CHAPTER 7

Selection

CHAPTER OBJECTIVES

After reading this chapter, you should be able to:

1. Understand selection
2. Differentiate between recruitment and selection
3. Enumerate the steps in the selection process
4. Understand the meaning and types of selection tests
5. Develop a test programme
6. Enumerate the objectives and kinds of selection interviews
7. Understand the selection process in India

Compulsory background verification, reference checks and ascertaining the authenticity of the candidates’ CVs as part of the selection process is something that is increasingly important. Several companies, including a few reputed software firms, had to terminate the services of some of their employees when they detected false information in their curricula vitae (CVs), which they had tried to pass off by furnishing fake documents. Serious discrepancies were found in the areas of work experience, academic qualifications, professional skills, and earlier compensation packages in their CVs. In addition to the loss of time and resources entailed by the defective selection process, abrupt actions against the erring employees are also likely to derail the manpower plans and the production schedules of the organizations. It is, therefore, important for an organization to have a proper selection process. This chapter looks at the selection process in detail and how businesses can use it to recruit the best candidates.

Introduction

Once the applicant pool is prepared, the next step for the HR department is to implement the predetermined selection process in order to select the best candidate for the job. The aim of this process is to finally end up with candidates best suited for the vacant jobs. The organization must be able to distinguish the applicants who are most likely to perform well as employees from the others who are less suitable.

Of late, the hirers are attempting to measure even the candidate’s mental make-up and personal values to decide how closely they match those of the organization.¹ Obviously, selecting the most suitable candidate for a job is never an easy task for an organization, but it becomes all the more difficult when the organization has to screen candidates to fill vacancies that are critical to the organization. This is because any faulty decision in the selection of employees can have a far-reaching impact on performance and future of the organization. Box 7.1 has some of the definitions of the term selection.

We may conclude that selection is a systematic process of identifying suitable candidates for the jobs available in the organization from the available applicant pool.

Differences Between Recruitment and Selection

Though the terms recruitment and selection are often treated as interchangeable, there are differences between the two terms. Though few, they are worth mentioning. Table 7.1 shows the differences between recruitment and selection.

Phases of the Selection Process

As there is no commonly accepted selection process available, organizations may have to adopt different selection processes for different jobs, depending upon their nature and requirements. Nonetheless, the aim of any selection process is to gather relevant and critical information about an applicant at every stage of the process in order to determine his/her suitability for the job offered. The selection process broadly involves measurement, decision making, and evaluation, as explained in Figure 7.1.

A good selection process must be able to distinguish applicants who are likely to perform well in the job from those who are not. An organization adopts various steps in the selection process to predict the likely performance of each applicant in the job. These steps are briefly presented as follows:

 

 

1. Employment Application Forms/Blanks: These refer to a standardized format to collect the necessary information about an applicant to determine his suitability for the job.
2. Selection Test: This is a psychological test for comparing and contrasting the behaviour of two or more persons on the basis of a standardized measure in order to predict their likely job performance, if selected.
3. Selection Interview: This is a face-to-face conversation with the candidate to collect the required information that could not be collected through other selection tools to determine his suitability for a job.
4. Reference Check: This is a process of cross-checking information provided by the candidates in different stages of the selection process with the references cited by the candidates themselves.
5. Physical Examination: This is a medical test to ensure that the candidates selected meet the physical requirements of the job.
6. Job Offer: A job offer is a formal communication from the employer to the selected candidate that specifies the details of an offer of job. This job offer generally provides information about job description, reporting authority, pay particulars, and leave eligibility.

Once suitable candidates are identified at the end of the selection process, the organization would proceed with the issue of job offers to the selected candidates. Normally, the candidates respond by accepting or rejecting such job offers. Box 7.2 outlines the selection process of select companies.

Now we shall discuss in detail the various phases of selection process adopted by organizations to choose their employees. Figure 7.2 enumerates the steps involved in a selection process.

Employment Application Forms/Blanks

The purpose of an application form is to collect the necessary information about an applicant in a short span of time. These bits of information are extremely useful in determining the suitability of the applicants for the job and also in predicting their likely job performance, if chosen. Therefore, the information collected must be relevant, reliable and accurate for decision-making. To achieve this, the application form must be prepared carefully and reviewed regularly to ensure the reliability and validity of the information gathered.

