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Archive for the ‘Conferences’ Category

September 29, 2010

Intuition or Intelligence: How Do You Hire?

Talent Intelligence was a big theme at TaleoWorld 2010.  Taleo CEO Michael Gregoire, in his opening remarks stated 47% of new placements into management positions fail.  I am not sure where that statistic came from, but it does not speak well about how companies are making decisions to hire or promote individuals.  It makes me ask:  Is the hiring decision based upon intuition or intelligence?

Where else in business would a 47% failure rate be tolerated?  What Mr. Gregoire is referring to here is one form of staffing waste.  This abysmal success rate seems to indicate a strong need for talent intelligence.  Better candidate data for making more accurate hiring decisions.

Getting useful, meaningful data is the central challenge.  Hiring managers and recruiters, while well intended, often place disproportionally high value on candidate data that is either not related to job performance or even worse, negatively related to job performance.  And, one of the more common areas where we see this is the value placed on specific job experiences that while intuitively seemed to make sense, the evidence from HR analytics proved othewise.  Here are a few examples. Previous cash handling experience negatively related to cash drawer accuracy, prior food service and hospitality experience negatively related to success in a food and beverage management position, previous sales experience with a competitor negatively related to sales success.

Thoughtful people in successful companies establish these screening criteria.  However, in the majority of cases these criteria are assumptions.  Assumptions that are never tested or proven.  By not conducting the appropriate HR analytics, decisions get made based upon ego, not evidence.  This is allowed because of the common and accepted assertion from recruiters and hiring managers: “I am a good judge of talent.”  With a 47% failure rate, it would seem prudent to do some analysis.  Just better than a coin toss does not seem like good odds for a critical and expensive business decision.

Employee selection is a process.  The yield of the process can be measured and improved. Candidate evaluation with pre-employment assessments can be conducted in a manner that produces evidence in the form of data. This data can support HR analytics which in turn provides guidance to improve the objectivity and effectiveness of the hiring decision.  If you are a Taleo user and want to make your ACE work better, we can help.

Check out a few of our case studies to see how HR analytics and pre-employment testing validation analysis have made a measurable difference in the yield of a business process called staffing.  We can help you make the transition from ego to evidence, from talent intuition to talent intelligence.

September 17, 2010

Pre-employment Testing in the Experience Economy

Charles Handler wrote about the movement from test to experience in his ERE article.  It was a great invitation to consider the candidate experience.  John Sullivan wrote a few years ago about how career web sites are boring candidates. It may actually be worse.  Applying may have total disregard or abuse in the candidate experience. While some corporate careers pages have added a touch of pizzazz with videos and testimonials, the actual application and pre-employment assessment components continue to be ignored by many, but not all.

I spoke on Pre-employment Testing in the Experience Economy at the SHRM Staffing Management Conference in Orlando this year.  The premise was that candidates expect more.  More information, more engagement, more use of multi-media, more insight into the job and culture.  More support to their decision making process.  Simulations offer the candidate a lot more of what they seek in learning about and applying for a job, or even better yet, a career.

 At Taleo World this week, I had a conversation with an individual who’s firm just implemented a long standing, yet very traditional assessment.  She recently completed the assessment herself and without all the emotional embellishments, this is how she described it: “The questions were stupid!”  “There did not seem to be any relevance to the questions.”    I asked her:  “How do you think your candidates will feel about completing the assessment?  It made her eyes pop out.  It was as if this was the first time anyone had invited her to consider the candidate experience.

Pine and Gilmore have been writing about the experience economy since 1999.   There is a lot business in general and recruiting in particular can learn from their research and point of view.  They suggest we consider and evaluate an experience with two continuum variables: interface and immersion.

Interface is the type of interaction the candidate is offered.  At one end of the continuum is read and watch, the other end comprise choices and interactions.  Examples would be reading a job description to typing, clicking radio buttons, dropping, dragging among options.

Immersion addresses degrees of cognitive, emotional, and physical engagement.

At one end is attending to, studying, absorbing information, at the other end is active processing, raised emotional and physical participation.   Examples would be examining a puzzle to racing to complete a timed exercise.

