10.5 Common Decision-Making Models
HR managers have access to many tools to guide their hiring choices. In most cases, multiple tools will be used, and the HR manager will have to decide how to combine the results of these different tools to make a decision. In this section, we discuss three decision-making models that can be used to arrive at that final decision.
The decision-making models we are going to discuss are:
- Compensatory decision-making model
- Multiple cutoff model, and
- Multiple hurdle model.
Each of these models uses a statistical approach to combine applicant information. We can make better decisions when we make use of statistically based decision-making models.
In the compensatory model, the applicant information is weighted. We need to weigh the scores of the various selection tools according to their importance. The best way to do this would be to have the managers logically determine the appropriate weights based on their experience.
Compensatory Model Example
For some jobs, the ability to work in a team might be more important, while in others, knowledge of a specific computer program is more important. In this case, a weight can be assigned to each job criterion listed.
For example, if the job is a project manager, the ability to work with the client might be more important than how someone dresses for the interview. In the example shown in Figure 10.5.1, “Sample Selection Model, with Sample Scores and Weighting Filled In,” the dress is weighted 1, while being able to give bad news to a client is weighted 5. In the example, the rating is multiplied by the weight to get the score for the particular job criteria. This model permits a high score in an important area to compensate for a lower score in another area.
A compensatory approach may work like this: you and the hiring team review the job analysis and job description and then determine the criteria for the job that are important for the decision-maker. For example, hiring could include experience, education, skills, and cultural fit. You assign weights for each area and score ranges for each aspect of the criteria, rate candidates on each area as they interview, and then score tests or examine work samples. Once each hiring manager has scored each candidate, the hiring team can compare scores in each area and hopefully hire the best person in the best way.
A sample candidate selection model is included in Figure 10.5.1
| Job Criteria | Rating* | Weight** | Total | Comments |
|---|---|---|---|---|
| Dress | 4 | 1 | 4 | The candidate dressed appropriately. |
| Personality | 2 | 5 | 10 | Did not seem excited about the job. |
| Give an example of a time you showed leadership. | 3 | 3 | 9 | Descriptive but didn’t seem to have the experience required. |
| Give an example of when you had to give bad news to a client. | 0 | 5 | 0 | Has never had to do this. |
| Tell us how you have worked well in a team | 5 | 4 | 20 | A great example of teamwork was given. |
| Score on cognitive ability test. | 78 | 5 | 390 | Meets minimum required score of 70 |
| 458 | ||||
- *Rating system of 1-5, with five being the highest
- **Weighting of 1-5, with five being the most important
“5.14 Combining The Test Results Information” from Human Resources Management – 3rd Edition by Debra Patterson is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted.—Modifications: Used section Compensatory approach, edited, added additional detail.
