HUMAN REOURCE MANAGEMENT
& DEVELOPMENT (HRM703)
EMPLOYEE SELECTION
4th July,2011
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LEARNING OBJECTIVES
Explain strategic selection
Understand the need for validation of employee
selection procedures
Describe some of the major research findings on
selection
Evaluate the use of psychological tests in selection
Appreciate the factors that make for successful
interviewing
Discuss the compensatory and successive hurdles
approaches to selection decision making
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THE PURPOSE OF THIS SESSION
The purpose of this Session is to introduce
students to the ideas of strategic selection, and
the steps that should be followed to ensure
organizations make good selection decisions.
The material contained in this Session provides a
useful overview of two key areas in the
selection process: how to conduct a successful
interview and the importance of validation in
the choice of selection method.
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STRATEGIC SELECTI ON
The hiring and retention of key human resources is a
critical issue for organizations
Increased international competition, pressures for
improved performance, corporate mergers and
rationalizations, and industry restructuring mean that
organizations cannot afford the luxury of poor employee
selection
Based on organization’s success depends on it having
the right people in the right jobs at the right time, the
organization's strategic business objectives and culture
should determine the people selected.
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The choice of selection criteria should be
consistent with the organization's
strategic direction and culture
Strategic selection aligns employment
activities with the organization’s business
strategies to produce a positive
contribution to organizational
performance.
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SELECTION CRITERIA
key factors in making a decision to hire or not to hire a
person. May include qualifications, experience, special
skills, abilities or aptitudes. Selection criteria must be
job – related
Strategic selection
The linking of selection activities to the organization's
strategic business objectives and culture.
It is obvious that ad hoc selection equals increased cost.
Poor selection decisions result in increased cost
Poor selection decisions result in increased training time,
labour turnover, absenteeism, accidents, industrial
unrest, job dissatisfaction and poor performance.
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SELECTION POLICY
A good policy is essential as it communicates clearly
what a company’s selection goals are
Management needs to consider the following factors in
the development of its selection policy:
Equal Employment Opportunity
What are company’s attitudes and approaches towards
hiring women, older employees and people with
disabilities? What will be the selection criteria?
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Quality of people
Does the company wants to hire the top
MBA graduates from the best universities
or high school graduates?
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Management roles
Who in the company will make the final decision to hire?
What is the role of HR Department? To what extent will
senior executives be involved? (Hewlett – Packard, for
example, has shifted much of its hiring responsibility
from HR to line management.)
Selection techniques
Will multiple interviews be employed? Will psychological
tests be used? Will assessment centers be used for
executive selection? How will specific skills be measured?
Will all applicants be required to undertake a medical
examination? Will genetic screening or HIV/AIDS testing
be undertaken?
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Employment consultants
Will external employment agencies, management
recruiters or executive search consultants be used? If so,
for what positions? In what situations? Who will choose
the consultant?
Industrial relations - are there any trade union
restrictions or membership requirements regarding
employment?
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Legal issues
Are there any legal restrictions or
requirements regarding employment ( for
e.g., only a licensed person can be
employed as an electrician or nurse) or
the use of certain selection techniques
(for example, the polygraph)? Do
selection techniques and procedures
satisfy all EEO and privacy requirements?
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Organizational strategic business objectives:
Are the company’s selection policies and practices in
harmony with the organization's strategic business
objectives? Do the candidates selected have the personal
characteristics, skills, knowledge, abilities and formal
qualifications required by the organization's strategic
business objectives?
Costs
what is the budget? Who will pay the costs: HR or the
line department? Who will authorize payments?
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Validation of Selection Procedures
A decision to hire (or not to hire) requires line managers
and the HR Manager to clearly identify the criteria that
distinguishes successful from unsuccessful job performance
and to use only predictive measures of job success that are
valid and reliable.
