Applied Psychology in Human Resource Management seventh edition Cascio & Aguinis PowerPoint Slides developed by Ms. Elizabeth Freeman University of South Carolina Upstate Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Chapter 6 Measuring and Interpreting Individual Differences Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Individual differences are physical & psychological. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

To measure differences is to measure the variability. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

To measure variability. must know. how to measure. accurately. & To measure variability must know how to measure accurately & must know when variations differences are important Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

What is measurement? The assignment of numerals to objects or events according to rules. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Numeral assignment applies to both. physical &. psychological Numeral assignment applies to both physical & psychological characteristics in a similar process. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Measurement answers the questions How many? How much? How often? Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Psychological measurements. focus on individual traits Psychological measurements focus on individual traits & are not as precise as physical measurements. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Traits: measured by comparing one person to standardized samples of behaviors from other people Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Standardization data collected by various scales Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Scales of Measurement nominal ordinal interval ratio Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Nominal Scales. lowest level measurement. categorize or catalogue Nominal Scales lowest level measurement categorize or catalogue numbers have no meaning assume equality and a = b assume exclusivity a ≠ b Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Nominal Scales. HR interested in frequencies. Chi square statistics Nominal Scales HR interested in frequencies Chi square statistics Contingency coefficients Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Ordinal Scales next level measurement categorize, catalogue rank magnitude assume equality, exclusivity a = b, a ≠ b assume transitivity If [(a>b) & (b>c)], then (a>c) Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Ordinal Scales Transitivity If (a > b) and (b > c), then (a > c) or If (a = b) and (b= c), then (a=c) Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Ordinal Scales Transitivity to HR means one candidate is better than … one candidate is stronger than … one candidate is more qualified Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Ordinal Scales Statistics medians percentile ranks rank-order correlations rank-order analysis of variance Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Interval Scales. categorize, catalogue. rank magnitude Interval Scales categorize, catalogue rank magnitude assume equality and assume transitivity assume additivity assume equal size units Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Interval Scales. Additivity If (a>b) and (b>c), then (a>c) Interval Scales Additivity If (a>b) and (b>c), then (a>c) or If (a=b) and (b=c), then (a=c) and (d-a) = (c-a)+(d-c) Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Interval Scales To HR, additivity means If one candidate scores 10 points higher on a trait and that trait is valued, then this candidate is 10 points better than a candidate scoring 10 points lower. Value optimism, measure optimism, choose candidate with most optimism Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Interval Scales Statistics. Central Tendency. Variability Interval Scales Statistics Central Tendency Variability Correlation coefficient Tests of significance Transformations Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Ratio Scales. Equality. Exclusivity. Transitivity. Additivity Ratio Scales Equality Exclusivity Transitivity Additivity Absolute Zero Point Not as common for traits Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Psychological Measurement Scales generally. are nominal or ordinal Psychological Measurement Scales generally are nominal or ordinal may approximate interval Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Interval approximations assume equality between intervals Interval approximations assume equality between intervals of intellect, aptitude trait Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

When interval equality is questioned, transform raw scores statistically into equivalent derivatives Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

To HR, psychological intervals consider the social utility selection: hire or reject placement: which position diagnosis: which remedial alternative hypothesis testing: accuracy of theory evaluation: what score Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Selecting & Creating the Right Measure. otherwise known as Selecting & Creating the Right Measure otherwise known as the “right test” Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

In HR, tests are written, oral, & performance. interviews In HR, tests are written, oral, & performance interviews rating scales scorable systematic by content administration scoring Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

When HR knows what to test, When HR knows what to test, then where & how to test Mental Measurements Yearbook www.unl.edu/buros/00testscomplete.html Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Selecting & Creating Tests 1. Determine a Measure’s Purpose 2 Selecting & Creating Tests 1. Determine a Measure’s Purpose 2. Define the Attribute 3. Develop a Measure Plan 4. Write Items 5. Conduct a Pilot Study 6. Conduct Traditional Item Analysis clarity, distractors, difficulty, discrimination 7. Conduct IRT Analysis difficulty, discrimination, guessing 8. Select Items 9. Determine Reliability & Validity 10. Revise & Update Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Selecting Tests by Classification Methods. 1. Content. 2 Selecting Tests by Classification Methods 1. Content 2. Administration 3. Scoring Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

1. Content. Task. Verbal. Nonverbal. Performance. Process. Cognitive 1. Content Task Verbal Nonverbal Performance Process Cognitive ability achievement Affective (inventories) interests values motives traits Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

2. Administration. Efficiency. Individual. Group. Time. Speed. Power 2. Administration Efficiency Individual Group Time Speed Power Standardized Non-standardized Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

3. Scoring. Objective - unbiased. Nonobjective –. bias potential high 3. Scoring Objective - unbiased Nonobjective – bias potential high risk rater variance Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Other considerations. Costs. direct. indirect. Administration time Other considerations Costs direct indirect Administration time Interpretation of results Face validity Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Test Guidance Sources 1. APA’s Guidelines for Test User Qualification 2. Sample user qualification form www.agsnet.com/site7/appform.asp Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability as Consistency Applies to all measures. all tests Reliability as Consistency Applies to all measures all tests all decision tools For HR, this means making right employment decisions Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability formal definition. freedom from unsystematic. errors Reliability formal definition freedom from unsystematic errors minimized random errors random error spread evenly Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability statistics. correlation coefficient. r = Reliability statistics correlation coefficient r = coefficient of determination r2 = Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability coefficients estimate Reliability coefficients estimate precision of procedures performance consistencies Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability methods measures. 1. Test – retest Reliability methods measures 1. Test – retest coefficient of stability 2. Parallel forms coefficient of equivalence 3. Internal consistency Kuder-Richardson coefficient alpha (Cronbach) Split-half coefficient of equivalence, too Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability consideration Rater consistency or Interrater reliability error attributable to examiner Measured by interrater agreement interclass correlation intraclass correlation Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability consideration Interrater reliability errors may be due to Reliability consideration Interrater reliability errors may be due to what is observed access to nonattribute information interpretation expertise observation evaluation Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability & Error Sources Method. Source Test-retest Reliability & Error Sources Method Source Test-retest time sampling Parallel forms content, time sampling Split-half content Cronbach’s alpha content Kuder-Richardson content Interrater agreement Consensus Interrater correlation Consistency Intraclass correlation Consistency Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Reliability & Error Sources good reference for more information Standards for Educational and Psychological Tests Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Interpretation of Reliability. depends on use of scores Interpretation of Reliability depends on use of scores reliability limits on validity Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Factors effecting reliability Individual differences range Measurement difficulty procedure Sample size & representativeness Standard error of Measurement Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

For HR, Standard Error of Measurement used to determine individual descriptions differ significantly individual measures differ significantly from hypothetical true score tests discriminate differences per group test score ranges rather than precise points Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Generalizability Theory. more current than standard Generalizability Theory more current than standard reliability considerations precision with which score represents the generalized universe of the score Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Generalizability Theory observations are samples from total universe of scores a universe score is the expected value of scores over all admissible scores think of this as standardization Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Generalizability Theory Standardization completed first Decisions about individuals follow Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Interpreting the Results For HR, measurements result Interpreting the Results For HR, measurements result performance predictions developmental actions evaluations of behaviors Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

All decisions are relative to norms Norms assume normal curves (bell-shaped distributions) Normal curves allow comparisons by standard deviations from means Individual scores are near (or far) from the mean of average score Preferred closeness or distance from mean influences HR decisions Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

HR decisions dependent on the reliability of the initial data and leads to the next consideration, accuracy and validity of decisions Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall

Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall