Framework for improving and measuring quality of hire

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© Copyright 2011 Avanade Inc. All Rights Reserved.

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CareerXroads FY12 Quality of Hire survey of Recruiting Leaders 75.6%do not or minimally track Quality of Hire. Out
of the Companies that do only 16.1%used test scores during the interview and assessment process.
According to the 2012 survey, Inc. 500 CEOs feel that the difficulty of finding good employees hinders growth more than
anything else. They gave “finding talented workers” a severity rating of
3.31 out of 5(66%), putting it ahead of other obstacles like “keeping up with demand” and “domestic competition.”
A 2012 Corporate Executive Board Survey on How effectively does your recruiting
organization measure quality of hire? shows more than 86%don‟t measure or do
it very well.
A recent HCI Study found 77%of survey respondents cited Quality of Hire as the most „important‟ metric to their jobs
and function, and yet only 34%subsequently said they had „access to reliable data‟ needed to form this metric.
A Staffing.org Impress the CEO Survey of C-Level executives rated new hire quality as the #1most important HR
performance metric out of 20 possible metrics. It was rated 9.6/10

Can‟t find Answers
I can’t control the outcomes past
hire!
Employee’s get headhunted away….
Poor onboarding experience….
Poor employee performance….
Employee’s get reassigned….
Bad career manager….
Not a cultural fit…
Boring work….
Etc…..

Can‟t find Answers?
I can’t control the outcomes past
hire!
Employee’s get headhunted away….
Poor onboarding experience….
Poor employee performance….
Employee’s get reassigned….
Bad career manager….
Not a cultural fit…
Boring work….
Feels like trying to
‘Boil the Ocean’

+
„Boil the Teacup‟ not
the Ocean
by
Finding the key
Anchors!

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Avanade
Data
Ahead

 Competency Assessment
Challenges
“We do a pretty good job of
assessing a candidates Technical
capability but we are challenged at
Consistently evaluating the
candidates softer skills”
 Quality vs. Quantity
 Scalability and Capability
 Proactive vs. Reactive
Recruiting
Attrition Data Points
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‘Voice of the customer’
feedback: Common themes
Major Theme

Additional Business Value
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Creating a Scenario in our WFP tool, a positive shift in attrition by 4.2%
Positively impacts Company Revenue by 3.2% (40million))
Modeled Forecasting

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“Why was Solomon recognized as
the wisest man in the world?
Because he knew more stories
(proverbs) than anyone else.
Scratch the surface in a typical
boardroom and we’re all just
cavemen with briefcases, hungry
for a wise person to tell us stories.”
—Alan Kay, Vice President at Walt
Disney
“Stories are the single most powerful weapon in a leader’s
arsenal.”
—Howard Gardner, Harvard University
Build your Stories to the Foundational key Anchors!
Avanade

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=
Avanade Quality of Hire (QoH) Mission Statement
Creation of a worldwide interview assessment methodology that
consistently measures a candidate‟s Avanade competencies,
behavior's, technical capability and cultural fit, against each of our
workforces.
The result is Improved new hire Performance and helps
Reduce Attrition in the first 12 month‟s of employment.

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Quality of Hire Plan/Framework

Avanade QoH Assessment Framework
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Quantity
QualityBetter Fit Lower Attrition Higher Performer
Business Intake & Sourcing Strategy Discussion
Final In-person interviews
Candidate Online Assessment (Psychometric Test Pilot VP+ only)
Business Technical & Functional Assessment (2nd)
Business Competency Assessments (1st)
Recruiter Pre-Screen (Competency + Functional)
Job Application Quality Pre-Screening Questions

Competency/Behavioral Based Interviewing
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Structured interviews such as competency-
based interviewing have been found to be
more than twice as effective than
unstructured interviews at predicting a
candidate‟s performance within a given
role.
[source: CBI-Smart.com]
Very labour intensive to do correctly.
Time to document the question
+
Time to document the answer
+
Can take forever to collect the proper
feedback
Pro’s
Con’s
I don‟t
have time

 45minute Online self serve
 Role play videos on good and bad
assessment techniques
 Anchors Competency/Behavioral
Based Interviewing to our own
company competency based
framework
 All interviews must complete and pass
test certification
15
.
Traditional Training Approach
1. Interviewing 101 Certification
2. Diversity and Inclusion (Module)
3. Experienced Advanced Interviewers(Module)

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Embracing Transparency!

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Hiring managers are not always completely forthcoming with candidates. In fact, more than
30%of hiring managers admit they were less than accurate when describing day-to-day
job experiences to candidates.
New hires confirm these inaccuracies, with almost 40%of new hires reporting that they
received less-than accurate information about the job when they were applying.
In addition, new hires who are not confident that they made the right decision are 22%less
engaged and 46%less likely to stay with the organization than their peers who feel they
made the right call.
White Paper Study
Win-Win Selection Decisions
Setting Expectations – Unmanaged Attrition

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Interview/Assessment Scheduling Process
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Avanade Competency Assessment Interview Guides
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Communication Style
Income and Class Level
Educational Achievement
Work Style
Religion
Thinking Style
First Language
Sexual Orientation
Gender Identity
Military Status
Organizational Role and Level
Work Experience
Geographic Location
Family Status
Age
Sex
Race
Disability
Size
Ethnicity
Gender Expression
Avanade
Diversity Tree
broadening understanding visually
D&I Phase 1 - QoH
 % Targets = Total Hires by
Avanade and workforce
are Women
 50% of Director+ Interview
slates contain Women and
include a Avanade female
interviewer.

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.
Measurement will require multiple data
points going forward to help inform
directional improvement in QoH.
Performance QoH Metric = (APR + AE + HMS + ER) / N
 APR = Avg. Performance Rating for new
employees in first 12 months
 AE = Employee Performance as a % of
Achieves Expectations of performance in first
year.
 HMS = Annual Hiring Manager Survey
Q:“Overall quality of New Joiners”
 ER = % of Employee Retention first 12
months of employment.
 N = Number of indicators used.
Example total Avanade QoH Metric:
APR= 68% + AE= 94% + HMS= 80% + ER= 90% / N = 4
QoH = 83%
Avanade QoH Metric‟s and KPI‟s

Avanade Quality of Hire (QoH) KPI‟s
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Performance QoH Metric =
(APR + AE + HMS + ER) / N

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Data Compression & Perception
Highest = 83%
Lowest = 62%
Performance Management
New
Hires

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Performance Management
Data Compression & Perception
Highest = 83%
Lowest = 62%
New
Hires

Revised - Avanade Quality of Hire (QoH) KPI‟s
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Retention/Attrition
Performance Promotions
Business Satisfaction
1
2 3
4

Lesson‟s Learned so far……
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Don‟t
underestimate
the amount of
change
management
required!
Don‟t Over
engineer the
solution. Make it
Easy to
communicate,
understand and
apply!
(See Cheese).
…It takes time
to successfully
measure
QoH progress
Quality of Hire…

28
Thank you
Q & A

Framework for improving and measuring quality of hire

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