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The Power of Assessments in Modern Hiring Strategies

So you’ve got the candidates... but how do you find the best fit for your organization? 

The hiring process including interviewing, resume screening, introducing to others.

Hiring managers are increasingly recognizing the limitations of relying solely on resumes and interviews to evaluate candidates. While traditional interviews remain a common and widely used selection method, research suggests that they may have limited predictive validity in accurately assessing future job performance. Factors such as nervousness, interview skills, and rapport with the interviewer can influence interview outcomes but may not accurately reflect a candidate's potential for success in the role. Resumes offer limited insight into a candidate's suitability for a role, often lacking depth and context, which can make it challenging for HMs to assess their true potential. They are susceptible to bias and inaccuracies, potentially leading to the unintentional favoring of certain candidates over others - even a resume’s format can be a source of bias.  

Primarily focusing on past experiences and qualifications, resumes often neglect to accurately assess candidates' practical skills and problem-solving abilities. Resumes may fail to capture candidates' expectations, career goals, and cultural fit with the organization, potentially resulting in mismatches and turnover.  

Rather than relying solely on candidates' background listed on paper, organizations are prioritizing assessments that directly evaluate candidates' skills and competencies relevant to the job at hand.  These assessments not only offer valuable insights into candidates' abilities, but also play a pivotal role in mitigating risks associated with bias and ensuring fairness and inclusivity in the hiring process.

This shift highlights the increasing focus on merit-based hiring and gaining a better understanding of candidates' real abilities beyond their resume. Assessments fill a crucial gap in the hiring strategy by providing valuable information that cannot be gleaned from resumes or interviews alone. Organizations that incorporate assessments into their hiring process are better equipped to make informed decisions and achieve better hiring outcomes.

Graph- Improvement Gauge, impact of pre-employment assessments on quality of hires, according to talent trends 2024 report from SHRM
Graph

According to the 2024 talent trends report from the Society for Human Resource Management (SHRM), 54 percent of organizations use pre-employment assessments to evaluate candidates' skills and knowledge during the hiring process. A substantial 78 percent of these organizations reported that assessments have improved their hiring quality. This reflects a widespread adoption of assessments as a valuable tool for assessing candidates' suitability for the role. Only 36 percent of those organizations employing pre-employment assessments reported an increase in time-to-fill positions. Quality over quantity! 

Assessments can streamline the hiring process by providing valuable information about candidates upfront, allowing hiring managers to focus their time and resources on the most promising candidates. Skills assessments help identify candidates with the required abilities, behavior assessments screen for relevant experiences and competencies, while personality assessments ensure cultural fit and alignment with organizational values. Rather than being a pass or fail, these assessments serve as tools to help us pinpoint the right questions to ask candidates. The questions are designed to shed light on how well they fit into the team in terms of relationships and behavior.

Personality tests and behavioral assessments have a rich history in employment screening and selection. Dating back to the early 20th century, the use of psychological assessments in the workplace gained traction as psychologists sought to better understand human behavior and its applications in organizational settings. 

The DISC assessment tool is a popular behavioral assessment tool used in organizations to understand individual behavioral preferences and tendencies. It is based on the work of psychologist William Moulton Marston, who published his findings in the book "Emotions of Normal People" in 1928. Marston's theory identified four primary behavioral traits: Dominance (D), Influence (I), Steadiness (S), and Conscientiousness (C), which form the acronym DISC.

A visual representation of the DISC assessment tool

The DISC assessment measures an individual's preferences in these four dimensions, providing insight into their communication style, work preferences, motivations, and potential areas for development. It categorizes individuals into one or more of the four behavioral styles, which are:


  1. Dominance (D): People who are results-oriented, decisive, and assertive.

  2. Influence (I): Those who are sociable, outgoing, and persuasive.

  3. Steadiness (S): Individuals who are dependable, patient, and supportive.

  4. Conscientiousness (C): People who are detail-oriented, analytical, and systematic.

Organizations use DISC assessments in various ways, including team building, leadership development, and personal coaching. In the hiring process, DISC assessments can be utilized to assess candidates' fit for specific roles and team dynamics. By understanding candidates' behavioral preferences, employers can make more informed decisions about recruitment, team composition, and potential areas for training and development. In a recent conversation with Abbie Timmerman, our Director of Recruiting Operations at The Panaro Group, we delved into how integrating the DISC model into our daily operations has propelled us towards greater productivity, communication, and overall effectiveness.

