Using Recruitment Methods to Predict Performance
Today the cost of making a ‘bad hire’ is estimated at three times the starter’s salary – on average this is around $30,000; a significant cost-impact for any organization. But being able to predict how an employee will perform upon hire is challenging.
The process to source and select candidates is complex. HR professionals need to be able to evaluate the capabilities, characteristics, and motivations required for a role. Making incorrect decisions is easy.
Around two-fifths of organizations anticipate an increase in their recruitment and talent management budgets over the next year, reflecting increasing resource challenges and costs (CIPD, 2022 Report). In the following paper we look at the role of psychometrics and statistical analysis in recruitment selection methods.