Human Resource Human Resource Management Management: Employee Testing and Selection Employee Testing and Selection

After studying this chapter, you should be able to:
Human Resource
Management
ELEVENTH EDITION
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.
GARY DESSLER
4. Give examples of some of the ethical and legal

considerations in testing.
Part 2 | Recruitment and Placement
5. List eight tests you could use for employee selection,

and how you would use them.
Chapter 6
6. Explain the key points to remember in conducting

background investigations.
Employee Testing and Selection

2008 Prentice Hall, Inc.
All rights reserved.
PowerPoint Presentation by Charlie Cook

The University of West Alabama
Why Careful Selection is Important
2008 Prentice Hall, Inc. All rights reserved.
62
Avoiding Negligent Hiring Claims

Carefully scrutinize information on employment
applications.
The Importance of
Selecting the Right
Employees
Get written authorization for reference checks, and

check references.
Save all records and information about the applicant.
Organizational
Performance
Costs of
Recruiting and
Hiring
Reject applicants for false statements or conviction

records for offenses related to the job.
Legal
Obligations and
Liability
Balance the applicants privacy rights with others need

to know.
Take immediate disciplinary action if problems arise.
63
FIGURE 61
Basic Testing Concepts
64
Sample Picture Card from Thematic Apperception Test
Reliability
Consistency of scores obtained by the same person
when retested with identical or equivalent tests.

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?
Source: Reprinted by permission of the publishers from Henry A. Murray, THEMATIC

APPERCEPTION TEST, Plate 12F, Cambridge, Mass: Harvard University Press, 1943.
65
66
Types of Validity
How to Validate a Test

Steps in Test Validation
Test
Validity
Criterion
Validity
Content
Validity
Face
Validity
FIGURE 62
67
Examples of Web Sites Offering Information

on Tests or Testing Programs
Analyze the Job: predictors and criteria
Choose the Tests: test battery or single test
Administer the Tests: concurrent or predictive validation
Relate Your Test Scores and Criteria: scores versus

actual performance
Cross-Validate and Revalidate: repeat Steps 3 and 4

with a different sample
FIGURE 63
68
Expectancy Chart
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
Provides information on over 20,000 tests.
www.kaplan.com
Information from Kaplan test preparation on how
various admissions tests work.
Note: This expectancy chart shows the

relation between scores made on the
Minnesota Paper Form Board and rated
success of junior draftspersons.
www.assessments.biz
One of many firms offering employment tests.
TABLE 61
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.
69
Testing Program Guidelines
Test Takers Individual Rights and

Test Security
1. Use tests as supplements.
Under the APAs standard for educational and

psychological tests, test takers have the right:
2. Validate the tests.

3. Monitor your testing/selection program.
To privacy and information.
4. Keep accurate records.
To the confidentiality of test results.
5. Use a certified psychologist.
To informed consent regarding use of these results.
6. Manage test conditions.
To expect that only people qualified to interpret the
scores will have access to them.
7. Revalidate periodically.
610
To expect the test is fair to all.
611
612
FIGURE 64
Legal Privacy Issues
Sample Test
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.
Source: Courtesy of NYT Permissions.

613
Using Tests at Work
Computerized and Online Testing
Major Types of Tests
Online tests
614
Telephone prescreening
Basic skills tests
Offline computer tests
Job skills tests
Virtual inbox tests
Psychological tests
Online problemproblem-solving tests
Why Use Testing?
Types of Tests
Increased work demands = more testing
Specialized work sample tests
Screen out bad or dishonest employees
Numerical ability tests
Reduce turnover by personality profiling
Reading comprehension tests

Clerical comparing and checking tests
615
FIGURE 65
Types of Tests
616
Type of Question Applicant Might Expect

on a Test of Mechanical Comprehension
What Tests
Measure
Cognitive
(Mental)
Abilities
Motor and
Physical
Abilities
Personality
and
Interests
Achievement
617
618
FIGURE 66
Sample Personality Test Items
The Big Five

Extraversion
Emotional Stability/
Neuroticism
Conscientiousness
Source: Elaine Pulakos, Selection Assessment

Methods, SHRM Foundation, 2005, p. 9.
Reprinted by
permission of Society
for Human Resource
Management via Copyright
Clearance Center.
FIGURE 67
Openness to
Experience
Agreeableness
619
Example of a Work Sampling Question
620
Work Samples and Simulations
Measuring Work
Performance Directly
Work
Samples
TABLE 62
621
Evaluation of Assessment Methods on Four Key Criteria

Costs
(Develop/
Administer)
Management
Assessment
Centers
Video-Based
Situational
Testing
622
Background Investigations and

