Utility

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Lecture 5
Ashleigh Hilton
Flashcards by Ashleigh Hilton, updated more than 1 year ago
Ashleigh Hilton
Created by Ashleigh Hilton over 10 years ago
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What three methods would you use to establish usefulness of a selection device? 1) Taylor-Russell tables: estimate % of total hires who will be successful employees 2) Lawshe tables: Probablity of success for each applicant based on test scores 3) Utility formula: provides estimate of £ organisation will save.
What three pieces of information are needed for Taylor-Russell Tables? 1) Test's criterion validity coefficient - obtained by validation study -> high validity=more successful 2) Selection ration - % applicants organisation must hire - # openings / # applicants -> Lower selection ratio = more useful 3) Base rate of current performance - % of current employees considered successful
What three pieces of information are needed for Lawshe tables? Lawshe - provides probability that particular applicant will be successful. 1) Test's criterion validity coeffiecient 2) Base rate of current performance - % of current employees considered successful 3) Applicants test score percentile rank - divided in 20%'s
What two pieces of information are needed for Utility formula? - DEtermines how much £ the organisation will save by using new selection device. - 5 things needed: 1) # of employees hired per year (n) 2) average years of tenure (t) 3) test validity (r) 4) SD of performance in £ 5) Mean standardized predictor score of selected applicants (m)
What is crucial for maximum utility? Validity -> high as possible Current Success Rate -> low as possible Selectivity -> higher the better
What conditions are there when testing is less useful? - Lower level recruitment where job/training success are not critical - Most people can prove successful - A very small number of applicants - Individual differences in job performance are small - Failures can be tolerated
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