As thousands of graduating university students hit the "send" button with their CV's, many of the top performers will be wondering if the time, energy, cost and sacrifice was worth it? Not necessarily, is the unfortunate news.
As thousands of graduating university students hit the "send" button with their CV's, many of the top performers will be wondering if the time, energy, cost and sacrifice was worth it?
Not necessarily, is the unfortunate news from one firm that specialises in assessing recruits. Multinational group SHL has dredged up some 2001 research findings to remind employers that academic results don't always translate into workplace performance.
For those who only just scraped through their degree or other qualifications, maybe spending a little too much time on extra-curricular activities, this will be welcome news.
WA Business News has its own reminder, of course. Good results at least open doors - which is half the battle when it comes to employment ... even in a skills shortage like we have today.
Below is SHL's full press release.
Academic scores not the best predictor of graduate performance in the workplace
With about 190,000 graduates due to hit the job market in the coming months, employers are being warned academic scores are not the best predictor of success in the workplace.
SHL, global objective assessment leader, says the steep cost of hiring the wrong graduate means organisations need to take greater care when selecting job candidates.
"The expense of hiring the wrong graduate is high, costing employers around $75,000 or one and a half times a graduate's salary,'' says Sarah Kearney, SHL managing director.
"To hire the right graduates, the conventional method of looking only at academic results is no longer enough," Ms Kearney says.
Although university results indicate how well a graduate performed academically and suggest how conscientious they may be, they don't always translate into on the job success.
For greater insight into a graduate's potential and how well they are suited to an organisation, SHL recommends a rigorous and fair assessment of applicants. This could include a combination of ability tests, personality questionnaires and structured behavioural interviews that specifically measure the competencies needed for success in a graduate role.
"Using objective assessment means graduates from different universities that use different scoring methods can be fairly compared," Ms Kearney says.
"Recruitment methods that use cognitive ability tests and structured job interviews have actually been proven* to be more valid predictors of job performance than education and academic achievement,'' she says. "Assessing graduate candidates for behavioural preferences and organisational fit is also important and this information can not be gained from looking at academic results.''
SHL uses a system called Ability Screening Online that screens out unsuitable applicants early in the process via online assessment.
Ability Screening Online generates randomised ability tests so applicants can complete them in an unsupervised environment, such as at home, reducing the resources needed of graduate recruiters. The randomised nature of the system means there is a one in 230 billion chance of two graduates sitting exactly the same test, minimising the risk of cheating. While each test is unique, they are of a comparable level and provide a consistent way of measuring numerical and verbal reasoning skills.
"The ability to randomly generate tests minimises the risks associated with graduates becoming too familiar with the assessments after sitting tests for different graduate programs, and sharing information with their peers," Ms Kearney says.
The Australasian Graduate Benchmarking Study shows 71% of organisations now use objective assessment for graduates, with 52% conducting assessments online - a trend which is growing.
While organisations are embracing graduate testing, Ms Kearney says it is important they remember the graduates as well as the process, and create a positive experience for all candidates.
"Every graduate applicant - whether successful or not - is a potential future client of the company so it is important that organisations use the graduate recruitment process as an image building and branding opportunity," Ms Kearney says.
"Organisations can do this in a number of ways such as using cutting edge technology for testing, clearly communicating the process to candidates, and by offering feedback to unsuccessful short listed applicants," she explains.
Assessment results of successful candidates can also be used to generate structured development plans for their future within the organisation - an important consideration for young job seekers choosing an employer organisation.
*Source: Journal of Occupational and Organisational Psychology (2001), 74, 441 - 472. Robertson, I.T & Smith, M.
