Chapter 7

Selecting Employees to Fit the Job and the Organization
Selection: the process of obtaining and using information about job applicants to determine who should be hired

Objective: to predict the likely future performance of applicants

Economic utility: the net monetary value associated with using a selection procedure; a measure of ROI

Cost: time and resources used to collect info about applicants

Selection Process:

Criteria: outcomes that selection decisions are intended to predict – need to define what they are

Predictors: various pieces of information used to make selection decisions – choose what is important (skill, ability, knowledge, personality, behavioral styles)

Assessment techniques: application forms, resumes, reference checks, written tests, interviews

Validity: usefulness of information for predicting job applicants’ job-related and organizational outcomes

Content validation: using job analysis or competency modeling results to build a rational argument for why a predictor should be useful (subjective judgments)

Criterion-related validation: using statistical data to establish a relationship between predictor scores and outcome criteria

Validity generalization: assumes that the results of criterion-related validity studies conducted in other companies can be generalized to the situation in your company

Reliability: the degree to which a predictor yields dependable, consistent results

Combining Predictors:

1. Multiple-hurdles approach – applicant must exceed fixed levels of proficiency on all the predictors in order to be accepted

2. Compensatory approach – a high score on one predictor can compensate for a low score on another predictor

3. Combined approach – the employer first screens out everyone who does not meet one or more specific requirements, then uses a compensatory approach in comparing the applicants who have passed the required hurdle

Assessment Techniques:

Personal History Assessments:

1. Application blank – short form asking for basic info about education and work experience

2. Biodata test – asks autobiographical questions related to such subjects as extracurricular activities, family experiences, and recent and current work activities

Background Verification and Reference Checks

Written Tests

1. Ability test – measures the potential of an individual to perform, given the opportunity

2. Knowledge Test – assesses what a person knows at the time of taking the test

3. Personality Test – assesses the unique blend of characteristics that define an individual and determine his or her pattern of interactions with the environment

Big 5 Dimensions – Extraversion, agreeableness, conscientiousness, emotional stability, openness to experience

MMPI – Minnesota Multiphasic Personality Inventory (a popular personality test)

4. Integrity Test – used for high-theft/crime jobs

Work Simulations – require applicants to perform activities similar to those required on the job

Assessment Centers – evaluate how well the applicants or current employees might perform in a managerial or higher-level position (in-basket exercise, leaderless group discussion, business games…)

Interviews – most widely used procedure

Unstructured: interviewer prepares a list of possible topics to cover and may or may not ask questions about them (depending on how the conversation goes)

Structured: All applications are asked the same questions in the same order

Behavioral: uses structured or semistructured approach, focuses on behavior

Systematic Scoring: uses a scoring key to score each response

Multiple interviewers: uses a panel for efficiency reasons

Medical Tests

1. General health exams – used when job analysis documents that certain physical abilities are required in order to do the job

2. Genetic testing/screening – not prohibited by ADA but restricted by many state laws

3. Drug/Alcohol Testing

Perspective of Job Applicants – Want fair content, fair process, and fair results

Legal Considerations

Disparate treatment – illegal discrimination against an individual (they belong to a protected group, were rejected even though they qualified for the job, employee kept looking)

Adverse impact – discrimination against an entire protected group

1. Comparisons to labor market data

2. 80% rule – used to compare percentages of one group who pass a particular test to the percentage of another group to see if the test unfairly discriminates against one group

Defending Discriminatory Practices

1. Job-relatedness

2. Business necessity

3. Bona-Fide occupational qualification (reasonably necessary to normal operation)

4. Bona-fide seniority system (established by a company without the intent to discriminate illegally)

5. Voluntary affirmative action programs

Chapter 6 Chapter 8