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Why Companies Use Employee Assessments

They want to hire the right person for the right job

  • 95% of applicants will "exaggerate" to get a job during an interview.

  • More then 50% of all job candidates misrepresent their qualifications on their resumes.

  • Most hiring decisions are made in the first 5 minutes of an interview. 

    • This means decisions are made on first impressions and many people become employees for the wrong reasons - leading to a multitude of problems. During interviews, interviewers often confuse someone they would like as a friend with someone who will be a good employee.

  • 2 out of 3 new hires will disappoint in the first year.

They want to hire dependable people

  • Employee theft is a growing problem and contributes to many business failures.

  • Drug use affects employee performance.

  • Attitudes toward work and work ethic affect productivity.

  • Absenteeism and tardiness increase the cost of doing business.

They want to increase productivity

  • People are most productive when their work matches their thinking style, occupational interests, and behavioral traits.

  • Teams and departments function better when their leaders have information about team members strengths.

  • Factors that negatively affect productivity, such as stress, tension, and conflict, are significantly reduced when assessments are used.

They want to reduce the rate of employee turnover

  • 2 out of 3 employees would rather work somewhere else.

  • Turnover cost businesses thousands of dollars for every departing employee.

    • Many businesses owners have overlooked the enormous costs of employee turnover and how it steals directly from their bottom line.

  • 80% of employee turnover is avoidable.

    • Almost every employer will cut the cost of expensive employee turnover when using Profiles employee assessment tools.

They want to eliminate the cost of avoidable legal actions

This is a case where "an ounce of prevention is worth a pound (or many pounds) of cure." Hiring the wrong person can turn into an employment nightmare.

  • 1 out of 3 businesses will be sued this year over an employment issue.

  • Employers can be held liable for their employees' behavior on and off the job.

  • Subjective hiring can lead to charges of illegal discrimination by rejected job candidates.

They want more effective use of their human capital

  • Employee Assessments give information that managers can use to coach, motivate, and manage people more effectively.

  • Assessments help companies find untapped talent within their organization.

    • A good employee may not be performing well simply because of a poor Job Match. Put the same employee in a job for which he/she is has an affinity and watch their job performance improve dramatically.

  • Employee testing can reduce a companies "people problems".

  • Employee assessments help companies achieve better employee cooperation.

    • When employees have a good Job Match they are far less likely to become stressed, be unhappy, complain, or have grievances against their employers

  • 60% of a manager's time is spent fixing people problems and 40% working to reach the companies' goals.

They want to achieve the results that come from "Job Fit"

  • Assessing behavioral traits yields a 38% assurance of Job Fit.

  • Adding a thinking abilities assessment results in a 54% Job Fit.

  • Adding assessments for occupational interests increases Job Fit to 66%.

  • Add the use of a Job Match Pattern and you get outstanding employees 75% of the time.

They want to improve their decisions

  • Better decisions result from having more complete information about job candidates and employees. Employee testing provides this information.

  • Good decisions are reached faster, saving time and money.

  • Assessments are important tools in promoting and succession planning decisions.

  • Training programs become more effective when tailored to the specific needs and characteristics of an individual.

    • The idea that a cross-section of employees respond positively when provided with the same type of training is passé. To be effective, training must be tailored to each individual.

In Summary

  • Most companies spend between 50%-60% of their income on people costs

    • This means there is tremendous potential for increased profits when efficiencies in Human Capital are achieved through the use of employee assessments.

  • Peter Drucker says, "Chances are good that up to 66% of your companies hiring decisions will prove to be mistakes in the first 12 months."

    • This does not mean that they ( the mistakes) will leave in fact most will stay (unfortunately). They do not leave and this is the problem!

    • Many people, while not performing a job in an excellent manner, do a good enough job to avoid being terminated. Thus, a company comes to accept that "average" job performance is an acceptable standard.

Given The Facts -Why Don't All Companies Use Employee Assessments?

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