week 2 - How can pre-employment testing help a company's...

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How can pre-employment testing help a company's hiring process? Testing employees will help better select candidates that are best for the job. This test should be related to the job that is being preformed. The results should not always be based on the right or wrong answer unless the position requires experience. lower turnover, Higher productivity, Increased employee retention, increased sales, and higher customer satisfaction is what the business will gain when they require a employment test. ( ) Employement testing works because predict future job performance. Why does pre-employment testing work? When properly implemented, a pre-employment testing program can lead to higher productivity, because test results can be accurate predictors of future job performance. Tests are among the most accurate means of predicting performance because they are an objective means of determining the extent to which a candidate has the capacity to perform well at a given job. Research has shown that cognitive aptitude tests, for example, are much more accurate predictors of job performance than are other widely used employee selection techniques. For example, a comprehensive review of peer- reviewed studies of the predictive validity of various selection techniques concluded that aptitude tests are twice as predictive as job interviews, three times as predictive as experience, and four times as predictive as education level. Source: Heneman and Judge, Staffing Organizations, 4th ed One reason that aptitude tests are such accurate predictors of job performance is that the qualities these tests measure-problem solving, the ability to learn and apply new information, critical thinking, and reasoning--are abilities that are important to a wide variety of jobs. Aptitude tests will be most highly predictive of performance for those jobs which call for higher levels of problem-solving and critical thinking abilities. How can employee testing impact a company's bottom line?
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Because pre-employment tests are among the most accurate predictors of future job performance, incorporating employment tests into an employee selection process can lead to more successful and efficient decisions. Improving the success rate of your selection methodology will lead to higher productivity, better employee retention, and a reduction of the costs associated with turnover. For example, consider the case of a clothing retailer that chose HireSelect®, Criteria Corp's testing solution. This company wished to improve the productivity (as measured by hourly sales volume) of its sales associates. By examining the relationship between test scores and average sales per hour, the company was able to determine that employees who received high scores on the test sold, on average, $106.35 of goods per hour, while those who received low test scores sold only $83.27 per hour. Incorporating pre- employment tests into its selection process resulted in a 28% increase in salesperson productivity. When correlations between test results and various desirable business
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This note was uploaded on 04/11/2011 for the course OMM 640 taught by Professor Staff during the Spring '11 term at Ashford University.

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week 2 - How can pre-employment testing help a company's...

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