 

Some organizations use weighted application blanks to gather relevant information and also to predict the chance of success for a candidate in the job. This is possible when the organization is aware of the statistical significance of the relationship between the bio-data characteristics and the chances of success in the job. Suppose an organization is convinced that the presence of certain characteristics or skills in a candidate contributes to his/her success in job performance. Then, that organization may give more weightage to such characteristics in its application blanks. Such application blanks are known as weighted-application blanks. For instance, if an organization is convinced that good communication skills in sales personnel contribute to their success in selling, then, it may give more weightage to this particular skill in its application form.

Application forms normally solicit the following information from the candidates:

1. Biographical information includes the name of the applicant, father’s name, date of birth, age, gender, nationality, physical features (height, weight, and so on), marital status, identification marks, and family details.
2. Educational qualifications such as courses completed, year of passing, subjects studied, and percentage of marks secured, division or rank obtained, name of the educational institutions, and scholarship awarded.
3. Work experience like positions held, tenure in each position, nature of job, pay and other benefits, details about the present and previous employers, explanation for break in employment.
4. Pay and other perquisites such as information about candidate’s expectation about salary and other benefits.
5. Additional information like participation in sports, games, cultural activities, nation-building activities such as NSS, NCC, and honours obtained.
6. References Names and addresses of a few references that have knowledge about the applicant and who may be contacted by the organization, if required. Box 7.3 lists the guidelines used for evaluating an application form.

Selection Tests

Since there are differences in the abilities, aptitudes, interest and personality traits of individuals, it is essential to measure these differences effectively and accurately to determine their suitability for the jobs. This may be done with the help of selection tests, also called psychological tests. The term test is used here as a standardized measure of behaviour (for example, attitudes, interest, and aptitude) of the applicants. There are several definitions of a test. Box 7.4 lists these definitions.

We may define a test as a standardized assessment of a sample but critical behaviour of candidates to determine their suitability for the job. One of the common ways to test candidates is to test them psychologically.

Characteristics of Psychological Tests

The common characteristics of psychological tests based on the definitions listed in Box 7.4 may be summed up as follows:

Objectivity Objectivity in tests refers to the validity and reliability of the measuring tools. Reliability in tests refers to their consistency. A reliable test is one in which the scores are consistent even if a person takes the same test on different occasions or takes two alternate forms of the same test. The validity of a test refers to the correctness of the inferences made on the basis of the test results. It ensures that the test is job-related and the test performance is the real predictor of the subsequent job performance of a candidate. These two aspects together determine the objectivity of a test.

Standardization Standardization means that there is uniformity in the procedure followed in conducting the test and in the terms and conditions associated with the test, such as time limit, instructions, the tester’s state of mind and health, and the availability of required facilities.

Sample of Behaviour It refers to test contents that should predict the representative sample of eventual behaviour of the candidates since a total replication of reality in any testing condition is impracticable. Thus, the behaviour predicted through a test need not strictly resemble the actual behaviour that the test is supposed to predict.

Uses of Psychological Tests Psychological tests are useful for HR managers in several ways. These tests are essential for

• Selecting and placing employees
• Determining their career plan
• Assessing their job performance and potential
• Counseling them in conflicting situations

Obviously, different situations need different kinds of tests, depending upon the nature and requirements of a job. Each test must have norms to compare and contrast the performance of the candidates. However, in practice, many organizations lack clear-cut norms for judging the performance of these candidates.¹⁰

Types of Psychological Tests Now we shall discuss in detail the nature and utility of tests and also their applicability in different situations under four broad categories—ability test, personality test, interest test, and honesty test. As specified in Figure 7.3, an ability test is further classified as intelligence test, aptitude test and achievement test.

Ability test—Ability refers to the capacity of a person to do a particular job. The ability of a person commonly denotes the combination of mental ability (like memory and inductive reasoning), physical ability (like stamina, body coordination and physical strength) and motor ability (like finger dexterity and reaction time). To measure these abilities, an organization may resort to any one or more of the following tests:

Intelligence (IQ) test—The aim of an intelligence test is to measure the general intellectual abilities of a person. This test assesses the memory, vocabulary, verbal comprehension, thought fluency, inductive reasoning, and numerical skills of a candidate. The uniqueness of this test is that it measures several abilities of the candidate and derives the intelligence score. This score is then compared with the average intelligence score of the organization to determine whether the candidate is above or below the average. To know the Intelligence Quotient or IQ of a child, the equation

 

 

may be used but it has little relevance for adults.

 

Aptitude test—An aptitude test measures the latent talents of a person that may be crucial to performing the job successfully. This test is normally given to those applicants who have no previous experience in that field. Hence, aptitude tests are appropriate for predicting the future ability and/or performance of the candidate. These tests are found to be more effective for jobs requiring mechanical and spatial relationships like those of engineers, designers and machinists. Box 7.5 highlights the status of psychometric tests in India.

