So - really - why are you testing your job candidates?
December 20, 2016, 7:00:00 PM EST By Mike Russiello So, why are you testing your job candidates?The conventional wisdom is simple. Study after study shows show that a bad hire can cost a company one half to five times the annual salary of the person who is hired. If a test can help you avoid just one bad hire, it provides a high return on investment since the cost of a test is very low compared to the cost of a bad hire. On the upside, if a test can help you focus your attention on a person who is likely to be a top performer, the payoff to the company relative to the small testing fee is even more significant. So then, is that why companies use tests? Well, the answer is - yes, mostly. Sure, everyone wants to hire great people and avoid poor performers. Performance - matters. But people also use tests to accomplish some other purposes, some of which may surprise you. Here’s a list I’ve compiled over the years:
I’m sure there are probably even some other reasons. Interestingly, none of these seem all that crazy when you think about it. It all depends on the company’s unique situation. Who'd have thought there were so many potential reasons out there. Why should I care? They key takeaway is to know what you are looking for when you administer a test, and this is important, because different tests work better for different purposes. For instance, if you are looking for performance on the job, it’s been proven time and again that cognitive testing, such as that included in HR Avatar’s job specific tests, is the most useful measurement. However, if you are seeking exclusively to avoid turnover, then more of a behavioral history survey might be most useful. Interestingly, these are also included in HR Avatar’s job-specific tests. If you want to provide feedback to all candidates, you need a test that produces a developmental report. Anyway, the message is clear - know what you are testing, and use a test that suits this purpose. |