" ", CareerHarmony

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Contents

• The Online Markets, The Needs The Solution
• Advantages of Online Assessment Selection
• Examples of Successful Implementations
• Problems and Quasi-Problems
• Culturally Universal Data

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The Online Markets, The Needs The Solution
4
What is a Globalization of Personnel Selection?

• Personnel Selection The process by which
  individuals with higher potential to succeed are
  chosen from a larger group of job applicants.
  Achieved through the assessment of relevant job
  competencies, (e.g., KSAOs), leading to higher
  job performance and productivity.
• Globalization of Selection Selection of job
  applicants from around the world using a
  centrally accessible selection solution.

Job Performance
Test Scores
5
e-Recruitment - A Big Business Thats Getting
Bigger

• Popularity Among Organizations
• The e-recruitment market worldwide is expected to
  grow from 460 million in 2003 to 1.1 billion by
  2008, a 19 compounded annual growth rate (IDC,
  2004).
• More than 70 of large U.S. companies are using
  or planning to use e-recruiting services (IDC,
  2000), and an estimated 88 of global Fortune 500
  companies are currently recruiting online (ERE,
  2002).
• Popularity Among Job Seekers
• Around 51 of job seekers report using the
  Internet as part of their job search strategy
  (Handler, 2003).
• An estimated 4 million people a day search job
  sites in the US alone, an increase of
  60 from 2000 (Pew Internet Surveys,
  2002)
• Some internet job boards have reported being
  visited by over 18 million people a month
  (Handler, 2003).

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The Needs The Solution

• The Primary Needs
• To Accurately and Efficiently Deal with Enormous
  Applicant Volumes
• Many Fortune 500 career sites receive over
  250,000 hits per month! (RocketHire, 2003).
• In 1999, for example, Cisco Systems received over
  one million resumes through the Internet alone!
  (IPMAAC, 2000).
• Large Organizations Require Centralized Solutions
  
• Company job sites are often centralized globally,
  while assessments are decentralized.
• HR applications (ATS) and employee databases are
  often not integrated with assessments creating an
  disjointed system.
• The Primary Solution
• Online Assessment and Selection Solutions
  (e-Assessment)
• Many large organizations are turning to test
  providers to provide them with both regional and
  global online assessment and selection solutions.

7
e-Assessment - A Growing Trend within
e-Recruitment

• Readiness Among Organizations
• The online assessment market is growing 15 - 20
  a year (Wachovia, 2002)
• Survey results report that almost 30 of U.S.
  companies recruiting online are using some form
  of web-based assessment for selection purposes
  (IDC, 2000).
• Online assessment companies test millions of
  people a year in hundreds of companies around the
  world (IES, 2003).
• Readiness Among Job Seekers
• Positive reactions to web-based personality and
  cognitive tests (Baron Austin, 2000 Mead,
  2001 Reynolds Lin, 2003 Reynolds, Sinar,
  McClough, 2000)
• More than 68 of surveyed job seekers indicated
  that they would be willing to undergo some form
  of assessment in addition to submitting a resume
  (ERE, 2002).
• Studies found 87 - 94 applicants prefer
  applying for a job from home rather than visiting
  the organizations premises (CH, 2002, 2003).
• More than 90 of job seekers are willing to spend
  more than 5 minutes applying for a job online.
  60 indicate a willingness to spend 30 minutes or
  more (Handler, 2003).

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Advantages of Online Testing
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Advantages of the Internet to Traditional Methods

• Advanced Testing
• Psychometric equivalence
• Supports advanced computer-based technologies
  (e.g., CAT, branching)
• Multi-media and interactive simulations
• Custom test designs
• Costs and Efficiency
• Lower costs
• Faster time to hire
• No software installations
• 24/7 availability
• Administration and reporting from anywhere
• No paperwork or lengthy test administration
  procedures.
• Online advertising to attract more applicants
• Automatic pre-screening and short-listing
• Multiple screening stages
• Greater selection ratio due to increased
  applicant size

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Advantages (cont.)

• For Global Organizations
• One centrally networked system
• Standardization across the company
• Multi-lingual
• Multi-norms
• Validity generalization
• Data Collection Integration
• Integration with ATS and HRMS
• Ongoing data mining and talent management
  (re-directing candidates)
• Data-sharing within the company
• Immediate scoring reporting
• Automatic feedback to candidates

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Examples of Successful Implementations
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Across the US with a Staffing Company

• Scope -
• A central system for customizing application
  forms, tests, and questionnaires for individual
  recruitment and selection.
•  
• Objective -
• A nationwide standardized tool for fast
  recruitment and selection across the United
  States.
•  
• Results -
• Setup in 450 company branches across the US
• Managing an average of over 4,500 assessments a
  week
• 30 reduction in time-to-hire
• Cost to hire reduced by 60

13
Across Europe with a Call Center Staffing Company

• Scope -
• Establish a process for recruiting multi-lingual
  call center support staff from 14 European
  countries to work in the UK. Eleven different
  languages required. Hundreds of applicants a
  month.
•  
• Objective -
• To improve efficiency of the recruitment process,
  improve staff quality, and reduce retention.
•  
• Results -
• High criterion-based validity (increased worker
  productivity)
• No adverse impact
• 40 reduction in recruitment time.
• 35 increase in recruiter productivity.
• Elimination of early turnover.

14
Across Germany with an Automotive Manufacturer

• Scope -
• To implement an on-line assessment solution to
  enable recruitment of 3,300 workers in one year
  for a new automotive factory. Employees to come
  from the unemployment register all over Germany.
•  
• Solution -
• Five stage on-line / off-line process integrated
  with HRMS.
•  
• Results -
• 20 recruiters managed 36,500 candidates
• Hired 3,300 people.
• ROI within 1st year.

15
Problems and Quasi-Problems
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Personnel Selection via the Internet Problems and
Quasi Problems

• Lack of personal contact
• The mode (computers) dictates the nature of the
  tests
• Potential of fraud
• Inequality among test-takers re computer literacy
  and computer anxiety
• Technical issues

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Globalization of Personnel Selection Problems and
Quasi Problems

• Cross-cultural compatibility of psychological
  devices
• Translation is not enough
• The push towards non-verbal tests
• The need for empirical evidence
• Examples
• From positive psychology literature
• From CH projects
• Local norms vs. global norms

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Culturally Universal Data
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Cultural Universals Using Rank-Ordered
Correlations (1)

Sample Job applicants from across Europe for
relocation positions as customer representatives
for a large call center in the UK.
Numerical Reasoning (N725) 28 Items
plt.01
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Cultural Universals Using Rank-Ordered
Correlations (2)

Sample Job applicants from across Europe for
relocation positions as customer representatives
for a large call center in the UK.
Verbal Reasoning (N9,906) 25 Items
plt.01
21
Cultural Universals Using Rank-Ordered
Correlations (3)

Sample Job applicants from across Europe for
relocation positions as customer representatives
for a large call center in the UK.
Personality (N9,394) 5 Scales
plt.01
22
Cultural Universals Using Rank-Ordered
Correlations (4)

Sample Job applicants from across Europe for
relocation positions as customer representatives
for a large call center in the UK.
Reading Comprehension (N1,606) 14 Items
plt.01
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