The selection process results in the hiring of candidates who, according to the performance on the pre-employment tests, are capable of achieving higher levels of success as compared to their fellow contenders. In order to maximize the chances of hiring the right candidate for the job, the hiring managers must make sure to obtain a variety of job-related information and performance levels using various tools during the pre-employment tests. In the absence of efficient employment tests, decision-makers often fail to hire the best and most deserving candidate for the job, thus inadvertently exposing themselves to unnecessary financial and legal risks.
In order to avoid unnecessary risks and choose the right candidate for the job, employers can choose from several structures of this selection system:
• Multiple Hurdle Approach
In this structure, a chain of hurdles (difficulties) is established and the candidate must get through it in order to move on to the next step of the selection process. A cut-off score or a passing score is established for each hurdle. The hurdles consist of either a selection test or various aspects of the selection tests. The basic requirements such as the level of education, or cognitive ability, are considered before putting the candidates through the selection process, in order to narrow the candidate pool. The structure allows employers to refine the pool of candidates who are qualified enough to be considered for the job, without allowing the validity of the selection process to be compromised.
• Multiple Cut-off Approach
The multiple cut-off approach is similar to the multiple hurdle approach. In both the processes, There is a minimum level or minimum score that the candidates are required to meet in order to be considered for the job. However, unlike the multiple hurdle approach that involves crossing one hurdle at a time and being given a score for each hurdle passed, The multiple cut off approach involves considering the scores of the candidate simultaneously based on a variety of assessments. The multiple cut off approach requires the candidates to achieve the cut-off score for all the dimensions with no exceptions, failing which, they are considered unfit for the position of employment.
• Compensatory Approach.
The compensatory approach structure allows candidates to overcome a shortcoming in one critical area by possessing other positive qualities to compensate for or make up for the qualities they lack. Each dimension assessed during the selection process is assigned a particular weight by the employers. The weights reflect the extent to which each dimension is relevant to the job performance. With the help of the compensatory approach structure, high scores attained on heavily weighted job dimensions can help compensate for the lower scores of the lesser weighted job dimensions. This structure involves assessing the candidates on all the job dimensions relevant to employment and assigned weighted scores before the calculation of the final scores.
Although any of the selection structures and processes can be used during the selection process, organizations must make certain to know for sure if deficiencies in any dimension of the job performance of candidates can be compensated for by the other qualities they possess. If the compensation is possible, a compensatory approach is best suited for the selection process. Organizations must also consider whether or not they are willing to provide on-the-job training to help employees strengthen their skills and work on the weaker skills. While candidates who possess all the competencies required for the job would be an ideal fit, on-the-job training can help strengthen their skills even more. If a candidate possesses one or more of the qualifications or skills required for the job, either a multiple hurdle approach or a multiple cut-off approach would be an appropriate fit for the selection process.
Establishing a Strategy for Making the Final Selection Decision
Once the total scores of the candidates have been put together and reviewed, the final step in the hiring process is to decide which candidates will join the team as employees. In organizations where the selection system is well designed and the hiring process is systematically planned, the employees selected are the ones qualified enough and worthy of the job. During the decision-making process, the goal is to make sure the employees chosen by the employers are solely selected because they are worthy of the job.
During the decision-making process, the hiring managers can determine the candidates to be employed and the ones to be rejected by one of the following methods:
• Cut-off score method
This method uses a selection ratio that helps the managers determine which candidates to select and the ones to reject. In order to compute the selection ratio, the number of open positions for employment is divided by the number of expected candidates. This ratio gives the employers a brief idea about the number of candidates that must be hired as employees.
• Top-down selection method
The overall score of the candidates is rank-ordered, from the highest to the lowest, and only the candidates with the highest scores are offered employment in the organization. This process continues till all the open positions are filled. In case of the job offer being declined by the candidate, the job is offered to the following candidate on the hiring list.
• Banding Method
The Banding method assumes that the scores within a specified range are equivalent. The scores of the candidates are banded, or grouped, in such a way that within each of the groups the different scores of the candidates do not differentially predict their on-the-job performances. If the candidates fall within the same performance band, their performance is assumed to be identical. They are then randomly selected as employees for various organizations.
