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Posts Tagged ‘employee selection’

September 14, 2010

Wroe on Improving the Candidate Experience

Nels Wroe of SHL and I had a chance to catch up and talk at the SIOP Conference in Atlanta earlier this year.  Nels offered some thoughtful considerations for companies to think about when creating the candidate experience.  He suggests we adapt our world to theirs, consider the life-cycle of the candidate and remember that your candidates may be your customers, or even your clients.  Click PLAY to hear what he has to say, but remember to scroll down for more of this article.

Adapting the employee selection process to the candidate raises a variety of questions.  The first being – In what ways do you acknowledge the candidate as a decision maker?   To facilitate that end, interactive design elements such as a realistic job preview (RJP) educate the candidate with information about job demands, satisfiers, challenges and rewards.  Insights into the culture and values can also be provided.  The candidate needs to walk away from the employee selection process in a better position to decide if the job is right for them.

A second question to consider is – In what ways have we helped the candidate demonstrate their capabilities?  Candidates want an opportunity to show their skills and abilities.  Resumes and basic ATS driven questionnaires leave candidate with an impersonal, shallow feeling.  They would much prefer an opportunity to provide a work sample through a live interview, interact by completing a simulation, or even better getting a chance to do a job tryout.  The practice of temp-to-perm provides this last option, but it is one of the most expensive forms of pre-employment testing. Letting someone provide a work sample through an agency for four to six weeks also sends a message of low trust.  Candidates often interpret this approach to staffing in two ways:  The company does not trust their ability to make good hiring decisions, they don’t trust me enough to offer me a real job. 

The Virtual Job Tryout combines realistic job preview and pre-employment testing into an on-line work sample.  This integrated approach provides candidates better information to support their needs as a decision maker and provides the recruiter with evidence of a candidate’s competencies which relate to success on the job.

Candidate life-cycle is an interesting point of view to ponder.  How many times might a candidate consider a career with your firm? As applicant tracking systems are still relatively new, you may only have five or maybe just over 10 years of data to examine.  However, a quick look inside your candidate database might provide insight into the number and frequency of individuals exploring multiple jobs over time with your firm.  Every interaction with the candidate creates a share of mind, either favorable or unfavorable.  Do you know how they rate the experience they have with your company?  I will be writing about evaluating the candidate experience in a up coming blog.  To see how candidates react to the Virtual Job Tryout, read some testimonials.

Candidate as customer, client, or even supplier adds another degree of consideration for the design intention of the candidate evaluation process.  The law of reciprocity suggests if you treat them well as candidates, they will treat you well as customer, client or supplier.  What have you learned from asking candidates about their experience applying at your firm?  Maybe it is time to start asking?

September 7, 2010

Bloom on Improving the Candidate Experience

Karen Bloom, principal and CEO of Bloom, Gross & Associates has devoted her career to creating exceptional candidate experiences.  In addition, Karen is a role model for mentoring recruiters and contributing to the profession through her on-going work with the Chicago Staffing Management Association.  I caught up with Karen in Orlando at the SHRM Staffing Management conference and asked her what can be done to improve the candidate experience.  When it comes to employee selection, Karen says: communicate clearly and often, establish expectations and disclose the nature of your hiring decision.  Click PLAY to hear what she has to say.

In an earlier video, Gerry Crispin also spoke about the importance of setting expectations in the employee selection process.  Companies in general and recruiters in particular have increased reliance on digital messages, web pages, boiler-plate e-mail for status disposition messages from the ATS, or no message to the candidate at all. 

Candidates want to know what to expect.  If you are not going to communicate with them, tell them.  If you are going to only contact the top 10 candidates, tell them the date you will do so.  Give the candidate some sense of the “what” and “when” in your candidate evaluation process. Process information and expectations will help them know when to stop thinking you might be interested in them.

Karen talks about communication touch points.  If you have a multi- step process that will stretch out over several weeks, share that information.  You can use simple clear messages.  And the message might be different for batch hires, continuously open requisitions and individual hires.

A sample message for batch hiring might read like this:

We will be hiring 20 individuals to start a class in December.

Applications will be screened for minimum qualifications in September and October

Candidates meeting minimum qualifications will be invited to complete a pre-employment assessment in late September and early October.

Telephone interviews will be conducted in during the same time frame.

Final interviews will be conducted and job offers to the most qualified candidates will be made by November 1st.

Candidates have a life too.  Make it easy for them to know where they stand.  Even if the message is shared indirectly, (did not get invitation to the pre-employment test, did not get a call for the telephone interview, did not hear anything by November 1st). Applicants appreciate participating in a well informed candidate experience.

