DecisionMakingFinalMatch.pptVIP

Chapter 11: Decision Making Chapter 12: Final Match CHAPTER ELEVEN Decision Making Staffing Organizations Model Chapter Outline Choice of Assessment Method Validity Coefficient Correlation with Other Predictors Adverse Impact Utility Determining Assessment Scores Single Predictor Multiple Predictors Hiring Standards and Cut Scores Description of Process Consequences of Cut Scores Methods to Determine Cut Scores Professional Guidelines Methods of Final Choice Random Selection Ranking Grouping Decision Makers HR Professionals Managers Employees Legal Issues Choice of Assessment Method Validity coefficient Correlation with other predictors Adverse impact Utility Validity Coefficient Practical significance Extent to which predictor adds value to prediction of job success Assessed by examining Sign Magnitude Validities above .15 are of moderate usefulness Validities above .30 are of high usefulness Statistical significance Assessed by probability or p values Reasonable level of significance is p .05 Face validity Correlation With Other Predictors To add value, a predictor must add to prediction of success above and beyond forecasting powers of current predictors A predictor is more useful the Smaller its correlation with other predictors and Higher its correlation with the criterion Predictors are likely to be highly correlated with one another when their content domain is similar Adverse Impact Role of predictor Discriminates between people in terms of the likelihood of their job success When it discriminates by screening out a disproportionate number of minorities and women, Adverse impact exists which may result in legal problems Issues What if one predictor has high validity and high adverse impact? And another predictor has low validity and low adverse impact? Utility Analysis Expected gains derived from using a predictor 1. Hiring success gain from using a new predictor (relative to current predictor): Uses Taylor-Russell Tables Focuses on proportion o