Human Resource Management

10th Edition
Chapter 6
SELECTION

2008 by Prentice Hall

6-1

HRM in Action: Substance Abuse

Testing
80% of larger corporations in U.S.
require workplace drug testing
Drug users are more than twice as likely
to leave work early or miss days, are twoand-a-half times more likely to be absent
for eight days or more and are three times
more likely to be late for work.
More than three-and-a-half times more
likely to be involved in a workplace
accident and five times more likely to file a
workers compensation claim
2008 by Prentice Hall

6-2

HRM in Action: Substance Abuse

Testing (Cont.)
Most experts regard blood tests as the
forensic benchmark against which to
compare others
Hair sample analysis claim it can detect
drug use from three days to 90 days after
drug consumption
Oral fluid testing is especially well-suited
to cases of reasonable suspicion and post
accident testing
2008 by Prentice Hall

6-3

Selection
Process of choosing from group of
applicants the individual best suited for a
particular position and the organization
Goal of selection process is to properly
match people with jobs and organization
Top performers contribute from 5-22 times
more value to companies than midlevel or
low performers
2008 by Prentice Hall

6-4

Environmental Factors Affecting

the Selection Process

Other HR functions
Legal considerations
Decision making speed
Organizational hierarchy
Applicant pool
Type of organization
Probationary period

2008 by Prentice Hall

6-5

Other HR Functions
Selection
process affects,
and is affected
by, virtually every
other HR
function.
2008 by Prentice Hall

6-6

Legal Considerations
Human resource management is greatly
influenced by legislation, executive
orders, and court decisions
Guiding principle -Why am I asking this
question?
If information is job related, usually
asking for the information is appropriate

2008 by Prentice Hall

6-7

Speed of Decision Making

Time available to
make selection
decision can have
major effect on
selection process

2008 by Prentice Hall

6-8

Organizational Hierarchy
Different
approaches to
selection are
generally taken for
filling positions at
different levels in
organization
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6-9

Organizational Hierarchy (Cont.)

Extensive background checks and multiple
interviews would most likely apply for the
executive position
An applicant for a clerical position would
probably take a word processing test and
perhaps have a short employment
interview

2008 by Prentice Hall

6-10

Applicant Pool
Number of qualified applicants
recruited for a particular job

2008 by Prentice Hall

6-11

Selection Ratio
Number of people hired for a particular job
compared to number of individuals in the
applicant pool
Selection ratio of 0.10 indicates that there
were 10 qualified applicants for an open
position

2008 by Prentice Hall

6-12

Type of Organization
Prospective employees in private sector
screened with regard to how they can help
achieve profit goals
Government civil service systems identify
qualified applicants through competitive
examinations
Individuals considered for positions in notfor-profit organizations must be qualified
and dedicated to work
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6-13

Probationary Period
Period that permits
evaluating employees
ability based upon
performance
May be a substitute
for certain phases of
the selection process
Job related

2008 by Prentice Hall

6-14

The Selection Process

External Environment
Internal Environment

Recruited Candidate

Review of Applications and Rsums

Selection Tests
Employment Interviews
Pre-Employment Screening:
Background and Reference Checks

Rejected Applicants

Preliminary Interview

Selection Decision
Physical Examination
New Employee
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6-15

Preliminary Interview
Removes obviously unqualified
individuals
Positive benefits - Applicant
may be qualified for another
position with the firm

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6-16

Preliminary Interview - Telephone

Interview
Narrow pool of applicants before
having formal face-to-face interview
Cut down on wasted time and effort
Lacks advantages of face-to-face
contact
Not possible to observe nonverbal
cues
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6-17

Preliminary Interview - Videotaped

Interview
Using structured interview format
designed by hiring firm, interviewer can
videotape candidates responses
Interviewer may not interact with the
candidate
Does not replace personal interviews
Allows for broader search
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6-18

Review of Applications
Application form must reflect not only
firms informational needs, but also
EEO requirements.
Essential information is included and
presented in standardized format
May vary from firm to firm, and even
by job type within organization
2008 by Prentice Hall

6-19

Preprinted Statements on
Application Form
Certifies that information
provided on form is
accurate and true
Should state position is
employment at will
Gives permission to have
background and
references checked
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6-20

