Organizational Decision Making and Problem Solving

Question 1

Designing your selection system strategy

Answer 1

• selection strategies may be based off business strategies

- important to find the right person

Question 2

Personnel selection

Answer 2

• the process of determining those applicants who are selected for hire versus those who are rejected

Question 3

predictor cutoff (aka cutoff score)

Answer 3

• a score on a test that differentiates those who passed the test from those who failed
• score on the predictor that reflects the level of knowledge and ability that is needed to successfully perform a job
• often equated with the passing score on a test
• predictor-criterion correlation
• people above the cutscore are accepted for hire, people below the cutscore are rejected.

Question 4

criteria and predictor (in selection decision making)

Answer 4

• criteria = job performance

- predictor = selection measure (interview, cognitive ability test, work sample, etc)

Question 5

1991 civil rights act (on use of cutoff scores)

Answer 5

“it is unlawful to adjust the scores of, use different cutoff scores for, or otherwise alter the results of employment tests on the basis of race, color, religion, sex, or natural origin.”

Question 6

criterion cutoff

Answer 6

• a standard that separates successful from unsuccessful job performance

Question 7

true positives

Answer 7

• individuals who were correctly selected for hire because they became successful employees (above both predictor and criterion cutoff)

Question 8

true negatives

Answer 8

• individuals who were correctly rejected for employment as they would have been unsuccessful employees (below prediction (and criterion) cutoff and would have performed poorly if hired)

Question 9

false negatives

Answer 9

• individuals who were incorrectly rejected for employment as they would have been successful employees (above criterion cutoff but below predictor cutoff)

Question 10

false positive

Answer 10

• individuals who were incorrectly accepted for employment as they became unsuccessful employees (below criterion cutoff but about predictor cutoff)

Question 11

banding

Answer 11

• grouping together individuals with similar scores on a predictor
• a method of interpreting test scores such that scores of different magnitude in a numeric range or band are regarded as being equivalents
• based on standard error measurement
• ex: grades as A, B, C, D, F

Question 12

multiple hurdle (when multiple predictors)

Answer 12

• evaluating each predictor separately
  
  • must succeed in current predictor before moving on
• pros: fewer people
• cons: takes longer, cant make up poor performance

Question 13

composite of predictors (when multiple predictors)

Answer 13

• evaluating all or many predictors together at once
  
  • may need to determine weight of each predictor
• pros: more people, more money/time
• cons: faster, can fake poor performance

Question 14

multiple correlation

Answer 14

• combining several predictors and evaluating with the criterion
• can still use cutoff

Question 15

selection ration (equation)

Answer 15

selection ration = # hired / # applied

Question 16

what affects selection decisions? (5)

Answer 16

1. reliability and validity of the predictor
2. quality of criterion development (JA)
3. selection ration
4. cutoff score
5. banding

Question 17

utility

Answer 17

• putting a dollar value on selection

- a concept reflecting the economic value of making personnel decisions

Question 18

placememnt

Answer 18

• allocating people based on 1 predictor

- hire then decide where to place them

Question 19

classification

Answer 19

• allocating people based on several predictors