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Human Resource Management

Sixteenth Edition

Chapter 6

Employee Testing and


Selection

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Learning Objectives (1 of 2)

6.1 Answer the question: Why is it important to test and


select employees?
6.2 Explain what is meant by reliability and validity.

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Learning Objectives (2 of 2)

6.3 List and briefly describe the basic categories of selection


tests, with examples.
6.4 Explain how to use two work simulations for selection.
6.5 Describe four ways to improve an employer’s background
checking process.

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Learning Objective 6.1: Answer the
Question: Why Is It Important to Test
and Select Employees?

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Why Employee Selection Is Important
• Performance
• Cost
• Legal obligations
• Person and job/organization fit

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Learning Objective 6.2: Explain What
Is Meant by Reliability and Validity

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The Basics of Testing and Selecting
Employees
• Reliability
• Validity

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Test Reliability
• Reliability is a selection tool’s first requirement. It is
defined as the consistency of scores obtained by the
same person when retested with the identical tests or
with alternate forms of the same test.

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What Can Cause a Test to be Unreliable?
• Physical conditions
• Differences in the test taker
• Differences in test administration
• The questions may do a poor job of sampling the material

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Reliability Coefficient
Figure 6-1 Test Score Correlation Examples

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Test Validity
• Validity is the accuracy with which a test (or selection tool)
measures what it purports to measure or fulfills the function
it was designed to fill.

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How to Demonstrate Validity
1. Criterion Validity
2. Content Validity
3. Construct Validity

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Evidence-Based HR: How to Validate a
Test (1 of 2)
Step 1: Analyze The Job
Step 2: Choose The Test
Step 3: Administer The Test
Step 4: Relate Your Test Scores and Criteria
Step 5: Cross-Validate and Revalidate

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Evidence-Based HR: How to Validate a
Test (2 of 2)
Figure 6-4 Expectancy Chart

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 high
performer and those scoring between 57 and 64 have a 97% chance.
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Bias
• Employers should redouble their efforts to ensure that the
tests they’re using aren’t producing biased decisions.

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Utility Analysis
• Answering the question, “Does it pay to use the test?”
requires utility analysis.
• Shows the degree to which use of a selection measure
improves the quality of individuals selected over what
would have happened if the measure had not been used.

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Improving Performance: HR as a Profit
Center

Using Tests to Cut Cost and Boost Profits

Let’s talk about it…

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Validity Generalization
• Validity generalization “refers to the degree to which
evidence of a measure’s validity obtained in one situation
can be generalized to another situation without further
study.”

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Know Your Employment Law

Testing and Equal Employment Opportunity

An adverse impact claim

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Test Taker’s Individual Rights and Test
Security
• The American Psychological Association’s (APA) standard
for educational and psychological tests
• The Federal Privacy Act

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Diversity Counts

Gender Issues in Testing

Interpret results with care

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How Do Employers Use Tests at Work?
• About 80% of the biggest U.S. employers now use testing
• Not just for lower-level workers

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Learning Objective 6.3: List and Briefly
Describe the Basic Categories of Selection
Tests, with Examples

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Types of Tests
• Tests of cognitive abilities
– Intelligence tests (IQ)
– Specific cognitive abilities
• Tests of motor & physical abilities
• Measuring personality
• Interest inventories
• Achievement tests

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Improving Performance: HR Practices
Around The Globe

Testing for Assignments Abroad

Let’s talk about it…

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Improving Performance Through HRIS:
Computerization and Online Testing

Testing using Computer/Online

Let’s take a look…

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Learning Objective 6.4: Explain How to Use
Two Work Simulations for Selection

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Work Samples and Simulations
• With work samples, you present examinees with situations
representative of the job for which they’re applying, and
evaluate their responses.
• Considered tests

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Using Work Sampling for Employee
Selection (1 of 2)
• Basic procedure
• Situational judgment tests
• Management Assessment Centers
• Situational Testing
• Video-Based Situational Testing

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Using Work Sampling for Employee
Selection (2 of 2)
• The Miniature Job Training and Evaluation Approach
• Realistic Job Preview
• Choosing a Selection Method

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Improving Performance: HR Tools for
Line Managers and Small Businesses

Employee Testing and Selection

Let’s talk about it…

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Learning Objective 6.5: Describe Four Ways to
Improve an Employer’s Background Checking
Process

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Background Investigations and Other
Selection Method
• Background investigations
• Reference checks
• Pre-employment information services
• Honesty testing
• Substance abuse screening

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Why Perform Background
Investigations and Reference Checks?
• Avoid hiring mistakes
– Verify information
– Uncover damaging information

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Know Your Employment Law

Giving References

Let’s take a look…

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Trends Shaping HR: Digital and Social
Media

Digital Tools – Background Checks

Let’s talk about it…

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Using Preemployment Information
Services
• Authorizing background reports
– Disclosure and authorization
– Certification
– Providing copies of reports
– Notice after adverse action

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Steps for Making the Background
Check More Valuable
• Statement authorizing a background check
• Phone references
• Attentiveness to red flags
• Compare the application to the resume
• Ask open-ended questions
• Ask references to suggest other references
• Aim for “360” reference checking

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The Polygraph and Honesty Testing
• Meet Standards
• Written Honesty Test
• Testing for Honesty Guidelines

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Graphology
• The use of handwriting analysis to determine the writer’s
basic personality traits.

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“Human Lie Detectors”
• Testing for honesty
– Practical guidelines

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Physical Exams
• Physical exams
– After the job offer has been extended
– ADA

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Substance Abuse Screening and Drug
Testing Legal Issues
• Most employers conduct drug screenings
• Raises legal concerns
• ADA
• The Drug Free Workplace Act of 1988
• The U.S. Department of Transportation workplace
regulations

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Comply with Immigration Law
• Eligibility to work
• I-9 Employment Eligibility Verification form
• E-verify

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Chapter 6 Review

What you should now know….

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