What is a Psychometric Profiling Process? It is a proven process for avoiding mis-hires by using psychometric assessment tools to evaluate and de-select candidates based on position-specific benchmarks.
Why is the Psychometric Profiling Process important? You want to get the right people, in the right seats, exhibiting the right behavior. In other words, you want to recruit the best, most talented people in the market, make sure they’re playing the right role on your team, and make sure they’re playing nicely with each other. More importantly, the hard and softs costs of a mis-hire can be staggering.
The Team Building System Silver Bullet is used when you already have a team of employees, and they just need to behave better and become a cohesive team. You use the Employee Acquisition Plan coupled with the Psychometric Profiling Process to hire the right people for the right seats, or the right roles in the business. You use psychometric assessments as the very last part of the recruitment process for employees because it dramatically reduces the percentage chance of having a mis-hire.
A survey published by Staffing.org estimates the average cost of hiring
just one employee is $4,263! If that person you hire turns out to be a dud and
doesn’t succeed at their job, you have a mis-hire and you just wasted $4,263. The
true cost of a mis-hire is actually way more than that. In addition to the
hiring costs of $4,263, you also have to take into consideration opportunity
costs, severance packages, disruption of workflow in your business, irritation
to any customers involved, and many other intangible factors. It’s been estimated that the mis-hire of an entry level
employee costs about 1.5x their annual salary! If it’s a middle manager, that
cost jumps to 8x their annual salary, and if it’s a senior executive, then a
mis-hire can cost a whopping 15x their annual salary. Mis-hires are expensive.
Here are some interesting probabilities of successful hiring.
- One study demonstrated that if you just do an interview and don't do any assessments, you have about a 52% chance of getting it right. If that’s the case and all you’re going to do is interview somebody, you might as well just take a coin out of your pocket and flip it. Heads, you hire. Tails, you don't. Don’t even waste your time interviewing, the penny will tell you just as accurately whether or not the person will work out.
- If you do a reference check on top of the interview, your chances of avoiding a mis-hire go as high as 62%.
- To improve the odds, you can do a behavior or personality assessment using instruments like DiSC, Myers Briggs, and any of the four-quadrant models. Personality assessments do help to some extent by adding another 7% likelihood of success, which takes you to 69%.
- Next, you can add abilities assessment, which is looking at what kind of ability they have by putting them in a situation where they have to perform the task they’re being hired for. If you do that, your likelihood of a successful hire goes up to 74%.
- Conducting an interests assessment, which is another kind of profile that measures their job interests, takes it up to 78%.
- Want to get it all in one? Job Matching is when you do all of the above. If you do all of these activities, you can reasonably expect to enjoy as high as an 87.5% chance of success in your hiring.
What is Job Matching? By definition, job matching is the process of matching the right person to the right job based upon understanding both the job and the strengths of the person under consideration. Establishing a job matching process for hiring can reduce your client’s mis-hires from whatever they are now, down to almost 1 in ten--that’s incredible! You can still have a mistake now and then, where somebody makes it all the way through the whole process and you hire them and they still don't work out. But using a Job Matching assessment dramatically reduces your costs.
This is what you are trying to achieve when you combine the Employee Acquisition Plan with this Psychometric Profiling Process. One study published by the Harvard business review reported that in a High-Turnover industry such as telemarketing or customer service where job-matching was done, mis-hires were reduced by about half! In a low turnover industry where job-matching was done, mis-hires were reduced to about 20%! Clearly, job matching is an incredibly effective way of reducing the number of mis-hires and the costly impact of mis-hires on a business.
There’s a lot of excellent information about the job-matching process in Mel Kleiman’s book, Hire Tough, Manage Easy.
Since you are trying to job match the right hires with the right roles, we recommend a particular Psychometric Profile called the Team Dimensions Profile to determine how well a potential employee will fit the job based on their preferred role in a work environment. At the time of writing this post, the Team Dimensions Profile is still available but only until mid 2022. It is quite likely another tool will be available before then but for now the Team Dimensions Profile is incredibly powerful. Not only can you do profiles for individuals, you can do group profiles as well. You can learn more about it at https://internalchange.com/order-profiles-training-materials/non-disc-products/team-dimensions-profile/ and note these profiles are not at all expensive but can be an invaluable addition to your hiring strategy.
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