CASE To Test, or Not to Test, That Is the Question for Amtrak, Integra LifeSciences Many...

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CASE "To Test, or Not to Test, That Is the Question" for Amtrak, Integra LifeSciences Many companies rely on personality tests to help with the selection of employees. In fact, evidence indicates that al- most one-fourth of firms utilize these instruments to as- sess how well applicants fit into different work roles and environments. Some tools focus on measuring the Big Five personality traits, which include the factors conscientious- ness, openness to experience, agreeableness, extroversion, and neuroticism. Others like the Myers-Briggs Type Indica- tor and Predictive Index identify different preferences and self-perceptions of individuals, which might affect their willingness and ability to perform on the job. Some person- ality tests are even being offered through gaming exercises to obtain a better assessment of traits and skills-Pymetrics and Knack both offer these kinds of instruments. Despite their ability to predict employment fit, using per- sonality tests to assist with selection decisions may not work well in all situations. For instance, they may not effectively predict the future work performance of employees. These tests may also unfairly classify people into categories that can ultimately be altered by individuals with the right effort. Providing socially desirable responses (or "faking" good an- swers) is another concern with these tests. Finally, the use of personality tests may adversely affect candidates who are dis- abled or those who are members of other protected groups. Still, personality tests can be an effective tool for screening and hiring new employees. The transportation agency Amtrak has been using such a test to determine how well job applicants fit the culture of the organization. In particular, the instrument identifies different personality characteristics that are associ- ated with important work-related factors such as collaboration, ethics, safety, and customer service. The expected retirement of many Amtrak employees motivated the firm to use this person- ality test; it also needed a hiring approach that ensured good employee/company fit. Many thousands of individuals have al- ready taken the online test that takes about 45 minutes to com- plete. The results place applicants into categories of "strong," "moderate," and "minimal" fit for the purposes of screening. Amtrak can then select which individuals to interview and hire. Not all employers choose to incorporate personal- ity tests into their employee selection processes. New Jer- sey-based Integra LifeSciences elected not to use them during the company's transformation efforts. According to top official Padma Thiruvengadam, these tests might need- lessly categorize people, thus limiting the company's ability to identify individuals who can help it effectively transition. Integra LifeSciences will likely utilize such tests in the future when the company is functionally more stable.104 QUESTIONS 1. Explain why it is or is not a good practice to use personality tests in employee selection. What are some of the advantages and disadvantages of personality tests used in this way? 2. Evaluate the rationale used by Amtrak and Integra Life Sciences to justify using or not using personality tests. Do you agree with these decisions? 3. Imagine that you are the Chief HR Officer for a com- pany that is considering the use of personality tests to make better selection decisions. What advice would you provide your executive leadership team? What issues would be the most critical in your development of com- pany policy? CASE "To Test, or Not to Test, That Is the Question" for Amtrak, Integra LifeSciences Many companies rely on personality tests to help with the selection of employees. In fact, evidence indicates that al- most one-fourth of firms utilize these instruments to as- sess how well applicants fit into different work roles and environments. Some tools focus on measuring the Big Five personality traits, which include the factors conscientious- ness, openness to experience, agreeableness, extroversion, and neuroticism. Others like the Myers-Briggs Type Indica- tor and Predictive Index identify different preferences and self-perceptions of individuals, which might affect their willingness and ability to perform on the job. Some person- ality tests are even being offered through gaming exercises to obtain a better assessment of traits and skills-Pymetrics and Knack both offer these kinds of instruments. Despite their ability to predict employment fit, using per- sonality tests to assist with selection decisions may not work well in all situations. For instance, they may not effectively predict the future work performance of employees. These tests may also unfairly classify people into categories that can ultimately be altered by individuals with the right effort. Providing socially desirable responses (or "faking" good an- swers) is another concern with these tests. Finally, the use of personality tests may adversely affect candidates who are dis- abled or those who are members of other protected groups. Still, personality tests can be an effective tool for screening and hiring new employees. The transportation agency Amtrak has been using such a test to determine how well job applicants fit the culture of the organization. In particular, the instrument identifies different personality characteristics that are associ- ated with important work-related factors such as collaboration, ethics, safety, and customer service. The expected retirement of many Amtrak employees motivated the firm to use this person- ality test; it also needed a hiring approach that ensured good employee/company fit. Many thousands of individuals have al- ready taken the online test that takes about 45 minutes to com- plete. The results place applicants into categories of "strong," "moderate," and "minimal" fit for the purposes of screening. Amtrak can then select which individuals to interview and hire. Not all employers choose to incorporate personal- ity tests into their employee selection processes. New Jer- sey-based Integra LifeSciences elected not to use them during the company's transformation efforts. According to top official Padma Thiruvengadam, these tests might need- lessly categorize people, thus limiting the company's ability to identify individuals who can help it effectively transition. Integra LifeSciences will likely utilize such tests in the future when the company is functionally more stable.104 QUESTIONS 1. Explain why it is or is not a good practice to use personality tests in employee selection. What are some of the advantages and disadvantages of personality tests used in this way? 2. Evaluate the rationale used by Amtrak and Integra Life Sciences to justify using or not using personality tests. Do you agree with these decisions? 3. Imagine that you are the Chief HR Officer for a com- pany that is considering the use of personality tests to make better selection decisions. What advice would you provide your executive leadership team? What issues would be the most critical in your development of com- pany policy?