Employees Testing & Selection

Chapter 6
EMPLOYEES TESTING & SELECTION

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
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EMPLOYEES TESTING & SELECTION
Why Careful selection is important?

• Performance
• Cost and legal obligations
Selecting the right employees is important for main
reasons.
First, your own performance always depends in part on your
subordinates.
Employees with the right skills and attributes will do a better
job for you and the company.
Employees without these skills or who are abrasive or
obstructionist won’t perform effectively, and your own
performance and the firm’s will suffer.
2
Avoiding Negligent Hiring Claims
• Carefully scrutinize information supplied by the applicant on
his or her employment application.
• Get the applicant’s written authorization for reference checks,
and carefully check references.
• Save all records and information you obtain about the
applicant.
• Reject applicants who make false statements of material facts
or who have conviction records for offenses directly related
and important to the job in question.
• Balance the applicant’s privacy rights with others’ “need to
know,” especially when you discover damaging information.
• Take immediate disciplinary action if problems arise.
3
Basic Testing Concepts
• Effective selection is important and depends, to a large

degree, on the basic testing concepts of reliability and validity.
• Reliability:
The consistency of scores obtained by the same person when
retested with the identical or equivalent tests. A test reliability
is very important; if a person scored 90 on an intelligence test
on a Monday and 130 when retested on Tuesday, you
probably wouldn’t have much faith in the test.
4
Validity
• Test Validity:
The accuracy with which a test, interview, and so on
measures what it purpose to measure or fulfills the
function it was designed to fill.
• Types of Validity
– Criterion Validity:
A type of validity based on showing that sources on the test
(predictors) are related to job performance (Criterion).
– Content Validity:
A test that is content valid is one that contains a fair sample of the
tasks and skills actually needed for job in question.
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How to validate a Test:
What makes a test like the Graduate Record Examination

useful for college admissions directors? What makes a
mechanical comprehension test useful for a manager trying
to hire a machinist?
The answer to both questions is usually that people’s scores

on these tests predict how they perform. Thus, other things
being equal, students who score high on the graduate
admissions tests also do better in graduate school.
Applicants who score high on the mechanical
comprehension test perform better as engineers.
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The Validation Process
Five Steps in the Validation Process:

1. Analyze the Job
2. Choose your tests
3. Administer the tests
4. Relate the test scores and the criteria
5. Cross Validate and Re-validate
1. Analyze the Job: The first step is to analyze the job and write job
descriptions and job specifications. Here, you need to specify the
human traits and skills you believe are required for adequate job
performance.
Examples: Must an applicant be verbal, a good talker? Is programming

required? Must the person assemble small, detailed components?
These requirements become the Predictors.
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2. Choose the Tests:
Next choose tests that you think measure the attributes (predictors)
important for job success. Employees usually base this choice on
experience, previous research, and “best guesses.”
3. Administer the Test
4. Relate Your Test Score and Criteria
5. Cross Validate and Revalidate
Types of Tests:
i. We can conveniently classify tests according to whether they measure.
ii. Cognitive (mental) abilities.
iii. Motor and Physical abilities.
Iv. Personality and interests, or achievement.
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Types of Cognitive Abilities
Intelligence Tests: Intelligence (IQ) tests are tests of general intellectual

abilities. They measure not a single trait but rather a range of abilities,
including memory, vocabulary, verbal fluency, and numerical ability.
Specific Cognitive Abilities

These are also measures of specific mental abilities, such as inductive &
deductive reasoning, verbal comprehension, memory & numerical ability.
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Tests of Motor and Physical Abilities
To measure motor abilities, such as finger dexterity, manual
dexterity, and reaction time.
Measuring Personality and Interests

Tests that use projective techniques and trait inventories to
measure basic aspects of an applicant’s personality, such as
introversion, stability, and motivation.
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Measuring Personality and Interests…
• The “Big Five”
1. Extraversion
– The tendency to be sociable, assertive, active, and to experience
positive effects, such as energy and zeal.
2. Emotional stability/neuroticism
– The tendency to exhibit poor emotional adjustment and
experience negative effects, such as anxiety, insecurity, and
hostility.
3. Openness to experience
– The disposition to be imaginative, nonconforming, unconventional,
and autonomous.
4. Agreeableness
– The tendency to be trusting, compliant, caring, and gentle.
5. Conscientiousness
– Is comprised of two related facets: achievement and
dependability.
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Work Samples & Simulation
Work sampling technique

A testing method based on measuring performance on
actual basic job tasks.
Management assessment center
A simulation in which management candidates are asked
to perform realistic tasks in hypothetical situations and
are scored on their performance. It usually also involves
testing and the use of management games.
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Typical Simulated exercises
• The in basket
• Leaderless group discussion
• Management games
• Individual presentations
• The Interview
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Video – Based Situational Testing
Video-based tests are also situational tests. The

typical video-based test presents the candidate
with several scenarios, each followed by a
multiple-choice question. A scenario might depict
an employee handling a situation on the job. At a
critical moment, the scenario ends and the video
asks the candidate to choose from among
several courses of action.
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Background Investigation &
Reference checks
There are two main reasons to conduct pre-
employment background investigations and/or
reference checks – to verify factual information
previously provided by the applicants, and to
uncover the damaging information such as
criminal records & suspended drivers’ licenses.
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Employment Reference Check Form
To be Completed by Employer:
Employed From __________To____________
Position (s) Held
Reason for Separation: _____Quit_____Laid-off____Discharged
Other _______________
Comments:_________________________________
___________________________________________
___________________________________________
As an employee, was this person:
Responsible?___________YES_______NO
Trustworthy? __________YES________NO Dependable (Attendance)?
_______YES______NO
Eligible for rehire? ________YES_____NO
A positive customer service representative? (if applies)
______YES_____NO
Please comment briefly on “NO” responses:_____
__________________________________________
__________________________________________
__________________________________________
Additional comments from supervisor, if possible
__________________________________________
__________________________________________
Signature of person filling out form:___________ 16
Title:_________________Date:________________
Physical Examination
There are several reasons for pre-employment medical exams.
One is to verify that the applicants meets the physical
requirements of the position, and discover any medical
limitations you should take into account in placing the applicants.
Substance Abuse Screening

Many employers conduct drug screenings. The most common
practice is to test candidates just before they're formally hired.
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Chapter 6

EMPLOYEES TESTING & SELECTION

Why Careful selection is important?

• Effective selection is important and depends, to a large

What makes a test like the Graduate Record Examination

The answer to both questions is usually that people’s scores

Five Steps in the Validation Process:

Examples: Must an applicant be verbal, a good talker? Is programming

3. Administer the Test

4. Relate Your Test Score and Criteria

5. Cross Validate and Revalidate

Intelligence Tests: Intelligence (IQ) tests are tests of general intellectual

Specific Cognitive Abilities

Measuring Personality and Interests

Work sampling technique

Video-based tests are also situational tests. The

Substance Abuse Screening

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