August 31, 2010

Staffing Waste: Staffing Process Improvement – Part VII of VII

If you’ve read all this and you’re left wondering how on earth you’ll ever find the time to reduce false starts, rework and the negative impact of performance variation, you’re not alone. In fact, these very challenges are what led us at Shaker Consulting Group to find an innovative solution that improves the staffing process with an evidence-based, data-driven approach that directly connects candidate evaluation metrics to job performance.

Staffing Waste, Rework and Performance Variation

 We launched the Virtual Job Tryout®, as a game-changing, interactive pre-employment test for HR professionals and recruiters looking to increase the predictability of hiring more top performers and fewer bottom performers. What makes Virtual Job Tryout a one-of-a-kind employee selection tool is that it combines a highly-customizable employment brand message, a realistic job preview and simulated work samples into one seamless “test drive” experience.

In addition, Virtual Job Tryout maximizes efficiencies of your staffing process by outsourcing data entry to candidates. As candidates complete Virtual Job Tryout their responses are captured, scored and presented to you in easy-to-understand reports. You can continuously monitor and use the data to make better, more reliable staffing decisions.

 In Help Wanted & Help Found, a recent book on recruiting, one of our clients made the following statement about using the Virtual Job Tryout. “We aren’t only hiring better candidates, but we are getting more and better information about all candidates,” said Gretchen Frampton, Starbucks’ program manager for assessments. Starbucks also says it has seen a significant improvement in business results by using Virtual Job Tryout to identify, and stop hiring, candidates that perform in the bottom 20%.

 So, give us a call. Get control of staffing waste, drive profit up and costs down through staffing process improvement with our Virtual Job Tryout, a better pre-employment test.

Part I, Part II, Part III, Part IV, Part V, Part VI

August 25, 2010

Staffing Waste: Performance Variation in Employee Selection – Part VI of VII

No matter how similar candidates for a given job may appear on the surface, people are different. They are complex. They may behave in unpredictable ways once they’re hired. And that’s where the staffing waste problem known as performance variation comes in. You hired your best performer, and you hired your worst performer from the same hiring process. The range of productivity between these two extremes is a form of performance variation. See the ROI Calculators on our web page for an example of how performance variation can be documented.

If all employees perform at a very high level within a given role, then there is little opportunity for real strategic impact. But if differences persist, like they do in the majority of employee selection cases, it’s time to start developing methods which are better predictors of  performance outcomes and close the performance gap. To use a manufacturing analogy, your goal is to reduce the number of faulty widgets coming off the assembly line. By implementing scientific employee selection methods you can more accurately hire people who perform like your top 80%, thereby reducing performance variation.

An essential tool for developing an employee selection process aimed at reducing performance variation is pre-employment testing.  The chart below demonstrates the degree of performance variation within a group of employees. When you look at job performance and results from the Virtual Job Tryout, it is easy to see how hiring from those who score in the top 80% can make a significant contribution to the organization.  This appraoch is quite conservative.  Beginning your interviews with candidates who score in the top 50%  can be transformative. 

Contemporary pre-employment testing use multiple methods of candidate evaluation which provide a rich data set for analytical purposes, namely, validation analysis. A validation analysis is the method used to document which pre-employment data from candidate screening and evaluation actually adds value to how well the hiring decision predicts success on the job. For example, the outcome of a validation analysis can demonstrate the strength of relationships among variables such as work history and attendance, work style and time-to-proficiency, work samples and productivity, etc.

The result of approaching your staffing process with HR analytical tools is the ability to reduce performance variation. This means fewer hires that perform below average and a steady increase in your overall levels of productivity. By using this more calculated, data-centric approach, you can connect pre-employment assessment data to objective, on-the-job performance metrics.  This places the full weight of statistical evidence over “gut feelings” on how well your employee selection process predicts better business outcomes.

Part I, Part II, Part III, Part IV, Part V, Part VII

August 19, 2010

Kronenburg on Improving the Candidate Experience

I had chance to ask Russell Kronenburg from Australia’s Jemena what can be done to improve the candidate experience.  He played the BRAND card.  He suggests the brand message, recruiter behaviors and web touch-points all line up to deliver a unified employment brand message.  Click PLAY to hear what he has to say.

It is not enough to have a company brand or product brand.  Employment Brand, as a concept, has been expanding and maturing.  Organizations are investing more to develop a ‘what’s it like to work here’ persona.  Getting the story right entails aligning the employment message with the company culture.  Candidates have lots of resources to verify claims of what it is like to work at any given organization. 

The proliferation of web hosted video has allowed rapid and low-cost deployment of multi-media peeks inside a company.  While some of these videos do a great job, some are more hype than help.  Truth in employment brand prevents a bait and switch reaction when new hires find the practiced culture very different than the culture espoused in the video or careers page stories.

