Revolutionized Assessments for Business

How to Identify and Hire “A” Players who will Drive Success

SkillSurvey Pre-Hire 360™

Making an Impact – Identifying “The Players”

Goal of today’s Webinar • Continue to drive HR’s position in the organization – seat at table • Focus on understanding key drivers in your organization

– Impact HR can have on bringing candidates who support those drivers

• Reevaluating your current process and impact bad hires can have on your organization

• Have you view the final steps in the hiring process a different way • Revolutionize the way HR and your customers work together

HR Can Make a Major Impact

• Screening to the top 2-3 candidates • Tools in the toolbox

– Job application, resume – Phone interview – Prehire candidate self assessments

• All from the candidates perspective • Last tool – the reference check

One thing in common?

The History of a Reference Check

• Historically – One of the most important steps – Hiring managers talked to previous managers

• How are they day to day? • Nuances? • What challenges do they have and what can I do to make them A+ players?

• Actionable Information from References: – It usually supported the final decision – Sometimes this information help understand how this this candidate might

succeed – Rarely did this information scientifically predict behavior of any kind – Made HR lawyers very nervous

Necessary for making informed hiring decision

Historical Phone Checking

The Lawyers Get Involved

• References spoke freely to me: – “ I wouldn’t ever work with them again” – “run for the hills….bad seed that took us 6 months to recover from..” – “best golfer ever – we play almost every day at 4”

• The 1990’s and the new millennium – Legal issues arise – HR cracks down and bans reference checking

• What are the options? – Outsource the process – check the box

Results of Outsourcing

• 4 simple answers • Does it really help

make a decision?

Key Success Traits • Interpersonal Skills

• Teamwork

• Honesty

• Dependability

• Integrity

The Lawyers Get Involved

• The 1990’s and the new millennium – Legal issues arise – HR cracks down and bans reference checking

• What other options? – Stop doing it?

• If you do try and reference check: • Countless hours of phone mail tag, email tag, phone mail tag • Weeks and weeks of time

– All for no actionable information

• Bad Hire has an impact

• Various by organization and by job role

– Hard dollar cost – base salary, benefits, on board training, exit costs

– Internal team turmoil

– Customer satisfaction

– Compliance (Finance – SOX issues and the Fed’s)

• For sales roles – Cost of lost revenue

– Asset is time – time is lost forever

• For clinical roles – HCAHPS and reimbursements

Impact of a Bad Hire

Dependable Employees

Absenteeism is a chronic problem among U.S. retail employers • Conservatively costs $3,600 per hourly employee per year and $2,650 per salaried employee

per year • A company with 5,000 hourly employees has the potential to reduce costs by over $7.9 million

per year (3.2% of total payroll) • Results in lost productivity, high-cost replacement workers, and excess staffing

Results in reduced ability to meet demand leading to dissatisfied

customers

Employee Retention in Retail

Is Turnover Really a Fixed Cost?

Can we make an impact by identifying behaviors before they are hired?

Can HR Make An Impact?

The Results are in…….

0 10 20 30 40 50 60 70 80

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10 + years of statistics prove out - SkillSurvey References Perceive Candidates in the following categories

5-10 % High Risk Candidates

10-15 % Moderate Risk for Success Candidates

80-85 % Validated Low Risk

Should be a Poll Question: Can We Identify Them?

D’s and F’s are a must to avoid

Categorize the Candidates

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The A’s, the B’s, the C’s, the D’s, the F’s

5 % D and F’s

The D’s and F’s

We all know someone like this

Who hired this guy?

Are you kidding me?

- Not a team player - Gives 70% at best - Terrible with customers

The Hard Cost of Bad Hire – Real ROI

The U.S. Department of Labor currently estimates that the average cost of a bad hiring decision can equal 30% of the individual’s first-year potential earnings. That means a single bad hire with an

annual income of $50,000 can equal a potential $15,000 loss for the employer.

