The Management
Assessment Process:
Is it really only
interviews
and reference
checks?
Despite
decades of research and trial-and-error, there remain only 2 methods that are confirmed and widely accepted to be worthwhile in appraising
management level candidates. These are: exhaustive interviews
with senior decision makers and in-depth reference checking.
Background
confirmation, however, is not much used as an actual appraisal
technique since it is meant to verify information obtained from resumes
and interviews. Reference checks are useful for deciding to
eliminate someone from consideration or for discovering information
that will help the new employer better work with the person.
That leaves the
management interview as the preeminent technique for assessing and connecting with
executive candidates. And for good reason, studies done
over decades have shown conclusively that structured interviews
conducted by experienced professionals have the greatest predictive
ability for complex positions.
“New-and-Improved” Systems
Over the years,
a vast number of new assessment systems have been developed by
intelligent and usually well-meaning people. Some of these
techniques, such as personality tests and assessment centers, have proven
useful for assessing entry level and junior candidates.
Unfortunately, they have been shown to be too general and simplistic
for use in predicting the actions and performance of more experienced (and wily) management people for the
complex roles they fill.
Interview Reigns Supreme
The only method
shown to be highly predictive for assessing management level candidates
for leadership roles is the interview.
There has been
much said over the years by HR consultants about the best interview
method; structured interviews, behavioural interviews, situational
interviews, experiential interviews, on and on. All have been
studied and discussed endlessly. While there are elements of each
style that seem useful in particular situations, there has not been any
one style shown to be better in assessing all people for all positions.
This is
naturally so for management roles which are extremely complex and
highly unique. Assessing candidates to run a semiconductor plant
is very different will be very different from appraising people to
oversee an animation studio. A fast-growth start-up will need
very different management skills than a long established institution,
even though they may be competing in the same industry. Within
the same organization, most would agree that the CFO needs very disimilar aptitudes than the
Head of Sales.
As well, it is
clear that candidates for senior management positions are clever and
generally know how to make themselves seem appealing in
interviews. You can bet they will use their experience to their
advantage. Therefore, interview styles need to adapt and evolve
in order to challenge and interest interviewees.
How Many Interviews?
Given that leadership positions are multifaceted and highly
distinctive, it is critical that candidates are assessed by multiple
decision-makers with multifaceted backgrounds. The hiring
decision needs to be a consensus one among a small group of experienced
and motivated senior managers.
The question then becomes what is usually the right number of
interviews required to receive the right outcome. The number
needs to be balanced by the needs of the organization and of desirable
candidates.
Based on studies and years of experience, the ideal is 3 thorough
interviews conducted separately by 3 suitable managers. Let us
discuss the different aspects of this practical rule-of-thumb.
Three interviews are best.
Who are suitable to interview?
Interviewers should
usually be more senior in the
organization than the candidate being interviewed. In some cases,
a manager at a similar level could be part of the assessment team if
that person is critical to the success of the position.
People in positions less senior to that being assessed should not be
part of the interview process. Not only may they not have the
experience or motivation to make a suitable assessment but their
involvement might put the relationship with the candidate at
risk.
Successful leaders
have no lack of options in their careers and are assessing the new
organization as much as they are being assessed by it. If the
person is given the impression that either he or the position is of
reduced significance, his interest in the role will be similarly
reduced. This is especially so in Asia where people are more
status aware.
Appraisers should also have somewhat differentiated backgrounds so they
can appraise different characteristics. It is fine for a
salesperson to be assessed by a couple of good sales managers, but
candidates for the VP of Sales role needs to be assessed for a broader
spectrum of skills.
In all cases, the interviewers should have a direct interest in the
success of the position. Studies have confirmed what most people
would agree is common sense. If someone does not view the
position as important or is distracted for some reason, he will not
make a positive contribution to the selection process.
What if less than 3 interviewers are
available or suitable?
In today’s lean organizations or mid-size companies, it happens more
often that 2 senior people must make hiring decisions on their
own. In emerging countries such as Asia, it is not uncommon that
key country management positions are filled by a Regional Manager and
one other person (usually the regional HR manager or a more senior
person from the global head office).