Validity
In selection validity refers to the extent to which a
predictor (that is, a selection criterion such as level of
education or scores on an aptitude test) correlates with
criteria identified as measuring job performance (such as
measures of productivity – for eg., sales, absenteeism and
performance ratings). The stronger the relationship
between a predictor and the criterion of job success, the
higher the correlation coefficient.selection 11/7/2011
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Two basic approaches are used by HR Managers to determine the
validity of criteria - concurrent validity and predictive validity
Concurrent Validity
This involves identifying a criterion predictor (for eg., an
aptitude test such as mechanical reasoning) and giving it to a
group of existing employees and correlating their scores with
their job performance.
If an acceptable correlation exists, the criterion predictor can
be used in the selection of new employees.
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Predictive validity
To determine whether a criterion predictor actually predicts
acceptable job performance, the criterion predictor is
administered to all applicants but the test scores are ignored
when making the selection decision .
After a specified period of time (for example, six months) the
results are reviewed and correlated with a criterion such as job
performance.
If the validity coefficient is satisfactory, the predictor can be
used in the selection process in the future. In addition,
because the original predictive results are ignored, it means
that there is an increased risk that incompetent personnel may
be hired.
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Reliability
In selection, reliability refers to the consistency of
measurement of a predictor. A predictor is reliable if individual
obtain essentially the same scores, ratings or rankings each
time they are tested or assessed.
Sample Selection Procedures
Selection procedures vary from organization to organization.
Company objectives, culture and size, type of industry,
geographic location, the state of the labour market, and the
type and level of the position all impact on the type, order and
number of steps an organization uses in its selection process.
Note that selection steps may vary in sequence, some steps
may be ignored or additional steps introduced, depending on
the organization's HR selection policy and available resources.
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Electronic Applications
Increasingly for high-tech, graduate and large, high – volume
appointments, companies are using internet technology to
receive and process job applications.
More sophisticated approaches include the use of customized
forms that enable a database of candidate information to be
compiled searched (by the use of key words or various criteria
such as job skills, years of work experience, education, study
major, grade point average etc.) and compared.
A common complaint is that biographical data are not well
matched with job requirements, resulting in too many
inappropriate resumes, which clog up the whole system).
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Steps in the selection process
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Reception of applicants
The importance of giving the applicants a favorable impression at
this stage cannot ne over emphasized.
Rudeness, disinterest or discrimination at reception may cost the
organization a good applicant and foster negative attitudes about
the company and its products or services.
Preliminary Interview
The preliminary or initial screening interview may be used to check
quickly on language skills, qualifications, willingness to do shift
work, union membership and the like. The preliminary interview is
typically brief and centered on very specific job requirements.
It should be carried out in a courteous, non discriminatory and
efficient way (as should all stages of the selection process).
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Telephone screening
In situations where large numbers of applicants are anticipated,
initial screening may be done over the telephone to avoid
sifting through hundreds of written applications.
Applicants may be asked few simple questions relating to
critical job requirements (for example, ‘ are you a licenced
electrician?’, Are you a qualified accountant?’, Are you able to
work weekends?’, ).
Questions to be asked should be prepared beforehand, should
be job related and should be asked in the same way for each
applicant. If candidates satisfy the minimum requirements,
they then be asked to submit a written application or attend an
interview.
Others can be informed immediately that they do not have the
required qualifications.
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The application form
The application form is the basic source of all employment
information for use in later steps of the selection process. It is also
a valuable tool in screening out unqualified applicants. For e.g., if
the job requires a trade qualification and the applicant indicates
that they do not have one, there is no need to process the
application further.
Weighted application forms
Developing a weighted application form basically involves
identifying the relationship between an application form item and
job performance measures.
An explicit weight or loading is assigned to the points for level of
education, number of previous jobs, specific work experience,
military service and other nominated application form items to
produce a weighted score. Applicants with the highest weighted
point scores are deemed to be the best candidates.
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Application forms and EEO requirements
EEO bodies claim that many application forms and interview
questions discriminate against women and minorities because
they are not job-related.