Achievement test—The aim of an achievement test is to measure the knowledge gained by a person in his/her job. It evaluates the claims made by the job holders regarding their performance and skills acquired in the job. It is also called proficiency test, performance test or trade test. A typing test is an example of achievement test as it intends to measure the speed and accuracy of a typist in his job. The tests that measure the subject knowledge of pupils at schools and colleges are also examples of an achievement test. Similarly, organizations test the job knowledge of their employees to determine their suitability for future promotions and also for salary fixation.

Personality test—Personality refers to the sum of the characteristics of a person which reflect on his/her response to a particular situation. The characteristics may include, among other things, introversion, inter-personal skills, motivation, stability, self-belief, courage, attitude and temperament. A personality test proposes to assess and predict these basic characteristics of a person. Its results are useful in predicting the future performance of the candidate. Projective tests are ideal for evaluating the intangible characteristics that make up the personality. Through these, the psychologists measure the response or reaction of the candidates, for example, to confusing stimuli (input) in the form of a distorted picture, incomplete information or even a simple ink dot. The response reveals the candidates’ inner qualities, which are then correlated with the job requirements. Rorschach Blot Test (RBT), Thematic Apperception Test (TAT), Minnesota Multiphasic Personality Inventory (MMPI) and Myer-Briggs type indicator (MBIT) are some of the popular forms of personality tests. In countries like France and Israel, many companies are using graphology—the analysis of handwriting—as a tool for personality measurement.

Interest test—A person’s mental and physical abilities are not sufficient to achieve a desirable job performance. Apart from these, the person must have a strong and inherent interest for that job. The aim of the interest test is to know the interest, attitude and preference of a person towards the job offered. Its purpose is to identify the interest of a person, say, in marketing, accounting, mechanical, computational, and clerical activities to determine the job best suited for him. The Kuder Preference Record and Strong Vocational Interest Blank are some well-known interest tests.

Honesty or integrity test—Organizations may feel a need to ascertain the honesty of the candidates to ensure that they have not furnished any false information in the application form and also to safeguard themselves from frauds and misappropriation. In an honesty or integrity test, the questions are asked in such a way that the attitude and actual behaviour of the candidates can be found out. However, the reliability and validity of the honesty tests have not been conclusively proved and they are rarely used in India.

Evaluation of Psychological Tests Organizations consider psychological tests an important tool to evaluate and hire employees. This is due to the fact that these tests can help the employers to get that information which may not be accessible in other phases of selection process. We shall now see a brief description of the merits and limitations of psychological tests. Box 7.6 outlines the relevance of web-based recruitment efforts of an Indian IT company.

Merits—Psychological tests offer variety of advantages to an organization. These are listed as follows:

Objective in evaluation—Selection tests are reliable and impartial tools to measure and choose the best candidate for a job. When compared with other selection techniques like interviews, the tests are free from personal bias and prejudice.

Ideal for large groups—The inherent advantage of a selection test is that this can be simultaneously administered to a large number of applicants. When suitable candidates are to be chosen from a big pool of candidates, selection test is the only time-saving and cost-effective technique.

Predictor of intangible talents—Selection tests are capable of predicting the talents and skills that are invisible and abstract in nature. They can measure not only the performance but also the potential of the prospective candidates.

Goal-specific and target-oriented—Employers have the option to choose from a variety of selection tests to measure the specific quality of an applicant. For instance, achievement tests may be used to identify the existing performance of the applicants while aptitude tests are appropriate for measuring the future performance.

Record for future—The records pertaining to the selection tests can be preserved for future references and researches. The analysis of the results may provide way for further improvement in the content and conduct of the test. The effectiveness of a test can be understood by comparing the actual job performance with the test performance of the employees.

Limitations—Though selection tests enjoy several advantages, they suffer from a few limitations. For example, tests can be used only as supplements rather than as a substitute for other methods of selection like application forms and interviews. The other limitations are:

Lack of flexibility—Since the content of the selection tests are predetermined, it can not be altered often to suit the changing situation. Further, as it is an impersonal technique, it may overlook the critical individual differences vital to the job performance.

Unsuitability for smaller groups—Selection tests are not cost-effective for choosing the best candidate if the number of applicants is small. It requires a lot of time and money to prepare these tests and check their validity and reliability.

