101: a guide to choosing and applying the right option

Psychometrics: how to make the right choices

Love them or loath them, Psychometrics We regularly help clients make the best are to be here to stay and the industry use of Psychometric profiling and we “The core purpose behind is growing rapidly. Surveys conducted have put this guide together to answer the use of Psychometrics is to by the Chartered Institute of Personnel some of the questions we are asked most measure the differences that and Development (CIPD) show that frequently, including what tools to use in within The Times Top 250 organisations different situations, when to use them exist between individuals. 80% use tests of ability and 50% use and how to go about it. Simply put, Psychometric Personality assessments (cited by The means ‘measuring the Psychometrics Forum, 2013). In the US, A complex range of options – mind’, and they are typically Psychometric assessments have been just where do you start? used to objectively measure found to be used by 97% of Fortune 500 quite inherently complex companies (EMetrixx, 2013). There are hundreds of different tools psychological phenomena e.g. and instruments on the market, each personality and intelligence.” with varying applications and uses.

“Love them or loath them, It can be a daunting prospect Psychometrics are to be here knowing where to start: when to use to stay and the industry psychometrics, how to apply them, which is growing rapidly.” tool to use and how to analyse the results.

One of the prime reasons for this surge in Psychometric test usage is the evidence base which shows them to be strong predictors of job performance when used correctly (Barrick & Mount, 2001; Hunter & Schmidt, 1998).

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Do any of these questions sound familiar?

When should I use Aren’t Psychometrics Psychometrics and when just for recruitment? should I avoid them? Which tools are suitable for different uses?

How to I interpret and use I need to benchmark the results of my tests? performance and capability – how can I do this? What can I do to measure the effectiveness of learning?

What are the common pitfalls to How do I choose the right avoid when using Psychometrics? tool for the right job?

This guide will help you answer these questions and provide you with enough of a level of understanding to enable you to build Psychometrics into your recruitment and development activity.

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What are Psychometrics?

The core purpose behind the use Psychometrics in an organisational However in the case of personality, of Psychometrics is to measure context are essentially occupational tests there are no real right or wrong answers the differences that exist between or questionnaires. However, the nature but a stronger or lesser preference individuals. Simply put, Psychometric of the human characteristic that is being towards certain behaviours or presence means ‘measuring the mind’, and they measured dictates the nature of the ‘test’. of certain traits. Psychometrics can be are typically used to objectively measure For example, in the case of intelligence used in a range of contexts within an quite inherently complex psychological or aptitude there is a degree of right or organisational life cycle, from recruitment phenomena e.g. personality and wrong involved. to , to managing intelligence. underperformers.

To Recruit: To Engage: To Coach: To Achieve:

Attract quality candidates Motivate and inspire Performance reviews High flyers

Screen candidates fairly Resolve conflict Mentor Productivity and efficiency

Selection Boost morale Develop leadership skills Optimal team performance

Assessment centre use Creative innovation Appraisals A leadership pipeline

Improve basis for recruitment Bolster performance Teamwork Organisational redesign

Develop communication Improved people Position talent Foster loyalty and relational skills management skills

Promotion assessment Restructure roles Develop career objectives Reenergised employees

Reports and outcomes from psychometric assessments can help:

■■ Individuals to better understand themselves ■■ Organisations to gain objective results and to compare individuals fairly ■■ Organisations to ensure fully informed decisions are made in recruitment and promotion

