use in later steps of selection process. • Can be used to screen out unqualified applicants. 7-4

5. Employment Application Form • EEOCRequirements • Questions to eliminate from pre-employment inquiries: • Race, color, national origin, and religion • Arrest and conviction records • Credit rating 7-5

6. Application Processing • Weighted application forms: • Assigns different weights to questions. • Subject to validity requirements. 7-6

7. Accuracy of Application Information • Verification is essential! • Info can be verified via reference checks. • Require applicant to sign validity statement. • Employers view falsification of application as a serious offense; normally leads to discharge. 7-7

8. Application Flow Record • To obtain information from applicant that could be used to illegally discriminate: • Applicant voluntarily completes record. • Applicant flow record can be used: • For statistical reports to EEOC or OFCCP. • To defend against discrimination charges. 7-8

9. Preliminary Interview • Determine if applicant’s skills, abilities, and job preferences match available jobs. • Explain to applicant available jobs and their requirements. • Answer questions from applicant about available jobs or employer. • Usually conducted after completed application form. 7-9

10. Preliminary Interview • Interview questions: • Must be job related. • Subject to demonstrations of validity. 7-10

11. Formal Testing • Supreme Court: any procedure used to make selection decisions is a TEST. • If selection process has adverse impact on legally protected groups, EEOC requires employer: • Establish validity and reliability using procedures outlined in “Uniform Guidelines on Employee Selection Procedures” 7-11

12. Aptitude Tests • Measure capacity or ability to learn and perform a job. • Aptitude tests include: • Verbal ability, Numerical ability • Perceptual speed • Spatial ability • Reasoning ability • What about Intelligence tests?? 7-12

13. Psychomotor Tests • Measure strength, dexterity, coordination. • Some psychomotor abilities that can be tested: Physical dexterity and speed. • Abilities may be tested for hiring people to fill assembly-line jobs. 7-13

14. Job Knowledge and Proficiency Tests • Job Knowledgetest – Measures job-related knowledge possessed by applicant. • Proficiency test – Measures how well applicant can do a sample of work. • Example: Word processing test given to applicants for a secretarial job. 7-14

15. Interest Tests • Does a person’s interests compare with interests of successful people in a specific job? • Primary challenge: responses may not be sincere. 7-15

16. Personality Tests • Questionable validity • Low reliability 7-16

17. Graphology (Handwriting Analysis) • Analyzing handwriting to assess person’s personality, honesty, etc. • Graphology has limited acceptance by organizations in United States. • Acceptance of graphology is increasing, since Employee Polygraph Protection Act does not prohibit its use. 7-17

18. Drug Testing • Common to test current employees when job performance suggests substance abuse and all new potential employees. • Urine sampling: common form of drug testing. • Some experts believe hair testing is more accurate than urine sampling. 7-18

19. AIDS Testing • People with AIDS or HIV positive are protected in their jobs by Vocational Rehabilitation Act and Americans with Disabilities Act (ADA). • Laws permit HIV-antibody testing in certain defined circumstances. 7-19

20. Types of Interviews • Stress interview? • Board or Panel interview? • Group interviews? 7-20

21. Interview Problems • Questionable Validity and Reliability of most. • Other problems: • Initial Impressions and Halo Effect • Over-Generalizing • Personal Preferences • Prejudices and Biases • Appearance, social status, race, and gender can negatively influence interviews. 7-21

22. Conducting Effective Interviews • Interviewers: outgoing and well-adjusted. • Plan the interview: specify information to be obtained and questions asked. • Interviewer should put applicant at ease. • Interviewer maintains control; primary goal of interview is to gain information for selection decision. 7-22

23. Conducting Effective Interviews • Interviewer should record information immediately. • Evaluate effectiveness of interview process: • Compare job performance of individuals hired against assessments made during interview. 7-23

24. Reference Checks • Either before or after second interview. • Personal references: • Limited value. Why? • School references: • May be of limited value for similar reasons. • Past Employment references: • Most often used source; in a position to supply most objective information. 7-24

25. Reference Checks • Many organizations only answer questions if they are in written form. • Amount and type of information a previous employer is willing to divulge varies. • Verification of information on application form is the least to be verified. • Most employers hesitant to answer questions about previous employees because of threat of defamation lawsuits. 7-25

26. Reference Checks • Privacy Act of 1974 – Prevents government agencies from making employment records available to other organizations without consent of individual. • Fair Credit and Reporting Act (FCRA) of 1971 – Requires private organizations to give job applicants access to information obtained from reporting service. • Mandatory that applicant be made aware that a check is being made. 7-26

27. Physical Examination • Normally required only after a job offer. • Job offer often contingent on individual passing physical examination. • Exam given to determine: • Is applicant physically capable of performing the job? • Eligibility for group life, health, and disability insurance. 7-27

28. Physical Examination • Rehabilitation Act of 1973 and ADA of 1990: • Do not prohibit medical exams. • Encourage employers to make medical inquiries directly related to applicant’s ability to perform job-related functions. • Require employers to make reasonable accommodations for handicaps. • ADA: Physical exam cannot be conducted until after job offeris extended. 7-28