In these circumstances, effort should be taken to differentiate the
environment of each interview. An initial meeting might be held
in the hotel business center, a second in a private office and the
third over restaurant dinner. Another very useful idea is for the
candidate to be flown to the regional office for final meetings.
What if more than 3 people want to be
involved?
It can happen in larger
organizations in particular,
that several people are determined to be important in the assessment
process. In some cases, there may be good reasons for wanting
more people to feel they are part of a key hiring decision since more
people will depend on the success of the new hire. In other
cases, it may be for learning purposes so an internal manager gets
experience interviewing management candidates.
There are a multitude of good reasons for increasing the size of
the hiring team. But it should be clear that each additional
person beyond 3 will result in added complexity that may not improve
the assessment decision or the outcome of the hire.
The
larger the group, the more convoluted and time-consuming will be the
overall process. The cost in executive time increases not only
because more people are involved but the amount of time required of
each person also increases. Through all of this, the motivation
of interviewers toward the process (a significant factor in success)
can be greatly reduced.
Since
many more opinions are involved, the number of candidates required
up-front can be huge since a greater number will be disqualified in the
process – for narrow sectors the number required may be more than are
available. Further to this, an increased number of candidates
will resign themselves from the process either because of a bad
interview experience or concern about how their time is used.
MANAGEMENT RULE:
The
Rule-of-Three-Interviews has statistical backing as the number most
correlated with hiring success. Increases or
decreases
to this number can be
done but at risk to the final outcome.
What about
Panel Interviews?
Group interviews are often a better idea when
a larger than ideal number of people need to be
involved in a hiring process. They are generally used at a later
stage when a candidate has passed initial screenings.
Panel
interviewers are able to confront each other’s assessments and thus
reach better decisions. The technique also reduces the number of
suitable candidates lost due to the duplication and fatigue caused by
too many separate interviews.
The Final
Decision
As long as the
number of people involved in the assessment is not too many, key decision makers
should agree unanimously that a candidate will make a strong contribution to the
organization. If even one assessor has a strong objection to the
candidate, then usually this will be deal breaker and the process needs
to be started all over again.
Hedging Interview Investments
The interview
process is time consuming and emotionally exhausting for senior
managers. Unless managed properly, it is also a great risk
whether the position will be filled at all, let alone by a person who
is later found to be successful and happy in the role.
A frightening
outcome might be to expend months of valuable management time focusing
on a single star candidate who is later found to be unsuitable for the
position or turns down the opportunity.
In order to
have the highest probability of a superior result, it is important that
multiple candidates be put through the same interview process
simultaneously. The purpose is to maximize the odds that suitable
candidates are found who are also interested in joining the
organization. For it to be successful, the system below needs to
be transparent and sincere to all candidates.
The Candidate Short-List Method
1.
Working with an executive search consultant or a strong internal
recruiting team, it is necessary to source 4 to 6 candidates with
appropriate basic skills and experience to do the role and who have
expressed possible interest in the position.
2.
After reading detailed reports for each candidate created by the
search consultant, the hiring team decides upon a short-list of 3 to 4
people for comprehensive individual appraisals.
3. The members of the hiring team conduct separate
interview assessments for each short-listed candidate to determine who
will be most appropriate for their organization.
4. Results of the individual appraisals are discussed
and, ideally, 2 or 3 candidates are deemed suitable and ranked by
degree of interest.
5. A job offer is presented to the candidate
considered of highest interest. Other candidates are kept interested during salary negotiations until final agreement is made.
6. Secondary candidates are informed of the outcome
but sincere effort is made to keep in contact in case of later problems
with winning candidate.
It is not
uncommon for different hiring managers to have different opinions of
who is most suitable for the position. There can be much heated
debate about who should be hired. This can be healthy to the
process since all issues can be put forth as part of the discussion.
