How to Turn Reference Checking into an Effective Candidate Assessment Tool

How to Turn Reference Checking
into an
Effective Candidate Assessment
Tool
Yves Lermusi
(aka Lermusiaux)
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CEO of Checkster
Former president of Taleo
Research, from start to Taleo IPO
(TLEO)
Founder of iLogos (acquired by TLEO)
Named one of the “100 Most Influential People
in the Recruiting Industry”
Blog has been recognized as the best third
party recruiting blog
Spoke from New York to LA and from Paris to
Singapore at conferences with audiences up to
2,000 people
Quoted in Fortune, The Wall Street Journal,
Financial Times, Business Week, Time
Magazine…
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Who is Checkster ?
Provides online
Leadership Development
&
Pre-hire
Tools
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What you will learn
1.
2.
3.
4.
5.
6.
7.
8.
9.
What is a reference check?
Why use reference checking?
When to use reference checks?
For whom to use reference checks?
Who should be references?
What questions should be asked?
Legal issues
6 ref checking methods (&automation)
Summary & 2 core decisions
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1. What is a
Reference Check?
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NOT background check
Reference check
Background check
Check previous
colleagues’ opinions on
an individual’s
performance.
Checks background
information of
candidates. Typically
includes a drug check,
criminal check,
verifications,…
REASONS TO HIRE A
CANDIDATE
REASONS NOT TO HIRE
A CANDIDATE
Assessment
Red/green flag
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Successful Reference Check ?
Not only avoid a bad hire
But
Increase the chances of a quality hire
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2. Why use
Reference Checks?
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Are you performing Ref check ?
1.
2.
3.
4.
5.
Yes, for 100% of external hires
Yes, for 100% of external &internal
hires
Not consistently
Looking to start doing it
Looking to stop doing it
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What are the
criteria you use to
identify top
performance?
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How many
confused
performance
with experience?
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Hire and promote first on the basis of integrity;
second on motivation;
third on capacity;
fourth on understanding;
fifth on knowledge;
and last, and least, on experience.
Without integrity, motivation is dangerous
without motivation, capacity is impotent
without capacity, understanding is limited
without understanding, knowledge is meaningless
without knowledge, experience is blind.
Experience is easy to provide and quickly put to good
use by people with the other qualities.
Dee Hock, Founder of Visa
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Success rate outside vs. inside
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4 most accurate ways to screen (~0.5)
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Cognitive Ability
Work Sample Tests
Interview (structured)
Peer ratingÎReference Checkup
Source: The Validity and Utility of Selection Methods in Personnel Psychology Practical
and Theoretical Implications of 85 Years of Research Findings. Psychological Bulletin,
Vol. 124, No. 2, 262-274
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Why use Reference Checkup?
1. Best assessment method
Î Increase quality of hire
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Can be automated
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New use of technology
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Accurate, Fast & Affordable
Accurate Cognitive Ability
Work Sample Tests
Interview (structured)
Best Process
Reference Checkup
Job Tryout
Interview (unstructured)
Traditional
Reference check
Education & Experience
Guess
Graphology
Expensive or time consuming
Age
Affordable & fast
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Why use Reference Checkup?
1. Best assessment method
Î Increase quality of hire
2. Can be very fast & affordable
Î save time and money
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3. When use
Reference Checks?
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When do you perform reference checks?
1.
2.
3.
4.
At the tail end of the process, as
part of the background check
(typically on 1 candidate)
At the finalist stage, as part of the
assessment (typically on 2-5
candidates)
We don’t perform ref check
Other
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4. For Whom To Use
Reference Checks?
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All
positions
External hires
Internal promotions
Lateral moves
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5. Who should be
references?
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Hard References,… HR
Don’t contact the HR department…
Unless you want to verify facts
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Employment Verification
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Dates of employment
Salary
Title
Eligibility for re-hiring
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Most important !
Who you ask
4 criteria:
1. Freshness of relationship
2. Lengths of relationship
3. Closeness of relationship
4. Nature of relationship
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We Can Rely On Collective Feedback
If some conditions
are filled:
z
z
z
Diverse Opinions
Independent
Good method to
centralize opinions
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Who is more often right?
Studio Audience
Expert
91%
65%
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6. What questions
should be asked?
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One Critical Question!
Would you re-hire (or advise
to re-hire) the individual?
If no, why not?
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Open-ended questions about:
1.
Accomplishments
2.
Strengths
3.
Areas of improvements
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List of questions to ask
List of questions in our white paper:
www.checkster.com under Resources
(white papers)
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Material for recruiter
Probing questions
With the reference Checkup details the
interviewer can probe further:
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“Your reference described that you
accomplished X.
Could you describe what you did in order
to achieve it?”
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“ you are seen as being able to cope
with stress and pressure. Can you give
me some examples and what you did?”
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7. Legal risk?
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Organization’s side
Can you be liable if you
don’t check references?
Yes, if any injuries result…
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Organization’s side
Can you be liable when you
check references?
Yes, if you ask the wrong questions
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Reference’s side
Can you be liable if you
give false references?
Yes, “negligent reference”,
defamation,…
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Risk on both sides but rare
Giving
Getting
Too Much
Discrimination
Retaliation
Defamation
Discrimination
Not Enough
Misrepresentation
Negligent hiring
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Table adapted from: Legal, effective References – Wendy Bliss
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Do you need an applicant’s consent?
Highly recommended
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Avoid risk with new model
Checkster Model
Traditional Model
Candidate
Recruiter
References
Candidate
Recruiter
References
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Summary
Do reference checks (automated or
use questionnaires)
Î It helps reduce the risk
(discrimination and negligent hiring)
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Have applicant’s consent
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8. Six methods to
perform reference
checks
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6 methods:
More Technology
1. Letter
2. Face to face
3. Phone
4. Email
5. Search
6. Online Tool
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How do you perform Reference Checks?
1.
2.
3.
4.
5.
Letter/Face to face
Phone
Email
Internet search
Online Tool
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6 methods:
Truthful
Low work
required
Consistency
of report
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Phone

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Email

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
6
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3
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More Technology
Letter
Face to face
Search
Online Tool
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Telephone Process
Ask
Give ref. #
Report
Recruiter
Ca l
l
Candidate
References
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Checkster Process
Invite
Recruiter
Candidate
Invite
Report
References
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Automated
Traditional
Manual
Time consuming
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Summary
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2 Core Decisions
How?
When?
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Improve hire quality
Summary
3.
Telephone or face to
face before
final interviews
1.
Automated
before
final interviews
4.
Telephone or face to
face at
tail end of process
2.
Automated
at
tail end of process
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Save $ and decrease legal risk
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Thank you
www.Checkster.com
Contact: [email protected]
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