1. Copyright © 2004 South-Western. All rights reserved.

2. Objectives After studying this chapter, you should be able to:
Explain the objectives of the personnel selection process.
Identify the various sources of information used for personnel selection.
Compare the value of different types of employment tests.
Illustrate the different approaches to conducting an employment interview.
Describe the various decision strategies for selection.
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3. Matching People and Jobs
Selection
The process of choosing individuals who have relevant qualifications to fill existing or projected job openings.
Selection Considerations
Person-job fit: job analysis identifies required individual competencies (KSAOs) for job success.
Person-organization fit: the degree to which individuals are matched to the culture and values of the organization.
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4. The Goal of Selection: Maximize “Hits”
MISS
Inaccurate prediction (Person would have succeeded on the job)
HIT
Accurate prediction (Person succeeds on the job)
Accurate prediction (Person would not have succeeded on the job)
Inaccurate prediction (Person fails on the job)
Predicted Success
Job Performance
Low
High
Figure 5.1
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Presentation Slide 5–1

5. Steps in the Selection Process
Hiring decision
Medical exam/drug test
Supervisor/team interview
Preliminary selection in HR department
Background investigation
Employment testing (aptitude, achievement)
Initial interview in HR department
Note: Steps may vary. An applicant may be rejected after any step in the process.
Completion of application
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Figure 5.2

6. The Selection Process Obtaining Reliable and Valid Information
Reliability
The degree to which interviews, tests, and other selection procedures yield comparable data over time and alternative measures.
Validity
Degree to which a test or selection procedure measures a person’s attributes.
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7. Reliability as Stability over Time
HIGH RELIABILITY TEST RETEST
APPLICANT SCORE SCORE
Smith 90 93
Perez 65 62
Riley
Chan 80 78
VERY LOW RELIABILITY TEST RETEST
APPLICANT SCORE SCORE
Smith 90 72
Perez 65 88
Riley
Chan
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Presentation Slide 5–2

8. Reliability as Consistency (Interrater Reliability)
HIGH RELIABILITY
APPLICANT Rater #1 Rater #2 Rater #3
Smith 9 8 8
Perez 5 6 5
Riley 4 5 5
Chan 8 8 8
VERY LOW RELIABILITY
Smith 9 5 6
Perez 5 9 4
Riley 4 2 7
Chan 8 4 2
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Presentation Slide 5–3

9. Valid and Invalid Tests
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Presentation Slide 5–4

10. Validation Approaches
Criterion-related Validity
The extent to which a selection tool predicts, or significantly correlates with, important elements of work behavior.
A high score indicates high job performance potential; low score is predictive of low job performance.
Concurrent Validity
The extent to which test scores (or other predictor information) match criterion data obtained at about the same time from current employees.
High or low test scores for employees match their respective job performance.
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11. Validation Approaches cont’d
Predictive Validity
The extent to which applicants’ test scores match criterion data obtained from those applicants/ employees after they have been on the job for some indefinite period.
A high or low test score at hiring predicts high or low job performance at a point in time after hiring.
Correlation Coefficient
A number ranging from 0.00, denoting a complete absence of relationship, to 1.00 and to -1.00, indicating a perfect positive and perfect negative relationship, respectively.
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12. Correlation Scatterplots
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Figure 5.3

13. Validation Approaches (cont’d)
Content validity
The extent to which a selection instrument, such as a test, adequately samples the knowledge and skills needed to perform a particular job.
Example: typing tests, driver’s license examinations
Construct validity
The extent to which a selection tool measures a theoretical construct or trait.
Are difficult to validate
Example: creative arts tests, honesty tests
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14. Validation Approaches
Cross-validation
Verifying the results obtained from a validation study by administering a test or test battery to a different sample (drawn from the same population).
Validity generalization
The extent to which validity coefficients can be generalized across situations.
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15. Steps in Validating a Test (Criterion-Related Validity)
Examination of the job Job analysis/specifications
Selection of criteria
Selection of tests for tryout
Alternative/ optional
Collect criterion data (concurrent method)
Collect criterion data (predictive method) OR
Administer tests
Relate test scores to criterion data, then cross validate
Plan research for test (continuing cross validation)
Interpret results for operational use of tests
Include test(s) in selection process (operational)
Analyze follow-up data
Revise operational program
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Presentation Slide 5–5

16. Sources of Information about Job Candidates
Application Forms
Online Applications
Biographical Information Blanks (BIB)
Background Investigations
Polygraph Tests
Integrity and Honesty Tests
Graphology
Medical Examinations
Employment Tests
Interviews
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Presentation Slide 5–6

17. The Effectiveness of Selection Methods
In a survey of 201 HR executives, participants were asked which selection methods produce the best employees. The mean rating for nine methods on a 5-point scale (1 = not good, 3 = average, 5 = extremely good):
Work samples 3.68
References/recommendations 3.49
Unstructured interviews 3.49
Structured interviews 3.42
Assessment centers 3.42
Specific aptitude tests 3.08
Personality tests 2.93
General cognitive ability tests 2.89
Biographical information blanks 2.84
Source: David E. Terpstra, “The Search for Effective Methods.” Reprinted from HRFocus, May © 1996 American Management Association International. Reprinted by permission of American Management Association International, New York, NY. All rights reserved.
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Figure 5.4