Your candidate’s web experience can be designed to extend your brand message.  Job seekers are also applying at your competitors and they can instantly see and feel the difference in a company’s brand with each click of the mouse.  The power of this difference was recently driven home from feedback a candidate gave after completing a highly branded, interactive day-in-the-life pre-employment simulation.

“You guys need to talk with ABC Co (the biggest local competitor), their application process is terrible. This was really cool!”

This one comment shows the savvy candidate is making early observations about how the employee selection process conveys an employment brand experience.  It impacts their career choices.

When your brand message goes all the way into your pre-employment testing, your candidates let you know, in a very favorable manner.  Read some candidate reactions to their experience with the Virtual Job Tryout here.

July 27, 2010

You Can’t Handle the Truth: Quality of Not Hired

John Sullivan in his recent post on ERE continues to ask great questions and invite thoughtful consideration of the employee selection process.  Thinking and acting are very different, just as rating and evaluating are different.

Having hiring managers rate quality of applicant would be an interesting exercise.  If nothing else, the biases at play and anecdotal elements of work history that are valued might surface.

The single most meaningful measure of quality of hire in the staffing process is on-the-job performance.  My current blog series on Staffing Waste shares results from a survey I conducted  with SHRM.  66% of companies reported they have no candidate evaluation in a data base.  It is an indicator of a fundamental lack of discipline, skill, or as W. Edwards Deming might say: “a process out of control.”  Given the market saturation of Applicant Tracking Systems (ATS), it should not be from a lack of infrastructure.

This lack of data prevents analysis, and therefore creates an obstacle to learning from experience.  The cycle continues and very little evidence based process improvement is achieved.

When recruiting for small populations and one-off hires, rating candidate  might be easy, but will lack meaningful insights.  However, the candidate volume in large-scale hiring makes this impractical and adds administrative burden where technology should come into play.  Building a scorable application or standardized employee selection evaluation:

  1. Outsources data entry to the candidate,
  2. Collects uniform data from all candidates
  3. Treats all candidates equally
  4. Allows for validation analysis of candidate data and job performance

After local validation the candidate’s score is the rating of quality of not hired.  Even in organizations with well developed and locally validated employee selection, hiring managers and recruiters advance and hire candidates with low scores.  We see it with our systems and I am certain we are not unique. Empirical evidence regarding job-fit is ignored, or off-set with contrasting data.  In the end, on-the-job performance is the measure of success.

What will recruiters and hiring managers do with a more subjective data set of candidate ratings?  Well, working with any data set would be better than none.  My survey shows only about 15% of companies do any analysis.

John is calling for greater analytical literacy.  It is a great call.  There are a wide range of resources for staffing practitioners who want to add more metrics of meaning.  The quality of not hired however may not be the best place to start.  You have to be ready to handle the truth.

July 15, 2010

Staffing Waste: HR Analtical Tools – Part II of VII

The renowned mathematical physicist and engineer William Thomson, also known as Lord Kelvin, once stated, “If you can not measure it, you can not improve it.”

In other words, numbers matter.

Numbers enable us to scrutinize, analyze and draw conclusions about a particular problem. Numbers provide us with a way to develop solutions based on quantifiable evidence. Numbers are the path by which we can achieve analytical literacy.

As your organization looks to achieve strategic success and sustain a competitive advantage, it is imperative that HR professionals bring a new level of analytical literacy to the job.

Conventional metrics such as cost per hire, recruiting cycle time, cost per trainee and turnover percentages are insufficient at best for communicating the strategic value and contribution of recruiting departments and the positions they fill. Moreover, these numbers are rarely, if ever, related to workforce performance, a factor that contributes to overall organizational success.

If you’re thinking, “Wait a second, I’m an HR manager, not a statistician,” don’t abandon hope just yet. Analytical literacy can begin with asking two simple, pertinent questions—specifically, “What matters?” and, “How can I measure it?”

HR Analytics Challenge - Job-Fit Measures

Even in today’s technology-driven world, which makes collecting data cheaper and easier than ever, many well-intentioned, seasoned professionals still make assumptions about what matters in their employee selection process. They still go with their gut. They still utilize opinion versus evidence.

For example, one of our clients in beverage and food retailing had been placing importance on years of experience in hospitality and food service. Analysis of the evidence showed that this screening criteria actually had a negative or inverse relationship with achieving high performance. Another client had been placing value on previous experience in retail banking. The use of HR analytical tools showed this criterion had no relationship to on-the-job performance. You see, while the cost per hire is likely a number you know, the relationship between the candidate’s pre-employment assessment responses and actual job performance may not be as clear. Even with these two small examples, you can easily see the need to approach things differently.

