HUMAN RESOURCE MANAGEMENT

CHAPTER 5 : TESTING & SELECTION

Dr. Samia Jamshed

Department of Management Sciences
Why Careful Selection is
Important

The importance of selecting the right employees

➢ Organizational performance always depends in part
on subordinates having the right skills and attributes.
➢ Recruiting and hiring employees is costly.
➢ The legal implications of incompetent hiring
➢ EEO laws and court decisions related to nondiscriminatory
selection procedures
➢ The liability of negligent hiring of workers with questionable
backgrounds
Avoiding Negligent Hiring
Claims

1. Carefully scrutinize information supplied by the applicant

on his or her employment application.
2. Get the applicant’s written authorization for reference
checks, and carefully check references.
3. Save all records and information you obtain about the
applicant.
4. Reject applicants who make false statements of material
facts or who have conviction records for offenses directly
related and important to the job in question.
5. Balance the applicant’s privacy rights with others’ “need
to know,” especially when you discover damaging
information.
6. Take immediate disciplinary action if problems arise.
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?
 Sample Picture Card from
Thematic Apperception Test

How do you interpret

this picture?

Source: Harvard University Press. Used with permission.

Types of Validity

➢ Criterion 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?

 Examples of Web Sites Offering 7
Information on Tests or Testing
Programs

➢ www.hr-guide.com/data/G371.htm
➢ Provides general information and sources for all types of employment
tests.
➢ http://buros.unl.edu/buros/jsp/search.jsp
➢ Provides technical information on all types of employment and
nonemployment tests.
➢ www.ets.org/testcoll/index.html
➢ Provides information on over 20,000 tests.
➢ www.kaplan.com/
➢ Information from Kaplan test preparation on how various admissions
tests work.
➢ www.assessments.biz/default.asp?source=GW-emptest
➢ One of many firms offering employment tests.
 How to Validate a Test

Step 1: Analyze the job

➢ Predictors: job specification Step 4: Relate Test Scores and Criteria
(KSAOs) ➢ Correlation analysis
➢ Criterion: quantitative and ➢ Actual scores on the test with
qualitativ e measures of job actual performance
success
Step 2: Choose the tests
Step 5: Cross-Validate and Rev alidate
➢ Test battery or single test?
➢ Repeat Step 3 and Step 4 with
Step 3: Administer the test a different sample of
➢ Concurrent v alidation employees.

➢ Current employees’ scores

with current performance
➢ Predictiv e v alidation
➢ Later-measured performance
with prior scores
 Expectancy Chart 6–9

Note: This expectancy chart shows the relation between scores made on the Minnesota Paper Form Board and
rated success of junior draftspersons. Example: Those who score between 37 and 44 have a 55% chance of being
rated above average and those scoring between 57 and 64 have a 97% chance.
 Testing Program Guidelines

Sample Test
1. Use tests as
supplements.
2. Validate the tests.
3. Monitor your
testing/selection
program
4. Keep accurate records.
5. Use a certified
psychologist.
6. Manage test conditions.
7. Revalidate periodically.

Source: Courtesy of NYT Permissions.

Using Tests at Work

➢ Major types of tests used by employers

➢ Basic skills tests (45%)
➢ Drug tests (47%)
➢ 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
Computer-Interactive Testing

➢ Types of tests
➢ Specialized work sample tests
➢ Numerical ability tests
➢ Reading comprehension tests
➢ Clerical comparing and checking tests
➢ Online tests
➢ Telephone prescreening
➢ Offline computer tests
➢ Virtual “inbox” tests
➢ Online problem solving tests
Types of Tests

➢ Tests of cognitive abilities

➢ Intelligence Tests

➢ Tests of general intellectual abilities that measure a range of abilities,

including memory, vocabulary, verbal fluency, and numerical ability.
➢ Aptitude tests

➢ Tests that measure specific mental abilities, such as inductive and

deductive reasoning, verbal comprehension, memory, and numerical
ability.

➢ Test s of motor abilities

➢ Tests that measure motor abilities, such as finger dexterity, manual

dexterity, and reaction time.

➢ Tests of physical abilities

➢ Tests that measure static strength, dynamic strength, body coordination,

and stamina.
 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.
Measuring Personality and
Interests

Personality tests
➢ Tests that use projective techniques and trait
inventories to measure basic aspects of an applicant’s
personality, such as introversion, stability, and
motivation.
➢ Disadvantage
➢ Personality tests—particularly the projective type—
are the most difficult tests to evaluate and use.
➢ Advantage
➢ Tests have been used successfully to predict
dysfunctional job behaviors and identify successful
candidates for overseas assignments.
Work Simulations

➢ Management assessment center ➢ Video-Based situational testing

➢ A simulation in which management ➢ A situational test comprised of
candidates are asked to perform several video scenarios, each
realistic tasks in hypothetical followed by a multiple choice
situations and are scored on their question that requires the candidate
performance. to choose from among several
courses of action.
➢ Typical simulated exercises include: ➢ While the evidence is mixed, the
➢ The in-basket results suggest that video-based
situational tests can be useful for
➢ Leaderless group discussion selecting employees.