Developing a Test Programme

Since the purpose of a test is to predict how the applicant would perform if selected for the job, organizations need to make a strategic decision regarding the development of a testing programme. They must begin the preparation for planning, development and administration of the testing programme with due care and diligence. The steps given below are necessary for a successful testing programme:

Determining the Job and Skills Requirements The first and foremost step in the process of developing a testing programme is to predetermine the qualities and skills that are essential for an effective job performance. Job description specifies the duties and responsibilities associated with the job while job specification mentions the human qualities necessary to perform the job. It is also essential to identify the human qualities that can predict success on the job. These human qualities are called predictors.

Deciding the Types of Test Once the human qualities essential for the successful performance of a job are identified, the next step is to determine the series of tests to be undertaken to measure these qualities. While choosing the tests, the reliability, validity and relevance of the results of the tests are important considerations. Depending upon the requirement, the organization may develop its own testing tools or it may make use of the published testing tools available.

Developing the Success Criteria

The next course of action is to select the relevant criteria for each job. Criteria are nothing but the standard of success. These criteria must envisage the likely success of the candidates in the job. The organization must determine what constitutes success on the job. For instance, factors like the quantity and quality of the goods produced, absenteeism, attrition rate, accident history, and the length of service may determine the success and can become the criteria.

Rodger has developed a seven-point plan for determining the criteria for candidate selection.¹¹ The plan covers

1. Physical make-up: Health, physique, appearance, bearing and speech
2. Attainments: Education, qualifications and experience
3. General intelligence: Fundamental intellectual capacity
4. Special aptitudes: Mechanical skills, manual dexterity, and facility in the use of words or figures
5. Interests: Intellectual, practical, constructional, physically active, social and artistic
6. Disposition: Acceptability, influence over others, steadiness, dependability and self-reliance
7. Circumstances: Domestic circumstances, and occupations of family.

Alternatively, Roberts has suggested a competency-based approach in which core competencies required for the job are used as a framework for the selection process. He mentions that “the benefit of taking a competencies approach is that people can identify and isolate the key characteristics which would be used as the basis for selection … The competencies therefore become a fundamental part of the selection process.”¹²

Administering the Test

Having decided the human traits to be measured, the types of tests and the success criteria, the next step is to administer the test to the candidates. The candidates may be outsiders seeking employment in the organization or the existing employees looking for promotion. As far as possible, the testing conditions must be near normal.

Evaluating the Results

In the next stage, the results are matched with the success criteria to determine whether the applicant succeeded in the test. The significance in the relationship between the scores of the applicant and the performance criteria should be continuously studied to see whether the applicant eventually emerges as a high, low or average performer. Now that we have discussed the phases of selection, let us look at the next step in the selection process—the selection interview.

The Selection Interview

The selection interview is one of the most widely used means of collecting necessary information about applicants. In fact, it is an indispensable part of any selection procedure. It provides an opportunity for the employer to have a face–to–face interaction with the candidate. It is used for gathering information that has not been collected through other selection tools. The organization may require one or more interviews for an applicant, depending upon the nature and number of job vacancies. Let us now see how different authors have defined the term interview.

An interview can be defined as “a selection procedure designed to predict future job performance on the basis of applicants’ oral responses to oral inquiries.”¹³ Or, “as a purposeful exchange of ideas, the answering of questions and communication between two or more persons.”¹⁴

In other words, an interview is a face–to–face conversation to collect information from a candidate to determine his suitability for a job.

Objectives of an Interview

Though the primary purpose of an interview is to predict an applicant’s likely performance in the job, it helps the organization in several ways. Some of the main objectives of interview are:

• It fills the information gap in the personnel selection process. In other words, it can supplement application forms and selection tests effectively by gathering additional information necessary for determining the suitability of a candidate for the job.
• It enables an organization to establish a direct and personal contact with the applicant to verify the information obtained through other sources.
• It facilitates a two-way communication process. The organization can mutually exchange information with the candidate to reach a better understanding and an enduring relationship.
• It provides a platform for the organization to create goodwill in the labour market by offering good hospitality, courtesy and personal care to the applicants.

Kinds of Interview

Interviews have the capability to serve different purposes of different persons. For instance, they are useful not only for selecting an employee but also for knowing the reason for an employee leaving the organization (exit interview). The common forms of selection interview, listed in Figure 7.4; are as follows:

Structured Interview Structured interview, also called directive or patterned interview, is a popular form of interview technique. In this method, the interviewer predetermines the questions to be asked. He merely follows the same template to ask the interviewee a series of questions with little or no deviation. This method ensures uniformity in the interview process and facilitates easy comparisons among the candidates. It also enjoys better reliability and validity.