Creating a matrix that overlays these to continuum provides an evaluation framework to determine the nature of an experience.  The diagram below sets out four types of experiences: Educated, Entertained, Enthused and Engaged.

Candidate Experience Evaluation Matrix

Educated – Traditional media, Web 1.0

Entertained – Video games and cut and paste, drop and drag

Enthused – Movies and Videos with a compelling message, realistic job previews (RJP)

Engaged – Challenging mental and physical tasks, Wii and other dynamic games

Simulations as pre-employment assessment draw the candidate immediately into a high interface, high immersion experience, thus delivering a cognitive, physical and most importantly, an emotionally charged experience.  

  • Selection assessment exercises that can be deployed in simulations include activities such as:
  • Situational judgment – listen and choose what to say next in a challenging conversation
  • Problem solving – information look-up task from an interactive information source
  • Diagnosis – use rule-based logic to determine fault or errors
  • Business acumen – reasoning with financial statements under time pressure
  • Keyboarding – data entry and accuracy, under time pressure
  • Visual estimation – quick calculation of quantities from pictures or illustrations
  • Productive thinking – idea generation capacity in finite time frames
  • Prioritization – compare and differentiate among competing resources

And the list goes on.  Web 2.0 and emerging interactive technologies affords companies the opportunity to deliver a candidate evaluation experience that engages, informs and satisfies their desire for more from the application process. Simulations make it easy to deliver a multi-measure evaluation. Therefore the power and accuracy of selection science available from simulation based pre-employment testing cannot be achieved with conventional assessments. The return-in-investment (ROI) from implementing a simuation can be huge.  Some approaches to project the impact can be explored with these ROI calculators.

Very few organizations evaluate the candidate experience. Candidates are not given a chance to describe their reaction to the application process.  However, they do think about it, they do have opinions about it and it does impact how they think and feel about your company.  Candidates who experience a simulation as part of the application process have a lot to say.  Read some of their feedback here.

Virtual Job Tryout is a simulation for pre-employment assessment.  Each is custom built and validated for a specific job. Candidates find this type of experience highly rewarding, very job relevant and are willing to talk about it in a positive manner.

If you would like to deliver a more engaging candidate experience and deliver a more results oriented recruiter experience, give me a call  216.292.0202

September 10, 2010

Shaker Consulting Group Sponsoring Taleo World 2010 in Chicago

Shaker Consulting Group is once again attending Taleo World 2010, the premier global talent conference, on Sept. 13-15, 2010 at the Chicago Hilton.

We’ll be located at booth #23, where you learn how the Virtual Job Tryout combines realistic job preview (RJP) and pre-employment testing in a company branded message.

For more information or to schedule an appointment, read the full release: Shaker to Sponsor Taleo World 2010 Conference in Chicago.

June 11, 2010

Janz on Improving the Candidate Experience

Tom Janz, Ph.D. of PeopleAssessments and I had a chance to catch up at SIOP.  We spoke about the candidate experience.  Given the amount of time people are spending on YouTube, Tom thinks the on-line application process should be fun.  Long questionnaires with hundreds of radio buttons to click are just not engaging.

Tom also suggests the experience be job relevant.  Click Play to hear what Tom had to say:

Go ahead and apply for a job at your company. Then ask for candidate testimonials: “Did I have fun?”

May 17, 2010

Eskenazi on Improving the Candidate Experience

Jeremy Eskenazi of Riviera Advisors has over 20 years of experience in staffing process improvement. As the former leader of staffing for Idealab, Amazon and Unversal Studios, Jeremy has learned a few things about creating powerful candidate experiences. He suggests you tell the candidate that you will solicit their feedback, and then make good on your promise.

I caught up with Jeremy at the Staffing Management Conference in Orlando.  He offers a few thoughtful points on what can be done to improve the candidate experience.

May 11, 2010

Determining Employee Return on Investment Webinar

Human Capital Institute has asked me to create and conduct a webinar on the ROI caculations of the investment in people. You can register for the webinar here.  The description is below.  I look forward to hearing from you afterwards. Lets have a dialogue on ROI.

