WHITE PAPER Why Personality Tests Cannot Predict Employee Performance The Development of the Performance Profile Questionnaire as an Evidence-Based Recruitment Tool Talent Chaser™: Evidence-Based Recruitment & Retention Contents Introduction ......................................................................................................... 1 Personality Test Construction............................................................................. 2 Behavioral Questionnaire ............................................................................... 2 Subject Group ................................................................................................. 2 Control Group.................................................................................................. 3 Development Process..................................................................................... 3 Performance Profile Questionnaire Construction (PPQ) ................................... 5 PPQ – Version I .............................................................................................. 5 PPQ – Version II ............................................................................................. 7 PPQ – Version III ............................................................................................ 7 Employee Retention...................................................................................... 10 Introduction The world’s first personality test was developed by Raymond Cattell at the University of Illinois in 1949. At that time, Professor Cattell indicated that such tests were not designed to be used for screening job applicants. Page Since the advent of the personality test, many users have discovered that while such tests can provide a relatively accurate picture of an applicant’s personality, it has not proved possible to develop a meaningful link between this and the subsequent performance of the individual. 1 In spite of this, over the ensuing years, the use of personality tests in recruitment situations has become commonplace. It is the purpose of this paper both to explain exactly why personality tests should not be used to screen job applicants and to describe the development of Performance Profiling, a method specially developed to overcome the limitations of Personality tests. WHITE PAPER Research into the way in which personality tests are developed has revealed that the problem is rooted in the way in which such tests are constructed. The Performance Profile Questionnaire (PPQ) was developed using an entirely new methodology which is described in this paper. It overcomes the limitations of personality tests and has been independently verified for use as a recruitment screening tool able to provide an accurate prediction of a job applicant’s role-related performance potential. Personality Test Construction Tests of all kinds are developed and published by test publishers. In the US, the quality of this is monitored via the Association of Test Publishers. This association maintains a list of accredited test publishers. The Performance Profile developer, The Cambridge Don, is a long standing and fully accredited member of this prestigious association. The development of a traditional personality test involves the use of three main elements, these are: Behavioral Questionnaire Subject Group Control Group Each of these three elements is described below together with the role they each play in the development of a traditional personality test. Behavioral Questionnaire A behavioral questionnaire contains questions, the answers to which yield insights into the way in which the individual answering the questions will behave in a variety of situations. Such questions typically link feelings to actions. Two examples of this type of question are described below: 1. Do you feel uncomfortable if you suddenly become the center of attention? [Yes] [Uncertain] [No] 2. Does untidiness in others make you angry? [Yes] [Uncertain] [No] During personality test development, members of a Subject Group are invited to complete the behavioral questionnaire under development. These subjects are typically selected to be Page Subject Group 2 It turns out that individuals who answer Yes to Question (1) are somewhat more likely to avoid social interaction and individuals who answer Yes to Question (2) are somewhat more likely to be tidy themselves. Behavioral questionnaires used by test publishers typically deploy a range of such questions designed to cover a diverse range of situations. To achieve a broad description of an individual’s personality, test publishers typically deploy between 100 and 200 questions often in the form of a multiple-choice questionnaire. WHITE PAPER representative of the types of people who will be required to answer the questionnaire once it has been published. Test publishers typically utilize subject groups with approximately 4,000 to 6,000 individuals. Control Group In the development of a personality test, the control group typically consists of friends and associates of the individuals in the control group. These people are called upon to answer surveys designed to elicit their views as to the personality of individuals they know in the subject group. Typical questions used in such surveys are: 1. Which of the following best describes the amount of social interaction that he/she likes to have with others? [Very Little] [Little] [Uncertain] [Quite a Lot] [A Great deal] 2. Which of the following best describes him/her? [Very Untidy] [Untidy] [Uncertain] [Tidy] [Very Tidy] Development Process Page 3 The actual test development process is typically broken down into three phases. These are described in the three charts below: Page Personality tests are good predictors of personality because individuals of the control group, being friends and associates of those in the subject group, are well positioned to describe their personality. There is however a significant difference between being able to predict personality and being able to predict role-related performance potential. 