Examples of questions that should not be asked on the
application form include the following:
1. Marital status – enquiries into family circumstances,
relationships, spouse’s situation, family planning or any
related circumstances are not acceptable.
2. Residency status- applicants may be asked their residency
status if Australian residency is a job requirement.
3. National or ethnic origin – no enquiries seeking information
about national or ethnic origin may be made.
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4. Organizations – applicants may not be asked to list all the clubs
and organizations to which they belong
5. Photographs – these may not be asked to list all the clubs and
organizations to which they belong
6. Race or colour – information about a person’s race, colour,
complexion, or colour of eyes, hair or skin may not be sought.
7. Relatives – no information abut relatives, including names,
addresses and relationships, may be required of the applicant. The
names and addresses of a person to be notified in the case of an
emergency may be required after the selection decision has been
made.
8
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The following additional information may be job-related in
some circumstances:
1. Age – applicants may be asked only to indicate whether they
have reached minimum age or are below any maximum age
that may by law to employment. Verification of age may be
obtained during the interview
2. Sex – information as to person’s gender should not be
requested unless it is an inherent job requirement.
However, some organization's seek the applicant’s preferred
form of address at the interview stage.
3. National or ethnic origin – the employer may be ask whether
the applicant is legally entitled to work in Australia.
Documentary proof of this eligibility may be asked for at the
short listing stage.
4. Name – if the applicant was previously employed under a
different name, it is relevant to employment history and
may be requested.
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5. Languages – questions on which languages the applicant speaks,
reads or writes should be made only if language skills are job –
related.
6. Religion – no details of religious affiliation or practices may be
sought unless an inherent job requirement exists. The employer
may enquire if the applicant is willing to work a specified work
schedule.
7. Military service – questions on military service should be asked
only if they are job – related.
8. Physical disability – the application form may enquire about the
existence of a physical disability only if it is relevant to the job, if
it would preclude the application from performing the duties of the
job satisfactorily, or if it would be hazardous to the safety of the
applicant or colleagues, clients or the public.
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7. Medical information – applications forms may indicate that a
job offer is conditional of the passing of a medical examination
if there is a bona fide occupational requirement for it. A
medical examination should be conducted only after the
selection decision has been made, and only where required.
8. Height and weight – Questions on height and weight may be
asked only if they are relevant to the job.
Despite comprehensive ant – discrimination legislation, research
suggests that some employers still regard EEO requirements as
irrelevant or something to be worked around, and that
discrimination in selection is still commonplace.
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Tests
If the applicant shows no obvious job- related deficiencies that
would cause disqualification, then tests or an in-depth
interview can be given. The choice between tests or an
interview will depend on company policy, the type of job
applied for, the cost of the test and the qualifications of the
candidate.
Employment Tests
Attempt to assess the match between the applicant and the job
requirements. Classic examples are driving, welding, key board
and language tests.
Employment tests, because they are job related, tend to be
accurate and objective predictors of particular skills that are
needed on the job.
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Interest Tests
Aim to measure how an applicant’s interest patterns of
successful people in a particular job. The underlying assumption
in the use of interest tests is that applicants are more likely to
succeed in a job they like. Unfortunately, in the employment
situation, applicants may be motivated to fake their answers,
with the result that interest tests often have limited value as a
selection tool.
Aptitude Tests
Are tests of special abilities that are required in specific jobs.
Examples are tests of mechanical, clerical, linguistic, musical
and artistic abilities.
Such tests are often used to predict aptitude for a particular job
or type of training. Thus, the use of aptitude tests can be of
value in situations where an applicant has had little or no
experience related to the job requirements – for e.g., in the
selection of apprentices. Topic 6: employee selection 11/7/2011 28
Intelligence Tests
Are designed to measure an applicant’s intelligence or ‘IQ’
(intelligence quotient). Specific tests measuring ability to
reason with numbers, words and abstract items are given. Such
tests are good indicators of a candidate’s ability to learn
quickly and are the best established predictor of job
performance (esp. for jobs that involve conceptual thinking
and problem solving).
