This is our basics of assessment deck that provides an overview of the model we use with our clients to ensure they have success with pre-employment assessment

1. Prepared by:
Charles A. Handler, Ph.D.
May 2, 2012

2.  To provide information to support an
understanding of what assessment is
 To provide an understanding of the value prop
for assessment’s impact on quality of hire
 To boil success down to 4 simple steps
 To discuss key trends
 To be practical!!

3.  Background on assessment- what is it?, what does
it do?, how does it add value?
 Implementing assessment- 4 steps to success
 Trends in assessment
 Q and A

4. A: Any method used to provide data/information
about a candidate’s qualifications and potential for
performing a job or his/her potential to perform the
requirements of the job.
So, it’s a predictive tool to support
informed decision making!
Believe it or not!- interviews, resume
reviews, screening, and background
checks all are considered to be
assessments

5. Personality Measures Experience Measures
Ability Measures
“What can “What have
they do?” they done?”
Future
Performance
“What do they
want to do?”
Job Fit: What do they want to do?
Environment Fit: Where do they want to work?

6.  Information overload
 Low quality information
 No standardization
 Not always job related

7.  Process efficiency
 Candidate quality
 Own the employee lifecycle
 Predict the “stuff” needed to fulfill
business drivers
 Invest in human capital
 Provide legal defensibility

8.  Provide extra data points about an applicant to help
support the decision making process
 Provide a standardized way to gain insight into
applicant qualities that aren’t always apparent
 Provide a way to support quality of hire
 Provide supporting evidence for trends in an applicant’s
data
 Help identify developmental needs from Day 1
 Weed out the worst applicants while focusing on the
best
 Provide real ROI

9.  Tell you all you need to know about an applicant
 Solve all your problems
 Make decisions for you
 Guarantee applicants will be successful
 Be 100% effective
 Take the place of an expert who can see the big picture

10. Dark and scary?

11. Using assessments correctly is a
challenge that requires insight and
wisdom

12.  Matching tools
 Qualifications screening
 Biographical history data
 Personality tests
 Work values/ “fit”
 Cognitive tests
 Situational judgment tests
 Simulations
 Integrity tests
 Structured interviews
 Knowledge and skills testing
 Assessment centers
 Executive assessment

13.  Jobs are complex and require many different traits coming together
 A single test can rarely provide the whole picture
 A single test is useful to ID on a key requirement (i.e., customer
service)
 The bigger picture requires the use of several data collection
opportunities using different methods (a.k.a. the whole person
method)
 Determining how many, what type, and where are strategic
decisions

14. Creating a process using complimentary assessments yields
better predictive power than any one assessment alone
The right combination depends entirely
upon the situation
A weak link can mean disaster!!!

15. Screening Out
Screening In

16.  Science is your friend
 Helps screen out the bad, screen in the good
 The more applicants the more assessment
adds value
 Closes the loop- allows track back
to key outcomes

17. Information is power!
When you have an important
decision to make what do you
do?
What or whom
do you trust?

18. 0 value
Zero Predictive Job Performance
Predictor Content
Accuracy
useful
value
Moderate
Job Performance Predictor
Predictive Content
Accuracy (.3)
strong
value
High Predictive Job Performance Predictor
Accuracy (.6) Content

19.  Tangible outcomes
o Reduced turnover
o Reduced absence
o More sales
o Increased customer sat
 Less tangible outcomes
o Bench strength
o Developmental planning
o Brand building
o Org culture

20. 1. Define- Know what it takes, first!
2. Measure- Use relevant assessments
3. Decide- Choose the best applicants
4. Evaluate-Close the loop

21.  We must define job performance domain-
first!
 You cant measure what you don’t
understand
 This definition serves as a blueprint for
measurement
 What does it take?

22.  Ad hoc (job description, hiring manager
interview)
 Job analysis
 Competency modeling
 Profiling (benchmarking using
incumbents)

23. Performance is described in several ways
•Business drivers
•Valued outcomes
•Knowledge, Skills, & Abilities
•Competencies
•Behaviors

24. Collecting input from experts
 Interviews
 Observations
 Focus groups
 Surveys

25.  Clear understanding of what it takes as described
by:
▪ Knowledges
▪ Skills
▪ Abilities
▪ Experience
▪ Competencies

26.  Use results of definition process to
select measurement tools
 This is where one can build a
strategic process
 Selecting quality tools is critical

27.  Supports informed decision making
 Provides clear data on relevant performance dimensions
 Is staged so information of most value is available at the right time

28. Cognitive Ability Simulation Personality Biodata SJT Interview
Test test
Communication X X
Customer Service Skills X X X
Dependability X X X
Drive and Initiative X
Interpersonal Skills X X X
Learning and Memory X
Problem Solving and Decision Making X X
Professionalism X X
Sales Skills X X X X
Teamwork X X X X

