Building the bottom line... one hire at a time
Can They? And Will They?
HR Leaders….
‘Finding’ Employee Engagement
Cuts the Cost of ‘Growing’ It
Building
the bottom
line... one hire at a time
© Copyright Growth
Ventures,
Inc.
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
Things are changing…
Candidate screening tools are decades old
 Based on research and development a half-century old
 Sound research on “Can Do” competencies at the time
 But, tied to an aged workplace and workforce
The workplace is different today
 Technology has altered what jobs demand
 A stagnant economy emphasizes cost control
 What “explains performance” has changed
The workforce is different, too
 Different generations – evolving wants
 Shifting “Can Do” and “Will Do” needs
 What “predicts performance” is evolving
Legal issues in hiring continue
 Candidate screening creates legal challenges
 Adverse impact is monitored more and more
 “Equally valid/less adverse” is a standard
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
Also… employers are focusing more and more on
the concept of ‘employee engagement’…
The HR world is paying more and more attention to ‘employee engagement’…
 A driver for organization-wide surveys and action planning
 A foundation for guiding investments in organization development work
 A metric for holding management accountable
 A norm for comparing organizations
But, just what is ‘employee engagement’ – where does it come from?
 Simply a new version of employee satisfaction surveys?
 A true influencer of job performance… and things like retention?
 The result of things the employer does to ‘grow’ people?
 Something you can ‘find’ in a candidate?
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
The first thing we know…
EMPLOYEE ENGAGEMENT IS A TWO-WAY STREET
“Many view employee engagement as management’s job, but it also resides in an
employee. Assessing ‘Will Do’ qualities in candidates helps hire those more
likely to engage,” says Dr. Leaetta Hough, Chief Science Officer with HirePayoff™
“We know management-led actions play a role in growing employee engagement, but
our research shows a major part of employee engagement resides within the employee.
It’s a very simple fact – an organization’s level of employee engagement results from
both whom it hires and, then, how it treats them,” concludes Dr. Hough.
Visit www.hirepayoff.com to see the full story on
EMPLOYEE ENGAGEMENT IS A TWO-WAY STREET
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
We believe…
1 – ‘Employee engagement’ will continue to gain HR’s attention…
 Low hiring volume puts more attention on the current workforce
 Research is showing the concept has consequences
 The marketplace is making it “the in thing”… and employers are spending
2 – But attention will shift a bit…
 It’s not purely an organization’s responsibility to ‘grow’ employee engagement
 It’s a two-way street – ‘find’ those eager to engage, then make it ‘grow’
 Use both approaches to cut costs and raise the bar more quickly
3 – ‘Employee engagement’ is entering the world of candidate screening…
 Tools will target the concept of ‘eager to engage’
 Studies will show the ‘value added’ by such screening
 IT analytic platforms will expand to track the payoff in ‘hiring for engagement’
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
First, what we’ve found to work with
HirePayoff™ as a screening tool…
Gaining a view of the “whole candidate,” so we can
predict overall outcomes on the job…
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
Adding to the tool’s assessment scales…
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
The second thing we know…
ENGAGEMENT IS PREDICTABLE!
“Sure, management plays a role in building employee engagement, but the evidence
is clear – a large part of the load rests in who gets hired, ” says Dr. David Jones
“…This is where the concept of payoff enters the discussion,” says Jones. “We’ve already
demonstrated that HirePayoff’s™ 30-minute on-line selection tool predicts bottom-line
performance. But now,” adds Jones, “it’s possible to put a third leg under the stool. Dr.
Hough was right – HirePayoff™ employment testing for ‘Can Do / Will Do’ competencies
forecasts employee engagement.”
Visit www.hirepayoff.com to see the full story on
ENGAGEMENT IS PREDICTABLE
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
An example… screening for “employee
engagement”…
 Collect HirePayoff™ assessment scores and job performance data
 Measure employee engagement, as well
 See how the concepts link with retail sales employees…
The Four-Question Employee Engagement Summary Metric
1.
2.
3.
4.
I am proud to tell people I work for my organization.
I am willing to give extra effort to my organization to get the job done.