18. That’s My Story and I’m Sticking to It
Source: Examples are from several companies, including Robert Half International. “Beware of Resumania,” Personnel Journal, April 1996, 28. Reprinted with permission.
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Figure 5.5

19. How HR Uses Background Investigations
Percentage of respondents conducting the following checks:
Contact references provided by candidate 75%
Verify schools attended and degrees earned 62%
Contact people suggested by references 42%
Check driving records 41%
Verify reference letters provided by candidate 30%
Run credit checks 25%
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Source: Society for Human Resource Management (SHRM).
Figure 5.6

20. Application Forms Application date Educational background Experience
Arrests and convictions
Country of citizenship
References
Disabilities
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21. Biographical Information Blanks
Sample Questions:
At what age did you leave home?
How large was the town/city in which you lived as a child?
Did you ever build a model airplane that flew?
Were sports a big part of your childhood?
Do you play any musical instruments?
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22. Background Investigations
Checking References
Letters of reference
Mail and telephone checks
Specific job-related information
Family Educational Rights Privacy Act of 1974 (FERPA)
Requires signed requests for reference letters and signed consent to background checks.
Applies to both educational and private employers.
Failure to Check References
Negligent hiring liabilities
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23. Background Investigations (cont’d)
Organizations using credit reports must:
Advise and receive written consent from applicants if a report will be requested.
Provide a written certification to the consumer reporting agency as to the purpose of the report.
Provide applicants a copy of the consumer report as well as a summary of their rights under the CCRRA.
Must provide an adverse-action notice a person if that person is not hired and contact information related to the reporting agency.
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24. Employee Polygraph Protection Act (1988)
Use of “lie detectors” is largely prohibited.
Act requires qualified examiners.
Act requires disclosure of information where used.
Encouraged employers’ use of paper and pencil integrity and honesty tests.
HRM 1
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25. Integrity Test Question Examples
Note: The number of items in each category was 2, 8, 13, and 9 respectively.
Source: Stephen Dwight and George Alliger, “Reactions to Overt Integrity Test Items,” Educational and Psychological Measurement 57, no. 6 (December 1977): 937–48, copyright © 1997 by Sage Publications, Inc. Reprinted with the permission of Sage Publications, Inc.
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Figure 5.7

26. Background Investigations (cont’d)
Graphology
The use of a sample of an applicant’s handwriting to make an employment decision.
Medical Examinations
Given last as they can be costly.
Ensure that the health of an applicant is adequate to meet the job requirements.
Provides a baseline for subsequent examinations
ADA requires all exams be job-related and conducted after an employment offer is made.
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27. Drug Testing Drug-Free Workplace Act of 1988 Effects of Testing
Testing for illegal drugs is required applicants and employees of federal contractors.
Effects of Testing
Questions about the accuracy of results.
Applicants testing positive are generally not hired.
Current employees testing positive are referred to employee assistance programs for rehabilitation.
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28. Employment Tests Employment Test
An objective and standardized measure of a sample of behavior that is used to gauge a person’s knowledge, skills, abilities, and other characteristics (KSAOs) in relation to other individuals.
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29. Percentage of Job Skills Testing in Selected Industries
TEST ALL JOB ONLY SELECT INDUSTRY APPLICANTS JOB CATEGORIES
Manufacturing 7% 49%
Financial Services 4% 68%
Wholesale and Retail 0% 53%
Business and Professional Services 2% 57%
Other Services 6% 63%
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Source: American Management Association: “Job Skills Testing Questionnaire,” 1998.
Figure 5.8

30. Classification of Employment Tests
Cognitive Ability Tests
Aptitude tests
Measures of a person’s capacity to learn or acquire skills.
Achievement tests
Measures of what a person knows or can do right now.
Personality and Interest Inventories
“Big Five” personality factors:
Extroversion, agreeableness, conscientiousness, neuroticism, openness to experience.
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31. Is That Your Final Answer?
Verbal 1. What is the meaning of the word “surreptitious”?
a. covert c. lively
b. winding d. sweet
2. How is the noun clause used in the following sentence? “I hope that I can learn this game.”
a. subject c. direct object
b. predicate nominative
d. object of the preposition
Quantitative 3. Divide 50 by 0.5 and add 5. What is the result?
a. 25 c. 95
b. 30 d. 105
4. What is the value of 1442?
a. 12 c. 288
b. 72 d
Answers: 1a, 2c, 3d, 4d
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Figure 5.9

32. Is That Your Final Answer? (cont’d)
Reasoning 5. ______ is to boat as snow is to ______.
a. Sail, ski c. Water, ski
b. Water, winter d. Engine, water
6. Two women played 5 games of chess. Each woman won the same number of games, yet there were no ties. How can this be?
a. There was a forfeit. c. They played different people.
b. One player cheated. d. One game is still in progress.
Mechanical 7. If gear A and gear C are both turning counterclockwise,
what is happening to gear B?
a. It is turning counterclockwise.
b. It is turning clockwise.
c. It remains stationary.
d. The whole system will jam.
Answers: 5c, 6c, 7b
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Figure 5.9