Unstructured Interview This method is also known as non-directive or free interview. In this type of interview, the interviewer does not pre-plan the questions to be asked. In fact, he decides on the questions as the interview proceeds. The purpose of this method is to allow a free discussion on any topic as it emerges. Interviewers generally avoid asking the same or similar questions. Qualities like analytical skills, presence of mind, and motivation are tested. However, this kind of interview usually suffers from lack of uniformity and objectivity.

 

In-depth Interview As implied by the term in-depth, the purpose of this interview is to discuss the information concerning the candidate in detail. The intention of this exhaustive interview is to ensure that no information vital to decision making is missed out. This method normally covers the subjects of mutual interest like specialization, motivation, qualification and career plan of the candidates on one hand, and the firm’s offer on the nature of job, pay and perquisites, career opportunities on the other. This method is more appropriate for executive cadres.

Stress Interview The purpose of a stress interview is to put the candidate in an uncomfortable situation to see his/her ability to handle stress. The intention of the interviewer here is to identify the sensitive candidates who have low-stress tolerance. This may be done by identifying the area of weaknesses of the applicant in advance and repeatedly questioning him about it. This may annoy or frighten the applicant, forcing him/her to lose his patience. The other ways of creating stressful situations are—asking rude questions, criticizing the interviewee for his/her answers unreasonably, disturbing the candidates with frequent interruptions, and asking the applicant impolitely and repeatedly to pick up the objects placed on the floor. However, the success of a stress interview depends upon the skilful handling of the situation by the experienced interviewers. Box 7.7 shows the essence of a stress interview.

Panel Interview In this method, the applicant is interviewed by more than one interviewer. A panel of two or more interviewers is formed to interview the candidate. The interviewers are generally drawn from different fields. They ask questions from their respective fields and award marks. These marks are finally consolidated into a panel score. Panel interviews are normally comprehensive in nature. They are considered more reliable than individual interviews (where only one person interviews the applicant) as the personal bias and prejudice would have less effect on the panel score.

Computerized Interview Computerized interviews are slowly gaining momentum in India. Many organizations are now resorting to this kind of interview to choose suitable candidates. In this method, the applicant is asked computerized oral questions and his oral or computerized replies are recorded. Computerized interviews are often used as preliminary interviews. Those who are successful in the computerized interview are considered for face–to–face interview. This kind of interview can spare the HR and other line managers from interviewing too many candidates, thereby saving their precious time.

Strategy for an Effective Interview Process

A successful interview requires meticulous planning on the part of the interviewer. The following steps can enhance the effectiveness of an interview process:

Becoming Familiar with the Information Available

The first step in the interview process is that the interviewer acquaints himself with the information already collected about the applicant. This will help the interviewer gather from the interviewee only what is further required. The interview will also be more productive as duplication of work is avoided.

Getting Ready with an Interview Plan

Keeping the requirements of the job in the background, the interviewer has to finalize the interview plan. The plan may include, among others, determining the interview method, the skills to be tested, the questions to be asked and the clarification required. The interviewer should also decide on the criteria for evaluating the interviewee’s responses.

Creating a Supportive Environment

Undoubtedly, an interview is an emotionally stressful event for a candidate. It is therefore essential to provide a helpful and encouraging physical setting to the interviewee to make him feel at ease and confident. In order to ensure this, noise- and interruption-free private room, proper ventilation, light, and comfortable furniture are helpful.

Conducting the Interview

This is an important phase in the interview process. All the plans regarding the interview are executed at this stage. The interview should be smooth and systematic from the beginning to the end to produce the desired outcome. Every effort must be made to gather the maximum information from the candidate.

Ending the Interview

It is the responsibility of the interviewer to properly finish the interview. At the end, the candidate should be given an opportunity to say or seek information, if he desires so. It will be fine if the interview ends on a positive note.

Reviewing the Performance

Once the interview is over and the candidate leaves the room, the interviewer should begin the process of evaluating the performance of the candidate immediately. This will help the interviewer to recall and record his impression of the performance of the interviewee clearly and award the marks or grades objectively. After the interview is over for all the candidates, the interviewer should rank the candidates on the basis of their overall performance.

Weaknesses of the Interview Method

Although interviews are used extensively as a selection tool, there has been a debate going on about the usefulness of interview as an effective predictor of the applicant’s job performance. This is because the selection interviews suffer from the following limitations:

Lack of Objectivity

In interviews, there is always a scope for personal bias and prejudice, and this may affect the objectivity of the whole exercise. The interviewer may tend to overemphasize the facts and characteristics with which he is familiar. He may also inadvertently favour those candidates who are similar to him in personality traits, qualities, gender and educational or social background.