29. Final Selection Decision • Assumption: More than one qualified person • Value judgment based on information gathered • Responsibility for final selection decision differs within different levels of management in different organizations. 7-29

30. Final Selection Decision • In many organizations, the HR department: • Handles completion of application forms. • Conducts preliminary interviews, testing, and reference checks. • Arranges for physical exams. • Diagnostic interview and final decision usually left to manager of the hiring department. 7-30

31. Final Selection Decision • In some organizations, HR department handles all steps up to the final decision: • HR gives manager a list of 3 to 5 qualified applicants. • Manager chooses individual believed to be best based on information provided. • Many organizations leave final choice to manager with the job opening, subject to approval of higher levels of management. 7-31

32. Final Selection Decision • In some organizations, HR department handles all steps in the selection process, including final decision. • In small organizations, owner often makes final choice. • Peer involvement: • Used mainly in selecting upper-level managers and professional employees. • Facilitates acceptance of new employee by work group! 7-32

33. Final Selection Decision • For selection of managers and supervisors, assessment centersare sometimes used: • To evaluate managerial potential. • Determines developmental needs. • Procedure involves: • Interviews • Tests • Individual and group exercises 7-33

34. Validation of Selection Procedures • Job Analysisis essential in developing a successful employee selection system: • Job Descriptions and Job Specifications • Job Description– how will successful performance of job be measured? • Possible criteria of job success: • Performance appraisals • Production data • Personnel data (e.g. absenteeism rates) 7-34

35. Validation of Selection Procedures • Job Specification– Identifying factors that predict successful job performance. • Possible Criterion Predictors: • Education • Previous work experience • Test scores • Data from application forms • Previous performance appraisals • Results of employment interviews 7-35

36. Validation of Selection Procedures • Validity – How accurately a criterion predictor predicts job success. • Reliability – Criterion predictor produces consistent results in repeated measurements. • Criterion predictor (test score) can be reliable without being valid. • It cannot be valid if it is not reliable. • Reliability is necessary, but not sufficient to show validity of a criterion predictor. 7-36

37. Validation of Selection Procedures 3 Methods to demonstrate Validity of a criterion predictor: • Criterion-related validity • Content validity • Construct validity 7-37

38. Criterion-Related Validity • Uses correlation analysis to show relationship between a predictor and criteria of job success. • Correlation Analysis– statistical method to measure relationship between two data sets. 7-38

39. Criterion-Related Validity • Validity for a predictor indicated by coefficient of correlation (r), ranging from +1 to –1: • Both +1 and – 1 = perfect correlation • Zero = total lack of correlation or validity • Positive correlation – Means two sets of data move in same direction • Negative correlation – Means two sets of data move in opposite directions 7-39

40. Criterion-Related Validity • Criterion predictor never correlates perfectly with a criterion of job success: • Significant issue in validity – What degree of correlation required between criterion predictor and criterion of job success in order to establish validity? 7-40

41. Criterion-Related Validity • Correlation coefficients rarely exceed 0.50: • Correlation of 0.40 usually very good. • Correlation of 0.3 or higher is acceptable. • Correlation less than 0.30 not acceptable. • Methods to establish Criterion-Related Validity: Predictive Validity and Concurrent Validity. 7-41

42. Predictive Validity • Identify a predictor(such as a test): • Administer test to applicant pool. • Hire people without regard to test scores. • At a later date: • Test scores correlated with criteria of job success. 7-42

43. Predictive Validity • To use this method: • Large number of employees hired without regard to test scores. • All new employees must receive equivalent orientation and training. 7-43

44. Concurrent Validity • Identify a predictor (such as a test): • Administer test to present employees. • Correlate test scores with present employees’ performance on job. • If acceptable correlation exists, test can be used for selection of future employees. 7-44

45. Concurrent Validity • Disadvantages: • Past discrimination may mean minorities and women not be adequately represented. • Poor performers more likely to have been discharged or quit; best performers promoted. 7-45

46. Content and Construct Validity • Criterion-related validation procedures --- Predictive validity or Concurrent validity --- preferred by EEOCin validation studies, but cost and time are drawbacks. • As a result, Content validity and Construct validity are frequently used methods, and also accepted by EEOC. 7-46

47. Content Validity • Content of selection procedure (such as a test) is representative of important aspects of job performance. • To use Content validity: • Determine performance requirements of a specific job. • Develop selection procedure or selection instrument based on an actual sample of work to be performed. 7-47

48. Construct Validity • Selection procedure measures degree to which job candidate has characteristics determined to be important for job performance. • Examples of job-related constructs: • Verbal Ability • Space Visualization • Perceptual Speed 7-48

49. Reliability Reproducibility of results with criterion predictor. • Examples: • A test is reliable if same person working under same conditions produces approximately same test results at different time periods. • A test is not reliable if a person fails on one day but makes an excellent grade taking it again a week later (assuming no learning takes place in the meantime). 7-49

50. Reliability Three methods to demonstrate reliability of a criterion predictor: • Test-Retest • Parallel (or Alternative) Forms • Split Halves 7-50