33. CPI Personality Facets and Sample Items
Agreeableness
Trust—I believe people are usually honest with me.
Conscientiousness
Attention to detail—I like to complete every detail of tasks according to the work plans.
Extroversion
Adaptability—For me, change is exciting.
Neuroticism
Self-confidence—I am confident about my skills and abilities.
Openness to Experience
Independence—I tend to work on projects alone, even if others volunteer to help me.
Source: Mark J. Schmit, Jenifer A. Kihm, and Chet Robie, “Development of a Global Measure of Personality,” Personnel Psychology 53, no. 1 (Spring 2000): 153–93.
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Figure 5.10

34. Classification of Employment Tests (cont’d)
Physical Ability Tests
Must be related to the essential functions of the the job.
Job Knowledge Tests
An achievement test that measures a person’s level of understanding about a particular job.
Work Sample Tests
Require the applicant to perform tasks that are actually a part of the work required on the job.
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35. Interviewing Methods Nondirective Interview Structured Interview
The applicant determines the course of the discussion, while the interviewer refrains from influencing the applicant’s remarks.
Structured Interview
An interview in which a set of standardized questions having an established set of answers is used.
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36. Interviewing Methods (cont’d)
Situational Interview
An interview in which an applicant is given a hypothetical incident and asked how he or she would respond to it.
Behavioral Description Interview (BDI)
An interview in which an applicant is asked questions about what he or she actually did in a given situation.
Panel Interview
An interview in which a board of interviewers questions and observes a single candidate.
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37. Interviewing Methods (cont’d)
Computer Interview
Using a computer program that requires candidates to answer a series of questions tailored to the job. Answers are compared either with an ideal profile or with profiles developed on the basis of other candidates’ responses.
Video interviews
Using video conference technologies to evaluate job candidates’ technical abilities, energy level, appearance, and the like before incurring the costs of a face-to-face meeting.
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38. Sample Situational Interview Question
It is the night before your scheduled vacation. You are all packed and ready to go. Just before you get into bed, you receive a phone call from the plant. A problem has arisen that only you can handle. You are asked to come in to take care of things. What would you do in this situation?
RECORD ANSWER:
SCORING GUIDE:
Good: “I would go in to work and make certain that everything is O.K. Then I would go on vacation.”
Good: “There are no problems that only I can handle. I would make certain that someone qualified was there to handle things.”
Fair: “I would try to find someone else to deal with the problem.”
Fair: “I would go on vacation.”
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HRM 2

39. Variables in the Employment Interview
Context
Purpose of the interview
Law and regulations
Economic issues
Physical settings
Interview structure
Applicant
KSAOs
Education
Experience
Interests
Perceptions
Nonverbal cues
Age, sex, race, etc.
INTERVIEW __________________
Process
_____________________
Outcome (Hiring Decision)
Interviewer(s)
Experience/training
Age, sex, race, etc.
Perceptions
Nonverbal cues
Goals
Presentation Slide 5–7
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Figure 5.11

40. Ground Rules for Employment Interviews
Establish an interview plan
Establish and maintain rapport
Be an active listener
Pay attention to nonverbal cues
Provide information freely
Use questions effectively
Separate facts from inferences
Recognize biases and stereotypes
Control the course of the interview
Standardize the questions asked
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41. Reaching a Selection Decision
Selection Considerations:
Are individuals to be hired according to their highest potential or according to the needs of the organization?
At what grade or wage level to start the individual?
Should selection be for employee- job match, or should advancement potential be considered?
Should those not qualified but qualifiable be considered?
Should overqualified individuals be considered?
What effect will a decision have on meeting affirmative action plans and diversity considerations?
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42. “Can-Do”and “Will-Do”Factors in Selection Decisions
______________________________
Knowledge
Skills
Abilities
Job Performance
“Will Do”
______________________________
Personality
Values
Motivation
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Figure 5.12

43. Selection Decision Strategies
Clinical Approach
Subjectivity
Statistical Approach
Objectivity
Compensatory Model - Average
Multiple Cutoff Model - Minimum
Multiple Hurdle Model- Sequential
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44. Selection Decision Models
Compensatory Model
Permits a high score in one area to make up for a low score in another area.
Multiple Cutoff Model
Requires an applicant to achieve a minimum level of proficiency on all selection dimensions.
Multiple Hurdle Model
Only applicants with sufficiently high scores at each selection stage go on to subsequent stages in the selection process.
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45. Selection Process (cont’d)
Selection Ratio
The number of applicants compared with the number of people to be hired.
Cutoff Score
The point in a distribution of scores above which a person is considered and below which a person is rejected.
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46. Test Score Scatterplot with Hypothetical Cutoffs
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Figure 5.13

47. Selection Process (cont’d)
Final Decision
Selection of applicant by departmental or immediate supervisor to fill vacancy.
Notification of selection and job offer by the human resources department.
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