Halo Effect

This problem arises when the interviewer attempts to judge the personality of the interviewee on the basis of a single or a few dominant characteristics. For instance, an interviewee’s age, qualification, experience, and striking physical feature may individually or collectively create a halo effect. The interviewer should not be swayed by a few traits and should assess the candidate in his entirety.

Inadequacy of Time

Another criticism of interview is the lack of adequate time to evaluate the interviewee. It is definitely difficult to assess the skills and traits of the candidate accurately within such a short duration. This may in turn affect the efficiency of the interview.

Lack of Uniformity

When the interviews for job aspirants are conducted by two or more interviewers, the evaluation of the candidates may not be uniform. This is because the marks or grades are usually awarded by the interviewers on the basis of their personal judgment. This can affect the final rankings of the candidates. The uniformity of interviews is a prerequisite for a meaningful comparison of the candidates’ job-related traits. In contrast to the interviews, the selection tests can ensure perfect uniformity as all the candidates appearing for identical jobs take the same test.

Absence of Training for the Interviewers

The absence of training for the interviewers in interviewing skills is the important reason for many of these defects in interviews. In fact, organizations are devoting little time and resources for training their managers in interview techniques. The inexperience and lack of training may seriously impair the judgment of the interviewers, making the whole exercise useless. Instead of depending too much on interview techniques, organizations can also develop alternative methods to assess the presence of critical factors relevant for the successful performance of the applicants in the jobs offered, if selected. ¹⁵

Reference Checks

The next step in the selection process is checking the references furnished by the candidates. Many organizations have reference columns in their application forms. They instruct the applicants to mention a few names as referees. The purpose of collecting such references is to cross-check the information provided by the candidates in the different stages of selection process. The persons known to the candidates are normally cited as referees. They may be the friends, relatives, previous employers, faculty of educational institutions where candidates studied or any other prominent persons familiar with the candidate. However, this is not an effective selection tool in India as the referee’s reports here are hardly objective and productive. Box 7.8 describes the growing relevance of reference checks.

Physical Examination

Physical examination is the penultimate stage in the selection process. The aim of this examination is to ensure that the selected candidate meets the physical requirements of the job. Physical examination can also protect organizations from employing persons with pre-existing ailments. However, organizations in our country have no uniform policy regarding physical tests. Some organizations believe in comprehensive medical tests for their candidates while others are not serious about these tests.

Once these steps have been carried out, the last phase is that of the job offer.

Job Offer

The last step in the process of selection, in practice, is intimating the candidates about their provisional selection. A job offer (an appointment order specifying the terms and conditions of employment) is issued to the candidates who have been successful at the end of selection process. Once the employee positively responds to the offer of employment, the process of integrating that employee into the job is set in motion. However, an applicant’s decision to accept or reject a job offer is influenced by the presence or absence of the following factors:

• Alternative job opportunities available, including the number and nature of alternative opportunities
• Job attraction like the nature and extent of supervision, work schedule, and the amiability of co-workers
• Positive features of the company such as pay and benefits, advancement opportunities in career, and the company’s reputation as a good place to work
• Recruitment activities like the manner in which the candidate is recruited and in which the information is conveyed to the candidate.

Let us now look at the selection process in India.

The Selection Process in India

The selection process in India is paradoxical. On the one hand, large organizations are continuously developing and standardizing a rigorous selection process to choose the best possible employees for their organizations. On the other hand, small firms mostly satisfy themselves with a mediocre process to select their employees. In fact, quite a few small organizations appoint employees for unskilled cadres without putting them into any of the formal steps in the selection process.¹⁶

The selection process in large Indian organizations is normally systematic and in compliance with the overall HR policy and philosophy of the organization. However, the selection techniques may vary, depending upon the number of applicants and the nature of job offered. When there is a large number of applicants for the job offered, psychological tests invariably become part of the selection process to choose the candidates suitable for further consideration, especially in public sector industry.¹⁷

Further, the selection process is usually exhaustive and rigorous for managerial jobs, and this may involve steps like meticulous screening of application, several rounds of interviews including preliminary and final, and group discussions to test the attitude, personality, subject and general knowledge, clarity of thought and logic, persuasiveness, leadership qualities and communication skills of the candidates. But, these organizations normally adopt a shorter selection process for non-managerial positions. This process may involve steps such as application scrutiny, selection tests (if necessary) and interviews.