Personality Tests
Or temperament tests, are designed to measure basic approach
of an applicant’s personality, such as introversion /
extroversion, emotion stability and motivation. Personality
tests traditionally have been the most difficult tests to
evaluate and the most sensitive to use in employee selection.
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As a result it is argued that personality tests have limited value in
employee selection ( and their use is difficult to justify if
challenged by EEO authorities).
In the United States, questions about religious beliefs and sexual
orientation, for example, have been construed as both invasive and
discriminatory and have resulted in heavy financial penalties.
Computer – based Testing
There are a range of relatively inexpensive test options available on
the internet that organizations can access. The majority of tests
continue to be administered in a paper and pencil format, but
computer- administered tests are nevertheless increasing in
popularity and are predicted to become the dominant mode of
assessment for selection within the next decade.
McDonald’s has introduced an e-recruitment program that requires
candidates to apply online and then complete a multiple choice
test. Successful candidates are then interviewed by a restaurant
manager.
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Testing and EEO
EEO requires that, it tests are to be used in making employment
decisions, they must:
be proven as being able to predict job performance
Not discriminate
Be job-related
EEO authorities consequently caution that any selection tests
used by an organization should be checked to ensure that hey do
not include any discriminatory elements.
Interview
The employment interview is the most widely used selection
technique. It is a conversation with a purpose between an
interviewer and a job applicant.
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The structured interview makes use of a predetermined outline.
By following this outline, the interviewer ensures that all relevant
information on the candidate is covered systematically.
Some interviewers do not like the patterned interview approach,
believing it is too restrictive. Australian Managers, for e.g., appear
to have a strong preference for unstructured or minimally
structured interviews.
Unstructured interview – uses few, if any, planned questions. It
enables the interviewer to pursue, in depth, the applicant’s
response.
Regardless of which method is adopted, questions asked must be
job-related. Under EEO legislation, irrelevant and unnecessary
questions may lead to charges of discrimination.
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Behavioural Interviews
A special type of structured interview is the behavioural or
situational interview. This is based on a detailed analysis of the
skills required to perform the job to be filled.
Behavioural specifications aim to depict the job in terms of how the
individual must function in order to perform successfully. Questions
are developed from the definitions of the desired skills. The skill
specifications are listed so that they can be systematically explored
during the interview.
HOW TO INTERVIEW SUCCESSFULLY
1. Know the job
To select the right person, the HR manager and line managers
must know the job to be filled, otherwise how can an accurate
match be matched.
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2. Know the personal characteristics, skills and qualifications
It must be stressed that the formal qualifications, experience,
abilities, knowledge and skills required must be required must
be job-related – that is, they must be present if the applicant is
to perform the job successfully.
Before human resources managers start interviewing, they need
to know what they want. For example, is the job really
necessary in the first place?
3. Set specific objectives
HR Managers must establish what information they wish to get
(and give) and what topics they wish to cover. The purpose of
the employment interview is to give and get information that
will help the interviewer to make a decision about the
applicant’s suitability.
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4.Provide the proper setting for the interview
The interview is important to the applicant and to the image of
the company. The interview should be conducted in private and
in a setting free from interruptions.
Lighting, temperature, seating arrangements and accessibility
for applicants with disabilities must also be considered.
5. Review the application form or resume
The interviewer should review the written application to
determine whether additional information is needed.
Examples of items that may need clarification or expansion
include unexplained gaps in employment history, such as dates
left out and employers not named; questions not answered or
only partly answered.
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6. Beware of Prejudices
Most people have prejudices of some sort. If applicants are to be
appraised objectively, it is important that these prejudices do not
impinge on the selection decision, otherwise the interviewer runs
the risk of losing good candidates and leaving the way open to
charges of discrimination.
