Many popular selection procedures include confronting the applicant with unexpected problematic situations and observing the applicant's responses, under the assumption that they will accurately reveal his or her true characteristics and abilities. For example, consider the following:

Walt Bettinger, CEO of Charles Schwab, relies on an unconventional method that he believes reveals the type of person a job candidate is$.$

He invites the job candidate to breakfast $$ but arrives at the restaurant early, pulls the manager aside, and says, "I want you to mess up the order of the person who's going to be joining me$.$ It'll be OK$,$ and I'll give a good tip, but mess up their order."

"I do that because I want to see how the person responds. That will help me understand how they deal with adversity. Are they upset, are they frustrated, or are they understanding? Life is like that, and business is like that. It's just another way to get a look inside their heart rather than their head.$$

If the candidate politely and respectfully lets the server know of the mistake, that is taken as indicating a good attitude and a willingness to address problems and remedy them.

If the candidate does not acknowledge receiving the wrong food or does not try to correct the order, this is taken to indicate that the candidate is timid, pays little attention to detail, or is not willing to right a wrong$--$suggesting a poor fit with the Schwab culture.

$-$ Briefly explain reliability and validity in selection procedures in general. Then explain how you would evaluate the reliability and validity of Bettinger's "breakfast test," including the type of data and analytical procedure that would be required.

$-$ What type or types of validity $($content$,$ construct, criterion$-$related, face$)$ is$/$are most important to Bettinger, given his purpose for using the breakfast test? Explain why it is extremely unlikely that Bettinger has systematically evaluated the validity of his breakfast test.

$-$ What is your estimate of the validity of Bettinger's procedure, and why?

$-$ Finally, discuss the potential for Bettinger's procedure to produce disparate impact and thus makes the company vulnerable to discrimination charges. Provide a specific example to illustrate how Bettinger's procedure can produce this legal risk.