Interactive Staffing ROI CalculatorWebinar Description

Determining how good an employee is going to be may seem like a lot of guesswork.  We interview, check references, and often times make a decision based on our “gut instinct”. But isn’t there a better way to assure that we get a great quality of hire, an engaged worker and low attrition rates? The simple answer is this: yes. We can develop and work with assessments that will directly tie back to our return on investment in an employee and their ability to be a high performer within our organization.  This webcast will examine how quality of hire=quality of organization in a very direct way. We’ll discuss how abilities & aptitude, knowledge & skills, and personality &  behavior can determine the eventual return that we get on employees and their impact to the bottom line.

As a result of participating you will:

  • Identify the specific jobs at your company where assessment can create measurable economic impact
  • Discover how to document the return-on-investment from improving job-fit, reducing staffing waste and rework, and reducing new-hire performance variation.
  • Examine how in-house validation documents return-on-investment attained from improving the quality of hire.
  • Explore how simulations for pre-employment assessment create a competitive advantage in the recruiting process.
April 19, 2010

Pre-employment Testing in the Experience Economy

On Wednesday, April 28, I will be presenting on Pre-employment Testing in the Experience Economy at the SHRM Staffing Management Annual Conference.

Pine and Gillmore, in their book The Experience Economy put forth a model for considering how the experience of doing business makes an emotional connection with a customer.  They contend that the more powerful the emotional connection, the more share of mind is created, higher brand loyalty is won, and the probability of higher value exchange is shaped. The model suggests two continuum can be used to define the type of outcome the experience will deliver:

Passive to Active (watching versus interactive)
Absorption to Immersion (capturing attention versus emotional engagement)

I will be exploring how their model applies to evaluating the candidate experience delivered via career pages and the job application process.

Candidates expect the web to deliver an interactive, multi-media experience.  However, according to studies conducted in 2006 and 2009, only about 10% of companies are using simulations for pre-employment testing.  There is a significant opportunity for companies to improve the engagement, interaction, and value exchange in the candidate evaluation experience.

One of the thought provoking invitations Pine and Gillmore extend is to think about how you would design the experience differently if you charged a fee to apply.

Go out and apply for one of your own jobs and ask yourself:

Did the experience create a competitive advantage for your firm?
If you were charged, even a small fee to apply, would you be willing to pay?

In addition to my presentation, we will also be at booth 319 in the exhibit hall. Stop by and see what can be done to improve the candidate experience your company delivers.   If you will be in the area, but not attending the conference, write me for a complimentary exhibit hall pass.

April 16, 2010

Pre-Employment Assessments, Social Media and Quality of Candidate

Social media is quickly becoming a way of life for recruiters.  It’s the hottest topic at recruiting trade shows, such as the recently held ERE Expo.  While many are venturing into this space, we still don’t know very much about the effectiveness of social media efforts.  Most of the statistics quoted to date are around number of candidates generated and share of conversation.  These numbers tell the story about increasing the candidate pool size, but they don’t answer the question, ‘are we attracting the right candidate?’.

We recently got our hands on some data that begins to shed some light on this question.  For one of our clients, we received a large data extract (over 20,000 candidates) from their Applicant Tracking Systems that included among other things recruiting source, one of which was social networking site.  We were able to link this data to quality of candidate indicators:  1) overall job-fit scores on our pre-employment assessment and 2) conversion rate.  By conversion rate, we mean what percentage of candidates that were hired from each source.  We looked at this data for two different managerial jobs.

For the entry-level managerial job, candidates sourced through social media performed below average on the pre-employment assessment and had a lower conversation rate than other sources.  These candidates were seen as less capable and it was reflected in the low hire rate.  For the mid-level managerial job, candidates sourced via social media performed above average on the pre-employment assessment, but had a below average conversation rate.  This candidate pool for the mid-level job was obviously lacking along other criteria in spite of performing well on the pre-employment test.  Taken together, these results suggest that social media isn’t generating the quality of candidates that this company is looking for.