Question for the attendees: Can you think of one person your team hired recently where you made a mistake? Hiring manager override gone bad? Example – RN $60,000 x .3 = $18,000

• Finding the B’s and C’s

• Seems to be many in pool

• The interview: – Seemed ok, better than most

– Something nagging

– ….3 months later – C – player

– I knew it

The B’s and C’s

"I noticed that the dynamic range between what an average person could accomplish and what the best person could accomplish was 50 or 100 to 1. Given that, you're well advised to go after the cream of the cream. ...A small team of A+ players can run circles around a giant team of B and C players.“ --- Steve Jobs

The B’s and C’s are Hard to Identify

A players B and C players

Large Percent of Candidate Pool

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The A’s, the B’s, the C’s, the D’s, the F’s

15 % B & C’s

80 % A’s

B Player is Singled Out and Hired

B Player is Chosen • Some gaps • No show stopper issues • Onboarding plan • Know the issues before day 1

Less than one minute

85% Response Rate Confidential Reference Feedback

Two Days or Less

Identify Avoid

Validate

Skeptical?

The Real Cost of Bad Hire – Cream of the Cream

• Hiring for Mediocrity

• Driving to the A player on every candidate

• Cost of B’s and C’s – HCAHPS

– Customer Satisfaction

– Sales

– Avis – we try hard to be the best (#1)

• Must focus on the A’s

• Identify those who can be B+ players

What is the Problem?

• Most candidates do a nice job presenting themselves during interviews – All are team players – All show up for work and don’t text, sit on Facebook all day – Most are ethical and always do the right thing

• Most candidates are well rehearsed in the question/response mode – Books, job seeker sites – Experience interviewing all the time

• Your only view today is from the candidate’s perspective – Really need a true 360 review from those who saw the behavior in the past

Phone interview

Face to Face

Personality / Behavior Assessments

Resume

From Candidate Perspective – Today’s Approach

I’m terrific

I work really hard, weekends too!

I interview well

I’m a Team Player

Recruiter Candidate

Phone interview

Face to Face

Personality / Behavior Assessments

Resume

From Reference Perspective – Today’s Approach

She’s terrific

I would hire her again, yes!

She works hard

She’ a Team Player

Recruiter Reference

Phone interview

Face to Face

Personality / Behavior Assessments

Resume

A New Perspective – The New Paradigm

Dependability

Interpersonal Skills

Personality

Work Ethic

Teamwork

Integrity

References

Recruiter

Comparison Online Solution Typical Phone Check

More references 5+ business references 50% of which are former or

current Supervisors

2 to 3

Faster 1 to 2 days 5 to 10 days

Guide Hiring Managers Previous managers assisting in leading interview

No

Pauses a hiring decision 5% - 10% of candidates < 1% of candidates?

Passive sourcing tools 5 references per candidate – warm leads

Not Applicable

Compliant/Legal Risk Supports compliance with EEOC and OFCCP

Uncertain/Inconsistent

Why You and a Better Process?

• Improve – Quality of Hire – Hiring Manager’s Interview Effectiveness – Efficiency – Passive Sourcing

• Drive – Compliance and Consistency

• Elevate Recruitment’s Role

Improve Hiring Manager’s Interview Effectiveness

• Lack of consistency for hiring managers • Managers looking for differences in candidates • Probing questions driven by previous managers’ comments

Patient Satisfaction - HCAHPS

Behavioral Interview Questions

Improve Efficiency – Time and Money

Recr

uite

rs S

ourc

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ndid

ates

Screen to top 3 candidates

• Improve efficiency – time and money • Six Sigma

From 60 work weeks to 4.8

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60

Telephone SkillSurvey

Work weeks to reference check

2,272 job candidates

Solution resulted in a 92% Reduction in Time Spent reference checking

Exclusive Case Study: Improved Efficiency – Time and Money

Science Compliance Risk

Science and Compliance

Science Compliance Risk

Drives Risk to Levels Lawyers Smile About

Increase Compliance and Consistency

• It is all about the science - Validity of survey questions – Do the questions validate what you are actually asking? – Do the questions help predict future behavior? – Are the questions being asked in a way that reduces risk?

