Monday, September 24, 2012

Hiring: Hunch Based versus Computer Modeling

A recent article in the Wall Street Journal ( Sept. 20th, 2012 article link is below), talks about how algorithms and computer modeling are now used to hire personnel. It does not mention interviews and validation of assessment (or test) results which are critical components to a final job offer and/or promotion, and implies that resumes, education and experience are not considered or not weighted very heavily.

Algorithms Run the Workplace - Companies Trade In Hunch-Based Hiring for Computer Modeling

The companies that we worked with, many of them large BPO/Call Center companies, as well as the training we conducted, emphasized the importance of assessments in better defining "job fit" through Benchmarking, which has been proven over many years to significantly increase employee retention and heightened job performance. However, equally important is observing the distortion value (a measure of how consistently a candidate answers the questions during the assessment/test) and validating the results by asking Behavior Event Interview (BEI) questions and conducting background checks!

The reason for using assessments is to consistently evaluate candidates in a time-sensitive manner, and in an unbiased way. This is critical as it has been proven that people decide on a candidate within the first 4.3 minutes of an interview, which means that the interviewer is strictly going by "gut" instinct unless he/she is well trained to overlook first impressions.

Most of the large BPO/Call Center companies generally desire to test, interview and make a job offer within 8-10 hours. The reason, especially at the height of mass hiring and new client ramp-ups, is to quickly identify good candidates, make an offer, and get an acceptance within one day, so that these candidates are not lost to other companies. These methods are employed by many industries, large and small and who may not be needing to meet such strict time requirements.

Good assessments should take into account: Learning Index (IQ), Behavioral Index (EQ) and Areas of Interest that the candidate has. If there is good alignment with the position and the company, this good "job fit" will greatly enhance success, both for the candidate and the hiring company.

ATS (Applicant Tracking Systems) are used to manage large numbers of applicants, help identify those who do not meet the minimum requirements and filter them out, while keeping track of those who move on through the hiring process, and also help prevent the same candidate from applying multiple times within a given time frame to the same company for multiple positions.

In the above article there is mention about commuting time being a criteria. However, especially for overseas operations, many times candidates learn of this "select-out" criteria, and merely list a relative's address that is nearby the facility. An interview and especially a background check will quickly help to identify if the candidate does indeed live within the prescribed radius of work.

A couple of scenarios which are used are:




So, while assessments are excellent in evaluating candidates, they should only be weighted at 1/3 of the total value in the hiring process, as validation of the results through a BEI interviews and good background checks, are critical.

Are you following these key principles?


Tuesday, September 4, 2012

Apple vs Samsung - Ethics

In the last two postings, Samsung has regretfully been a topic about poor Customer Service. The court decision in California upheld Apple's case about copying, indicating additional possible company culture issues? All of this is not a good use of company money by fighting in court (which directly affects profitability and brand image),....but it seems to be part of our litigious nature. What ever happened to the hand shake and person's word being their bond?

Sadly, not for many years now.

Ethics seems to stem from parental values, country values, educational reinforcement or lack there of, core values espoused by the company and reiterated/communicated in employee handbooks and demonstrated over many years, Leadership, and Senior Management values.

Do you agree?



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