CIPD - Psychological testing

Recruitment and talent management

Revised August 2008

This factsheet gives introductory guidance. It:

explains and defines psychological tests
sets out the key factors to consider in using tests
aims to promote high standards of professionalism in using tests
includes the CIPD viewpoint.

What are psychological tests?

The term psychological testing is often interchanged with the terms occupational testing or psychometric testing. These terms are used to describe tools which are essentially sophisticated devices designed to measure individual difference in a number of areas such as intelligence and ability.

Tests are used for a number of purposes in various circumstances including:

recruitment and selection
personal, team and leadership development
career coaching and management.

Companies are increasingly using psychological testing to identify and develop leaders to glean information about predicted behaviour in different circumstances.

However, the most common use of tests is in the process of selecting individuals at the point of entry into an organisation. Testing has been in use for more than 50 years, but there has been a significant rise in test use in the last decade. As the selection process has become more sophisticated and rigorous, testing has assumed a more prominent role for a number of organisations as a back-up to other selection techniques.

More information about the extent to which organisations are making use of psychological testing in the recruitment process can be found in the CIPD’s annual Recruitment, retention and turnover survey for 2008. Findings from this survey show the following levels of usage for the various forms of testing:

general ability tests - 41%
personality/aptitude questionnaires - 35%
specific skills tests – 48%

See the full results of our 2008 survey

With the increase in the use of technology in the workplace, online testing is also growing in popularity - particularly in the recruitment of graduates and where employers are faced with high volumes of applicants.

Most tests are designed and developed by occupational psychologists and are accompanied by detailed manuals providing the data to establish the reliability of the test and the normative information against which test results may be compared - this is the information that allows employers to compare their test candidates against the scores of a normal population of similar people. Administering tests and analysing the results is a skilled task. Scoring of tests is often complex and how it is done will depend on what a test is trying to measure. With personality tests there are no right or wrong answers as they are designed to present a profile of an individual.

This factsheet is not intended to replace any formal training necessary to equip individuals to carry out any aspects of testing.

A definition of psychological tests

For the purpose of this factsheet the following definition of psychological tests has been developed:

Psychological tests are tests which can be systematically scored and administered. They are supported by a body of evidence and statistical data which demonstrates their validity, and are used in an occupational setting to measure individual differences (for example in ability, aptitude, attainment, intelligence or personality).

Other forms of testing may be designed in-house and include:

in-tray exercises
job sampling
team-building exercises
structured discussions.

However, they are outside the above definition and therefore not covered by the guidance contained in this factsheet.

Training in test use

The use of tests is generally categorised by the following activities:

commissioning the use of tests
applying tests and evaluating, interpreting and feeding back results
administering tests.

The individuals carrying out all or one of these tasks will need the relevant competence to ensure the tests are effective and fulfil their purpose. As well as the skills to administer and interpret a particular test, individuals must be able to understand what and how they are measuring if they are to use the results of tests successfully.

CIPD supports the British Psychological Society’s (BPS) Statement or Certificate of Competence in Occupational Testing, levels A and B. Training is vital before any kind of testing is undertaken and everyone involved in the application of tests including evaluation, interpretation and feedback should be trained to at least this level of competence. Additional information and the BPS’s Code of Practice can be found in Psychological testing:a user’s guide¹.

Tests delivered online

The BPS website refers users to The International Test Commission’s (ITC) International guidelines on computer-based and Internet delivered testing². This document identifies four main conditions under which testing takes place:

Open mode – Where there is no direct human supervision of the assessment session and hence there is no means of authenticating the identity of the test-taker. Internet-based tests without any requirement for registration can be considered an example of this mode of administration.
Controlled mode – No direct human supervision of the assessment session is involved but the test is made available only to known test-takers. Internet tests will require test-takers to obtain a logon username and password. These often are designed to operate on a one-time-only basis.
Supervised (Proctored) mode – Where there is a level of direct human supervision over test-taking conditions. In this mode test-taker identity can be authenticated. For Internet testing this would require an administrator to log-in a candidate and confirm that the test had been properly administered and completed.
Managed mode – Where there is a high level of human supervision and control over the test-taking environment. In CBT testing this is normally achieved by the use of dedicated testing centres, where there is a high level of control over access, security, the qualification of test administration staff and the quality and technical specifications of the test equipment.

These developments have raised a number of issues in relation to standards of administration, security of the tests and test data and control over the testing process.

Establishing a policy on test use

Before using a test, users should consider:

whether it is appropriate to use a test at all and whether it will provide any additional relevant information
whether there are sufficient resources in place to carry out testing effectively
when used for selection purposes, that tests are relevant to the job/person specification
who will choose, recommend and demonstrate the value of tests
at what stage tests should be incorporated into the decision-making process
equal opportunities issues
how the results will be used and what weight will be given to them for decision-making purposes
what their policy will be on confidentiality
who will have access to the results
how test results will be stored
the laws regarding the copyright of tests
the policy and provisions for giving feedback.

