Why should organizations use psychometric tests?

The benefits of using psychometric tests as part of talent identification processes have been widely described in scientific publications as well as popular science. Despite evidence for increased objectivity, fairness, and ability to identify individual characteristics that predict job performance, confusion, and doubt around the usefulness of psychometric tests still exist. This is very unfortunate as the lack of using psychometric tests is likely to limit organizational success, as valuable information and data are being ignored. Some common areas of concern tend to be decreased candidate experience, increased drop-out rates, adding time to the process, and candidate profiles that all look the same. Based on research as well as own experience, these concerns are unwarranted, and in fact, the opposite tends to be true. When well developed psychometric tests are used correctly, organizations are able to make better and more objective talent decisions resulting in higher-performing employees and teams and increased diversity. At The Talent Company, we therefore strongly recommend using psychometric tests as part of talent identification processes as well as for building great teams and improve team processes. 

Test for talent identification

The most important aspect of making an assessment of a person, no matter if the purpose of the assessment is to evaluate job applicants, future leaders within your organization or successors for key positions, is accuracy. Having an accurate understanding of an individual’s strengths and development needs in relation to a specific role is key to making the right talent decision. To accurately assess an individual, we need to use methods that are objective and gathers relevant information, in the sense that the information we obtain is predictive of future job performance. Research shows that psychometric tests outperform most other assessment methods on both these criteria and is proven to provide unique insights to areas of talent. Not using psychometric tests as part of talent assessment processes means you are likely to miss out on valuable information that will make your talent decisions more informed and accurate. 

Test for teams

If hiring successful individuals can be difficult, building high performing teams can be even trickier. Truly understanding whom you have in your team and how the team members influence each other is key to understanding what the team needs and how the team can best work together. Psychometric tests can give you this insight and, for example, help you understand why some teams are performing better than others or do not collaborate effectively and seem to have more conflicts, etc. Psychometric tests can provide insight into what the team needs to do to improve their performance. In a team, function, or organizational context, psychometric tests can also provide you with unique data on what characteristics you might be lacking in a specific group, hence provide invaluable insights into future recruitment needs. 

If you are not using tests as part of your recruiting process, internal leadership programs, succession planning or for team performance purposes, maybe it’s time to start considering it. If you are already using tests, make sure that the tests you are using are of high quality, designed for your intended purpose and has been shown to predict what you are interested in predicting.

Don’t hesitate to reach out if you want to chat about psychometric tests, which ones to use or how to make accurate and scalable talent assessments in general. 

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