While top-down method is a simple solution for the hiring process, they might create an issue for candidates who are not as good as the others when it comes to tests like cognitive ability. In cases where cognitive ability tests are given much importance while reviewing job performances, candidates who do not perform well in these tests might lose the opportunity to be hired as employees if the top-down selection procedures are used. Banding, on the other hand, offers an advantage over the top-down and cut-off method as it reduces the impact of measurement error.
Building Business-Focused Selection Process
Poor hiring decisions are a result of unstructured selection processes. If the pre-employment tests are compromised on, and undeserving employees are hired for the job, it may result in voluntary or involuntary turnover which might lead the organization to suffer a significant loss of time, money and energy. The specific costs associated with turnover depend on the job level. Higher the position, higher the losses. Poor hiring processes also affect the bottom line organizational results by slowing the production and stunting growth and innovation. When newly appointed employees quit, the organization stands a chance of having business secrets leaked. Though well-planned and structured hiring processes are hard to design, and require more time, effort and investment, in the long run, they are beneficial to the business as the selection of employees well-fitted for the job results in reduced turnover and improved organizational performance that help the company successfully achieve long-term goals.
Ensuring the Selection Process is Business-focused
The selection process is not complete when all the positions for the job have been filled. The knowledge, skills, abilities (KSAs), and the competencies of the employees as well as the components of the selection process must be re-validated constantly.
Validation of the selection process and demonstration of its impact on business outcomes is critical. This can be done by:
• Determining the critical outcomes
The key outcomes for which all the employees who underwent and cleared the selection process will be held accountable must be determined.
• Creating a Cross-functional Data Team
The company must decide who in the organization will bear the responsibility for the outcome of the employees.
• Assessing the Outcome Measures
The organization must determine whether or not meaningful business data is collected at the individual levels.
• Analyzing the Data
The company must analyse whether the pre-employment tests and assessment centre exercises were successful in predicting the job performances. They must try to search for information that tells them if the higher scores during the hiring process lead to better job performances.
• Determining the other Components
The organisation must determine which components of the hiring process are more valuable than the others, and if they should take the required steps to change or eliminate any components of the hiring structure.
• Measuring and Adjusting
The organisation managers must ensure the quality of the hiring process and hence, the number of hired employees, remains high. In order to do so, the team must look for various ways to measure the quality of the selection process and adjust or change any components that might be interfering in the process.
The above follow-up analysis helps reinforce the value of the structured selection process by demonstrating a relationship between the performance of the newly hired employees and the selection process. In addition to reinforcing the value of the selection process, providing data to the senior managers and leaders of the organisation helps ensure that the standardized processes are followed when making selection decisions for the future of the organisation. The process also allows HR leaders to demonstrate a return on investment, thus enhancing their role as strategic business partners.
Stated below, are a few tips that will help an organisation implement a structured, well-planned, business-oriented selection system that will enhance the quality of the company’s hiring decisions thus, enhancing organisational outcomes. The performance criteria for each position must be defined using a thorough job analysis.
Specific tools must be selected based on these criteria:
⁃ Scope of performance criteria
⁃ Total budget for the selection process
⁃ Selection timeline
⁃ The position vacancy
⁃ Size of the candidate pool
⁃ Demographics
• Necessary training must be impacted to the key team in-charge of the selection process
• Development of strategies for scoring and making final decisions before the evaluation of the candidates. These include:
⁃ How the scores will be combined
⁃ How the final decision will be made
⁃ Whom the final decision will be made by
• Systematic assessment of candidates and documentation of their scores at each step of the selection process
• Demonstration of the link between the selection process and the business outcomes. e.g. how the recruitment of a particular employee has affected or will affect the growth of the business in terms of client satisfaction and business profit.
As a Premier HR Consultancy based in Mumbai, India, we help companies recruit and implement employee selection systems that greatly improves the quality of your hiring decisions and leads to successful outcomes for given positions. Stay connected to our blog to read more articles about the world of Human Resources.
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