By employing analytical literacy throughout your staffing processes, then both the costs and benefits of your decisions will become clearer. Plus, by providing senior leaders at your organization with talent solutions based upon metrics and analytics, you’ll be able to help them view the staffing process less as an operational expense, but more as a strategic investment. And you’ll be able to increase your internal equity by transforming yourself from that of a traditional HR manager to a valued strategy manager.

With improved analytical literacy, you would think about the return on investment (ROI) of candidate evaluation as it relates to successful execution of the workforce’s strategy. You would collect candidates’ responses in the pre-employment assessment process as data that could later be analyzed for possible correlations to front-line goals such as increased sales, higher levels of productivity or better retention.

By improving the use of HR analytical tools and analytical literacy throughout your staffing processes, then both the costs and benefits of your decisions will become clearer. Plus, by providing senior leaders at your organization with talent solutions based upon metrics and analytics, you’ll be able to help them view the staffing process less as an operational expense, but more as a strategic investment. And you’ll be able to increase your internal equity by transforming yourself from that of a traditional HR manager to a valued strategy manager.

Part IPart III, Part IV, Part V, Part VI, Part VII

July 14, 2010

Do You Help Candidates Make Informed Decisions?: ERE MeetUp Cleveland

Under the leadership of Frank Zupan, a group of Cleveland recruiters got together as part of the ERE MeetUp.  This diverse group had representation from corporate recruiting, third party recruiters and service providers to the employee selection process.

Conversations touched on the current talent challenges facing companies and recruiters.  One area in particular that received some attention was what can be done to engage the candidate and help them make a more informed decision about a job opportunity.  The candidate is a decision maker too, and as such, it only makes sense to build a candidate experience that delivers an informative, engaging and valuable message.

Mike Lowe, a sales representative recruiter for Dealer Tire and Skye Leary, a district manager for Stanley Staffing had a few suggestions I was able to capture on tape.

Click PLAY to hear what they have to say.

Building a message that conveys your brand can improve the candidate experience.  Providing an interactive preview of the job educates the candidate and lets them see the good, the bad and the ugly.  Armed with this type of information, the candidate can be a more effective decision maker.

July 13, 2010

Orellano on Improving the Candidate Experience

What unintended consequence is your message to the candidate causing in your employee selection process?  Tim Orellano of The Human Resource Team has a passion for fairness and equitable treatment of candidates.  He also thinks we are missing the boat when it comes to common sense basics in how the candidate is treated in the staffing process.

 Tim conducted an excellent session on auditing employee selection practices at the Staffing Management conference in Orlando.  He paused for the camera and offered a few simple suggestions on what can be done to improve the candidate experience: Stop pulling thier leg!

 Click Play to hear what Tim has to say.

Suggesting that recruiters are lying to candidates may cause us to pause and reflect on the language used in communicating with applicants.

July 1, 2010

Staffing Waste: Identify it, measure it, improve it – Part I of VII

Recently I had a candid conversation with the president of a building materials company about ways to improve the results of hiring new sales representatives. When I asked him about the cost of on-boarding a new hire, he said confidently, “The length of the sales cycle and the learning curve takes a new rep about two years to get up to speed. So I budget about $250,000 for each new hire.” “Unfortunately,” he added, “they all don’t work out. We make about 50 replacement hires per year.”

Who owns the budget for staffing waste?

“Where else do you budget for waste in units of $250,000?” I asked. After racking his brain for a brief and what appeared to be painful moment, the man replied that all of manufacturing at his company doesn’t waste that much in an entire year.

“However, I am getting better at firing new hires in the first year now,” he said with a bit of a chuckle, attempting to lighten the weight of his $12,500,000 realization.

I’ve included the above anecdote to illustrate the critical —yet often overlooked — concept of staffing waste. One form of staffing waste is the investment of recruiting and on-boarding new employees who quit or are terminated before they achieve proficiency or minimum performance standards. And, while the cost of acquiring front-line performers at your company may be far less than, say $250,000, early turnover at any organization can cause significant losses.

The purpose of this article is to help HR professionals and others in your organization see staffing as a process with yields and understand the scope and impact of staffing waste. I will identify and explore four specific methods that you can use to document staffing waste. And once I’ve armed you with several action steps to collect and explore this data, I’m confident you’ll be compelled to seek additional methods to improve your employee selection process to enhance your employment assessment test.

The hard truth is that you hired your best, and you hired your worst. And both outcomes came from the same hiring process. That’s why understanding how those decisions were made and how those candidates were evaluated is a critical component to reducing staffing waste.

Part II, Part III, Part IV, Part V, Part VI, Part VII

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