7. Don’t make snap decision
Research indicates that interviewers make a judgment about an
application in the first 3 – 5 minutes of the interview. Judgements
must be reserved until all relevant information about the applicant
has been gathered. If this is done, the danger of making a snap
judgment and introducing bias are minimized.
8. Put the applicant at ease
Rapport must be established with applicants by putting them at ease
so that the interview will flow freely. Interviewers who act superior,
are arrogant or are overly formal and reticent will fail to get all the
facts because they will not be able to establish trust.
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9. Watch the body language
The interviewer should look for non – verbal signals, such as facial
expressions, fidgeting, arm movements and the like, which can
give important clues as to what the applicant is really thinking or
feeling.
Interviewers esp., must be able to alert to cultural differences. In
low context cultures such as Australia much emphasis is given to
the spoken word.
10. Encourage the applicant to do most of the talking
The more the applicant talks (on the subjects the interviewer
want to hear about), the more the interviewer is going to learn
about them.
Rather than asking questions that simply require a ‘yes/no’
answer, the interviewer should encourage the applicant to talk by
asking open-ended questions such as: “Tell me what you did in
your last job’.
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11. Keep control of the interview
The specific objectives that the interviewer has set for the
meeting must be constantly kept in mind. This ensures that the
applicant talks about relevant subjects. The interviewer must
make certain to get all the facts needed to perform a decision.
12. Explain the job
The interviewer must explain the key aspects of the job and where
it fits in.
13. Close the interview
Closing the interview should be done in a friendly way. The
interviewer should say when the applicant may expect to hear
from the company. The public relations aspects of employment
interviewing can never be ignored.
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14. Write up the interview
One of the biggest deficiencies in interviewing is the failure
by interviewers to write up the results of the interview
while it is still fresh in their minds.
Accuracy is increased if facts and impressions are recorded
as soon as possible (this can also be done during the
interview). Accurate records are vital in proving that the
selection decision was not discriminatory.
15. Check references
This is critical. The interviewer should wait until the
interview is over before making a decision and should never
make a job offer until a thorough reference check has been
completed. One of the biggest mistakes in reference
checking is to talk to only one referee. The interviewer
should talk to a cross – section of people -peers, superiors,
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Research indicates that validity is best when the referee is well
acquainted with the applicant’s work and/or is the applicant’s
supervisor.
16. Evaluate the interview process
The HR practitioner must ensure that all information required
has been gleaned; that the interview objectives were achieved;
that the interview and the interviewing technique are
evaluated; and the ‘batting average’ reviewed – are winners or
losers being selected.
Medical Examination
Is usually given by a company doctor or by a doctor approved
and paid for by the organization. The aim of the pre-
employment medical is to obtain job - related information on
the medical condition of the applicant.
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Such information is useful in:
Ensuring that people are not assigned to jobs for which they are
physically unsuited
safeguarding the health of present employees through the
detection of contagious diseases
identify applicants who are symptoms of alcohol and drug
abuse
ensuring the applicants are placed in positions that will
aggravate an existing medical condition
protecting the organization from workers compensation claims
by identifying injuries and illnesses present at the time the
employee was hired
determining the applicant’s eligibility for group life, health and
disability insurance.
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Symptoms of employee drug use
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Genetic Screening
Advances in technology have now made genetic screening
available to organizations. This permits a company to identify
applicants who may be hypersensitive to pollutants in the
workplace thus facilitating their placement to a safe work area.
OTHER SELECTION TECHNIQUES
Biographical information blanks
Are one of the oldest methods for predicting job success and
are closely related to the weighted application form. The
BIB typically includes more item than a standard application
form and has various types of questions relating to
attitudes, hobbies, sports, sales experience that have been
identified as success criteria.
A multiple choice questionnaires is used to collect the
responses of job applicants. For example, the applicant
might be asked:
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How did you do at school?
