Employee Testing and Selection 6 Employee Testing and Selection The purpose of Chapter 6 is to explain how to use various tools to select the best candidates for the job. The main topics we’ll cover include selection, testing, background and reference checks, ethical and legal questions, types of tests, and work samples and simulations. Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall

Why Careful Selection is Important Performance Cost Legal obligations Person and job/organization fit Careful selection is important for three main reasons: performance, costs, and legal obligations. First, your own performance always depends on your subordinates. Second, it is important because it’s costly to recruit and hire employees. As the opening story in this chapter indicated, Google’s hiring process was streamlined due to the amount of time taken for interviews. Time spent by employees equates to the costs of not being productive in their jobs. Third, it’s important because mismanaging hiring has legal consequences. Person-job fit refers to identifying the knowledge, skills, abilities (KSAs), and competencies that are central to performing the job. Then we must match the KSAs to the prospective employee’s knowledge, skills, abilities, and competencies. Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall

Basic Testing Concepts Reliability Validity Criterion validity Content validity Construct validity A test is basically a sample of a person’s behavior. Using a test (or any selection tool) assumes the tool is both reliable and valid. A reliable test is one that yields consistent scores when a person takes two alternate forms of the test or takes the same test on two or more different occasions. Validity tells you whether the test is measuring what you think it’s supposed to be measuring. Now, let’s discuss three types of validity. Criterion validity involves demonstrating statistically there is a relationship between scores on a selection procedure and the job performance of a sample of workers. It means showing that workers who do well on the job also do well on the test. Content validity shows that the content of a selection procedure is representative of important aspects of performance on the job. Constructs represent an underlying human trait or characteristic such as honesty. Construct validity demonstrates that a selection procedure measures a construct and that the construct is important for successful job performance. Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall

Basic Testing Concepts Reliability The consistency of scores obtained by the same person when retested with the identical or equivalent tests. Are the test results stable over time? Test validity The accuracy with which a test, interview, and so on measures what it purports to measure or fulfills the function it was designed to fill. Does the test actually measure what we need for it to measure?

Types of Validity Criterion validity Content validity A type of validity based on showing that scores on the test (predictors) are related to job performance (criterion). Are test scores in this class related to students’ knowledge of human resource management? Content validity A test that is content valid is one that contains a fair sample of the tasks and skills actually needed for the job in question. Do the test questions in this course relate to human resource management topics? Is taking an HR course the same as doing HR?

Sample Picture Card from Thematic Apperception Test How do you interpret this picture? Figure 6–1 Source: Harvard University Press. Used with permission.

How to Validate a Test Step 1: Analyze the job Predictors: job specification Criterion: quantitative and qualitative measures of job success Step 2: Choose the tests Test battery or single test? Step 3: Administer the test Concurrent validation Current employees’ scores with current performance Predictive validation Later-measured performance with prior scores

How to Validate a Test (cont’d) Step 4: Relate Test Scores and Criteria Correlation analysis Actual scores on the test with actual performance Step 5: Cross-Validate and Revalidate Repeat Step 3 and Step 4 with a different sample of employees.

Using Tests at Work Major types of tests used by employers Basic skills tests (45%) Psychological tests (33%) Use of testing Less overall testing now but more testing is used as specific job skills and work demands increase. Screen out bad or dishonest employees Reduce turnover by personality profiling Source of tests Test publishers

Types of Tests Cognitive abilities Motor & physical abilities Intelligence tests Specific cognitive abilities Motor & physical abilities Measuring personality Interest inventories Achievement tests Cognitive tests include testing general reasoning ability or intelligence. In addition, they include tests of specific mental abilities such as memory or inductive reasoning. Intelligence tests are tests of general intellectual abilities. They measure a range of abilities, including memory, vocabulary, verbal fluency, and numerical ability. There are also measures of specific cognitive abilities, such as deductive reasoning, verbal comprehension, memory, and numerical ability. You also might need to measure motor abilities, such as finger dexterity, manual dexterity, and (if hiring pilots) reaction time. Personality tests measure basic aspects of an applicant’s personality. You should be a bit cautious about personality tests, however. In some cases, the tests may be somewhat difficult to interpret. Legal challenges also may present difficulties. Finally, some doubt exists as to whether self-reporting on a personality test can predict performance correctly. Interest inventories compare one’s interests with those of people in various occupations. And, achievement tests measure what someone has learned. Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall

Problem from the Test of Mechanical Comprehension Which gear will turn the same way as the driver? Source: Reproduced by permission. Copyright 1967, 1969 by The Psychological Corporation, New York, NY. All rights reserved. Author’s note: 1969 is the latest copyright on this test, which is still the main one used for this purpose. Figure 6–5

What do personality tests measure? The “Big Five” Predicting performance Caveats Personality tests measure basic aspects of an applicant’s personality, such as introversion, stability, and motivation. Some of these tests are projective. The psychologist presents an ambiguous stimulus (like an inkblot or clouded picture) to the person. The person then reacts to it. Other personality tests are self-reported: applicants complete them themselves. Industrial psychologists often focus on the “Big Five” personality dimensions: extraversion, emotional stability/neuroticism, agreeableness, conscientiousness, and openness to experience. Personality traits can be predictive since they do often correlate with job performance. Other traits correlate with occupational success. For example, extraversion correlates with success in sales and management jobs. However, there are three caveats. First, projective tests are hard to interpret. An expert must analyze the test taker’s interpretations and make conclusions about his or her personality. Second, personality tests can trigger legal challenges. Third, some dispute that self-reported personality tests predict performance at all. Be aware of what you expect from a personality test and the caveats associated with it. Nonetheless, personality tests can be a valuable source of information. Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall

The “Big Five” Extraversion Emotional stability/neuroticism The tendency to be sociable, assertive, active, and to experience positive effects, such as energy and zeal. Emotional stability/neuroticism The tendency to exhibit poor emotional adjustment and experience negative effects, such as anxiety, insecurity, and hostility. Openness to experience The disposition to be imaginative, nonconforming, unconventional, and autonomous. Agreeableness The tendency to be trusting, compliant, caring, and gentle. Conscientiousness Is comprised of two related facets: achievement and dependability.

Other Tests Interest inventories Achievement tests Personal development and selection devices that compare the person’s current interests with those of others now in various occupations so as to determine the preferred occupation for the individual. Achievement tests Test that measure what a person has already learned—“job knowledge” in areas like accounting, marketing, or personnel.

Work samples and simulations Basic procedure Situational judgment tests Management assessment centers Situational testing The basic procedure with work sampling is to select a sample of several tasks crucial to performing the job, and then test applicants on them. Situational judgment tests are personnel tests “…designed to assess an applicant’s judgment regarding a situation encountered in the workplace.” Situational judgment tests are effective and widely used. A management assessment center is a 2- to 3-day simulation in which 10 to 12 candidates perform realistic management tasks such as making presentations. The behaviors of the candidates are observed by experts who appraise each candidate’s leadership potential. Most experts view assessment centers as effective for selecting management candidates. However, they are quite costly in terms of money and time. Situational tests require examinees to respond to situations found on the job. Work sampling and some assessment center tasks fall into this category. Some of the testing may be video-based. Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall

Work Simulations Management assessment center A simulation in which management candidates are asked to perform realistic tasks in hypothetical situations and are scored on their performance. Typical simulated exercises include: The in-basket Leaderless group discussion Management games Individual presentations Objective tests The interview

Work samples and simulations Computerized multimedia assessment Miniature job training and evaluation Realistic job previews Testing techniques for managers Employers increasingly use computerized multimedia candidate assessment tools. We discussed some of these tools when we considered computerized tests and management assessment centers. Like work sampling, miniature job training and evaluation tests applicants with actual samples of the job. Miniature job training assumes that a candidate who demonstrates the ability to perform a sample of job tasks will be able to learn and perform the job itself. Sometimes, a dose of realism makes the best screening tool. Describing all aspects of the job, the nature of the working environment and even the company culture helps create a self-screening tool. In general, applicants who receive realistic job previews are more likely to turn down job offers if they do not like what they understand the job to be. Applicants who accept are then more likely to stay on the job. You may find that, even in large companies, when it comes to screening employees, you’re on your own. The human resource department may work with you to design and administer screening tests. However, HR may be able to do little more than the recruiting, prescreening, background checks, and arrange for drug and physical exams. If HR is not given proper resources, you have even more reason to understand and use the information we have been discussing. Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall

Work Simulations (cont’d) The miniature job training and evaluation approach Candidates are trained to perform a sample of the job’s tasks, and then are evaluated on their performance. The approach assumes that a person who demonstrates that he or she can learn and perform the sample of tasks will be able to learn and perform the job itself.