Adverse impact does not exist because there is more than 80% Another way to assess the effectiveness of the selection system is to examine the decision-making accuracy. Employee selection is basically a system to predictwhich applicants will succeed on thejob. Highly qualified applicants are expected to perform well on thejob. Similarly, seemingly less qualified applicants arenot expected to perform well on the job. Unfortunately, the hiring process is complex. Some applicants can put ona"good show" and still be mediocre employees, whereas other applicants may interview poorly but still beexcellentemployees. Organizations cannotassume the selection process is workingwell withoutcollecting and analyzing data. One option to calculate the decision-making accuracy of a selection systemistoclassify applicants into one of two categories: strong applicants (ones who appear to be highly qualified and are predicted to do the job well - a good hire) and weak applicants (ones who do not appear to be highly qualified and are predicted to not do the job well a poor hire). Once hired and after sufficient time (typically six months to a year) has passed, employees can also be classified into two categories: good hire or poor hire. After all of this data is collected, the overall decision-making accuracy of the selection process (the total hit ratio) can be calculated as the percentage of correct predictions. The table below shows data about the 200 tellers employed at the bank. Poor hire 20 70 Good hire 80 Strong applicant Weak applicant Totals 100 100 30 1. Calculate the total hit ratio by adding the correct predictions and then dividing that number by the total number of decisions made. Whatis this percentage? Do you think this percentage isimpressive? 2. What percentage of weak applicants turned out to be good hires? 3. What percentage of strong applicants turned out to be good hires? This percentage is known as the positive hit ratio 4. Compare your answers to questions 2 and 3. Do you think the bank'ssystem is effective