Maximizing “Human Capital” The Step One Survey Confirm Business Attitudes Assessments USA & Canada 800-808-6311 805-934-5956 www.assessments.biz.

Download Report

Transcript Maximizing “Human Capital” The Step One Survey Confirm Business Attitudes Assessments USA & Canada 800-808-6311 805-934-5956 www.assessments.biz.

Maximizing
“Human Capital”
The Step One Survey
Confirm Business Attitudes
Assessments USA & Canada
800-808-6311 805-934-5956
www.assessments.biz
Have you ever hired someone
who did not reach your
expectations?
2
People are like Icebergs
You Can’t See...
THE
TOTAL
PERSON
Business Attitudes
Job Match
3
YOUR HR GOALS
To
Screen, Hire, Mentor, & Evaluate:
Honest, Reliable, Dependable
Hard–Working
Drug–free, Productive
“Job-Matched”
Employees!
4
5
Companies Have Two
Kinds of Challenges
Systems
Challenges
(objective)
People
Challenges
(subjective)
Scientifically validated assessments
help you reduce or eliminate
your People-Related Challenges
6
Applicants Can Bring Two Kinds of
Profit-Stealing Baggage to the Job
Poor Business
Attitudes
Bad Job Match
Characteristics
Through the use of properly sequenced screening
assessments, you can identify and hire only candidates who
have the corporate business attitudes and job match that
your benchmarked positions require for job success. 7
2. “JOB
1. “BUSINESS
MATCH”
ATTITUDES”
Supervisor,
toward
Sales Pro,
Integrity
Manager,
HIRE
Work Ethics THEM! Accounting,
Reliability
Customer
Drug & Substance
Service,
Abuse
Call Center
Pass a Background
Technician
Check
ETC
8
Check Applicants

36,000 business failures are caused by
employee theft

Employees steal 10 times more than
shoplifters

Absenteeism costs a 50 employee
company $31,100 annually
This is your applicant pool!
9
Due Diligence
Background Checks
A. Reference Checks
B. Education Credentials
C. Credit Report
D. Criminal History
E. Past Employers
F. Driving Record Report
G. Social Security Verification
10
There are 3 Places to
“Fix” People Challenges

Selection Process
(Fire Wall-Prevention)

Coaching & Training
(Try to Change Behavior)

Replacing the Employee
11
What Every Organization Needs To Know
Performance
Feedback
Customer
Delight
Retention &
Development
Selecting the
Right People
HR Dept.
Effective
Sales Team
Increased
Productivit
y
Team
Compatibilit
y
What is
The New Art of Hiring Smart
1. Identify Hiring Problems System?
2. Quantify the Cost of Turnover
3. Understand What You Are Recruiting for
4. Use Innovative Prospecting
5. Prepare and Conduct a Winning Interview
6. Do Background Checks
7. Assess Applicants for Job Match
13
Typical HR Challenges
Selection Process
Lack of:
Structure
Accurate Information
Consistency
Job Fit
Management
Inability to:
Communicate
Motivate
Train
Promote
14
4 Invalid Hiring Criteria
 Hiring in your own image
 Pirating from your competitor
 Hiring based on experience
 Hiring based on education
Herbert M. Greenberg, Ph.D.
15
Four Great Employment Myths
 “You can be anything you want to
be.”
 “If you work hard enough, you can
succeed.”
 “There is nothing you cannot
achieve.”
 “If I can do it, you can do it.”
Herbert M. Greenberg, Ph.D.
16
Decisions Made
Fast . . . Why?
Hiring on “gut reactions”
“First Impressions based on
emotions, biases, chemistry,
personality, and stereotyping
cause more hiring mistakes
than any other single factor.”
Source:Hire with Your Head, by Lou Adler
17
Problems with
Antiquated Hiring Practices



63% Hired within 4.3
Minutes
“Instinctive” Hiring
Faulty Information
• “Exaggerated”
resumes
• Trained
interviewees
• Past employers
• References


Lack of any Pre- or
Post- Selection)
Strategic HR System
Poor Job Matching
• 41% Not Formally
Trained
• 67% Personality
Are Not Best Job
Fit
18
Identify Hiring Problems

Spot Highest Turnover Areas

Evaluate Your Selection System and
Find its Weaknesses and Barriers

Look at the People Doing the Hiring
to See What type of Training is
Necessary
19
WHY?
A. Unpredictable Applicant Pool
B. High Hiring Costs
C. Government Regulations
D. Turnover Costs
E. Time for a Paradigm Change
20
Determine the
True Cost of TURNOVER
Calculate Your Cost per
Employee
 Consider Additional Factors





Lost Productivity
Recruiting Costs
Training Expenses
Poor Morale
21
The High Cost of Staff Turnover
180 Hours per Month
29% Benefits*
Hourly
Plus
Total Hr.
Rate Benefits* Wages
$ 25.00 $ 7.25 $ 32.25
$ 30.00 $ 8.70 $ 38.70
$ 40.00 $ 11.60 $ 51.60
$ 50.00 $ 14.50 $ 64.50
$ 60.00 $ 17.40 $ 77.40
$ 70.00 $ 20.30 $ 90.30
$ 80.00 $ 23.20 $ 103.20
$
$
$
$
$
$
$
Monthly
Wages
5,805
6,966
9,288
11,610
13,932
16,254
18,576
Turnover
Cost after
3 Months
$
17,415
$
20,898
$
27,864
$
34,830
$
41,796
$
48,762
$
55,728
22
Understand What You
Are Recruiting For

Understand the Job, define Job
Performance and develop a
thorough Job Description