While social media holds tremendous promise in the talent acquisition space, better and smarter data will help us apply these technologies in a way that truly impacts the bottom line – by connecting recruiters to great fit, rather than great volumes of candidates.

Part 2

April 6, 2010

Shaker Consulting Group to Present and Exhibit at SIOP

The Society for Industrial and Organizational Psychology will convene for its 25th annual conference this week in Atlanta, GA.  Industrial-organizational (I-O) psychology is the scientific study of the workplace. Rigor and methods of psychology are applied to issues of critical relevance to business, including talent management, coaching, assessment, selection, training, organizational development, performance, and work-life balance.

This event brings together a diverse group of professionals with deep interest in measuring a wide range of factors from the world of work.  We at Shaker are particularly pleased to be participating in five sessions this year.  Topics covered will range from improving the candidate experience to the additional science power of multi-media in pre-employment testing to assessment design to reduce faking.

In addition to conference sessions, we are also a conference sponsor and exhibitor.  Visit us in Booth 808.

Stop by and ask for a demo of a Virtual Job Tryout.  You will see why brand conscious companies have come to expect more from assessments.

Please review the topics and times  listed below.  We would enjoy having you present to engage in the dialogue.

Cool Assessment Tools Symposium –
Marriott Vacation Club presenting on Virtual Job Tryout®
THURSDAY AFTERNOON, 4/8
12:30 – 1:50pm
Salon B

Interactive Multimedia Simulations: Criterion-Related and Incremental Validity
THURSDAY EVENING, 4/8
6:00-6:50pm
Grand Ballroom A
Top Rated Posters

Faking it well: Effects of surface acting on task performance
SATURDAY AFTERNOON, 4/10
1:30 – 2:20pm
Galleria

Leveraging Technology to Engage Candidates and Deepen Assessments
SATURDAY AFTERNOON, 4/10
2:00-2:50pm
Room 201

There’s More to Selection than Correlation Coefficients: r You Serious?
SATURDAY AFTERNOON, 4/10
3:30-4:20pm
Room 202

April 5, 2010

The Long Tail of ERE Expo

The conversation continues, now four weeks after the conference.  Just last week I was speaking with someone about Tom Becker’s metrics session where he stated “more candidates is not a good thing,” and Liz Pellet’s mantra,” Attract, engage and repel.”   Both of these perspectives are rooted in the notion that web-based sourcing and attraction deliver more candidates than you want, and not always who you need.  I have been calling mass attraction the creation of resume spam for years.

KeyBank ERE Award

Most Strategic Use of Technology

John Sullivan, also continuing the conversation, is now in part three of a four part review of the Recruiting Excellence Award Winners.  KeyBank was named as winner for most strategic use of technology from their results on improving the quality of the hiring decision.  KeyBank documented that job-fit, as measured through a pre-employment assessment simulation, increased success on the job and thereby increased retention.  KeyBank, while concerned with adequate sourcing, focused on how to identify the best candidates.

Tom’s Becker’s assertion is based upon learning from statistical analysis, the size of a candidate pool needed to make an effective hiring decision.  As such, the job posting can be closed when a certain number of candidates have applied.  Liz’ Pellet’s assertion is based upon the assumption that a well crafted message or feedback to the candidate will awaken the judgment of the less qualified and cause them to self-select out of the recruiting  process.  Size of the candidate pool does have an impact on the probability of having a sound candidate in the mix.  Repelling candidates tells you something about those who opted out, but nothing about those who remain in the process.  Neither of these approaches is really designed to manage decision quality.

The quality of the hiring decision rest squarely on the quality of the pre-employment assessment data used to support the decision. KeyBank understands the value of decision-support data.  As John Sullivan wrote; “the bank statistically linked performance on the VJT, pre-employment test, with critical outcomes including service delivery, referral generation, transaction efficiency, and cash drawer accuracy.”

Anecdotal observations that your staffing process improvement initiatives are working are nice to have.  Documenting a multi-million dollar impact is evidence of busy savvy recruiting.  The economic impact of staffing process improvement has the highly valued competitive advantage of the long tail – on-going service delivery improvements and cost reductions.  Kudos KeyBank!

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