Reference Checks
Applicant
Reactions
Assessment Method
Validity
Adverse Impact
Cognitive ability tests
High
High (against minorities)
Low/low
Job knowledge test
High
High (against minorities)
Low/low
More favorable
Personality tests
Low to
moderate
Low
Low/low
Less favorable
Biographical data
inventories
Moderate
Low to high for different types
High/low
Less favorable
Reference checks
Integrity tests
Moderate
to high
Low
Low/low
Less favorable
Background employment checks
Structured interviews
High
Low
High/high
More favorable
Criminal records
Physical fitness tests
Moderate
to high
High (against females and

older workers)
High/high
More favorable
Situational judgment tests
Moderate
Moderate (against minorities)
High/low
More favorable
Work samples
High
Low
High/high
More favorable
Assessment centers
Moderate
to high
Low to moderate, depending

on exercise
High/high
More favorable
Physical ability tests
Moderate
to high
High (against females and

older workers)
High/high
More favorable
Somewhat favorable
Investigations and Checks
Driving records
Credit checks
Why?
To verify factual information provided by applicants.
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.
To uncover damaging information.
Source: Elaine Pulakos, Selection Assessment Methods, SHRM Foundation, 2005, p. 17. Reprinted
by permission of Society for Human Resource Management via Copyright Clearance Center.
Miniature
Job Training
and
Evaluation
623
624
FIGURE 68
Reference
Checking
Form
Background Investigations and

Reference Checks (contd)
Former Employers
Current Supervisors
Sources of
Information
Commercial Credit
Rating Companies
Written References
Social Networking Sites
Source: Society for Human Resource

Management, 2004. Reproduced with
permission of Society for Human Resource
Management in the Format Textbook via
Copyright Clearance Center.
625
Limitations on Background Investigations

and Reference Checks
Background
Investigations
and
Reference Checks
626
Making Background Checks More Useful

1. Include on the application form a statement for
applicants to sign explicitly authorizing a
background check.
Legal
Issues:
Defamation
Employer
Guidelines
2. Use telephone references if possible.

3. Be persistent in obtaining information.
Legal
Issues:
Privacy
4. Use references provided by the candidate as

a source for other references.
5. Ask openopen-ended questions to elicit more
information from references.
Supervisor
Reluctance
627
Using Preemployment Information Services
TABLE 63
628
Collecting Background Information
Suggestions for collecting background information include the following:
Acquisition and Use of Background Information

1
Disclosure to and authorization by applicant/employee

Employer certification to reporting agency
1.
Check all applicable state laws.
2.
Review the impact of federal equal employment laws.
3.
Remember the Federal Fair Credit Reporting Act.
4.
Do not obtain information that youre not going to use.
5.
Remember that using arrest information will be highly suspect.
6.
Avoid blanket policies (such as we hire no one with a record of workers compensation claims).
7.
Use information that is specific and job related.
8.
Keep information confidential and up to date.
9.
Never authorize an unreasonable investigation.
10. Make sure you always get at least two forms of identification from the applicant.
Providing copies of reports to applicant/employee
11. Always require applicants to fill out a job application.
Notice of adverse action to applicant/employee
13. Particularly for executive candidates, include background checks of such things as involvement
in lawsuits, and of articles about the candidate in local or national newspapers.
12. Compare the application to the rsum (people tend to be more imaginative on their rsums
than on their application forms, where they must certify the information).
14. Separate the tasks of (1) hiring and (2) doing the background check (a recruiter or supervisor
anxious to hire someone may cut corners when investigating the candidates background).
Source: Adapted from Jeffrey M. Hahn, Pre-Employment Services: Employers Beware? Employee Relations Law Journal 17, no. 1
(Summer 1991), pp. 4569; and Shari Caudron, Who Are You Really Hiring?, Workforce, 81, no. 12 (November 2002), pp. 2832.
629
630
The Polygraph and Honesty Testing
Honesty Testing Programs:

What Employers Can Do
Employee Polygraph Protection Act of 1988
Antitheft Screening Procedure:
Generally prohibits polygraph examinations by all
private employers unless:
Ask blunt questions.
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.
Listen, rather than talk.

Do a credit check.
Check all employment and personal references.
Use paperpaper-and
and--pencil honesty tests and
psychological tests.
Exceptions:
Private security employees
Test for drugs.
Employees with access to drugs
Establish a searchsearch-and
and--seizure policy and conduct
National defense and security (FBI, DOE, and DOJ)
FIGURE 69
searches.
631
Handwriting Exhibit Used by Graphologist
632
Physical Examination
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 applicants
health for future insurance or compensation claims.

To reduce absenteeism and accidents.
To detect communicable diseases that may be
unknown to the applicant.

