world class selection june 2008 north 51 - a team you can rely on the psychology of selection

World Class Selection June 2008

North 51 - A team you can rely on

The Psychology of Selection


Presentation Objectives:

To highlight the organisational benefits of world class selection

To illustrate how effective selection processes underpin talent management & sales force effectiveness

To highlight the practical steps to achieving world class selection


Organisational Benefits of World Class Selection

Greater productivity (strong evidence base over decades)

Higher job satisfaction; better retention of talent

Positive organisational image; improves ability to attract talent

Fairness & legal compliance


Improved Productivity

Most important element of talent management & sales force effectiveness models i.e. the ability to predict talent

Research indicates difference in performance between highly effective and moderately effective employees is between 40% & 70%.

Even greater variability in performance in sales roles.

Conduct utility analysis; indicates even relatively moderate shifts in predictive validity (i.e. ability to predict effective in-job performance) makes a significant difference to the bottom line.


Predictive Validity of Selection Methods

1.0 Perfect prediction

0.0 Graphology

0.13 References 0.11 – 0.33 Interviews

0.68 Assessment Centres (Potential)

0.41 Assessment Centres (Current Performance)

0.38 Personality test

0.54 Work Sample & Ability tests


Challenge 1: Effectiveness of Current Processes

What is the predictive validity of your current selection methods?

How close are you to world class standards?

What action is being taken to reach these levels?


Key Steps to Effective Selection

Stage 1: Job Analysis

Definition of target competencies and behavioural indicators

Developed through job analysis e.g. diary, card sort, critical incident technique, repertory grid method

Whole process underpinned by quality of this stage.

Yes ease of use is important, but not at the expense of having reliable & valid indicators of effective performance.


Challenge 2: How robust is your competency framework?

How robust were the methods used to develop your competency framework?

Correlations between performance appraisal scores & performance?

Are there routine processes for updating framework in light of local evidence & the changing nature of the business?


Key Steps to Effective Selection

Stage 2: Design of Selection Methods

Calling something a robust selection method (e.g. assessment centre) doesn’t mean it’s effective

Depends on quality of design

Clear link between competency indicators, critical incidents (areas where you get biggest difference in performance between job holders) and exercises/methods used


Assessment Centres

One of the most effective methods of assessing individual potential & one of the most effective tools for selection

Key Features: Objective assessment of most critical competencies & job related behaviours

Multi-method, multi-rater selection method – therefore each target competency must be assessed at least twice.

Standardised assessment; multiple trained assessors

Data integration


Example Assessment Centre Matrix

Note: The above was designed for a sales role

ASSESSMENT EXERCISEGroup CBI Sales Analysis Presentation Personality Ability

Exercise Role-Play Exercise ExerciseCOMPETENCY / ASSESSMENT DIMENSION

Drive for Results * * * *Influencing * * * * *Planning & Organising * * * *Problem Solving & Decision Making * * * * * *Commercial Acumen * * * *Emotional Intelligence * * * *


Design & Delivery of an Assessment Centre

Define Competency Profiles (identify competencies/behavioural

indicators)

Define Competency Profiles (identify competencies/behavioural

indicators)

Design AC Process(exercises & competency matrix)

Design AC Process(exercises & competency matrix)

Pilot ExercisesPilot Exercises

Finalise Exercises Finalise Exercises

Assessor Training Assessor Training

Assessment Centre DeliveryAssessment Centre Delivery

Step-by-Step Process:

Evaluate CentreEvaluate Centre

Pre-Centre LogisticsPre-Centre Logistics

FeedbackFeedback

Job Analysis & Competency Model

Job Analysis & Competency Model

Profile ValidationProfile Validation


Psychometric Tests: Supplementary Evidence

Add value to selection process; can increase ability to predict effective in-jobperformance, what’s called ‘additive predictive validity’.

Two main types of psychometric assessment used for selection purposes:

1) Ability / Aptitude Measures - still one of the most reliable & valid methods of predicting in-job

performance for any job role

2) Personality Measures e.g. OPQ32, 16PF5, Hogan- if your going to use an instrument make sure it has good reliability

& validity data. Check with Psychometric Testing Centre of the British Psychological Society.

NOTE: Not to be used in isolation but to complement additional selection methods


Giving Feedback

Whatever the selection decision, all candidates should be offered feedback on their performance during selection events – best practice and increases the reputation of your company.

This needs to be considered for 3 groups:

i. Successful candidatesii. Unsuccessful internal candidatesiii. Unsuccessful external candidates


Why is Evaluation Important?

Evaluating assessment centres is of particular importance but is rarely given the attention it deserves.

An assessment centre is costly to develop and run, so it is important to assess whether it is fulfilling its purpose and giving value for money

A thorough evaluation can determine which activities are most useful, and which should be altered or omitted altogether

In selection events, evaluating the process is the best way to check for unfair discrimination

Evaluating assessor performance can help ensure standardised assessment


Evaluation

The evaluation process could potentially involve 5 key components:

1) Content Validity

2) Concurrent Validity

3) Predictive Validity

4) Exercise Validity

5) Assessor Evaluation


Challenge 3: Evaluation of Assessment Centres

Are your assessment centres routinely evaluated against these criteria?

Do you know how close you are to world class standards?


Summary

Evidence based selection delivers bottom line benefits

Effective selection is central to sales force effectiveness & talent management

Cost effective to invest in best practice

Need to evaluate effectiveness of system to ensure its delivering ROI; even if it means spending less on delivery


Any Questions?

world class selection june 2008 north 51 - a team you can rely on the psychology of selection

Documents

world class selection

selection purposes

selection decision

psychology of selection

effective selection

effective selection

design of selection

current selection methods