It is important
to explain the process to all candidates involved so they are aware
that other candidates exist and there is no perception of
duplicity. It should be made clear that the determination is a
matter of finding a unique fit within an organization and not who is
better or worse. No candidate should ever be given the impression
they are substandard or less of a manager than another.
MANAGEMENT RULE:
Be nice to all
candidates. You will need them in the future and it is the right
thing to do.
Executive Search
& Management Consulting:
Chalre
Associates provides its Executive Search and Recruiting services throughout the emerging countries of the Asia Pacific
region with specific focus on Philippines, Singapore, Malaysia, Indonesia, Vietnam, Cambodia, Laos.
We are
proactive and well known in our sectors of focus. Regional
Managers use us to help bridge the gap between local environments and
the world-class requirements of multinational corporations.
C
o n t a c t U s
+632 892 6703 
+63 908 880 4178 
leaders@chalre.com
Asia CEO Forum
Asia CEO Forum presented by
PLDT ALPHA Enterprise is the largest regular business event in
Philippines and considered one of the most important in the Southeast
Asia region. The forum serves as a hub for the spreading of ideas that
help executive managers overseeing enterprises across the Asia Pacific
region.
Attendees are both expatriate and Asian management personnel overseeing
multinational and regional organizations. Held in Philippines,
presenters are leaders in their industries and engaged in momentous
pursuits of significance to the entire region.
Asia CEO Forum is
operated as a CSR (Corporate Social Responsibility) activity of Chalre
Associates, one of Southeast Asia's most prominent senior management
executive search firms, to promote Philippines as a premier business
destination in the Asia region.
Click Here
to go to Asia CEO Forum
now!
Asia CEO Awards
Asia CEO Awards presented by American Express
represents the grandest alliance of local and
international business people ever created to promote Philippines on
the world stage. As one of the largest events of its kind in the Asia
Pacific region, it is considered a must-attend occasion for business
leaders active in Southeast Asia.
The star-studded Board of Judges of Asia CEO Awards give away
10 awards to many of the most accomplished leadership teams and
individuals currently operating in Philippines and the region. The
awards recognize extraordinary leaders who have demonstrated
outstanding achievement for their organizations and contributions to
others.
As one of the fastest growing nations on the planet, the world's
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annual gala was established as a natural outgrowth of Asia CEO Forum,
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SPECIAL
DOWNLOADS:
Media organizations throughout the world call
upon the Principals of Chalre Associates for
thought leadership. Below are some examples of published material
written by our consultants or international journalists who refer to
them. For a complete list of published work, Click Here.
Getting Ready For The Deluge: Outsourcing in
Philippines
by Chalre Associates senior
staff
Download [PDF
file, 62KB]
The Economist Intelligence
Unit of the Economist magazine asked Chalre Associates' Chairman,
Richard Mills, to write a chapter about the Philippine outsourcing
sector in its annual Business Guide Book. The material provides a
Executive Briefing on the progress and major issues facing this
industry that is certainly one of most significant growth stories in
the world. more
Asia Pacific Mining
Conference 2007 - Report
by Chalre Associates senior
staff
Download [PDF
file, 28KB]
The 7th Asia Pacific Mining
Conference put on by the Asean Federation of Mining Associations was
perhaps the largest such event in the region. Richard Mills,
Chairman of Chalre Associates gave this
report on what was said by the prominent mining people who presented. more
The State of BPO in
Philippines: Dan Reyes Speaks
by Chalre Associates senior
staff
Download [PDF file, 31KB]
Richard
Mills, Chairman of Chalre Associates,
interviewed Dan Reyes of Sitel for ComputerWorld (US) recently to get
his views on the state of the BPO industry in Philippines. Dan
presented US readers with compelling information to support his view
that Philippines is currently seen as the "Number 1" option by global
companies sending BPO work to offshore destinations.
Dan Reyes is easily one of most experienced Business Process
Outsourcing (BPO) managers in the Asia Pacific region and the world. He
is head of the extremely successful Philippine operations of Sitel, the
world's largest call center organization. Among other things, he is a
founder and former president of the Business Processing Association of
the Philippines. more