Source: Kathryn Sackhein, Handwriting Analysis and the Employee
Selection Process (New York: Quorum Books, 1990), p. 45.
Reproduced with permission of Greenwood Publishing Group, Inc.
633
Substance Abuse Screening
634
Substance Abuse Screening (contd)
Types of Screening
Safety:
Impairment vs.
Presence
Before formal hiring

After a work accident
Presence of obvious behavioral symptoms
Americans with
Disabilities Act
Random or periodic basis

Transfer or promotion to new position
Drug Free
Workplace Act
of 1988
Types of Tests
Ethical
and Legal
Issues
Recreational
Use vs.
Addiction
Intrusiveness of
Procedures
Urinalysis
Accuracy of
Tests
Hair follicle testing
635
636
FIGURE 610 Procedure in Complying with Immigration Law
Improving Productivity Through HRIS: Comprehensive

Automated Applicant Tracking and Screening Systems
1. Hire only citizens and aliens lawfully authorized to work in the

United States.
2. Advise all new job applicants of your policy.
Benefits of Applicant
Tracking Systems
3. Require all new employees to complete and sign the verification

form (the I-9 form) designated by the Immigration and
Naturalization Service (INS) to certify that they are eligible for
employment.
4. Examine documentation presented by new employees, record
information about the documents on the verification form, and
sign the form.
Knock out
applicants who
do not meet job
requirements
5. Retain the form for three years or for one year past the
employment of the individual, whichever is longer.
Allow employers
to extensively test
and screen
applicants online
6. If requested, present the form for inspection by INS or

Department of Labor officers. No reporting is required.
637
FIGURE 611 Checklist: What to Look for in an Applicant Tracking System (ATS)
Can match
hidden talents
of applicants to
available
openings
638
KEY TERMS
The employer thinking of adopting an ATS should seek one that meets several
minimum functionality requirements. Among other things, the ATS should be:
Easy to use.
Capable of being integrated into the companys existing HRIS platform, so that, for
instance, data on a newly hired candidate can flow seamlessly into the HRIS
payroll system.
Able to capture, track, and report applicant EEO data.
Able to provide employee selection performance metrics reports, including time to
fill, cost to hire, and applicant source statistics.
Able to facilitate scheduling and tracking of candidate interviews, email
communications, and completed forms, including job offers.
Able to provide automated screening and ranking of candidates based upon job
skill profiles.
Able to provide an internal job posting service that supports applications from
current employees and employee referral programs.
Able to cross-post jobs to commercial job boards such as www.monster.com.
Able to integrate the ATS job board with your companys own Web site, for
instance, by linking it to your sites careers section.
Able to provide for requisition creation and signoff approvals.
639
negligent hiring
reliability
test validity
criterion validity
content validity
expectancy chart
interest inventory
work samples
work sampling technique
management assessment center
situational test
video--based simulation
video
miniature job training and evaluation
640

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After studying this chapter, you should be able to:

1. Explain what is meant by reliability and validity.

4. Give examples of some of the ethical and legal

Part 2 | Recruitment and Placement

5. List eight tests you could use for employee selection,

6. Explain the key points to remember in conducting

Employee Testing and Selection

PowerPoint Presentation by Charlie Cook

Why Careful Selection is Important

2008 Prentice Hall, Inc. All rights reserved.

Avoiding Negligent Hiring Claims

Get written authorization for reference checks, and

Reject applicants for false statements or conviction

Balance the applicants privacy rights with others need

2008 Prentice Hall, Inc. All rights reserved.

2008 Prentice Hall, Inc. All rights reserved.

Basic Testing Concepts

Sample Picture Card from Thematic Apperception Test

when retested with identical or equivalent tests.

Source: Reprinted by permission of the publishers from Henry A. Murray, THEMATIC

2008 Prentice Hall, Inc. All rights reserved.

How to Validate a Test

2008 Prentice Hall, Inc. All rights reserved.

Examples of Web Sites Offering Information

Analyze the Job: predictors and criteria

Choose the Tests: test battery or single test

Administer the Tests: concurrent or predictive validation

Relate Your Test Scores and Criteria: scores versus

Cross-Validate and Revalidate: repeat Steps 3 and 4

2008 Prentice Hall, Inc. All rights reserved.

Note: This expectancy chart shows the

Example: Those who score between 37

Testing Program Guidelines

2008 Prentice Hall, Inc. All rights reserved.

Test Takers Individual Rights and

1. Use tests as supplements.

Under the APAs standard for educational and

2. Validate the tests.

To privacy and information.

4. Keep accurate records.

To the confidentiality of test results.

5. Use a certified psychologist.

To informed consent regarding use of these results.

6. Manage test conditions.

To expect that only people qualified to interpret the

scores will have access to them.

2008 Prentice Hall, Inc. All rights reserved.

To expect the test is fair to all.

2008 Prentice Hall, Inc. All rights reserved.

Legal Privacy Issues

Avoiding Employee Defamation Suits

Source: Courtesy of NYT Permissions.

2008 Prentice Hall, Inc. All rights reserved.

Using Tests at Work

Computerized and Online Testing

Major Types of Tests

Basic skills tests

Offline computer tests

Job skills tests

Virtual inbox tests

Online problemproblem-solving tests

Why Use Testing?

Increased work demands = more testing