TM - March 2008 - (Page 33)

assessment experienced less shrinkage — almost $50,000 less per year — than other locations. Across the chain’s 1,500-plus stores nationwide, this translated into nearly a $78 million difference in annual shrinkage. “It is important to choose assessment tools that predict the various kinds of performance that are most critical to the job,” Dr. Handler said. “As a general rule, it is good to focus on having assessment tools that predict both what candidates ‘can do’ and what they ‘will do.’ This usually means having a mix of assessment tools that measure hard skills, such as knowledge and problem-solving ability, as well as soft skills, such as reliability and customer service.” Uncovering the Research a math whiz. This is very important to know when using a personality test to hire someone. In the real world, this translates into organizations finding people who not only have the necessary skills or abilities to do the job, but who really want to do the job under required conditions. Imagine two equally experienced sales manager candidates — same number of years in the field, same ability to create pricing models or presentations — but one of them scores high in agreeableness, while the other is Attila the Hun. Because of the criticality of people skills in this role, this difference in personalities likely would impact the performance of the sales organization. One manager may motivate the sales team and negotiate successfully with clients, while the other may terrorize everyone into submission or quitting. If you are looking for the magic formula for hiring success, look to the science of assessment to help uncover the personalities of your future workforce. It will not only give you insight into their motivation, you also will be able to measure the dollar impact of better performance on your company’s bottom line. Ken Lahti, Ph.D., is director of client solutions for PreVisor. He can be reached at editor@TalentMgt.com. Research clearly indicates personality testing in the hiring process works best and is most predictive when job requirements are well understood and characteristics most valuable to performance are assessed. How do we know which combination of characteristics will be most useful? In a 2007 “Aha! Report,” Dr. Wendell Williams wrote, “There are hosts of personality tests on the market, all claiming to be helpful in making hiring decisions. But before hiring and recruiting professionals commit to using personality tests, they need to understand the difference between causation and correlation. In other words, does a good personality score really indicate good performance?” Causation means one thing causes another to happen. Throw chalk at the class bully, and you can expect to be punished. The stimulus causes the punishment. Correlation means two things tend to occur at the same time, but one does not cause the other. Pocket protectors and mathematical ability are correlated or co-related, but having a pocket protector does not cause someone to be I AM Member since 2005 Brooke Kaercher, PHR Director, Human Resources Holiday Inn “SHRM provides an array of tools as well as networking and professional development opportunities. It’s hard to imagine working in HR without this valuable resource.” Leading People. Leading Organizations. www.shrm.org 08-0135 http://www.shrm.org http://www.shrm.org

Table of Contents Feed for the Digital Edition of TM - March 2008

TM - March 2008 Editor's Letter Contents Human Performance - The Paradoxically Gifted Leading Edge - Reverse Engineering: Shifting Focus to HR's Cause Learning Connection - Sharing Talent On the Hunt for Talent Unlock Employee Motivation Through Personality Testing HR Crucial to Executive Compensation Process Downtown Management: Surfing May Not Be Slacking Think Tanks Aid Government in Talent Management Creating Consistency: Enterprise-Wide Succession Plans Battle Retention Deficits With On-Boarding Sunbelt Rentals: A Mid-Level View of HR From the Trenches Butterball: No Chicken When It Comes to Talent Management Advertisers' Index Editorial Resources Full Potential - Choosing Change

TM - March 2008

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