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Different types of assessment Requirements of a valid Ability Psychometrics Personality types Psychometric test (Maximal Performance) vs. personality traits There are a number of fundamental Ability Psychometrics are broadly The Psychometric approach to personality attributes an assessment must categorised into three types; intelligence, (as opposed to the Psychoanalytic, possess if it is to provide valid results. aptitude and attainment assessments. Humanistic, Social Learning and many Intelligence Psychometrics can be other schools of thought) assumes that To be psychometrically sound a designed to measure general intelligence human attributes can be quantitatively test must be: (defined as ‘g’), namely fluid and assessed and measured using techniques ■■ Objective crystallised intelligence or more specific, such as questionnaires. An important The results obtained must not be narrow intelligences such as numerical or distinction to bear in mind is the type influenced by the administrator’s verbal reasoning. In contrast, attainment vs. trait approach in personality. personal characteristics or other tests assess learning that has already The former is ideographic in nature in irrelevant factors. occurred such as university exams or that it divides individuals into discrete end of training exams. Lastly, aptitude ■■ Standardised categories (or types) which have their tests assess the ability to acquire and The test is administered and own set of characteristics. This typically use knowledge and tend to be job scored according to standard occurs in opposites i.e. an individual is role specific. procedures, and people’s either an extravert or an introvert. A scores are compared to known combination of these types then gives standards. Personality Profiles, Portraits, rise to a complex human Personality – Inventories and Psychometrics such as an ENFP in the Myers-Briggs ■■ Reliable (Typical Performance) Type Inventory (MBTI). The test measures in a consistent way. The potential error is small Academics as well as practitioners have In contrast, the trait approach to and is quantifiable. (and probably always will) argue about Personality emphasises the continuum the definition of personality. However, of traits. A trait is described as an ■■ Valid across the many varied conceptualisations underlying characteristic of an individual’s The test measures the of personality, one aspect seems personality. There are two extremes of a characteristics which it sets out to be agreed upon. And this is the trait, hence a scale concept is introduced to measure. A test used to select consensus that personality is made up here. The degree to which an individual a job applicant should predict job of a combination of underlying personal possesses a trait can then be compared performance and not characteristics, which are relatively stable to a general population norm or indeed some other skill. across different times and situations. within teams/organisations, so there is a ■■ Discriminating Hence, these tools are used to predict relative comparison of personality traits. The test should show clear an individual’s typical performance and Commonly used trait tools include the differences between individuals behavioural preferences. OPQ and NEO-PI-R. on the behaviour being tested.

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Potential pitfalls of using Psychometrics

Using assessment and profiling tools can have many benefits if best practice is followed. The factors below represent common misuses of Psychometrics which undermine their use and damage the validity of the results they produce.

Too much reliance: Inaccurate interpretation: Discriminatory usage:

Assessments are a useful part of projects Inexpert or – where relevant – Another potential pitfall of using and interventions but it is not helpful to unaccredited users may make inaccurate assessments is that some of them rely too much on them. Even when or incomplete interpretations of inadvertently may discriminate unfairly used well assessments are best assessment results. This does a disservice against some test-takers – specifically deployed in combination with other to the individual assessment taker, the on the grounds of cultural differences techniques such as 1:1 or with client organisation and also risks damaging or English language skills (factors which competency interviewing when part of the credibility of the assessment. are irrelevant to the reason for using the a selection process. assessment). It is therefore important to take these factors into consideration when choosing the assessment tool to use.

How and when to use Psychometrics?

Selection and Assessment

Psychometrics are becoming more and Best practice has been outlined in recent The next decision which has to be made more commonly used in recruitment, research by Campion et al (2011) who is choosing a particular Psychometric particularly for graduate roles. encourage the use of job analysis in order out of the huge pool of tools that to construct a competency framework exist. Best practice would dictate that Hence, it is increasingly important to that is in line with organisational validity, reliability and fairness criteria ensure that they are being used in the objectives, visions and mission statements. are considered, which generally means right way at the right time. Of paramount reading the technical manual of a importance is the use of Psychometrics This framework then becomes the basis Psychometric tool to judge its quality. alongside other methods for selection for which we can decide whether certain However, the good folks at the British i.e. interviews, assessments centres and Psychometrics can be used to measure Psychological Society’s Psychological work sampling in order to increase the these competencies. The ends must be Testing Centre (PTC) have reviewed predictive validity of your methods of thought about before the means. Therefore many of the tools out there in the market selection. it is crucial to assess whether Psychometrics to help organisations make well-informed can actually help you measure the Predictive validity represents the choices for their needs. competencies which have been identified correlation between the test scores and as crucial for a particular role. the degree of success in the subsequent job. And using a psychometric along with other selection methods improves Selection of appropriate Job Analysis/ Competency incremental validity, which represents the Psychometric designed Job description framework added value that a specific selection tool to assess competencies gives you during the selection process, explaining the unique contribution of that measure.

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Learning and Development

Similar considerations apply when Typically, personality measurements are As well as this, personality profiling can Psychometrics are used in a learning and used more widely in this context than define real strengths which, if used to development context. The importance of an assessment and selection context. map against job roles, can help individuals job analysis and Psychometric validity and Personality profiling adds value in the remain satisfied in their choice of career reliability are key concerns when deciding career coaching conversation as it and to develop in ways that match their which tools to use for training, career identifies and raises awareness about personal motivations and preferences. coaching and leadership development. potential weaknesses which could act as barriers to development.

Choosing the right tool

Before choosing the appropriate tool, you should always start by asking the question ‘What is the problem you are trying to solve?’ Detailed below are some of the wide ranging uses of psychometrics within an organisational setting.

