3 reasons hiring managers use psychometric testing

3 reasons hiring managers use psychometric testing

In the past, recruiters and hiring managers were admired for their ability to read body language, ask the right questions, and make hiring decisions based on both industry best practices and well-honed instincts. Today, these skills are still invaluable, but many decisions are backed up with data and facts rather than feelings. These days, professionals of all kinds use AI tools and various online tests to help them make wiser decisions. Hiring managers are no exception, and use Psychometrics to bolster their recruitment practices.

There are several reasons hiring managers use Psychometric testing. Here are three.

1. Assessing candidates for cultural fit

To increase retention rates, it’s critical that employees fit in with the corporate culture. This means they share similar values as the company, feel inspired and motivated by the vision, and work harmoniously with others. A simple in-person interview might be enough to assess cultural fit, however many hiring managers will go the extra mile and use psychometrics to determine if a candidate has the right personality for the work environment and company culture.

Psychometric analyses provide an objective and unbiased assessment, rather than one based on the recruiter’s feelings and instrint alone. The tests are created and reviewed by  human resources professionals with certifications in psychometrics. Organizations with a very particular company culture will work with this professional to devise a test that will truly help determine if a candidate possesses critical strengths and personality type. These measures are not only taken to make sure candidates are suitable for the role, but suitable for the company culture as well. A good fit will reduce employee turnover and increase productivity.

2. Deciding between two qualified candidates

Sometimes, a hiring manager will find his or herself torn between two extremely qualified candidates. Each candidate may have a strong educational background and the right work experience, and each may seem sharp and keenly interested in the role. In situations like these, psychometric testing can provide data-driven insights into the skills and aptitudes of each candidate; enabling the hiring manager to make a better decision.

For instance, a data scientist position might require more than just strong analytical and numerical skills. Perhaps this role entails working with a large team and delegating tasks. The testee who scores higher on interpersonal skills may be the better candidate for the position.

3. Assessing employees for leadership positions

Often, organizations will hire a recruitment firm to help them find the perfect candidate for a c-suite position or upper management role. There are many occasions, however, when a company might actually recruit an existing employee for a new role. This has many benefits, as the employee is probably already a good cultural fit and understands the ins and outs of the company. In fact, there are numerous advantages to this, including sending the signal to other employees that the company is responsible for elevating careers and offering vertical mobility.

Psychometric tests can help hiring managers with this kind of succession management by helping them discover and identify talent within their organization. In order to take on a leadership role, an employee will likely need strong communication skills, as well as other critical abilities. While skills can be learned and experience can be acquired, personality traits and emotional intelligence can’t so easily be changed. A psychometric evaluation can help the employer understand whether or not someone has the right personality and aptitudes to ascend to these kinds of positions. 

Conclusion

Recruiters and hiring managers have great instincts when it comes to assessing candidates, but testing, in addition to interviewing and conducting background checks, simply beats a “gut feeling” on it’s own. It is also impossible to totally ignore the unconscious bias that often factors in when recruiters interview candidates in person. Testing adds a critical layer of objectivity to this age-old practice.

Moreover, test results are quantifiable, meaning organizations can conduct research into turnover rates and job performance using the data provided by psychometric test scores. As more tests are conducted, more data is collected, and this helps organizations design more effective tests over time. 

For top-level jobs, the stakes are high, and hiring the wrong person could cause significant harm to the employer. In the human resources field, almost everyone knows that the cost to hire, train, and retain a new employee is far greater than the cost to retain an existing one. Therefore, the cost of a bad hire will most likely always outweigh the price of conducting a psychometric test. 

In an age where the pool of talent in IT, AI, Life Sciences, and Engineering is smaller than the demand, organizations would be wise to put more resources into smarter hiring practices using psychometric tests. Their bottom line will thank them.