Test administrators should ensure that individuals receive:

advance notice that they will be required to take tests
notice of the duration of tests and whether this is significant in interpreting results
adequate time to allow them to make any practical arrangements to enable them to take the tests
access to an appropriate environment free from interference in which to take the tests
adequate information about the requirements of each test they will be asked to complete, and the opportunity to raiseany queries they have before taking the tests
information on the arrangements for feedback.

Selecting psychological tests

Before finally selecting a test to use, which appears to be appropriate for their needs, users should ensure they receive satisfactory answers from the test suppliers to the following questions:

How reliable is the test and how consistent is it as a measure?
How valid is the test and does it really identify the attributes or skills which the supplier claims?
What evidence can suppliers provide that their tests do not unfairly disadvantage certain groups?
Will the test seem appropriate to those taking it and what have previous reactions been to this test?
Has the test been used effectively in similar circumstances?
Are the norms provided by the supplier for comparative purposes up to date and appropriate for the user's requirements? Do the norm results apply to a sufficiently representative mix of occupations, gender or ethnic groups to allow fair comparison with the user's group?
Is the method of test evaluation and scoring appropriate to the purpose for which the test will be used?

If the answers to these questions are not available or are unsatisfactory then the test should not be selected.

What should be considered when using tests?

Once the above criteria and the decision to use tests has been taken, there are a number of issues which are important to consider if the best value for money is to be achieved from the use of testing.

These issues include:

Openness - candidates should always be aware that tests will be conducted and the procedure should be explained in advance.
Norms - only tests for which appropriate norm tables are available should be used.
Confidentiality - access to test results should be restricted to those with a genuine need to know. Candidates should be informed as to who will have access to their test results.
Screening - a single test should never be used for screening purposes although a battery of tests may be appropriate in, for example, shortlisting of applicants for employment. Personality tests should never be used for screening purposes.
Feedback - should always be given unless there are good reasons why this should not be the case. Before a test is carried out, candidates should always be informed about the arrangements for giving feedback.

Monitoring

Test use should be monitored continuously to ensure it does not discriminate, that it remains appropriate to the purpose and that norms are up to date and relevant. Users should be aware that testing requirements may differ over time and therefore particular tests may become less appropriate. Test users should also be aware that the effectiveness of particular tests may differ according to the situation to which they are applied.

Psychological testing and disability

Employers need to ensure that any psychological testing they use - either in the selection process or during employment - does not discriminate individuals with a disability. Many test providers are able to provide advice on modifications and adjustments that can be made to the testing process. This might, for example, include extending the time available to take the test for an individual with dyslexia or making changes to the way test instructions are delivered for someone with hearing disabilities.

Go to our Disability and employment factsheet

Legal points

Test materials are covered by the copyright laws which prohibit their reproduction without the express permission of the supplier. The transfer of pencil and paper tests to computer shell systems also constitutes an infringement of copyright and in addition users risk obtaining flawed results by transferring materials which have not been expressly designed for computer use.

CIPD viewpoint

CIPD broadly supports the use of psychological testing and believes that, used appropriately, testing can enhance decision-making, thus enabling managers to develop more informed and accurate perceptions about the ability and potential of individuals. To achieve this it is essential to integrate testing into the decision-making process.

As well as selecting the right test, it is crucial to implement it properly. The best tests on the market are only as good as the process of which they form a part, and flawed decisions can be made based on sound and verifiable data. A well designed policy on testing is therefore essential to ensure good practice and that the maximum benefits accrue from its use.

Particular care should also be taken to ensure that tests themselves do not indirectly discriminate unfairly between certain groups. Test use alone is no guarantee of objectivity despite their scientific background.

CIPD does not make recommendations on the validity or quality of particular tests and is concerned solely with the process of testing.

Useful contacts

British Psychological Society’s Psychological Testing Centre

International Test Commission

References

BRITISH PSYCHOLOGICAL SOCIETY. (2006) Psychological testing: a user's guide. Leicester: BPS. Available at http://www.bps.org.uk/downloadfile.cfm?file_uuid=1e4515c4-1143-dfd0-7e55-d5533b82aac8&ext=pdf
INTERNATIONAL TEST COMMISSION. (2005) International guidelines on computer-based and Internet delivered testing. Leicester: BPS. Available at: http://www.psychtesting.org.uk/downloadfile.cfm?
file_uuid=9BD783C8-1143-DFD0-7E98-798CD61E4F00&ext=pdf

Psychological testing