Smaller organizations in India, in contrast, adopt a simple process for selecting their employees. For instance, trade test (proficiency test) and interviews are the preferred selection tools for technical jobs while interviews are used to choose the appropriate candidates for managerial positions.¹⁸ It is to be understood clearly that the selection policy and process will vary from one organization to another, even from one situation to another, depending upon the number and categories of job positions, the exigency of the situation and the overall HR policy of the company.

Summary

1. Selection is a systematic process of identifying suitable candidates for the jobs available in the organization from the available applicant pool.
2. The process of selection begins once the applicant pool is assembled through the recruitment process.
3. The various stages of the selection process are employment application forms/blanks, selection tests, selection interview, reference checks, physical examination and job offer.
4. Employment application forms/blanks are used to collect biographical information, educational qualifications, work experience, pay and other perquisites, and other relevant information of the candidates and also a few references.
5. The selection test is a psychological test for comparing and contrasting the behaviour of two or more persons on the basis of a standardized measure of behavior.
6. The selection test must ensure objectivity, standardization and sample behaviour. The types of tests are the ability test, intelligence (IQ) test, aptitude test, achievement tests, personality test, interest test, and honesty or integrity test.
7. A selection interview is a face–to–face conversation to collect information from a candidate to determine his suitability for a job.
8. The kinds of interviews are structured interview, unstructured interview, in-depth interview, stress interview, panel interview, and computerized interview.
9. A reference check is a process of cross-checking the information provided by the candidates in the different stages of the selection process.
10. A physical examination is a medical test to ensure that the selected candidates meet the physical requirements of the job.

Review Questions

Essay-type questions

1. Evaluate critically the steps in the selection process.
2. Discuss the characteristics and types of psychological tests.
3. Analyse the merits and limitations of psychological tests as a tool of measurement.
4. How will you develop a test programme? Describe the precautions that should be taken in the case of psychological tests.
5. Explain briefly important interview techniques used for selecting supervisory and managerial staff.
6. What are the various hurdles in a selection procedure?
7. Enunciate the meaning and kinds of selection interview with examples.
8. Discuss the role of psychological tests in the selection process. Work out a classification of psychological tests and describe each category, keeping their utility in view.
9. “An interview is the least valid and reliable method of selection, yet it is most widely used.” Comment.
10. State the strategies for an effective interview process.
11. “Selection is indeed an elimination process.” Elaborate.
12. Evaluate critically the strengths and weaknesses of interview as a selection tool.
13. What organizational consequences might result if recruitment and selection are not done well? Illustrate with suitable examples.

Skill-development Exercise

Objective – The objective of this exercise is to show you how to develop a set of selection tests and interview techniques that can minimize attrition rate and the resultant high cost of replacement.

Procedure Note – The class is split up into groups. Each group has (1) an HR manager, (2) two HR team members, (3) a marketing manager (in whose department the attrition rate is unusually high), and (4) two observers of the meetings. The role of the observer is to observe and report on the various aspects of the role-playing sessions.

Situation

Ashley Synthetic Machinery Manufacturing Limited is a medium-sized company engaged in the production of small and medium-sized boilers. The company recently initiated an ambitious expansion plan and recruited people for production, purchase, finance and marketing departments. While the situation is almost normal in all the departments, the trend in the marketing department is quite disturbing. The department reported an abnormally high rate of attrition and absenteeism, especially among the sales executives. This was despite the fact that the company was offering a highly competitive compensation package for its employees. Performance evaluations also reported consistent underperformance for many of the sales executives.

Perturbed by the development, the management wanted the HR department to implement practices that could reduce the rate of employee turnover and improve the efficiency of the marketing department. It asked the HR department to explore the possibility of developing a tailor-made employee testing and screening technique. The HR manager called for a meeting to be attended by the two HR officials, the marketing manager and the two observers.

Steps in the exercise

There are three steps in the exercise:

Step 1: The HR manager meets the marketing manager to gather all the relevant and up-to-date information on the job profile of the sales executives.

Step 2: The HR manager conducts a departmental meeting to decide on the induction of new or revised selection tools.

Step 3: The observers analyse and give feedback on the performance of the members in the role-playing session.

Case Study

Efficiency of Selection Process vis-à-vis Labour Turnover

Relyon is an insurance company with branches all over India. All the HR activities of the company are carried out by the HR professionals based at the headquarters of the company located in New Delhi. The hiring practice of the company is that the HR staff at the central office recruits the personnel for the managerial cadre for all its branches and leaves the recruitment of other cadres to the managers in charge of their respective branches. The company recently opened a branch at Rameswaram in Tamil Nadu.

