Question: Jerrys Pet Supplies is currently using a selection method with a 0.10 validity coefficient and they are interested in introducing a new selection method with

Jerry’s Pet Supplies is currently using a selection method with a 0.10 validity coefficient and they are interested in introducing a new selection method with a validity coefficient of 0.70. They have decided to perform a utility analysis using the Taylor-Russell Tables to help make this decision. Given the above information in the Taylor-Russell Table, answer the following questions and show your work where applicable.

  1. What is the hiring success gain for the new predictor when considering the more desirable selection ratio? (2 points)
  2. What is the hiring success gain for the new predictor when considering the less desirable selection ratio? (2 points)
  3. Is Jerry’s Pet Supplies current base rate desirable or not desirable? (1 point)
  4. Considering all of the above, what is your recommendation to Jerry’s Pet Supplies about adopting the new selection method with the validity coefficient of 0.70? (1 point


Base Rate = .25

Validity coefficient

Selection ratio = .15

Selection ratio = .65

.10

35%

28%

.70

68%

40%


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