"By integrating the DiSC model into our daily operations, we are enhancing our productivity, communication, and overall effectiveness working with diverse personalities across our team members, clients, and candidates. It helps us understand communication styles, which improves our collaboration and handling of conflict resolution."

-Abbie, Director of Recruiting Operations at The Panaro Group


During World War II, Isabel Myers developed a measure of personality type based on the work of psychologist Carl Jung called the Myers-Briggs Type Indicator (MBTI). This assessment was instrumental in facilitating better working relationships between healthcare professionals. Today, assessments continue to play a crucial role in talent selection, offering reduced bias, improved fit, targeted interview questions, and enhanced team dynamics. 

A colourful wheel of the 16 personality types and variations in the Myers-Briggs Type Indicator
Myers-Briggs Type Indicator (MBTI), a widely used personality assessment tool designed to categorize individuals into one of 16 personality types based on their preferences in four dichotomies: extraversion/introversion, sensing/intuition, thinking/feeling, and judging/perceiving


A web of the big five personality traits
The Big Five Personality Traits: The 5-factor model of personality

Another tool, the Predictive Index (PI), focuses on behavior prediction, assessing work style, drive, and decision-making capabilities. The PI behavioral assessment prioritizes individual results, measuring a person's natural behavioral drives and needs. Personality assessments reveal the underlying motivations driving someone's behavior, whereas behavioral assessments show the specific actions taken. Together, they provide invaluable insights, offering a comprehensive understanding of the candidate. 

Understanding behavior and personality is crucial as they reveal how a candidate will contribute, collaborate, and thrive within a specific company culture. By employing diverse assessment methods, organizations can gather multiple data points on candidates, providing a comprehensive view that lessens the influence of bias on hiring decisions. Unlike subjective methods such as resume screening or unstructured interviews, assessments offer clear benchmarks for assessment, reducing the influence of personal biases and ensuring fair treatment of all candidates. 

A diverse group of people holding up different coloured puzzle pieces
In the hiring process, each candidate brings their own puzzle piece that could fit into an organization's picture of success

It is important to note that if not carefully designed and implemented, assessments can introduce biases into the hiring process and potential legal implications, particularly regarding discrimination. Ensure that assessments comply with relevant laws and regulations, such as the Americans with Disabilities Act (ADA) and Title VII of the Civil Rights Act. Additionally, consider consulting with an industrial-organizational psychologist to ensure the validity and effectiveness of assessments. 

While resumes and interviews remain valuable, they alone may not provide the depth of insight needed to make the best hiring decisions. Incorporating assessments into the hiring process offers organizations a powerful way to identify candidates who truly align with job requirements and company culture, while mitigating biases and ensuring fairness in the process. As organizations increasingly recognize the value of assessments, they are better equipped to make informed decisions, improve hiring quality, and ultimately build high-performing teams that drive business success. By embracing the diverse applications of assessments, organizations can revolutionize their hiring processes and unlock the full potential of their talent acquisition efforts. 

 
Building a Dream Team with Kathy Panaro
Kathy Panaro, Founder and CEO of The Panaro Group

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References 


1. Diversely.io. (2023, March 2). Why talent assessments are failing: Four checks to make 

2. HR Brew. (2024, March 19). Looking beyond the resume: How talent pros can lean into

 skills-based hiring. Retrieved from

talent-pros-can-lean-into-skills-based-hiring 

3. Titus Talent. (2024, February 24). Discover why assessments are the missing piece in 

4. Work Redefined. (n.d.). The missing piece in the recruitment process. Retrieved from 

5. Northeastern University Career Development. (n.d.). Interview type: Behavioral and 

6. HiringThing. (n.d.). The role of psychology in hiring. Retrieved from 

7. University of Southern California. (n.d.). Using psychology tools to hire the best 

8. Insight Global. (n.d.). Why should you use skill assessments? Retrieved from 

9. Society for Human Resource Management (SHRM). (n.d.). Hiring assessments get in 

10. McKinsey & Company. (2019, May 3). The 4 biggest assessment myths undermining 

 your hiring process. Retrieved from   

11. Society for Human Resource Management (SHRM). (2024). 2024 talent trends research: Overall findings. Retrieved from 

12. LinkedIn. (2023, November 13). 10 innovative ways to evaluate candidate skills.  

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