29.  Look at all the data, provide systems to track and organize
 Rely on the expertise of decision makers
 Ensure buy in to assessment tools but discourage over-
reliance on them
 Be consistent
 Example decision support tools

34.  This step is where skill and experience of the recruiter
and hiring manager shine!
 Assessment is all about supporting decision makers with
information that is reliable and accurate
 It’s not about blindly looking at the results
 The entire hiring process yields data that can be used to
see the big picture when it comes to an applicant
 Assessment reporting should be easy to understand,
with only relevant info presented

35.  This is a critical step that is often ignored
 Think six sigma
 This is the way to show ROI
 The value proposition for assessment lives here

36. Let’s look at how understanding the relationship between
predictors and job performance can show us the value of
assessment

37. 300% Higher $55 Million 46% $78 Million
Performance Retained Reduction in in Reduced
Ratings Revenue Turnover Shrinkage
Increased
$120 Million Reduced 18 Additional
Successful
in Additional Time to Hire Days of
Graduate
Overall Sales by 3 Weeks Productivity
Hires by 73%
$170 Million Employees
Employees 57% More
in Additional 3 Times More
4 Times More Likely to be
Collections Client-
Reliable Promoted
Revenue focused

38. Assessment can help provide the answers to more
macro level strategic questions such as:
“ Is my employment brand competitive and attracting the right
candidates? ”
“Which recruiting sources are delivering the best talent”
“When do I lose the best quality candidates – offer or before?”
“Are my college hires the future leaders of my business?”
“Are any of my teams likely to put my business at risk?”
“Do I have the right talent on board to strategically change the
direction of our business?”

39.  This where the power of assessment lies
 We want to simultaneously screen out low
performers while screening in high performers
 We don’t have to be perfect to add value

40. Test scores can differentiate
between high and low
performers.
Roster Output Average
The higher the validity, the
better job the test does at Sally 421
identifying top and bottom Bill 402
performers. Erin 389
Nichole 374 Top 80%
Jose' 370 347
Aundra 293
Cyndi 276
Emil 254
Yuliya 237 Bottom 20 %
George 229 233

41. Test Validation is the most common method
Don’t stress- Validation just means the test is
measuring what it takes to do the job
Validation takes many forms but the only one
that shows us ROI relies on statistics

42. Validation =
Study of Relationships & ROI
High
v
Candidate
Assessment Predictor
Data
Criteria
Low High
Supervisor Ratings and Job Performance Data

43.  Quantitative
 Tracking back performance to source of hire
 Evaluation based on identification of hi-pos
 Organization level metrics
 Qualitative
 Candidate feedback regarding process
 Hiring manager feedback regarding process
 Benchmarking vs. industry and competition

44.  The world of assessment is rapidly changing
 We are at the beginning of the next stage of
evolution
 Key drivers include
 Big data and analytics
 Demand for quality
 Demand for more engaging candidate experience
 Streamlining via knowledge of what works

45.  Part of Talent Management – technology backbone
yields data from pre-hire to retire
 Data shows key relationships across the entire
cycle
 Pinpoints the value of assessments
 Vendors starting to build analytics platforms

46.  Quality of hire does not seem to be something that is measured by
organizations
 Quality of hire lacks a standard definition and is not operationalized
by most firms
 Without some agreement and sync, quality of hire will remain a
vague term that will not drive any specific value propositions
 In reality, the specific metrics demonstrating quality of hire are
something that is unique to each organization.

47.  What is measurable (hard)?: demographic data,
test results, certifications, degrees, in-role
performance (i.e., productivity, sales, tenure, etc.)
 What is subjective (soft)?: person-job fit, person-
organization fit, competencies (i.e.,
communication, flexibility, decision making,
leadership), supervisory ratings of performance

48.  The way that people find jobs (and vice versa) is currently broken
 Communication between job seekers and employers is not easy
 We experience a lot of noise as part of the hiring process
 Assessment and analytics are now focusing on this issue
 Matching is a new hot area
 Combining assessment with sourcing to “direct traffic” and increase
the odds for success

50.  Candidates are customers
 Employer brand is key for differentiation
 We are moving from “test” to “experience”
 Traditional test items will be around for a long time
 Currently limited by technology and resource
requirements

51. 51

56.  Vendors have collected enough data to know what works
 Off the shelf assessments are more accurate then ever
 Off the shelf assessments available for most every major
job or job family
 Making assessment better, faster, cheaper

57.  Assessment does not have to be a mystery
 It is not perfect but it still has tremendous potential
 It adds value as a decision support tool
 Better more informed hiring decisions lead to higher rate of quality
hires
 Make sure any vendor you use supports all 4 steps
 Quality of hire means ROI and more
 Start small, pilot or POC
 Fortune favors the bold!

58. Chandler@Rocket-Hire.com