Operations: Using The Predictive Index Assessment for Hiring
From May 4-6, 25 top health club leaders and six sponsors gathered in Louisville, Kentucky for the annual Club Solutions Leadership Summit at The Kentucky Derby. A variety of topics were discussed, including pricing strategy, technology, leadership and more.
During the leadership roundtable, the subject of hiring was brought up. Specifically, participants asked: What strategies can you use to identify potential leaders? And how can you ensure the people you’re hiring have leadership potential?
As a solution, moderator Blair McHaney suggested the company The Predictive Index, which provides a suite of workforce assessment solutions, such as behavioral assessments. According to The Predictive Index, their Predictive Index Behavioral Assessment “can predict a wide variety of personality characteristics that stem from personality factors like dominance, extroversion, patience and formality.”
When it comes to hiring or identifying a potential leader, these are all personality factors that should be considered and factored into your decision.
The Predictive Index argues that assessments like this bring objectivity to hiring and promotion. “Personality-based, or behavioral, assessments help reduce the subjectivity involved when employers only use interview techniques,” their website states. “An accurate personality-based assessment can provide objective insights into key personality traits intrinsically related to workplace performance. The insights help key talent functions avoid mistakes related to bias, politics, ‘gut decisions’ and chance. These types of errors can produce a litany of organizational issues that can devastate business results.”
Although you don’t have to use The Predictive Index’s assessment, you may want to consider using one of some type when making a decision to promote or hiring an employee. Doing so again, brings objectivity to the process, and can help minimize mistakes.
This important due to the potential cost of making a bad hiring or promotion decision. According to Forbes, “Well-known recruiter Jörgen Sundberg puts the cost of onboarding an employee at $240,000. And, according to the U.S. Department of Labor, the price of a bad hire is at least 30 percent of the employee’s first-year earnings. For a small company, a five-figure investment in the wrong person is a threat to the business.”
Keep these figures in mind as you make your next hire or look to promote a leader, and consider doing an objective assessment of some sort. Doing so could save you thousands.