Change Management Client 360 Career Relationship Degree Bench Marking Development Development Feedback Business Restructuring

Communication

Coaching Conflict Diversity Management Awareness Creativity Emotional Intelligence

Leadership Mediation

Induction Engagement & Management Needs Analysis Motivation Development

Retention

Performance Work Style Assessment & Strengths Management Assessment Selection

Sales Succession Negotiation Planning

Strategy Relationship Organisational Team Development & Culture

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Interpreting Psychometrics Summary Having chosen the right Psychometric for your organisational need, and ■■ “Crucially, it must be taken Commerciality and administered it in line with best practice, mainstreaming of Psychometrics into consideration that the the next step is to interpret and use The majority of Times Top 250 accuracy of results are based the results. Psychometric test users and fortune 500 companies use on the information that the must be well aware of the intricacies of Psychometrics. The need for interpreting results and the importance candidate has provided.” SME’s to do the same is even of sensitive and accurate feedback. greater given the considerable costs of recruitment errors In this context language is very important, and training and development “There may well be elements as when results are interpreted and fed investment. back to candidates care must be taken of a personality report that ■■ Wide range of use to avoid overstretching and making too individuals disagree with – Psychometrics can be used in strong of an assertion based on the which is to be expected, as a number of contexts from results. Remember, these are measures all instruments have elements recruitment, to engagement of typical performance. Hence, these tools to talent retention and even of measurement error.” describe a tendency to behave in certain managing underperformers. ways as opposed to a behavioural crystal ball which predicts a candidate’s future. ■■ Addressing your need In the case of intelligence tests, it’s crucial Psychometrics can be used to When using particularly complex and to stress the context in which results address a range of organisational technical Psychometrics it is required that are being fed back. Generally speaking, needs, such as leadership they be interpreted by trained/accredited results are reported as percentiles in this development, team-working, on- Psychometricians to avoid any mistakes, case, comparing candidate scores to a boarding, strategic planning and bad practice and ultimate misuse of norm group rather than absolutes figures. appraisal (360-degree feedback). Psychometrics. Finally, returning to a point In the case of personality this becomes It is important to understand made earlier, while Psychometrics can add even more complex because of the lack why Psychometrics are needed invaluable richness to an assessment of an of right/wrong answers. There may well and what value they can add in individual, they are not robust enough to be elements of a personality report that each instance. be used independently. Therefore, they individuals disagree with – which is to should be used in conjunction with other ■■ Quality and best practice be expected, as all instruments have methods i.e. one-to-one coaching, 360 It is also crucial to ensure that elements of measurement error. degree feedback and interviews. Psychometrics meet certain Crucially, it must be taken into standards of quality and that their consideration that the accuracy of results use is in line with best practice. “Psychometrics are not are based on the information that the robust enough to be candidate has provided and is dependent as much on their openness and honesty used independently.” as the validity and reliability of the tool.

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About JSB

We are learning and organisational development consultants. We help Next Steps people and organisations to build and sustain outstanding performance through If Psychometric test use in your organisation interests you, get in touch with our learning, development and consulting us to find out how we can work together to utilise the power of Psychometrics services, plus a range of open courses, to add value in your organisation. We have a number of case studies where conferences and seminars. Psychometrics have helped our clients address their organisational needs.

We work with over 30 different To request this information or find out more about how we can help you, personality Psychometrics, behavioural/ visit www.jsbonline.com or call us on +44 (0)20 8371 7011. motivational profiles and 360 degree feedback tools, which can be used across a range of contexts. As well as this, a number of our consultants are Occupational Test User qualified (Level A & B).

References

Barrick, M. R, Mount, M. K. & Judge, T. A. (2001) Personality and Performance at the Beginning of the New Millennium: What Do We Know and Where Do We Go Next? International journal of selection and assessment, 9, 1/2, 9-30.

Campion, M. A, Fink, A. A, Ruggerberg, B. J., Carr, L., Phillips, G. M. & Ogman, R. B (2011). Doing competencies well: Best practice in competency modelling. Personnel Psychology, 64, 225-262

Schmidt, F. L., & Hunter, J. E. (1998). The validity and utility of selection methods in personnel psychology: Practical and theoretical implications of 85 years of research findings. Psychological Bulletin, 124, 262–274.

E-metrixx.com. 2013. E-METRIXX | Psychometric tools to help improve your profit and people performance. [online] Available at: http://www.e-metrixx.com/ [Accessed: 21 Oct 2013].

Psychometricsforum.org. 2013. Psychometrics – Home, Psychometric Practitioners providing Psychometric Knowledge and Psychometric Information. [online] Available at: http://www.psychometricsforum.org/ [Accessed: 21 Oct 2013].

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