Issue 2, December 2003

Identify High-Quality Applicants
by Katrina Dewar
Founder and CEO of ePredix

In recent years there has been a focus on using technology to create more efficient hiring processes. This has often involved implementing an applicant tracking system, such as QuickHire. An applicant tracking system can have a significant impact on hiring efficiency metrics such as time to hire and cost per hire. However, the introduction of HR technology tools often times leads to a greater volume of applicants without addressing the issue of quality of hire -- which is a critical component of the effectiveness of the hiring process. To address the volume of applicants and to focus on quality of hire, some agencies have started to develop their own content to screen applicants. Frequently, the content is delivered through the applicant tracking system however, the development of this screening content typically requires significant time and cost before it can be implemented effectively.

The Alternative

Using vendor-managed proven content for screening applicants can be an attractive alternative for agencies that wish to avoid the time and cost of developing and maintaining their own content. Screening assessments that are proven to predict quality applicants are most effective. Typically, these assessments ask applicants job-relevant questions about their educational background, work experience, abilities and motivation for the job. Applicants are directed to these questions as part of the initial application process, then their answers are then integrated with applicant tracking systems such as QuickHire.

Pre-validated, vendor-provided screening assessments can reliably identify high quality applicants at the time of the initial job application. By using this approach, all applicants are treated fairly and recruiters are provided with accurate information on each applicant's suitability for the job. This approach has been shown to result in better quality hires compared to other less rigorous, more expensive and more time consuming approaches such as resume screening and phone interviews. As an example, in a recent study to determine the impact of using screening assessments, Managers who scored in the top 30 percent on the assessment had 57 percent higher profit growth once hired than those who scored in the bottom 30 percent.

Benefits of using pre-validated, vendor-provided screening solutions include:

  • A measurable impact on quality of hires: Many existing screening solutions provide a measurable impact on the performance of hires (quality of hire) and demonstrate a return on investment for the agency. Initially, such analyses focus on employee performance ratings and improvements in process efficiencies. Where quantifiable performance metrics exist for jobs, they are incorporated, e.g. attrition, workers compensation, absenteeism and productivity.
  • The human capital scorecard; moving from red to green: With growing pressure to improve performance on the human capital scorecard, screening solutions can provide a measurable improvement across key Performance Work Standards (PWS) and play an integral role in the development of a more skilled, diverse workforce.
  • Covering a broader range of competencies: Traditional hiring processes have focused primarily on skills and experience. While they are important in the hiring process, these factors alone are usually not enough to predict job performance and quality of hire. It is critical to also consider behavioral competencies such as communication skills, problem solving, leadership ability, achievement drive, etc. Screening solutions cover a broad range of behavioral competencies.
  • Driving diversity: Screening solutions are usually designed to ensure that a diverse group of quality applicants are identified. Ongoing information can be provided to agencies to proactively determine which applicant sources (Internet advertising, campus recruitment, etc.) are the best for driving diversity. This information allows agencies to spend more time and money on these valuable recruitment sources.
  • Seamless integration with existing processes: The applicant is not aware that they are completing questions on different systems and for the hiring manager/recruiter, the screening results are available instantly in their applicant tracking system.
  • Succession planning and identification of training needs: Screening assessments have been shown to have outstanding diagnostic capabilities. Content designed to identify employee potential to perform in supervisory or managerial positions and often used for succession planning. Assessments can also be used to identify the training needs of individuals. This information is a valuable part of the development planning process.
  • Managing applicant volume: Existing screening solutions can help with the increased volume by ranking all applicants by quality, sparing the HR department of manually processing each and every application.