➢ Management games
➢ Individual present ations
➢ Object ive tests
➢ The int erview
 17
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.
 18
Background Investigations and
Reference Checks

➢ Extent of inv estigations and checks ➢ Sources of information for

background checks:
➢ Reference checks (87%)
➢ Former employers
➢ Background employment
checks (69%) ➢ Current supervisors

➢ Criminal records (61%) ➢ Commercial credit rating

companies
➢ Driv ing records (56%)
➢ Written references
➢ Credit checks (35%)
➢ Reference prov iders’ concerns
➢ Reasons for inv estigations and
➢ Fear of legal reprisal for
checks
defamation
➢ To v erify factual information ➢ Not wanting to damage the
prov ided by applicants. applicant’s chances
➢ To uncover damaging ➢ Helping to get rid an
information. incompetent employees
 Reference Checking Form
(Verify that the applicant has provided permission before conducting reference
checks)
Candidate Name:
Reference Name: Company Name:
Dates of Employment: (From: and To:)
Position(s) Held: Salary History:
Reason for Leaving:
Explain the reason for your call and verify the above information with the supervisor (including the reason for
leaving)
1. Please describe the type of work for which the candidate was responsible.
2. How would you describe the applicant’s relationships with coworkers, subordinates (if applicable), and
with superiors?
3. Did the candidate have a positive or negative work attitude? Please elaborate
4. How would you describe the quantity and quality of output generated by the former employee?
5. What were his/her strengths on the job?
6. What were his/her weaknesses on the job?
7. What is your overall assessment of the candidate?
8. Would you recommend him/her for this position? Why or why not?
9. Would this individual be eligible for rehire? Why or why not?
Other comments?

Source: Society for Human Resource Management, © 2004.

 20
Using Pre-employment
Information Services

➢ Concerns about checking applicant histories

➢ Various equal employment laws discourage or prohibit
the use of such information in employee screening.
➢ Courts view making employment decisions based on
someone’s arrest record as unfairly discriminatory.
➢ The EEOC says a poor credit history should not by itself
preclude someone from getting a job.
Checking Background
Information

 Step 1—Disclosure and authorization.

 Inform the employee/applicant that a report will be requested
and obtain written authorization.
 Step 2—Certification.
 The employer must certify to the reporting agency that the
employer will comply with the federal and state legal
requirements.
 Step 3—Providing copies of reports.
 The employer must prov ide copies of the report to the
applicant or employee if adv erse action is contemplated.
 Step 4—Notice after adverse action.
 After the employer prov ides the employee or applicant with
copies of the inv estigative reports and a “reasonable period”
has elapsed, the employer may take an adv erse action.
The Polygraph and Honesty
Testing

➢ The polygraph (or lie detector)

➢ A device that measures physiological changes,
➢ The assumption is that such changes reflect changes in
emotional state that accompany lying.
➢ Employee Polygraph Protection Act of 1988.
➢ Prohibits employers (in most all cases) from conducting
polygraph examinations of all job applicants and most
employees.
➢ Also prohibited are other mechanical or electrical
devices including psychological stress evaluators and
voice stress analyzers.
Permitted Users of the
Polygraph

➢ Employers with contracts involving:

➢ National defense or security
➢ Nuclear-power (Department of Energy)
➢ Access to highly classified information
➢ Counterintelligence (the FBI or Department of Justice)
➢ Other exceptions
➢ Hiring of private security personnel
➢ Hiring persons with access to drugs
➢ Conducting ongoing investigations involving economic
loss or injury to an employer’s business.
Paper-and-Pencil Honesty Tests

Paper-and-pencil honesty tests

➢ Psychological tests designed to predict job
applicants’ proneness to dishonesty and other
forms of counterproductivity.
➢ Measure attitudes regarding things like tolerance
of others who steal, acceptance of
rationalizations for theft, and admission of theft-
related activities.
 Graphology

➢ Graphology (handwriting analysis)

➢ Assumes that handwriting reflects basic personality
traits.
➢ Graphology’s validity is highly suspect.

Handwriting Exhibit Used by Graphologist

Source: Reproduced with permission from Kathryn Sackhein, Handwriting Analysis

and the Employee Selection Process (New York: Quorum Books, 1990), p. 45.
Physical Examination

➢ Reasons for preemployment medical examinations:

➢ To verify that the applicant meets the physical
requirements of the position
➢ To discover any medical limitations you should take into
account in placing the applicant.
➢ To establish a record and baseline of the applicant’s
health for future insurance or compensation claims.
➢ To reduce absenteeism and accidents
➢ To detect communicable diseases that may be
unknown to the applicant.
QUESTIONS