BITS Pilani

Hyderabad Campus

Chapter 7: Selecting Human Resources

Learning Objectives

• Understand the nature of

selection and appreciate its role
• Describe the selection process
• Identify new methods of selection
• Evaluation of Selection Program

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Selection
Selection is the process of picking individuals (out
of the pool of job applicants) with requisite
qualifications and competence to fill jobs in the
organization.
“It is the process of differentiating between
applicants in order to identify (and hire) those
with a greater likelihood of success in a job.”

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Why is ‘Careful Selection’
important?

The Importance of Selecting

the Right Employees

Legal
Organizational Costs of Recruiting
Obligations and
Performance and Hiring
Liability

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Legal
Obligations and Liability

Negligent hiring ; hiring workers with

questionable backgrounds without proper
safeguards

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Selection Decision Outcomes

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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?

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Types of validity

Test validity

Criterion
Content validity
validity

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Types of Validity

Criterion validity : a type of validity based on showing that

scores on the test (predictors) are related to job
performance (criterion)

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.

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Content validity

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Criterion validity

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Criterion validity

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How to Validate a Test
Step 1: Analyze the job
– Predictors: job specification (KSAOs)
– Criterion: quantitative and qualitative measures of job
success
Step 2: Choose the tests
– Test battery or single test?
Step 3: Administer the test
– Concurrent validation
• Current employees’ scores with current performance
– Predictive validation
• Later-measured performance with prior scores

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How to Validate a Test (cont’d)
Step 4: Relate Test Scores and Criteria
– Correlation analysis
• Actual scores on the test with actual performance
• Expectancy chart

Step 5: Cross-Validate and Revalidate

– Repeat Step 3 and Step 4 with a different sample of employees.

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Selection test

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Cognitive ability test

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 Job knowledge test

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. Figure 6–5
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Personality test

Human Resource Management, 5E 18

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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 to function in a particular working
environment
– Thematic appreciation test(TAT), MBTI, BIG 5, CPI

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Interest inventory test : individual's activity
preferences – fresher or career change

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Integrity test

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Structured interview test

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Work sample test

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 Assessment center ( A set of
stimulated tasks or exercise that candidates
(usually for managerial positions) are asked to
perform)

Human Resource Management, 5E 24

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Physical ability test

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Other selection Tests
Graphology test is designed to analyse the handwriting of
an individual. It has been said that an individual’s
handwriting can suggest the degree of energy, inhibitions
and spontaneity, as well as, and elements of balance
and control.
Big letters and emphasis on capital letter- domination and
competitiveness
Slant to right, moderate pressure, good legibility- good
leadership

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tests

Polygraph tests are designed to ensure accuracy of the

information given in the applications. Department
stores, treasury offices and jewellery shops – that is
those highly vulnerable to theft or swindling – may find
polygraph tests useful

Aptitude tests: helps determine persons potential to learn

in given area, GMAT

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Methods of Interviews

(a) One-to-One Interview

(b) Sequential Interview

(c) Panel Interview

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Kinds of Interview
Type Type of Questions Field(s) where applicable

Structured A preset checklist of questions Useful for getting valid results

usually asked from all the especially when dealing with
applicants large number of applicants
Unstructured Few planned questions. Applied when interviewer
Questions are framed during the wishes to validate and confirm
course of interview certain facts
Mixed Combination of structured and Realistic approach that yields
unstructured questions. comparable answers plus in-
depth insights.
Behavioural Framing questions for the Useful in exploring personality
hypothetical situation created in make-up, abilities, and other
interview and evaluating on the psychological variables related
basis of solution and approach to employment
offered by applicant
Stressful A series of harsh, rapid fire Useful in assessing candidates
questions intended to upset the for stressful jobs like handling
applicant customer complaints etc.

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Shortcomings of interviews
Absence of reliability
Lack of validity
Biases of interviewers
Common interview problem:
Halo effect: occurs when an interviewer judges an
applicant’s entire potential for job performance on basis
of single trait, such as how applicant dresses or talks.
Contrast effect :

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Personal Bias (Stereotyping)
• Managers allow individual differences
such as gender, race or age to affect
ratings they give
• Effects of cultural bias, or stereotyping,
can influence appraisals
Projections:
Tendency of the interview to judge a
candidate by own attribute

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Three Ways to Make the
Interview Useful

Structure the interview to

increase its validity

Making the Carefully choose what sorts of

Interview Useful traits are to be assessed

Beware of committing
interviewing errors

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Creating Effective Interview
Structures
Base questions on actual job duties.
Use job knowledge, situational or behavioral questions, and
objective criteria to evaluate interviewee’s responses.
Use the same questions with all candidates.
Use descriptive rating scales (excellent, fair, poor) to rate
answers.
If possible, use a standardized interview form.

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Sample Interview Evaluation
form

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Selection Process External Environment

Internal Environment

Preliminary Interview

Selection Tests

Employment Interview
Rejected Applicants

Reference and
Background Analysis

Selection Decision

Physical Examination

Job Offer

Employment Contract

Evaluation

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Background Investigations &
Reference Checks
 Investigations and Checks
– Reference checks
– Background employment checks
– Criminal records
– Driving records

 Why?
– To verify factual information provided by applicants.
– To uncover damaging information.

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 Reference & Background Checks

– The importance of checking:

• 40 percent of applicants lie about work histories
and educational backgrounds.
• 30 percent of applicants make misrepresentations
on their resumes.

Companies check background: KPMG, PWC, E&Y

Highest in IT- 150-250 firms – fake experience letters,

salary slips, relieving letters to candidate

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Reference & Background Checks

Inaccurate information- 11.1%

Inflated designation- 15%
Inflated compensation-2%
Other false information- 41%

Employees who lies are mostly: associates-65%, middle

mgmt.-21%, first level supervisors-9%, trainees -3%,
senior mgmt.-2%

Source: economics times Jan8. 2012

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Reference Checking Form

Source: Society for

Human Resource
Management, ©
2004. Reproduced
with permission of
Society for Human
Resource
Management in the
Format Textbook
via Copyright
Clearance Center.

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Background Investigations and
Reference Checks (cont’d)

Former Employers

Current Supervisors

Sources of
Information

Written References

Social Networking Sites

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The Job Offer

– Making the job offer:

• May be done by phone, letter or in person.
• Make arrangements for further conditions:
– Physical exam and drug screen.
• Discuss salary and benefits:
• Realistic job preview,

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 Job offer is made through a letter of appointment.
Decency demands that the rejected applicants be informed
about their non-selection.
Contracts of Employment:
Job titles, duties, date of joining, salary, method of
payment, working hours, holidays, notice period.

Human Resource Management, 5E 42

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Evaluation of Assessment
methods
• Validity—the extent to which the assessment method is
useful for predicting subsequent job performance.
■ Adverse impact—the extent to which protected group
members (e.g., minorities, females and individuals over
40) score lower on the assessment than majority group
members.
■ Cost—both to develop and to administer the
assessment.
■ Applicant reactions—the extent to which applicants
react positively versus negatively to the assessment
method.

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Evaluation of selection program

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Adverse impact

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Adverse impact

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Cost to administer

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Increase positive applicant
reactions

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