1. Always among the top students
2. Below the top group, but better than average
3. About average
4. Below average but not in the bottom group
5. Always among the bottom students
The response given are then compared with the responses of high –
performing employees. Thus, using seemingly irrelevant questons,
characteristics associated with high performance are identified and
measured.
Panel Interviews
Panel interviews or board interviews are conducted by two or more
interviewers.
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This allows the interviewers to evaluate the applicant on the same
questions and answers at the one time.
Provided thorough preparation is undertaken by panel members ask
the same questions of each candidate. The panel interview is widely
used in universities, the military and the public sector.
Group Interviews
Meetings in which several job applicants interact in the presence of
one company representatives.
Group interviews are probably best used when dealing with young
applicants, such as new university graduates, or as part of an
assessment centre process.
Computer screening
A recent interviewing innovation is the use of computers to screen
applicants via resume scanning and to conduct preliminary screening
interviews and online testing.
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Video Interviewing
This involves the use of video. This is particularly advantageous
for organizations wanting to conduct interviews with applicants
who are resident interstate or overseas.
Assessment centres
Technique that uses interviews, group discussions, tests,
simulations, games and observations to evaluate an individuals
potential.
Assessment centres can be used to help organizations to
identify and assess individual and organizational strengths
and limitations after a merger or downsizing and ‘to
recognize where the talent pool lies for succession planning’.
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The Polygraph
The polygraph (‘lie detector’)is an instrument used to record
bodily changes that take place when an applicant is subjected to
pressure.
Records changes in a person’s physiology (such as heart rate, blood
pressure) in response to a structured set of questions.
Honesty Tests
Tests designed to evaluate a candidate’s honesty and integrity.
Graphology
Is based on the premise that a person's personality is revealed
through their handwriting. Despite its lack of validity, it is still
used as a selection technique in Europe (esp. France).
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THE SELECTION DECISION
The final step in the selection process requires the line
manager (often in conjunction with the HR Manager) to make
a decision to hire or reject an applicant. The selection
decision can be made using either a compensatory approach or
a successive hurdles approach.
i) The Compensatory Approach
The Manager considers all the selection data (favourable and
unfavourable) for candidates who have passed the initial
screening successfully. This allows the manager to form an
overall impression of the applicants. Because it employs more
information and does not rely on just one selection technique,
the compensatory approach should lead to more accurate
hiring decisions
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ii) The successive hurdles approach
Involves the screening out of candidates at each stage of the
selection process.
For example, if an intelligence test has the highest
correlation with job success, it will be used as the first hurdle
or step in the selection process. Candidates who pass move on
to the next hurdle or step in the selection process. Candidates
who pass move on to the next hurdle, such as the interview,
reference check and so on, until the selection process is
completed.
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TWO APPROACHES TO THE SELECTION DECISION
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SUMMARY
The selection process begins with a linking of organization, human resource
and employ-ment objectives.
An organization's ultimate success depends on the best applicants being
selected. Jobs and people must be matched correctly to ensure both
employee satisfaction and organizational effectiveness.
T
o this end, as much job related information about the candidate should be
collected as possible.
.
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Data sources include application forms,
employment tests, interviews, reference
checks and medical examinations. In
practice, the interview remains the most
popular source of candidate information
HR specialists and line managers who
conduct employment interviews should be
trained in interview planning, and in
assessing applicants in job-related terms.
EEO requirements can be satisfied only if
objective measures are employed
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Consequently, the value of employment
tests, biographical information blanks and
assessment centres should not be
overlooked. As much selection activity is
unsophisticated and ad hoc,
HRmanagers have a key role to play in
educating management on the
importance of a systematic selection
process to the successful realization of
the organisation’s strategic business
objectives 53
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An organisation’s ultimate success depends
on the best applicants being selected
Jobs and people must be matched correctly
Selections training is very important
HR Managers have a key role in educating
others in valid and reliable processes
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