Hiring By Design, Not By Chemistry the extent to which theycan be taught. Contentknowledge andbehavioral skills areeasiest to teach.Every new hire will ultimately contribute either to moving your business forward or toholding it back. The acquisition of “intellectual capital” is fast becoming the primaryvalues is harder. Whilechanging motives andcompetitive advantage as we move toward the new millennium. So, why handicap yourorganization’s competition for human resources by not exploiting the most advancedprocess is lengthy,difficult and expensive.technology available for selecting the strongest candidates and for avoiding costlyeffectiveness standpoint,the rule is “hire for coremotivation and traitThe Facts characteristics, anddevelop knowledge andskills.” Most
50,000 organizations in the U.S. use testing to help them make decisions about
organizations do thereverse: they hire oncredentials (MBAs fromgood schools) and
Turnover, replacements, and retraining costs for a mid-level manager average
$320,000 (TRW Corporation study, 1991). come with or can beindoctrinated with the
The cost spiral that results from poor hires: salary, benefits, recruitment, traits. It is more cost-effective to hire people
training, medical claims, opportunity loss, impact on morale, customer ill-will,
legal exposure; and productivity, quality, and profits all decrease. and trait) stuff” andtrain them in knowledge
The worst candidates are typically screened out, but it’s the marginal ones who
specific jobs. Or, in thewords of one personnel
slip through and who adversely impact your organization’s productivity and
morale (and it’s hard to terminate them). teach a turkey to climba tree, but it’s easier toEEO guidelines state: “… tests, when used in conjunction with other tools of - Competency
personnel assessment … aid in the development and maintenance of an efficient
Assessment
work force and … aid in the utilization and conservation of human resources.”
Methods - Spencer, McClelland, & Spencer
The Benefits
It’s objective, cost-effective, legal, and it works. years. And, nearly 80%of turnover is due to
Candidates are uniformly impressed that the organization takes its mission so
seriously that it uses such a systematic and thorough approach to the acquisition
- Harvard University “Poor hiring shows upnot merely in poordecisions but also in
Testing significantly reduces turnover and the high costs associated with it. poor morale. When theless competentemployees reach critical
When the best-fit applicants are hired, they settle into the new position more
quickly and travel the learning curve faster.
The hiring evaluation report becomes a working document for the individual and
their manager. With the evaluation report in hand, the manager has a much
employees who are wellequipped for the job
clearer understanding of how to motivate, develop, and coach the new hire. abandon their old highstandards and conformto the new, lower ones.”
When correctly matched to a job, individuals perform for the satisfaction of
- Frank Schmidt, Ph.D. University of Iowa The Process averages $70,000 andaverages $200,000 forJob analysis
The job in question is evaluated with that job’s immediate boss. We identify the
job’s critical success factors and understand who succeeds and who fails in this
likely to be hired whentesting is not used.are no “bad” or“good” employees.Interview who end up in thewrong job, which does
The candidate spends two to three hours in a structured interview with a
Computerized testing: Cognitive abilities
The candidate is administered a battery of tests, tailored for the job in question.
Tests used assess numeracy, verbal skills, critical thinking abilities, and mental
assessment to beextremely reliable in
alertness. Norms used by our expert systems are specific to the job class. Computerized testing: Personality and vocational inventories expert system is atremendous tool for
The other portion of the tailored assessment battery generates insights into
goodness-of-fit issues such as thinking style, motivators, emotional maturity,
work style, interpersonal orientation, and influence style. Norms used by our
wouldn’t make a hiringdecision without it.”
expert system are specific to the job class. - Vice President of Human Resources Financial Services Corporation The Information You’ll Have About The Candidate
v Career outlook: evaluation of career history, personal mission, and job motivators and de-motivators. Cognitive abilities: in-depth description of critical analytic skills, reasoning
abilities, verbal and numeric skills, and mental quickness. positions, we feel it isabsolutely essential –for the best results forUse of cognitive abilities: receptivity to ideas, problem-solving aptitude, and our company and thehighest probability of
practicality/creativity of thought process. – to use all availableinformation, includingWork style: energy, pace, approach to planning and thinking, need for
recognition, need for organizational freedom, attention to detail, orientation to
(ASSESS), which is anin-depth psychological
action, work ethic and conscientiousness. is also a tool that’s beeninvaluable as aEmotional style: optimism, restraint over feelings, objectivity about feedback,
handling stress, management of strong emotions, resilience and composure. Interpersonal factors: sociability, assertiveness, first and lasting impressions,
perceptiveness, competitiveness, agreeableness, acceptance of diversity, andservice orientation. - Chief Executive Officer, National retail Management and leadership style: desire to persuade and influence, approach organization
to persuasion and influence, approach to managing relationships and conflict,communication style, and adverse factors that could impact relationships. And more: a graphic profile of 21 personality traits plus selected cognitive ability measures; topics for special consideration and their implications; management advice; specific follow-up interview probes to pose to the candidate and another set of questions to ask of references; and the ability to reanalyze the same data set and produce an in-depth developmental report. Hire by design. Improve the odds.
2003 The Performance Consulting Group, LLC
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Digest of an article titled “Major Adventures by Niche Chemical Companies”One of the largest coal-fired boilers in the Tohoku Region (Northeastern part of Japan’smain island), standing 40 meters high in Kureha’s Iwaki Factory, was swaying fromside to side. Pieces of metal were falling down to the ground, steam was blowing outfrom broken pipes and the large stack seemed to collapse at a