HR Pulse

The power of assessment centres

Assessment Centres date back to the early 1900’s and have been used across a wide range of organisations around the world. Assessment centres are typically described as a process that involves the use of multiple simulation exercises to assess the candidate’s behaviour in situations that mimic real-life work scenarios. The purpose of an assessment centre exercise is to generate measurable behaviours that are similar to those that are required by an individual to be successful in a target job.

Approximately 50,000 Assessment Centres are currently in operation across the globe (Schlebusch and Roodt, 2008), and a recent survey conducted by a&dc and Colorado State University (Hughes et al, 2012) found the Assessment Centre method being used in over 50 different countries, across all continental regions. However, in recent years some commentators have raised questions about the continuing effectiveness of Assessment Centres as an assessment method.

Here are some key reasons why Assessment Centres are still worth investing in:

Research has found that Assessment Centres consistently predict job performance (eg Hermelin, Lievens and Robertson, 2007). Assessment Centres have also been shown to have additional predictive power over and above cognitive ability and personality (eg Krause et al, 2006). Assessment Centres provide the opportunity to see what people actually do and say in work-related situations rather than relying on self-reported behaviour. Therefore the use of the Assessment Centre method alongside cognitive ability tests and a personality questionnaire increases the power of the assessment process to predict performance.

Fairness
Assessment Centres are perceived as fair and relevant by candidates, they show lower adverse impact than other assessment methods and are less susceptible to participant faking.

Allows for more detailed feedback to candidates
The level of detailed feedback that can be obtained from an assessment centre is significant in so far as it is not only useful in helping with the on-boarding process of the successful candidate but compares favourably to the limited developmental feedback available from ability testing.

Accurately assesses potential
Assessment Centres provide a means to effectively assess potential by putting candidates into situations that they may not have experienced before. One example of this might be the graduate pool of talent where there is no history or experience to refer to. Assessment Centres are equally effective at assessing the potential of existing employees to perform at more senior levels as in the case of leadership development and succession planning. It not only measures their strengths and areas of readiness for the next level but also highlights development areas and provides evidence of their blind spots.

Highly flexible methodology
The Assessment Centre methodology is hugely flexible, in that it can include technology and integrate other methods of assessment with incremental benefits (such as cognitive ability, personality and interviews). It has the potential to evolve alongside developments in organisations and the requirements of job roles for years to come.

There are several different types of exercises that one can use to assess competencies that will predict success in different roles and at different levels. Most of us know and are familiar with the variety of competencies that can be measured and the importance of ensuring that the exercises we use actually measure competencies that are required for success in the role. One of the most common types of Assessment Centre exercises is the in-basket exercise, where the candidate is given an opportunity to step into a new role and deal with challenging emails from the outside world, using their limited time to make decisions about what to focus on and how best to respond.

And the role play or simulation is a firm favourite amongst organisations that place a high value on the softer skills such as interpersonal sensitivity, flexibility, impact and the like.

But exercises such as case studies, fact finds and group discussions are growing in popularity. These exercises allow the assessor to evaluate the candidate in different settings such as when he is working alone, when he is presenting information to others, when he is interacting with one other person and when he is interacting with a group.

Each of these different situations may elicit different strengths and development areas for the candidate and the power of the prediction lies in determining which setting is most likely to be an accurate reflection of the job. All too often assessors fall into the trap of measuring the same competency in different settings only to average out the scores across the board. But what if the candidate isn’t required to work in a team? Or what if his role is 80% dependant on working in one-on-one situations with other people? In these situations one would choose the exercise setting that is most relevant to the requirements of the role while still paying attention to the appropriate level and the most applicable competencies.