Selecting Employees Strategically: What Managers Need to Know Today

Copyright South-Western College Publishing Module Today’s Agenda Introduction Discussion points: –traditional core concepts –emerging core concepts –strategic issues Wrap-up and Review

Copyright South-Western College Publishing Module An Initial Question What is selection? Selection is the process of matching an individual's characteristics and capabilities to the requirements of a job

Copyright South-Western College Publishing Module Questions for Discussion What changes in the business environment are impacting the way we define job requirements? Can selection systems help managers respond to these changes…..?

Copyright South-Western College Publishing Module We will address this by looking at: Traditional Core Concepts of Selection –Statistical and Legal Issues, Predictors, Measurement Methods Emerging Core Concepts –Adaptability and Contextual Performance Strategic Issues Topic: What do managers need to know about selecting employees?

Copyright South-Western College Publishing Module Traditional Core Concepts 1. Statistical and Legal Issues –Reliability –Validity –Adverse Impact 2. Predictors 3. Measurement Methods

Copyright South-Western College Publishing Module Reliability Reliability is an index of the consistency of a measure High reliability gives you confidence in the accuracy of the measure

Copyright South-Western College Publishing Module For Each of the Following: Define the model. What factor is considered error? How is it computed? What is it used for? 1. Test-retest 2. Parallel forms 3. Internal consistency 4. Interrater reliability

Copyright South-Western College Publishing Module Validity Validity is the extent to which the inferences one is making with a test are correct Validity is not a property of a test, it is a property of how that test is used

Copyright South-Western College Publishing Module For Each of the Following: Define the validation strategy. How would you demonstrate validity in this way? 1. Content validity 2. Construct validity 3. Criterion-related validity

Copyright South-Western College Publishing Module Adverse Impact Adverse impact is an issue of social fairness - it is not a statistical concept Test for adverse impact -- the “four-fifths rule” If a test has adverse impact, must demonstrate the job-relatedness of selection procedure

Copyright South-Western College Publishing Module Predictors Cognitive ability Personality Work Sample Biodata

Copyright South-Western College Publishing Module Questions for Discussion: Predictors Which of these traditional predictors tends to have the most adverse impact? Why has personality enjoyed a recent resurgence in popularity as a predictor of job performance? What are the possible drawbacks of work sample tests?

Copyright South-Western College Publishing Module Traditional Measurement Methods Describe two costs and two benefits of each of the following measurement methods: –interviews –paper and pencil tests –computerized testing –assessment centers

Copyright South-Western College Publishing Module OK - Where Are We Now….. Understand the importance of selection in responding to changes in the business environment Understand the statistical and legal issues surrounding selection: reliability, validity, and adverse impact Understand the basic predictors and measurement methods used in selection

Copyright South-Western College Publishing Module Emerging Core Concepts Expectations of successful work performance have changed –Traditional model of performance was task performance –Emerging models of performance include adaptability, contextual performance

Copyright South-Western College Publishing Module Adaptability Adaptability is defined as responsiveness to environmental changes –How is the environment changing for organizations? –How is the environment changing for individual employees?

Copyright South-Western College Publishing Module Adaptability Requirements Differ by Job Can adaptability requirements differ by job? Consider how requirements might differ for: –managers –factory workers –salespeople

Copyright South-Western College Publishing Module Question for Discussion Can Adaptability Requirements Differ by Industry or Organizational Type? Consider…. –private vs. public sector –manufacturing vs. high tech vs. service

Copyright South-Western College Publishing Module Predictors of Adaptability Include: Cognitive ability Openness Locus of control Risk aversion Self-efficacy

Copyright South-Western College Publishing Module Two Dimensions of Adaptability Learning new tasks and technologies Cultural adaptability Which characteristics would predict performance in each dimension?

Copyright South-Western College Publishing Module Contextual Performance Defined as behaviors outside of the specific tasks required by the job, but that are still beneficial to the organization Includes volunteering, cooperating with others, following rules

Copyright South-Western College Publishing Module Questions for Discussion: Contextual Performance Do you need to select on these contextual performance behaviors? Are there other ways organizations can elicit contextual behaviors from employees?

Copyright South-Western College Publishing Module Contextual Performance and Staffing Strategies How would expectations of contextual performance differ depending on staffing strategies? –Full-time staff employees –Contractors –Part time –Temporary employees

Copyright South-Western College Publishing Module Adaptability and Contextual Performance What are the predictors of adaptability? What are the predictors of contextual performance? Would these characteristics tend to exist in the same people? Are these two aspects of performance related at all?

Copyright South-Western College Publishing Module Strategic Issues in Selection Systems In general, how can the human resource function directly impact firm profits? Specifically, how can an effective selection system directly impact profits? What types of organizations have the most to lose by giving short shrift to selection systems?

Copyright South-Western College Publishing Module Conclusions Changes in the workplace make: 1) Effective selection systems especially important 2) adaptability and contextual performance behaviors more valuable 3) understanding of the strategic linkages between selection and firm performance essential

Copyright South-Western College Publishing Module Conclusions So we can conclude that a) employees must now display different behaviors for organizations to compete effectively in a rapidly changing environment and b) human resource managers must develop and implement new selection processes that can identify employees who can meet the new workplace challenges