2020 has been a rollercoaster ride for business owners. In some cases, employers are having to downsize certain departments. And in others, the post-pandemic world is leading to increased demand for some positions. If your business is facing one of these challenges, how do you know if you’re letting the right people go? Are your current workers and new hires in the right position where their unique talents and passions will enable business growth? The Predictive Index talent optimization platform can bring clarity and insight into these recruiting and hiring issues facing business owners.
What is Predictive Index?
Predictive Index evaluates the test taker’s cognitive abilities and natural behaviors as they relate to the workplace. The assessment gives employers the ability to set a job target that reveals the ideal behaviors for a specific job, and helps them match candidates based on those characteristics. For example, you may need an employee with an eye for detail to fill a project manager position. With Predictive Index, you can set the job target for that characteristic to find a candidate with that natural ability.
For recruiters, Predictive Index helps them identify a candidate’s natural behaviors to see if they’d be a good fit for the company culture. With Predictive Index, business owners can rest assured that their new hires and current workers are in the right positions to help drive company growth and revenue.
What problems can Predictive Index solve for your business?
Listing a four-year degree, past experience, and referrals on a resume can only tell recruiters so much. Predictive Index looks at the whole person, not just their past experience and education. The software provides a cognitive score that reveals how fast the candidate processes new information, and what drives their natural behaviors. For employers, the assessment helps them uncover if the candidate will be a good fit for the company culture and if they have the ability to thrive in the position.
Research from the US Department of Labor has found that the average cost of a bad hire is about 30% of their individual earnings. So, for example, a bad employee earning a $60,000 salary would cost the company $78,000.
Employees who are a poor fit for the company culture can harm workplace morale. Workers who lack the needed skill sets or traits for the position and culture can cost the business money in several ways:
- Other team members have to pick up the unproductive employee’s slack
- An unproductive employee harms efficiency
- Good employees become disengaged
- Valued workers will become resentful, dissatisfied, and may leave
- An employee who’s a bad fit risks customer success and satisfaction
An unproductive employee who doesn’t have the skills and talents you need will waste a lot of time and money on training costs. With Predictive Index, you can avoid these issues from the start because the right people will be put in the right positions.
Initial training periods will not take as long, and the right employee is far more likely to retain what they’ve learned. A poor fit risks needing additional, costly training sessions. And it’s also likely they won’t implement what they’ve learned anyway. Predictive Index helps with employee training in other ways. It offers customized interviewing and coaching guides designed to dissect a person’s natural behaviors.
How does it work?
In essence, Predictive Index talent optimization is behavioral assessment designed specifically for the workplace. The software powering the test is backed by 60 years of behavioral science. Predictive Index gives employers two different tests to screen potential hires and better manage current employees — Predictive Index Cognitive Assessment (PICA) and Predictive Index Behavioral Assessment (PIBA).
These tests evaluate four main drives:
- Dominance – the drive to exert influence on people or events.
- Extraversion – the drive for social interaction with other people.
- Patience – the drive to have consistency and stability.
- Formality – the drive to conform to rules and structure.
Thousands of corporations use these tests to design high-performing teams. Having a knowledgeable team and cohesive company culture gives a business a competitive advantage. Let’s dive into what the different Predictive Index tests do in more detail.
PICA: Evaluating Cognitive Abilities
The PICA measures a person’s speed for processing new information. The main benefit of this test is that recruiters will know that candidates have the ability to thrive in the position they’re looking to fill. The PICA tests numerical, verbal, and abstract critical thinking skills with 50 questions.
A candidate’s cognitive abilities reveal if they can learn new information or skills and adapt quickly to changing workplace conditions. These skills are in high demand with many of today’s employers. The assessment results answer this crucial question, giving recruiters the confidence they need to make a good hiring decision.
PIBA: Assessing Behavior and Personality
The PIBA aims to uncover a job seeker’s natural behaviors and what motivates them to succeed. The test gives recruiters insight into whether or not those traits will help the candidate thrive in their new position.
In the PIBA, assessment takers are given two lists of adjectives. From the first list, candidates choose different adjectives they think others would use to describe them. Candidates select adjectives from the second list they’d use to describe themselves.
Based on the results, the PIBA generates a reference profile that acts as a behavioral roadmap for different employees. These reference profiles are groupings that illuminate the different characteristics of employees with similar motivations or drives.
PI Job Assessment: Valuable Insight for Recruiters
For recruiters and hiring managers, relying on gut feelings alone during the hiring process is a risky endeavor. Unfortunately, almost half of new hires fail within the first 18 months after starting a new position.
Job postings can tell candidates what skills they need to have and what tasks they’ll be responsible for. But they don’t tell candidates what type of behaviors and motivations will help them succeed at the company. PI Job Assessment is designed to help solve some of the disconnect between job postings and what traits the company actually needs.
With PI Job Assessment, recruiters and hiring managers, either alone or in a group, can create a customized job target outlining the specific behavioral traits the ideal candidate should have. Once the assessment is completed, Predictive Index generates a job target that serves as a guide to matching the right candidates with the right position.
Ready to optimize your business talent with Predictive Index? We can help.
Each of these talent optimization assessments from Predictive Index reduces the risk a company faces when hiring for new positions or restructuring old ones. Having aces in their places boosts and protects employee morale and engagement.
Employees can better understand the natural learning styles and motivations of their coworkers. This increases effective communication and strengthens relationships between team members. Businesses also lower the risk of wasting money on training or retraining unproductive employees. With the right talent in the right positions, a brand becomes leaner, meaner, and more competitive.
To recap, the main benefits of Predictive Index are:
- Design high-performing teams based on job targets
- Hire the right people for the job
- Inspire your team, and keep them motivated and managed effectively
Have you hired the wrong employee before? Let’s make those types of all too human mistakes a thing of the past. Contact us today. We’ll show you how to use Predictive Index talent optimization software to design high-performing teams.