Review of Rsums
Rsum - Goal-directed summary of
experience, education, and training
developed for use in selection process
Professional/managerial applicants often
begin selection process by submitting
rsum
Includes career objective for specific
position
All important concept of relevancy
2008 by Prentice Hall

6-21

Sending Rsums via the Internet

Most large companies now use automated
tracking systems
Rsums deviating from assumed style
are ignored
Rsum should be as computer/scanner
friendly as possible

2008 by Prentice Hall

6-22

Keyword Rsum
Keywords - Words or phrases used to
search databases
Keyword rsum - Adequate description
of job-seekers characteristics and
industry-specific experience presented
in keyword terms to accommodate the
computer search process

2008 by Prentice Hall

6-23

Additional Recommendations
Avoid special characters.
Do not use tabs; use space bar.
Do not use word-wrap feature; use hard returns
to insert line breaks.
Use default font and size.
Do not use boldface and italics.
Do not use blocks.
Do not use columns.
Do not place names or lines on sides of rsums
2008 by Prentice Hall

6-24

Administration of Selection Tests

Advantages
Potential Problems using Selection
Tests
Characteristics of Properly Designed
Selection Tests
2008 by Prentice Hall

6-25

Advantages of Selection Tests

Reliable and accurate
means of selecting
qualified candidates
Cost small in comparison
Identify attitudes and jobrelated skills that interviews
cannot recognize

2008 by Prentice Hall

6-26

Potential Problems Using

Selection Tests
Can do v. Will do
Legal liabilities
Test anxiety

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6-27

Characteristics of Properly
Designed Selection Tests
Standardization - Uniformity of
procedures and conditions of
administering test
Objectivity - Everyone scoring a test
obtains same results
Norms - Frame of reference for
comparing applicant's performance
with that of others
2008 by Prentice Hall

6-28

Characteristics of Properly
Designed Selection Tests (Cont.)
Reliability - Provides consistent results
Validity - Measures what it is supposed to
measure (Basic Requirement)
Requirement for Job Relatedness Test
must work without having adverse impact
on minorities, females, and individuals
with backgrounds or characteristics
protected under law
2008 by Prentice Hall

6-29

Types of Validation Studies

Criterion-related validity - Comparing
scores on selection tests to some aspect
of job performance
Content validity - Performs certain tasks
actually required by job.
Construct validity - Measures certain
traits or qualities important in performing
job
2008 by Prentice Hall

6-30

Types of Employment Tests

Cognitive aptitude
Psychomotor abilities
Job Knowledge
Work-sample (simulation)
Vocational interests
Personality
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Cognitive Aptitude Tests

Measures
individuals ability
to learn, as well as
to perform a job

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Psychomotor Abilities Tests

Strength
Coordination
Dexterity

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Job Knowledge Tests

Measure candidate's
knowledge of duties of
position for which he or she
is applying
Are commercially available

2008 by Prentice Hall

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Work-Sample
Tests requiring applicant to perform
task or set of tasks representative of
job
Such tests by their nature are job
related
Produces highly validity, reduces
adverse impact, and is more
acceptable to applicants
2008 by Prentice Hall

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Vocational Interests
Indicates occupation in which person
is most interested and most likely to
receive satisfaction from
Primary used in counseling and
vocational guidance

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Personality Tests
Traits
Temperaments
Dispositions

2008 by Prentice Hall

6-37

Unique Forms of Testing

Genetic
Graphoanalysis
Polygraph Tests

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6-38

Genetic Testing
Determines whether person
carries gene mutation for
certain diseases, including
heart disease, colon cancer,
breast cancer and Huntingtons
disease

2008 by Prentice Hall

6-39

Graphoanalysis
(Handwriting Analysis)
Many people view
handwriting analysis in
same context as psychic
readings or astrology
In Europe, many
employers use
graphoanalysis to help
screen and place job
applicants
2008 by Prentice Hall

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Polygraph Tests
Confirm or refute
application information
Employee Polygraph
Protection Act of 1988
severely limited use in
private sector

2008 by Prentice Hall

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Internet Testing
Increasing being
used to test skills
required by
applicants

2008 by Prentice Hall

6-42

Assessment Centers
Selection technique used to identify and
select employees for positions
Requires them to perform activities similar
to those in job
In-basket exercises
Management games
Leaderless discussion groups
Mock interviews
2008 by Prentice Hall

