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SELECTING TOP PERFORMERS                                                           

BE CAREFUL WHAT YOU WISH FOR

When using job match assessments to improve the selection and promotion process, success may depend largely upon how top performers are identified. Since the process is designed to help a business select candidates who share the job-related characteristics of top performers, misidentification of those characteristics by misidentifying members of that group can lead to poor results and selection of candidates who do not perform well.

Ask a manager who his or her top performers are and you will usually get a quick answer. Ask for the basis of that selection, however, and you may be surprised how fuzzy or imprecise the criteria are. It is not unusual to discover that managers have no measurable, repeatable criteria for identifying this most important group of employees!

In some jobs, measurable and objective criteria are relatively easy to identify. A salesperson, for example, may be measured on sales production (units, dollars, profit, etc.). Appropriate measures for sales performance may also include calls made per unit of time, customer service measures or revenue growth. Performance in other jobs may not be as easy to measure.

bulletWhat are the metrics for a top performing social worker?
 
bulletHow do we measure performance of a researcher in a pharmaceutical company where 20 years of research by 50 people may go into the development of a single new drug?

Often, faced with the task of identifying performance measures in a field with soft outputs or very long-term outputs, managers fall back on personal likes and dislikes, personality conflicts/lack of conflicts or other measures with little relationship to their company’s goals, profitability or long-term success.

In some settings, recognition of these challenges result in attempts to make evaluation more objective. A favourite tactic in these settings is supervisory rating scales, where supervisors rate incumbents on one or more dimensions thought critical to performance on a numerical scale that may run from three to 10 points. The outcome of such ratings may look objective, as we tend to associate decimal numbers with objectivity: “She scored a 2.7 of a possible three!” Unfortunately, analysis of range compression (where everyone scores in a one-point range of a possible three) and interrater reliability raises serious questions about the validity and utility of these procedures.

If the procedures are flawed, the outcomes will be equally flawed, with serious consequences for the business and the employees affected.

What can a manager do to avoid these pitfalls and select top performers on the basis of objective, repeatable and predictive criteria? Fortunately, since the issues in selecting top performers for job fit assessment are essentially the same as those surrounding the entire topic of performance appraisal, the literature is rich with sources offering guidance.

Interested readers might start with these titles:

bulletThe Complete Idiot’s Guide to Performance Appraisals, Adele Margrave and Robert Gorden, 2001.
bulletPerformance Management, Robert Bacal, 1998.
bulletThe Performance Management Activity Pack, Terry Gillen, 2001

 


 
CREDIT UNION CUTS TURNOVER WITH ASSESSMENT PROGRAM
In last month’s edition of Employer’s Advantage, the case study demonstrated how a bank used a strategic assessment program to cut turnover, improve customer service and bring more profit to the bottom line.

As the current data set demonstrates, similar savings and improved performance can apply to credit unions as well. Volume two, Issue two, featured a mid-sized credit union whose preliminary data illustrated that their strategic assessment program was achieving desired results. After a full year, the early indications are confirmed.

The credit union adopted a funnel model of selection. At the wide end of the funnel, applicants are screened for suitability on the basis of their application documents. Those chosen to enter the interview process first complete an honesty-integrity assessment, the Step One Survey II™ (SOS2).

With a strong applicant pool, the credit union applies a relatively high criterion to the scores on that instrument. The criterion, combined with an initial interview (using the assessment’s interview guide) selects approximately 40 percent of the pool to continue the process.

At this point, candidates remaining in the pool complete a job match assessment specific to customer service jobs, the Customer Service Perspective™ (CSP). If their match to the success pattern for the job under consideration is favorable, they also complete a job match assessment specific to sales, the Profile Sales Indicator™ (PSI). A final interview is conducted considering the complete file of information available (assessments, employment history, reference checks and interview results) and a job offer decision is reached.

After a full year of this effort, the evidence is clear: the program works as designed. Results of the turnover reduction are illustrated in the graph below. More importantly to the credit union and its owner-members, return on their investment is exceptional, and will allow them to continue pursuit of improved customer service.

 


 
LET THE DATA DETERMINE THE CAREER PATH -

                                                                          A CASE STUDY IN TITLE & ESCROW

 

In the title and escrow industry, tradition has long determined a career path. Following the century-old tradition of apprenticeships, candidates hoping to become escrow closers usually serve a three to five year term as an escrow assistant. If the assistant works hard and performs well a promotion will usually follow. Unfortunately, the rigors of the assistant position also effectively reduce the number of candidates surviving to become escrow closers. Many of those who eventually get the promotion fail at the new job and frequently leave their company or the industry altogether.

A successful Title & Escrow business followed the traditional model for years, until they noticed something while using the ProfileXT in developing success patterns. The patterns generated by the top escrow assistants were markedly different than those generated by the top escrow closers.

While discussing these rather surprising findings within their own ranks, they identified a major difference between the primary functions of successful people in each job. Escrow assistants were primarily clerical and administrative in activity, while escrow closers performed sales and customer service functions, with some administrative duties.

 

As these results became apparent an opportunity to break tradition presented itself. Company leaders asked: what if, when hiring was taking place, job candidates were identified according to their match to each of these distinctively different jobs?

Identification of individuals likely to succeed as closers would allow a reduced training cycle, producing productive closers in half the time that had been required under the apprenticeship model.

Candidates who were a great match to the escrow assistant job could develop in that career path and would never feel pressured to "move up" to a job with a large sales component for which they exhibited a poor job match.

The company is in the second year of development along these revised career paths. Promising new escrow closers are producing new business, and quality escrow assistants are becoming professionals in an endeavour well suited to their strengths. Overall, the entire escrow team is stronger, and more productive, with lower turnover in each job category. The two job pattern graphs are presented below.

 

 

 

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"Success is not so much what we have as it is what we are."
 

~ Jim Rohn

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Profiles International, Inc.                                l@billrobinson.ca
5205 Lake Shore Drive                   
Waco, TX 76710                                   

www.profilesinternational.com