Overall, I am extremely satisfied with my organization as a place to work.
I would gladly refer a good friend or family member to my organization for employment.
Note: Each item is answered with a 1-Strongly Disagree, 2-Disagree, 3-Agree, or 4-Strongly Agree response.
The overall engagement score is computed by summing the four responses and converting the sum to a
‘percent of maximum’ score.
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
Screening for employee engagement (cont)…
 Use the four employee engagement items to assign current
employees to four categories in the study. Results…
Disengaged (6%)
Never likely to become engaged with the job or organization;
management practices have little effect
Disenchanted (28%)
Possibly open to becoming engaged; management practices will have
some influence
Enrolled (30%)
Joins the organization with a positive level of employee engagement
on Day 1; management practices guide its retention
Highly Engaged (34%)
Joins the organization with a positive level of engagement; retains it,
even if workplace events are a challenge
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
The Eager to Engage scale predicts…
Chances of Being
Highly
Engaged
24%
Increase
42
21
Chances of Being
Disengaged or
Disenchanted
32%
Reduction
23
52
0
Building the bottom line... one hire at a time
10
20
30
40
50
60
Pass
Fail
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
The third thing we know…
ENGAGEMENT PREDICTS!
“HR analytics show screening for competencies and the likelihood of growing
employee engagement produces a clear bottom line return,” says Dr. David Jones.
“…When held to both the HirePayoff™ performance screening standard and the
HirePayoff™ Eager to Engage standard, results showed clear bottom line payoff…the
most distinguishing feature of Highly Engaged employees was how effectively they “Meet
and Greet” customers… Highly Engaged employees perform higher overall, but customer
interaction showed them most different from those who reported being Disengaged,” says
Jones.
Visit www.hirepayoff.com to see the full story on
ENGAGEMENT PREDICTS!
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
Predicting performance and engagement…
Those who ‘passed’ HirePayoff™ screening standards…
12% Higher
‘End the Sale’
Results
14% Higher
‘Overall’
Ratings
58% Higher
‘Likely To Advance’
Ratings
Those who ‘failed’ HirePayoff™ screening standards…
Less Than
1 Chance in 20 of
Being a
‘Top 20% of Performer’
Building the bottom line... one hire at a time
Over 10 Times More
Likely to be a
‘Bottom 20%’
Performer
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
Predicting (cont)…
Those who ‘passed’ Eager to Engage screening standards…
Select among the Top 50% of Eager to Engage scores and raise the
odds of finding “Highly Engaged vs. Disengaged” employees….
14 to 1
Select among the top 15% of Eager to Engage scores and raise the
odds of finding ‘Highly Engaged” employees….
63%
Select among the Top 50% of Eager to Engage scores and lower the
likelihood of finding ‘Disengaged” employees….
51%
Select among the Top 50% of Eager to Engage scores and lower the
likelihood of finding ‘Disengaged or Disenchanted” employees….
55%
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
Another thing…
 Average scores on the ‘Eager to Engage’ assessment scale…
•
•
•
•
•
White
Hispanic
Black
Male
Female
Building the bottom line... one hire at a time
82
82
80
82
81
Overall
Standard Deviation
9.33
-------------------No Adverse Impact
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line
The fourth thing we know…
‘FINDING’ ENGAGEMENT PAYS!
“Why would an employer not focus as much on ‘finding’ as on ‘growing’ employee
engagement?” asks Dr. David Jones.
“Bottom line, why wouldn’t an HR or operations leader add the concept of finding engaged
employees to the hiring process?” asks Jones. “Too, what if the employers’ turnover is in
the 20%+ range; typical of lower-level positions, where engagement is so important and
receives so much employer investment? Look at how quickly the organization’s overall
workforce engagement could be increased via finding higher levels of engagement. Why
spend resources only on growing employee engagement in such a setting?” Jones asks.
Visit www.hirepayoff.com to see the full story on
‘FINDING’ ENGAGEMENT PAYS!
Building the bottom line... one hire at a time
How Tapping a Candidate’s Can Do and Will Do
Drives the Bottom Line