Identify the “Success
Characteristics” of your top
performers
23
Use Innovative
Recruiting Methods

Competitors


Persons with
Disabilities
Companies who have
announced cutbacks

Advertise in New
Places

Set up Educational
Relationships

HR Assessments

Military Retirees

Outplacement Firms

Retired Seniors
24
Assessments are the only way to really
know and understand your people
25
US Department
of Labor
Employment and
Training
Administration
1999 Publication
26
Here’s what the US Department of Labor says
•Employment tests can be used to gather accurate
information about job-relevant characteristics.
This information helps assess the fit or match
between people and jobs.
•Tests can be used to predict employee and
applicant job performance.
•Appropriate use of professionally developed
assessment tools, on average, enables
organizations to make more effective
employment-related decisions...
27
Here’s what the experts say about assessments
“Chances are good that up to 66% of your company’s
hiring decisions will prove to be mistakes in the first
twelve months.”
Peter Drucker, Management Consultant
When an employee leaves you, “...you're going to
lose 2 1/2 times the person's annual salary, whether
they're entry-level or senior management,”
Dr. Pierre Mornell, as quoted in Nations Business
“In these days of talent wars, the best way to keep
your stars is to know them better than they know
themselves --- and then use that information to
customize the careers of their dreams.”
“Job Sculpting: The Art of Retaining Your best People”
Harvard Business Review -- September. - Oct. 1999
28
Consequences of Bad Job Match
Substandard Quality
 Low Productivity
 Poor Customer Relations
 Stress, Tension and Conflict
 Turnover
 Ineffective Training
 Low Profitability

BUSINESS FAILURE
29
Step One
Profile
PPI-Coaching
“Attitudes” “Job Match” & Mentoring
Customer
Service
Sales Pro
Call Center
Team
Analysis
Checkpoint 360°
Multi-Rater Eval
MAXIMIZE YOUR HUMAN
CAPITAL
31
Selection Process
Past
Via
Resume`,
Application,
References
Future
Present
Skill Fit
Company Fit
Education,
Training,
Experience,
Skills, Etc.
Attitudes, Values,
Demeanor,
Appearance,
Integrity
Integrity,
Work Ethics,
Reliability, &
Substance &
Drug Abuse
32
Business Attitudes
The Step One Survey


Costs third or half of the cost of a standard
background check
Provides a structured interview and employment
history
33
Critical Issues!
INTEGRITY
Does the person’s attitude match those of honest employees
who can be trusted not to steal?
SUBSTANCE ABUSE
Does the person’s attitude about drugs match the attitudes of
people who do not use drugs?
RELIABILITY
Does the person’s attitude regarding reliability and being on time
match those of people with proven records of dependability?
WORK ETHIC
Does the person have an attitude toward work that is like the
attitudes of long–term, hard–working employees?
34
Section II
Summary Table
The data from Section II is summarized in the table below. Please note that the higher the
attained score on each scale, the more favorable the results for that scale.
SCALE
Low
High
Integrity
Adherence to moral and
ethical principles acceptable in
the workplace
1
2
3
4
5
6
7
8
9
1
2
3
4
5
6
7
8
9
1
2
3
4
5
6
7
8
9
1
2
3
4
5
6
7
8
9
Substance Abuse
Attitudes deemed acceptable
in the workplace and by
society
Reliability
Attitudes towards tardiness
and personal dependability
deemed acceptable in the
workplace
Work Ethic
Belief in the value of work
and supervisory relationships
acceptable in the workplace
The Distortion Scale deals with how candid and frank the respondent was while taking this
assessment. The range for this scale is 1 to 9, with higher scores suggesting greater candor.
The Distortion Scale score on this assessment is 9
35
Use All of Your Resources
Interview
14%
26%
Business Attitudes
Personality Testing
Abilities Testing
Interests Testing
Job Matching
38%
54%
66%
75%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Sources: Professor Mike Smith, University of Manchester, August 1994
John E. Hunter and Ronda F. Hunter, Validity and Utility of Alternative Predictors of Job Performance,
Psychological Bulletin, Vol. 96, No.1, 1984, p. 90;
Robert P Tett, Douglas N. Jackson, and Mitchell Rothstein, Personality Measures as Predictors of Job
Performance: A Meta-Analytical Review, Personnel Psychology,Winter 1991, p.703. Michigan State
36
University’s School of Business.
Selection Process
Past
Via
Resume`,
Application,
References
Future
Via Testing
for Job
Match
Present
Skill Fit
Company Fit
Education,
Training,
Experience,
Skills, Etc.
Attitudes, Values,
Demeanor,
Appearance,
Integrity
Job Match
Personality,
Via
Interview
Add the Step
One Survey®
Do Background
Check
Abilities,
Interest
37
Consequences of Hiring People with Bad
Business Attitudes & Poor Job Match
Substandard Quality
 Low Productivity
 Poor Customer Relations
 Stress, Tension and Conflict
 Turnover
 Ineffective Training
 Low Profitability
 Poor Sales Performance

BUSINESS FAILURE
38
Benefits You Gain
From Using Assessments

You identify the characteristics
of your top performers

You maximize employee and
team productivity

You develop and retain more
top performers
“Put the right person in the
right job, train and motivate
them, give them an opportunity
for advancement, and your
company will grow and prosper”
J.W. Marriott
40
Summary...
 People are our number one resource.
 Turnover is a major expense.
 Traditional hiring methods are not effective.
 Competition is forcing a closer examination of
those we employ.
 We must determine their business attitudes
 We need to confirm their job match
41