6-43

Employment Interview
Goal-oriented conversation where
interviewer and applicant exchange
information
Continues to be primary method used
to evaluate applicants
At this point, candidates appear to be
qualified
2008 by Prentice Hall

6-44

Interview Planning
Compare applicants application and
rsum with job requirements
Develop questions related to qualities
sought
Prepare step-by-step plan to present
position, company, division, and
department
Determine how to ask for examples of
past job-related applicant behaviors
2008 by Prentice Hall

6-45

Content of the Interview

Occupational experience
Academic achievement
Interpersonal skills
Personal qualities
Organizational fit

2008 by Prentice Hall

6-46

Organizational Fit
Managements perception of degree to
which prospective employee will fit in with
firms culture or value system
Employees also should consider
organizational fit when debating whether
or not to accept a job offer

2008 by Prentice Hall

6-47

Candidates Role and Expectations

While interviewer
provides information
about company, it is
important for applicants
to do their homework

2008 by Prentice Hall

6-48

Types of Interviews
Unstructured
(nondirective)
Structured
(directive or
patterned)
2008 by Prentice Hall

6-49

Unstructured (Nondirective) Interview

Asks probing, openended questions
Encourages applicant
to do much of the
talking
Often time-consuming
Potential legal woes
2008 by Prentice Hall

6-50

Unstructured Interview Examples

Tell me about yourself?

What is your greatest strength?
What is your greatest weakness?
How will our company benefit by
having you as an employee?

2008 by Prentice Hall

6-51

Structured (Directive or Patterned)

Interview
Series of job-related questions
asked of each applicant for
particular job
Increases reliability and accuracy
by reducing subjectivity and
inconsistency of unstructured
interviews
2008 by Prentice Hall

6-52

Structured (Directive or Patterned)

Interview (Cont.)
Situational questions
Job knowledge
questions
Job-sample simulation
questions
Worker requirements
questions
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6-53

Behavioral Interview
Applicants asked to relate actual incidents
from past relevant to target job
Behavioral questions - Job relevant
Example: Relate a scenario where you
were responsible for motivating others
Example: Describe situation where your
expertise made a significant difference
2008 by Prentice Hall

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Methods of Interviewing
One-on-one interview - Applicant
meets one-on-one with interviewer
Group interview - Several applicants
interact in presence of one or more
company representatives
Board interview - Several firm
representatives interview candidate at
same time
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Methods of Interviewing (Cont.)

Multiple Interviews - Applicants
are interviewed by peers,
subordinates, and supervisors
Stress interview - Anxiety is
intentionally created

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Realistic Job Previews

Conveys both positive and
negative job information to
applicant in unbiased
manner
Conveys information
about tasks person would
perform and behavior
required to fit into culture
of organization
2008 by Prentice Hall

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Potential Interviewing Problems:

Inappropriate Questions
Most basic interviewing rule is this: Ask
only job-related questions
Interview is a test subject to the same
validity requirements as any other step in
the selection process
Historically, the interview has been more
vulnerable to charges of discrimination
than any other tool used in the selection
process
2008 by Prentice Hall

6-58

Potential Interviewing Problems:

Premature Judgments
Interviewers often make judgments about
candidates in the first few minutes of the
interview
Some interviewers believe their ability to
read a candidate is superior
When this occurs, a great deal of
potentially valuable information is not
considered
2008 by Prentice Hall

6-59

Potential Interviewing Problems:

Interviewer Domination
Relevant information must flow both ways
Interviewers must learn to be good
listeners as well as suppliers of
information

2008 by Prentice Hall

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Potential Interviewing Problems:

Permitting Non-Job Related Information
If a candidate begins volunteering
personal information that is not job related,
the interviewer should steer the
conversation back on course
Whereas engaging in friendly chitchat with
candidates might be pleasant, in our
litigious society, it may be the most
dangerous thing an interviewer can do
2008 by Prentice Hall

6-61

Potential Interviewing Problems:

Contrast Effects
An error in judgment may occur when an
interviewer meets with several poorly
qualified applicants and then confronts a
mediocre candidate
Last applicant may appear to be better
qualified than he or she actually is
Opposite can also occur

2008 by Prentice Hall

6-62

Potential Interviewing Problems:

Lack of Training
Interview is much more than carrying on a
conversation with another person
Expense of training employees in
interviewing skills can be easily justified
What does Tell me about yourself mean
to a trained interviewer