Amitabh, General Manager (HR), posted Arvind as the manager for the recently opened branch. In conformity with the company’s hiring practice, Arvind recruited other personnel for his branch. But within one year of its operation, this branch witnessed a high labour turnover. The turnover rate was much higher than the company’s overall average of 10 per cent. Posts like accounts officer turned over four times while computer operators worked only for a few months and this was the case with the salespeople, who, on an average, lasted only for a few months. The head office took a serious view of these developments.

The branch manager was called to the HR department of the head office to explain the reason for such a high labour turnover in his office. Amitabh, the HR General Manager, asked Arvind about the hiring practices adopted by the latter for choosing employees for his branch. Arvind explained that he made an initial assessment of the candidates on the basis of the information provided by them in their application forms. Those who met the minimum criteria set for the job were then called for an unstructured interview. During the interview, the candidates were asked questions relevant to their field to measure their knowledge, skill and proficiency in the job.

Arvind mentioned that he critically observed the candidate’s sitting posture, how he presented himself, his initial remarks, his mannerisms and also his attire. These factors had a decisive influence on his final assessment of the candidate. The candidate was also quizzed about his real intention for joining this company and also his career plans. Finally, a ranked list on the basis of the interview performance was prepared and the job offer given to the selected candidates.

Amitabh, who listened attentively to Arvind, was neither satisfied nor dissatisfied with Arvind’s explanation but began to think seriously about the possible role of the selection process in contributing to the high labour turnover.

Discussion questions

1. What is your opinion of the hiring policy followed in Relyon?
2. What is your assessment of the hiring practices adopted by Arvind?
3. State the recommendations you would make to Arvind for improving his hiring practice.

Notes

1. Sunit Arora, “How to Hire for a Fit,” Business Today, 7–21 January 1996, pp. 68–70.
2. Dale Yoder, Personnel Management and Industrial Relations (New Delhi: Prentice Hall of India, 1972), p. 229.
3. David A Decenzo, Personnel/Human Resource Management (New Delhi: Prentice Hall of India, 1996), p. 147.
4. H. Koontz and C. O’Donnell, Principles of Management (New York: McGraw–Hill, 1972), p. 418.
5. Thomas H. Stone, Understanding Personnel Management (New York: CBS College Publishing, 1989), p. 173.
6. Arun Monappa and Mirza S. Saiyadain, Personnel Management, 2nd ed. (New Delhi: Tata McGraw–Hill, 1996), p. 135.
7. Wayne F. Cascio, Managing Human Resources: Productivity, Quality of Work Life, Profits, 6th ed. (New Delhi: Tata McGraw–Hill 2003), p. 247.
8. Milton M. Blum, Industrial Psychology and Its Social Foundations (New York: Harper and Row, 1956), p. 257.
9. Lee J. Cronbach, Essentials of Psychological Testing (New York: Harper and Row, 1960), p. 21.
10. V. S. Shanthamani and A. Hafeez, “Study of the Use of Psychological and Other Tests in Industry,” Indian Administrative and Management Review, 7, no. 1 (1975):13–15.
11. Alec Rodger, The Seven-Point Plan (London: National Institute of Industrial Psychology, 1952) referred by Richard Proctor in “Recruitment: filling the gap,”; http://www.unesco.org/webworld/ramp/html/r8722e/r8722e0w.htm.
12. G. Roberts, Recruitment and Selection: A Competency Approach (London: Institute of Personnel and Development, 1997).
13. Michael A. McDaniel, D. L. Whetzel, F. L. Schmidt and S. D. Maurer, “The Validity of Employment Interviews: A Comprehensive Review and Meta-Analysis,” Journal Of Applied Psychology, 79, no. 4 (1994): 599.
14. Walter Dill Scott, Robert C. Clothier and William R. Spriegel, Personnel Management: Principles, Practices and Points Of View (New York: McGraw-Hill, 1977), p. 85.
15. P. C. Pant, “Interviewing: A Tool for Selection and Placement,” Indian Management, 29, no. 7 (1990): 16–18.
16. M. Srimannarayana, “Human Resource Management in Small Business,” Indian Journal of Industrial Relations, 41, no. 3 (January 2006): 318–322.
17. N. R. Chatterjee, A Study of Some Problems in Indian Industry, Department of Business Management and Industrial Administration, University of Delhi, 1965.
18. M. Srimannarayana, “Human Resource Management in Small Business,” Indian Journal of Industrial Relations, 41, no. 3 (January 2006): 318–322.