HUMAN RESOURCE MANAGEMENT

Global Edition 12e

Chapter 6
Employee Testing
and Selection

Part 2 Recruitment and Placement

PowerPoint Presentation by Charlie Cook

Copyright © 2011 Pearson Education GARY DESSLER The University of West Alabama
LEARNING OUTCOMES
1. Explain what is meant by reliability and validity.
2. Explain how you would go about validating a test.
3. Cite and illustrate our testing guidelines.
4. Give examples of some of the ethical and legal
considerations in testing.
5. List eight tests you could use for employee selection
and how you would use them.
6. Give two examples of work sample/simulation tests.
7. Explain the key points to remember in conducting
background investigations.

Copyright © 2011 Pearson Education 6–2

 Why Careful Selection is Important

The Importance of Selecting

the Right Employees

Organizational Costs of recruiting Legal obligations

performance and hiring and liability

Copyright © 2011 Pearson Education 6–3

Avoiding Negligent Hiring Claims
• Carefully scrutinize information on employment
applications.
• Get written authorization for reference checks, and
check references.
• Save all records and information about the applicant.
• Reject applicants for false statements or conviction
records for offenses related to the job.
• Balance the applicant’s privacy rights with others’
“need to know.”
• Take immediate disciplinary action if problems arise.

Copyright © 2011 Pearson Education 6–4

Basic Testing Concepts
• Reliability
 Describes the consistency of scores obtained by the same
person when retested with the identical or alternate forms of the
same test.
 Are test results stable over time?
• Validity
 Indicates whether a test is measuring what it is supposed to be
measuring.
 Does the test actually measure what it is intended to measure?

Copyright © 2011 Pearson Education 6–5

 FIGURE 6–1 A Slide from the Rorschach Test

Copyright © 2011 Pearson Education 6–6

 Types of Validity

Types of
Test Validity

Criterion validity Content validity

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 Types of Validity

Criterion validity means demonstrating that those who do well

on the test also do well on the job, and that those who do poorly
on the test do poorly on the job. In psychological measurement,
a predictor is the measurement (in this case, the test score) that
you are trying to relate to a criterion, such as performance on the
job.
 
Content validity Employers demonstrate the content validity of
a test by showing that the test constitutes a fair sample of the
job’s content. The basic procedure here is to identify job tasks
that are critical to performance, and then randomly select a
sample of those tasks to test.
 
 

Copyright © 2011 Pearson Education 6–8

Evidence-Based HR: How to Validate a Test

Steps in Test Validation

1 Analyze the Job: predictors and criteria

2 Choose the Tests: test battery or single test

3 Administer the Test: concurrent or predictive validation

4 Relate Your Test Scores and Criteria: scores versus

actual performance

5 Cross-Validate and Revalidate: repeat Steps 3 and 4

with a different sample

Copyright © 2011 Pearson Education 6–9

 FIGURE 6–3 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 above average and those scoring
between 57 and 64 have a 97% chance.

Copyright © 2011 Pearson Education 6–10

 TABLE 6–1 Testing Program Guidelines

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.

Copyright © 2011 Pearson Education 6–11

Test Takers’ Individual Rights
and Test Security
• Under the APA’s standard for educational and
psychological tests, test takers have the following
rights:
 The right to the confidentiality of test results.
 The right to informed consent regarding use of these results.
 The right to expect that only people qualified to interpret the
scores will have access to them, or that sufficient information
will accompany the scores to ensure their appropriate
interpretation.
 The right to expect the test is fair to all. For example, no one
taking it should have prior access to the questions or
answers.

Copyright © 2011 Pearson Education 6–12

Legal Privacy Issues
• Defamation
 Libeling or slandering of employees or former employees
by an employer.
• Avoiding Employee Defamation Suits
1. Train supervisors regarding the importance of employee
confidentiality.
2. Adopt a “need to know” policy.
3. Disclose procedures impacting confidentially of information
to employees.

Copyright © 2011 Pearson Education 6–13

How Do Employers Use Tests at Work?
• Major Types of Tests
 Basic skills tests

 Job skills tests

 Psychological tests

• Why Use Testing?

 Increased work demands = more testing

 Screen out bad or dishonest employees

 Reduce turnover by personality profiling

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 FIGURE 6–4 Sample Test

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Computerized and Online Testing
• Online tests
 Telephone prescreening
 Offline computer tests
 Virtual “inbox” tests
 Online problem-solving tests

• Types of Tests
 Specialized work sample tests
 Numerical ability tests
 Reading comprehension tests
 Clerical comparing and checking tests

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 Types of Tests

What Different Tests Measure

Cognitive Motor and Personality Current

abilities physical abilities and interests achievement

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 Types of Tests
Cognitive tests include tests of general reasoning ability (intelligence)
and tests of specific mental abilities like memory and inductive
reasoning.

Tests of motor and physical abilities measure motor abilities, such as

finger dexterity, manual dexterity, and reaction time.

Personality tests measure basic aspects of an applicant’s personality,

such as introversion, stability, and motivation.

Achievement tests measure what someone has learned. Most of the

tests you take in school are achievement tests. They measure your “job
knowledge” in areas like economics, marketing, or human resources.

