VALUE
OF TESTING
Many companies
avoid testing applicants or employees because they perceive it
as too costly.
Many employers also fear legal action by people who
take the test.
The cost of testing is minimal compared to the
tremendous costs of employee turnover. The cost of testing
can also be relatively low compared to the expenses associated
with employment-related lawsuits.
Conservative
estimates of costs associated with turnover range from 1/3-1/2
of the annual salary of the employee that you are
replacing. The
cost of replacing management, executive and highly skilled
talent can easily be 1-2 times the annual salary of the person
you need to replace.
Testing can, therefore, be a valuable investment for
organizations to make in hiring and retaining top
talent.
There
are many myths surrounding employee testing. Let's look at some of
those myths and the corresponding
realities.
MYTHS
AND REALITIES OF TESTING
Myth
1: One test fits
all employees and situations.
Reality
1: Different
tests are meant for different
purposes.
A
good test is designed and used with a specific purpose in
mind. The clearer
a company is about WHAT they want to test for and WHY they
want to test, the more effective their testing is likely to
be.
Companies need to then use this information to identify
and select the test or tests that best meet their
needs.
Myth
2: Using tests
increase your company's exposure to
lawsuits.
Reality
2: Tests
developed well and used effectively are likely to decrease
your company's exposure to
lawsuits.
In
assessing liability, one of the things that the courts
typically look at is how consistently a company treats
employees and applicants when making employment-related
decisions.
Generally, employees or applicants taking a test that
uses the same number of items worded the same way on each and
every test are treated more consistently than they are in the
average interview, no matter how well trained the interviewer
is or how well scripted the interview is. Of course, this
situation assumes that you are using a valid test. A valid test is one in
which there is evidence to show that decisions made based on
test results are accurate ones.
Myth
3: Tests should
be used solely for hiring/promotion
purposes.
Reality
3: Tests are
great for a variety of purposes.
Most
people think of using testing when making hiring or promotion
decisions. While
testing is appropriate in these situations, it is also
appropriate in developmental situations. Testing, if done
effectively, can help employees (and their bosses) better
understand employees strengths, developmental areas, and
preferences/ motivations as they relate to a particular job
(or jobs).
Myth
4: Tests are 100%
accurate.
Reality
4: NOTHING is
100% accurate.
Good
tests are reliable and accurate. They are not, however,
100% accurate.
Nothing (including interviews, tests, performance
ratings, work samples, etc.) is 100% accurate. Tests can be extremely
accurate if chosen well and used
effectively.
Myth
5: People should
rely more on test results than they rely on their own judgment
when making decisions about an
employee.
Reality
5: People should
rely on data from several sources when making decisions about
an employee.
Tests
should never be the sole source on which make
employment-related decisions. In making decisions
about employees, you've got many sources of data available to
you including past work experience, past/current job
performance, interview data, and test data. You get a much more
complete and accurate picture of a person using all of that
data than you will if you used only test data.
MORE
ON TESTING
The
following websites provide more information on employee tests
and good testing practices:
The Association
of Test Publishers is a non-profit organization representing
publishers and providers of tests and assessment tools and/or
services related to assessment, selection, certification, and
educational and clinical issues. This site has a useful
section on testing called, Frequently Asked
Questions.
2. O*NET
(www.onetcenter.org/guides.html)
The Occupational
Information Network (O*NET), is a comprehensive database of
worker attributes and job characteristics. As the replacement
for the Dictionary of Occupational Titles (DOT), O*NET is the
nation's primary source of occupational information. Check out
this site for, "Testing and Assessment, an Employer's Guide to
Good Practices."
This guide helps managers and others understand and use
employment testing and assessment
practices.
3. Society for Industrial
and Organizational Psychology
(www.siop.org/workplace)
This
is the website for national organization of industrial and
organizational psychologists. This portion of the site
includes information about employee testing including what to
look for in choosing a high quality test and how to implement
an employee testing program.
Testing,
when used effectively, is a very powerful tool that helps you
identify employees' knowledge, skills, abilities, and other
characteristics as they relate to specific jobs. Use the information in
this article to help you make the most of this tool in your
organization.
Testing,
when used effectively, is a very powerful tool that helps you
identify employees' knowledge, skills, abilities, and other
characteristics as they relate to specific jobs. Use the information in
this article to help you use tests to make better decisions
about selecting and developing employees in your
organization.