4 WHITE PAPER WHITE PAPER Performance Profile Questionnaire Construction (PPQ) The development of a test that can meaningfully be used to screen job applicants requires that the individuals in the subject group used by personality test developers be replaced by employees working in varying roles in organizations willing to participate in the test development process. Additionally, the control group of friends and associates needs to be replaced by individuals who are managers of the individuals in the subject group. The development of the PPQ involved the use of three main elements, these were: Behavioral Questionnaire Subject Group of Employees Control Group of Subject Managers PPQ – Version I At the outset, no one had attempted to use managers’ performance ratings of their subordinates in the construction of a test that would predict role-related performance potential. As a result, it was not certain that it would prove feasible to do this. At the heart of this was the doubt as to whether or not sufficiently strong correlations could be identified between the answers individuals of the subject group gave to behavioral questions and the performance ratings those individuals obtained from their managers. Initial research was undertaken to identify any behavioral questions that could usefully be used in the development of the test. Questions from a wide variety of instruments then in existence including Personality, Motivational, and Attitude and Interest inventories were reviewed. New questions were then created covering similar areas. Version I of the questionnaire deployed some 900 questions and took approximately 8 hours to complete. Page 5 This questionnaire was then deployed on a research basis in a wide variety of major European organizations using the revised methodology described in the following three charts: Page 6 WHITE PAPER WHITE PAPER PPQ – Version II During the initial research, it was established that a significant proportion of the questions in the original PPQ could be removed without harming the accuracy of the test. As a result, the PPQ was reduced to a questionnaire containing 475 questions. Version II of the PPQ took 3 hours to complete. Throughout this process, no correlations were identified, between employee’s answers to the PPQ and their performance ratings that were sufficiently strong to allow the PPQ to be used to predict the role-related performance potential of job applicants. PPQ – Version III During this part of the development, neural networks were used to improve the way in which data was being analyzed. At that time, it was already known that the existing method known as Multiple Linear Regression suffered from two theoretical assumptions known to be incorrect: Page 7 Trends between data points were linear Factors being analyzed were independent of each other WHITE PAPER Since neural networks suffer from neither of these limitations, it was thought that potentially they could be used as the basis of a new analytical platform that would possibly enable the PPQ to be turned into an instrument capable of predicting role-related performance potential. To achieve this, all of the data collected at that point in time was collated into Training Pairs made up of two groups of data: Inputs These comprised Answers to the PPQ and data collected through the use of a job analysis system designed to provide information regarding the challenges faced by individuals of the subject group in their respective jobs. Outputs These comprised performance ratings given to individuals of the subject group by their respective managers in the control group. Page 8 During this program, both the design of the neural network was varied and trained using the revised methodology described in the two charts below: WHITE PAPER As a result of this research, the PPQ was reduced to a multiple-choice questionnaire containing 148 questions with the capability of predicting role-related performance. This capability was however found to be limited to situations similar to those organizations that participated in the research. Page 9 To overcome this limitation, Talent Chaser was developed. This system uses the methodology described in the chart below in which repeated performance ratings are collected and used in the ongoing neural network analysis of organizational-specific data. Since incorporating the PPQ into the Talent Chaser platform, it has proved possible to use the PPQ to screen job applicants and predict role-related performance potential. WHITE PAPER Employee Retention Page “The average days in job increased from 384 in 2006 to 770 in 2012. The increase/difference between the days in job for 2006 (average=384) and 2012 (770) was statistically significant (F=27.02) and could only have occurred by chance less than 1 time in 10000 (p<.0001).” Dr. Richard Feinberg, Professor of Consumer Science – Purdue University. 10 Unlike performance ratings, which are subjective, days-in-job data in organizations where Talent Chaser is deployed is objective and has been independently analyzed by Dr. Richard Feinberg, Professor of Consumer Science at Purdue University. Below, is a graph covering the six-year ongoing deployment of Talent Chaser and the PPQ within a leading U.S. organization.
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