Copyright © 2011 Pearson Education 6–18

 FIGURE 6–5 Type of Question Applicant Might Expect
on a Test of Mechanical Comprehension

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 The “Big Five”

Extraversion

Emotional stability/
Conscientiousness
Neuroticism

Openness to
Agreeableness
experience

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 Work Samples and Simulations

Measuring Work Performance

Directly

Management Video-based Miniature job

Work
assessment situational training and
samples
centers testing evaluation

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 Work Samples and Simulations
With work samples, examinees are presented with situations
representative of the job for which they’re applying, and are evaluated on
their responses.

Management assessment center: A simulation where management

candidates are asked to perform realistic tasks in hypothetical situations
and are scored on their performance.
The in basket
Leaderless group discussion
Management games
Individual presentation
Interview
Objective test

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 Work Samples and Simulations

Management assessment center: A simulation where management

candidates are asked to perform realistic tasks in hypothetical
situations and are scored on their performance.

The in basket
Leaderless group discussion
Management games
Individual presentation
Interview
Objective test

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 Work Samples and Simulations

Situational test requires examinees to respond to situations

representative of the job

Video based simulation is also an situational test in which

examinees respond to video simulations of realistic job situations
each followed by one or more multiple choice questions

Miniature job training and evaluation Training candidates to

perform several of the job’s task and then evaluating the
candidates performance prior to hire

Copyright © 2011 Pearson Education 6–24

 TABLE 6–2 Evaluation of Assessment Methods on Four Key Criteria

Costs (Develop/
Assessment Method Validity Adverse Impact Administer) Applicant Reactions
Cognitive ability tests High High (against minorities) Low/low Somewhat favorable
Job knowledge test High High (against minorities) Low/low More favorable
Personality tests Low to Low Low/low Less favorable
moderate
Biographical data inventories Moderate Low to high for different High/low Less favorable
types
Integrity tests Moderate to Low Low/low Less favorable
high
Structured interviews High Low High/high More favorable
Physical fitness tests Moderate to High (against females and High/high More favorable
high older workers)
Situational judgment tests Moderate Moderate (against High/low More favorable
minorities)
Work samples High Low High/high More favorable
Assessment centers Moderate to Low to moderate, High/high More favorable
high depending on exercise
Physical ability tests Moderate to High (against females and High/high More favorable
high older workers)

Note: There was limited research evidence available on applicant reactions to situational judgment tests and physical ability tests. However,
because these tests tend to appear very relevant to the job, it is likely that applicant reactions to them would be favorable.

Copyright © 2011 Pearson Education 6–25

Background Investigations and
Other Selection Methods
• Investigations and Checks
 Reference checks
 Background employment checks
 Criminal records
 Driving records
 Credit checks

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

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Background Investigations and
Reference Checks

Former Employers

Current Supervisors

Sources of Commercial Credit

Information Rating Companies

Written References

Social Networking Sites

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 Limitations on Background Investigations
and Reference Checks

Legal Issues:
Defamation

Background
Employer Legal Issues:
Guidelines
Investigations and Privacy
Reference Checks

Supervisor
Reluctance

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Making Background Checks More Useful
1. Include on the application form a statement for
applicants to sign explicitly authorizing a background
check.
2. Use telephone references if possible.
3. Be persistent in obtaining information.
4. Compare the submitted résumé to the application.
5. Ask open-ended questions to elicit more information
from references.
6. Use references provided by the candidate as a source
for other references.

Copyright © 2011 Pearson Education 6–29

Using Preemployment Information Services

Acquisition and Use of Background Information

1 Disclosure to and authorization by applicant/employee

2 Employer certification to reporting agency

3 Providing copies of reports to applicant/employee

4 Notice of adverse action to applicant/employee

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The Polygraph and Honesty Testing
• Employee Polygraph Protection Act of 1988
 Generally prohibits polygraph examinations by all private
employers unless:
 The employer has suffered an economic loss or injury.
 The employee in question had access to the property.
 There is a reasonable prior suspicion.
 The employee is told the details of the investigation, as well
as questions to be asked on the polygraph test itself.
 Private business exceptions:
 Private security employees
 Employees with access to drugs
 Ongoing economic loss or injury investigations

Copyright © 2011 Pearson Education 6–31

Honesty Testing Programs:
What Employers Can Do
• Antitheft Screening Procedure:
 Ask blunt questions.
 Listen, rather than talk.
 Do a credit check.
 Check all employment and personal references.
 Use paper-and-pencil honesty tests and psychological tests.
 Test for drugs.
 Establish a search-and-seizure policy and conduct searches.

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 FIGURE 6–9 “The Uptight Personality”

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Physical Examinations
• Reasons for preemployment medical examinations:
 To verify that the applicant meets the physical requirements of
the position.
 To discover any medical limitations to be taken 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.

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Substance Abuse Screening
• Types of Screening
 Before formal hiring
 After a work accident
 Presence of obvious behavioral symptoms
 Random or periodic basis
 Transfer or promotion to new position

• Types of Tests
 Urinalysis
 Hair follicle testing

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 Substance Abuse Screening Issues

Safety:
impairment vs.
presence

American with Recreational use

Disabilities Act vs. addiction
Ethical and
Legal Issues
Drug Free
Intrusiveness of
Workplace Act of
testing procedures
1998

Accuracy of tests

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KEY TERMS
reliability
test validity
criterion validity
content validity
expectancy chart
interest inventory
work samples
work sampling technique
management assessment center
situational test
video-based simulation
miniature job training and evaluation

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