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Psychometric Testing

28th June 2007Dr Alexander Fradera, SHL

Workshop at “Practise Makes Perfect” Conference, Nottingham Trent University

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PEOPLE PERFORMANCERationale for psychometric testing?

• The performance of people defines success in today’s organisation.

• In order to achieve the best performance of people, organisations must understand what drives their behaviour.

• Solid psychometric testing deploys the best science within open, fair and transparent process to enable you to measure and benchmark the behaviours and abilities of people within your organisation to maximise their value and leave a positive legacy in their working lives to…

• …significantly improve the effectiveness of your organisation by dramatically improving the productivity of people at every level…

• …by identifying and unlocking the potential of your employees at all levels,whether that be the leadership of top managers or the operational capability of front-line staff.

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PEOPLE PERFORMANCESo what is psychometric testing?

A method of assessing ability, personality, motivation and behaviour

• Objective - uses consistent methods across candidates

• Scientifically rigorous - have been proven to give results that are> reliable (can be repeated) and > valid (do what they say they do)

• Fair, open and transparent process

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PEOPLE PERFORMANCEVALIDITY

Job role Assessmentmethod

Validity

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In a nutshell, psychometric testing helps to:

• Reduce the risks of recruitment • Minimise the costs of selection • Recognise the potential in people • Reduce staff turnover • Improve productivity • Manage effective performance • Effect transition programmes • Control succession planning • Create a leadership pipeline

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PEOPLE PERFORMANCEASSESSMENT TOOL KIT

• Interview

• CV

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ACCURACY OF SELECTION METHODS

High

Low

Years job experienceYears education

Source; Robertson I & Smith M (2001), Personnel selection

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ACCURACY OF SELECTION METHODS

High

Low

Ability testsStructured interviews

Personality q’rresAssessment CentresBiodata

Years job experienceYears education

Source; Robertson I & Smith M (2001), Personnel selection

Psychometrics help achieve a closer match between the people and their jobs

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PEOPLE PERFORMANCEAbility – The Differential Model

ComprehensionReasoning

Evaluation

VERBALNUMERICALCLERICAL

DIAGRAMMATICMECHANICAL

SENSORYDEXTERITY

DifficultyLow to

high

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PEOPLE PERFORMANCEWhat Type of Skill?

£4.62 + £1.80 = ?£4.62 + £1.80 = ?

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PEOPLE PERFORMANCEWhat level of skill is required?

July Aug Sept Oct Nov Dec

105

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95

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65

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55

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Production of 15mm Buttons, July - December

Pro

du

ct i

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san

ds

Managers

24 - 18 = ?

Clerical staff, sales assistants, counter staff

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PEOPLE PERFORMANCEWhat looks relevant?

The fire alarm is a continuous ring of a bell. An intermittent ring indicates a fire practice. When the fire assembly area. When the fire practice bell rings, your supervisor will tell you what to do. Three short rings of the bell should be ignored, as this is to test the equipment.

Many organisations find it beneficial to employ students during the summer. Permanent staff often wish to take their holidays over this period. Furthermore, it is not uncommon for companies to experience peak workloads in the summer and so require extra staff.

1600

1400

1200

1000

800

600

400

Million Dollars

Year 1987 1988 1989 1990

Holland

Italy

France

UK

Germany

Stack at start of

day

Totaldaily usage

Stack at end of day

Component

100 ? 40

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PEOPLE PERFORMANCEMethods of Testing & Scoring

• Paper and Pencil

• Scanner

• Desktop PC

• Hand Held PC

• Internet

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Interpreting Scores Meaningfully - Norm Systems

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THE RELATIONSHIP BETWEEN AN INDIVIDUAL AND THEIR JOB IS A COMPLEX COCKTAIL

Aptitude

StyleMotivation

Knowledge / experience

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THE ‘SOFT’ STUFF IS THE ‘HARD’ STUFFUNDERSTANDING IS OFTEN ON THE ‘TOO DIFFICULT’ SPIKE

Aptitude

StyleMotivation

Knowledge/experience

A K/E

Style andMotivation

Job analysis and other research indicates that up to 80% of the attributes associated with success at work

are dimensions of personality / style rather than ability

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PEOPLE PERFORMANCEPERSONALITY QUESTIONNAIRES

• The SHL definition of Personality; “A person’s typical or preferred way of behaving,

thinking and feeling”

• Widely accepted that well constructed personality questionnaires, appropriately used, provide much rich

• As we are dealing with the world of work everything must be work related

• They are powerful aids to development as well as recruitment

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EXAMPLE QUESTION FROM THE OPQ®

• Choose which of the four statements is MOST and LEAST true (or typical) of you

I am the sort of person who ... A Is assertive in groups B Applies common sense C Can sell ideas to a customer D Manages to relax easily

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Example Assessment Centre Matrix

I n-tray Group

Exercise Presentation Ability

Tests I nterview Personality

Questionnaire Presenting and Communicating I nformation

Working with People

Persuading and Influencing

Analysing

Planning & Organising

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The technological evolution

Mid 1980’sHarness power of

computer to manipulatedata ‘Expert’ reporting

Late 1980’s early 1990’sUse of PC’s and pocket pc’s

Birth of PC Expert

Mid 1990’sAdvent of Microsoft word

and other softwareWidespread use of computers

at work and home

Late 1990’sPopular use of the internet

Job boards & easy CV postingEarly screening techniques

Early 2000’sTests begin to be delivered

over the Internet

TODAYInternet delivery of tests

becoming the default methodNew demands on psychometricians

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PEOPLE PERFORMANCEMaximum Utility

This applies to Selection, Training, Competencies, Assessment and Development Centres

HIGH

LOW

HIGH

• Validity

• Current Success Rate

• Selectivity

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PEOPLE PERFORMANCEA word on potential

Many companies face, in one or more areas:• An ageing workforce• Draining of traditional applicant pools• Unknowns over newer types of applicants

This makes it harder to answer questions like:• What will a good candidate look like? • Who might they work best with?

In these uncharted waters, measuring potential is the way to navigate!

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PEOPLE PERFORMANCEThe ultimate benefits

Psychometric testing revolves around achieving a closer fit between a role and the individual who takes it.

This gives you• Better performance in the job• Longer time in the job• More engagement in the job

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FURTHER INFORMATION

Occupational testing

Technology and the Internet

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Score Tests Norm TestsAdminister

Tests

Analyse Job

Choose Tests

Outcome

Other information about individual

Consistency:Reliability Data

Relevance:Validity Studies

The Occupational Testing Process

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Ability Tests

Development

Selection

Restructuring

Outplacement

Research

Training

Career Counselling

Succession Planning

Applications of Ability Tests

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Technology & Assessment - It’s not easy

• The Internet as a delivery mechanism enables;> Assessment 24/7 any time, anywhere> Standardized process regardless of where assessments are done> Better, faster cheaper assessment process

» Only interview suitable people – less manager time taken» Less people for assessment events – saving of direct cost» Assessment process automation

> More effective client controls over selection practices

• However, you can’t simply put a test on the net> Static tests in unsupervised environments> Cheating – who has completed the test> Familiarization – publishing answers on the www> Test fatigue – candidates get fed up with taking the same tests

again and again – no differentiation > Data security and integrity> Protection of IP – soon dissipated