• Sample question – What high school did you go to?

• SkillSurvey reference feedback shows no differences between sub-groups – Helps support your efforts to remain EEOC and OFCCP

compliant

• Standardized process

• Clear ROI for Finance and Budgets – Quality of Hire – Turnover – Efficiency – Passive Sourcing

• Elevate Recruitment’s Role

Why You and a Better Process?

1 minute

5 minutes

10 minutes

2 seconds

Survey Availability Job Level ►

▼Job Family Entry- Level

Hourly Clerical Professional Supervisor Manager Executive

General

Production

Sales

Marketing

IT

Operations Customer Service

R&D

Admin

Finance

Legal

HR

Engineering

Education

Healthcare

Step 1: Enter Candidate Data

Step 1a: Select Survey

Send email to candidate

Sample Libraries: Finance

Other Libraries: IT

Other Libraries: Customer Service

Other Libraries: Healthcare

Step 1a: Select Survey

Send email to candidate

From: org name Recruiting Sent: Thursday, November 06, 2008 12:57 PM To: Patrick T Subject: org name Selection Process Information

Dear Patrick T, Thank you for your continued interest in the Major Account Sales position with org name. As already explained to you, a critical step in the selection process is reference checking. org name uses web-based reference checking for this purpose. Please click on the link below. It will open a web page where you will input your reference. You will also be able to review a sample of the questions being asked and the email that will be sent to your references. Your references will be emailed a reference survey and their responses will be submitted directly back to SkillSurvey. No one will see your references' individual responses because all responses are electronically aggregated together to produce one summary report. Note that all references will be responding as individuals, not as representatives of any company or organization. Please click on the following link (URL) to begin: http://eref.skillsurvey.com//CandidateUtilities/EOC.aspx?

Step 2: Candidate Enters References Automated Email From Recruiter to Candidate Explaining the Process

Step 2c: Candidate Confirms References and Signs Legal Waiver

Proof of Consent “…I hereby release any such

person, their company, and any affiliated officers, directors, agents, and employees from any and all claims I may have arising out of the disclosure of such information…”

The Surveys: Job-Specific, Behaviorally-Based Questions

Job-Specific, Behaviorally-Based

Would you like to learn more about job openings at Your Org name?

Drive Warm Candidates to Career Page

Step 4: Aggregate Reference Responses into Actionable Intel

Validated Candidate – Good Fit

Validated Candidate – Good Fit

Pause or Avoid this Candidate – Low Scoring

Professionalism

Interpersonal Skills

Patient Satisfaction - HCAHPS

Verbatim Comments

Verbatim Comments

Passive Candidate Database

• Clear ROI for Finance and Budgets – Quality of Hire – Turnover – Efficiency – Passive Sourcing

• Quickly Implement and Easy “Win” for HR • Elevate Recruitment’s Role in the Organization

Why You and a Better Process?

Sample Clients

Sample Clients

SkillSurvey Usage and Growth

About Us: SkillSurvey

• Providing Reference Solutions since 2002 • Inventor of web-based reference checking

– Patent pending

• 43,212 Candidates in September 2013 – September 2012 – 29,111 – Over 1,000,000 candidates entered since 2008 – Over 5,000,000 people experienced the SkillSurvey process

• 770+ customers • 330 surveys in current inventory – 23 different job families

– Cynthia Hedricks, PhD, Chief Analytics Officer – 92 Surveys for Healthcare roles, 22 Surveys for IT roles, 12 for Sales roles, 10 for

Customer Service roles, 22 for Finance roles, 15 for Retail roles, 13 for Education

Contact SkillSurvey

www.skillsurvey.com Jack Kramer, Executive Vice President

Field Operations jkramer@skillsurvey.com

610-947-6300 x 1203