2008 by Prentice Hall

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Potential Interviewing Problems:

Nonverbal Communication
Body language is the nonverbal
communication method in which physical
actions such as motions, gestures, and
facial expressions convey thoughts and
emotions
Interviewers should make a conscious
effort to view themselves as applicants do
to avoid sending inappropriate or
unintended nonverbal signals
2008 by Prentice Hall

6-64

Concluding the Interview

When the interviewer has obtained the
necessary information and answered the
applicants questions, he or she should
conclude the interview
Management must then determine
whether the candidate is suitable for the
open position and organization
Tell the applicant that he or she will be
notified of the selection decision shortly
2008 by Prentice Hall

6-65

Pre-Employment Screening:
Background Investigations
Determine accuracy of
information submitted or to
determine if vital information
was not submitted
Principal reason for conducting
background investigations is to
hire better workers

2008 by Prentice Hall

6-66

Elements to Verify
Previous employment
Education verification
Personal reference check
Criminal history
Driving record
Civil litigation
Workers compensation history
Credit history
Social security number
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6-67

Fair Credit Reporting Act

Act amended in 1997
Places new obligations on
employers who use certain
information brought to light through
background investigations

2008 by Prentice Hall

6-68

Trends & Innovations: Liars Index

Quite a few executive job
seekers claim advanced
degrees from educational
institutions they never
attended
Liars Index was 10.73%
Expecting employers will
not check facts
2008 by Prentice Hall

6-69

Pre-Employment Screening:
Reference Checks
Information from individuals who know the
applicant that provide additional insight
into the information furnished by the
applicant and verification of its accuracy
Possible flaw - Virtually everyone can
name three or four individuals willing to
make favorable statements
2008 by Prentice Hall

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Pre-Employment Screening:
Reference Checks (Cont.)
Laws in 37 states and
jurisdictions shield employers
from liability for harm to an exemployee based on contents of
job reference
There is a wait-and-see attitude
among some employers
2008 by Prentice Hall

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Pre-Employment Screening:
Reference Checks (Cont.)
Two schools of
thought with regard to
supplying information
about former
employees
Dont tell them
anything
Honesty is the best
policy
2008 by Prentice Hall

6-72

Negligent Hiring
Negligent Hiring - Liability a company
incurs when it fails to conduct a
reasonable investigation of an applicants
background, and then assigns a
potentially dangerous person to a position
where he or she can inflict harm

At Risk Employers - Risk of harm to

third parties. Example: Taxi driver
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6-73

Negligent Referral
Liability former
employers may incur
when they fail to offer a
warning about a
particularly severe
problem with a past
employee

2008 by Prentice Hall

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Selection Decision
Most critical step of all
Person whose qualifications most
closely conform to requirements
of open position and organization
should be selected
2008 by Prentice Hall

6-75

Medical Examination
Americans with Disabilities Act
(ADA) does not prohibit preemployment medical examinations.
Determines point they may be
administered during selection
process
Directly relevant to job requirements
Determines whether applicant
physically capable of performing the
work
2008 by Prentice Hall

6-76

Notification to Candidates
Results should be made know to
candidates as soon as possible
Delay may result in firm losing prime
candidate
Unsuccessful candidates should also
be promptly notified
2008 by Prentice Hall

6-77

Metrics for Evaluating

Recruitment/Selection Effectiveness
Recruiting Costs - Cost per hire may
be determined by dividing recruiting
expenses by number of recruits hired
Selection Rate - Number of applicants
hired from group of candidates
expressed as percentage
Acceptance Rate - Percent of those
who accepted job from number who
were offered the job
2008 by Prentice Hall

6-78

Metrics for Evaluating

Recruitment/Selection Effectiveness
(Cont.)
Yield Rate - Percentage of applicants from
particular source and method that make it
to next stage of selection process
Cost/Benefit of Recruitment Sources and
Methods - For each method, there is a
cost. For each method, there should be a
benefit
Time Required to Hire - Time required to
fill an opening is critical
2008 by Prentice Hall

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A Global Perspective: Selecting a

Buddy
Many companies are using formal buddy
system when sending expatriates on
assignments
Often inform expatriates of host-office
norms and politics, invite them into their
homes, introduce them to friends and
networks, and help bolster credibility in
office
2008 by Prentice Hall

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 2008 by Prentice Hall

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