DDI’s Talent Management Intelligence

Flatter Than You Might Think

By Brad Schneider, Ph.D.

On a recent trip to Buenos Aires, I was reminded just how flat the world really is. Traveling at night, you board a flight in Chicago, close your eyes, and when you wake up in the morning, you're there.  Even the time zone stays constant.

There are, of course, a few notable differences—in climate, language, and culture—but if you adapt to those differences, you can bridge critical gaps, ensure a smooth transition, and even leverage the unique strengths that each region has to offer.

The same strategy holds for organizations looking to expand and strengthen operations across the globe.  As economic climates ebb and flow from one country to the next, having the flexibility to conduct business in a variety of countries is not just a strategy for accelerated growth—it's a hedged bet that ensures stability.

The challenge is that operating in new countries presents new issues—and exacerbates a few old ones.  How do you ensure your brand is consistent across the globe? How do you ensure the caliber of your offerings and services are of the highest quality, regardless of where you do business?

The answer, of course, is ensuring that your internal processes are consistent across the map. For example, if your business differentiates on customer service, then hire global talent based on their ability to provide superior service to your clients. Ensuring a consistent selection process around the world—using employment testing to assess candidates motivations, skills and capabilities, for example—is the means for getting there.

Although cultural differences must be taken into consideration (e.g., client expectations regarding the effectiveness of employee service behaviors differ by country), pre-employment tests that have been translated and culturally adapted for each region of the world will already take these crucial nuances into account - ensuring that new hires in The Windy City and The City of Fair Winds provide the same brand positive experience to your clients.

Brad Schneider, Ph.D., is a Director of Global Testing Solutions with Development Dimensions International (DDI).

Will Opportunity Knock?

By Brad Schneider, Ph.D.

Opportunity passes by your door a thousand times a day……but it never stops to knock
   – Ben Vareen

It was 30 years ago when I saw Ben Vareen on the Tonight Show with Johnny Carson. I can’t tell you if he danced well or how he sang – it’s not what mattered.  What resonated with me – and what I vividly remember three decades later – is what he said to Johnny as they sat on the couch.

Just to drive the point, since 1954 there have been thousands of guests on the show. Some, such as Joey Bishop, have sat on that couch 177 times. I don’t remember any of them.

Fast forward 30 years, and I’m sitting in a hotel lobby in Dallas. As I glance at the counter, the cover story in USA Today reads that high unemployment has resulted in perhaps the most talented candidate pool of all time.

In fact, according to the U.S. Department of Labor, since 1948, unemployment has peaked 11 times, each coinciding with a brief recession.  As we sit on the verge of economic recovery – an S&P 500 that’s above 1000 and 50% up from it’s low back in March, ever decreasing new unemployment claims, and a housing market with new signs of growth, it doesn’t take a rocket scientist – or a great singer and dancer, for that matter – to figure out that unemployment is going to drop. As it does, the cream of the current candidate pool will be hired right off the top….by either you or your competition.

Organizations have a brief window of opportunity to quickly and efficiently identify top performers from among the crowd—using tools like employment tests—and bring them on board before their competitors hire the best of the best.

The only question is whether you’re going to let this opportunity pass by your door.

Brad Schneider, Ph.D., is a Senior Consultant with Development Dimensions International (DDI).

The Supreme Court on Ricci: Boon or bust for employment testing?

By Doug Reynolds, Ph.D.

I’ve been asked by several colleagues now about the implications of the Ricci case for hiring practices in the U.S. This is the one where the City of New Haven chose to discard the results of a promotion test for firefighters because it produced an adverse impact on protected classes who failed the test. The city was sued by a group of firefighters who passed the test, and the Supreme Court found in favor of the firefighters, citing that the city had engaged in disparate treatment by using race as a factor in their decision to throw out results from a validated test.

Some labor attorneys believe this decision will dampen enthusiasm for employment testing. My feeling is that this interpretation is short-sighted. The legal logic is that employers will see the decision as a damned-if-you-do-and-damned-if-you-don’t conclusion, with risk coming from all directions, so you’d might as well give up and not use tests at all (and pick fire lieutenants by lottery, perhaps?). 

For those who design selection procedures, the case means something much different. Employers use valid assessment tools because they add tremendous value and fairness to the process of making decisions about people. Decades of scientific research support this, and organizations that use well-designed tools stand by them even when the lawyers start sniffing around. In fact, the use of assessments has been steadily increasing over the past decade.

A better interpretation of the Supreme Court’s decision is based on the fact that the validity of the test was supported. To be clear, the New Haven test was far from perfect. However, the test designers did take necessary steps to map the test to the body of knowledge required for promotion, and outside experts in testing and in firefighting looked at the test and judged it to be reasonable and relevant. In the end, the court did not take issue with the validity of the test—giving employers who use valid assessments the confidence that selection decisions made based on a well-designed process can be defended.

Had the New Haven test not been validated, most people would never have heard of the Ricci case; the test would have been thrown out with good reason and the case would not have made its way to the Supreme Court. Sophisticated employers will continue to benefit from the value that objective and valid assessments provide, regardless of the shenanigans in New Haven.

Doug Reynolds is vice president of assessment technology at Development Dimensions International (DDI).