select3: a basic program for determining the consequences of using a selection procedure

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Behavior Research Methods, Instruments, & Computers 1985, Vol. /7 (5), 579 SELECT3: A BASIC program for determining the consequences of using a selection procedure BRIAN MULLEN Syracuse University, Syracuse, New York SELECT3 is a BASIC program that allows the user to examine the results of using a particular selection proce- dure. A pair of programs (SELECTl and SELECT2, Mullen, 1984) previously were developed to illustrate basic bivariate selection principles. SELECT3 comple- ments these two programs: it calculates the mean criterion score obtained by selected job applicants as a function of the selection ratio (or predictor cutoff) and the selection procedure's validity coefficient, This program reproduces the results obtained through the use of the Naylor-Shine table (Naylor & Shine, 1965). In addition, SELECT3 cal- culates a conservative estimate of the dollars saved per year per applicant hired. This approach to examining the consequences of using a selection procedure provides a means of translating the utility of a selection procedure into a dollars-and-cents metric (cf. Brogden & Taylor, 1950; Cronbach & Glesser, 1965; Schmidt, Hunter, McKenzie, & Muldrow, 1979). The techniques im- plemented by this program could be useful to academi- cians teaching industrial/organizational psychology courses, as well as to practitioners in applied settings. Input. After being prompted to enter names for the predictor and the criterion, the user is asked whether he/she knows the mean and standard deviation (SO) for the criterion; if so, the user is prompted to enter these statistics. Similar prompts then occur for the mean and SO of the predictor. While these values are not essential for the operation of this program, the inclusion of these means and SOs results in a more detailed output. Next, the user is prompted to enter the average yearly salary for entry-level applicants, and then to enter the va- lidity coefficient for prediction. Finally, the user must enter either the selection ratio (i.e., the number of job openings divided by the number of applicants), or the predictor cutoff score (in Z score units). After one of these two numbers is input, the program will derive the other. Most of these input variables are generated by SELECTl The author's mailing address is: Department of Psychology, Syra- cuse University, Syracuse, NY 13210. and SELECT2 (Mullen, 1984) in the analysis of the util- ity of a selection procedure. Output. The program displays the following: the va- lidity coefficient; the predictor cutoff score (in Z score units, and in raw score units if the predictor mean and SO were input earlier); the selection ratio; the mean criterion score of selected applicants (in Z score units, and in raw score units if the criterion mean and SD were input earlier); and a conservative estimate of the dollars saved per year per applicant hired. This final term is de- fined as the product of the validity coefficient, the predic- tor cutoff (in Z score units), and the SO of the criterion expressed in dollars (assuming that applicants in the top 1% can perform twice as well as those in the bottom 1%; see Brogden & Taylor, 1950; Cronbach & Glesser, 1965; Schmidt et al., 1979). Limitations. SELECT3 reproduces the values obtained from Naylor and Shine (1965), generally to within .005. The program accepts only positive validity coefficients (negative validity coefficients should be reversed in sign before the program is run, and final results then should be interpolated accordingly). The estimate of the number of dollars saved per year per employee can be made more or less conservative by changing the parameters used in line 00770 of the program (see Schmidt et al, 1979). Language. The program is written in an extremely generic dialect of BASIC that should run on most BASIC systems with little or no modification. The program con- sists of 98 lines and takes up approximately 4000 bytes of memory space. Availability. Listing of the program can be obtained free of charge by writing to the author. REFERENCES BROGDEN, H. E., & TAYLOR, E. K. (1950). The dollar criterion: Ap- plying the cost accounting concept to criterion construction. Person- nel Psychology, 3, 133-154. CRONBACH, L. J., & GLESER, G. C. (1965). Psychological tests and personnel decisions. Urbana, IL: University of Dlinois Press. MULLEN, B. (1984). SELECTl and SELECT2: BASIC computer pro- grams for selection data analysis in industrial/organizational psychology classes. Behovior Research Methods, Instruments, & Computers, 16, 473-474. NAYLOR, J. C., .I: SHINE, L. C. (1965). A table for determining the increase in mean criterion score obtained using a selection device. journal of Industrial Psychology, 3, 33-42. ScHMIDT, F. L., HUNTER, J. E., MCKENZIE, R. C., .I: MULDROW, T. W. (1979). Impact of valid selection procedures on work force produc- tivity. Journal of Applied Psychology, 64, 609-626. (Revision accepted for publication October 18, 1985.) 579 Copyright 1986 Psychonomic Society, Inc.

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Page 1: SELECT3: A BASIC program for determining the consequences of using a selection procedure

Behavior Research Methods, Instruments, & Computers1985, Vol. /7 (5), 579

SELECT3: A BASIC program for determiningthe consequences of using a selection procedure

BRIAN MULLENSyracuse University, Syracuse, New York

SELECT3 is a BASIC program that allows the user toexamine the results of using a particular selection proce­dure. A pair of programs (SELECTl and SELECT2,Mullen, 1984) previously were developed to illustratebasic bivariate selection principles. SELECT3 comple­ments these two programs: it calculates the mean criterionscore obtained by selected job applicants as a function ofthe selection ratio (or predictor cutoff) and the selectionprocedure's validity coefficient, This program reproducesthe results obtained through the use of the Naylor-Shinetable (Naylor & Shine, 1965). In addition, SELECT3 cal­culates a conservative estimate of the dollars saved peryear per applicant hired. This approach to examining theconsequences of using a selection procedure provides ameans of translating the utility of a selection procedureinto a dollars-and-cents metric (cf. Brogden & Taylor,1950; Cronbach & Glesser, 1965; Schmidt, Hunter,McKenzie, & Muldrow, 1979). The techniques im­plemented by this program could be useful to academi­cians teaching industrial/organizational psychologycourses, as well as to practitioners in applied settings.

Input. After being prompted to enter names for thepredictor and the criterion, the user is asked whetherhe/she knows the mean and standard deviation (SO) forthe criterion; if so, the user is prompted to enter thesestatistics. Similar prompts then occur for the mean andSO of the predictor. While these values are not essentialfor the operation of this program, the inclusion of thesemeans and SOs results in a more detailed output.

Next, the user is prompted to enter the average yearlysalary for entry-level applicants, and then to enter the va­lidity coefficient for prediction. Finally, the user mustenter either the selection ratio (i.e., the number of jobopenings divided by the number of applicants), or thepredictor cutoff score (in Z score units). After one of thesetwo numbers is input, the program will derive the other.Most of these input variables are generated by SELECTl

The author's mailing address is: Department of Psychology, Syra­cuse University, Syracuse, NY 13210.

and SELECT2 (Mullen, 1984) in the analysis of the util­ity of a selection procedure.

Output. The program displays the following: the va­lidity coefficient; the predictor cutoff score (in Z scoreunits, and in raw score units if the predictor mean andSO were input earlier); the selection ratio; the meancriterion score of selected applicants (in Z score units,and in raw score units if the criterion mean and SD wereinput earlier); and a conservative estimate of the dollarssaved per year per applicant hired. This final term is de­fined as the product of the validity coefficient, the predic­tor cutoff (in Z score units), and the SO of the criterionexpressed in dollars (assuming that applicants in the top1% can perform twice as well as those in the bottom 1%;see Brogden & Taylor, 1950; Cronbach & Glesser, 1965;Schmidt et al., 1979).

Limitations. SELECT3 reproduces the values obtainedfrom Naylor and Shine (1965), generally to within .005.The program accepts only positive validity coefficients(negative validity coefficients should be reversed in signbefore the program is run, and final results then shouldbe interpolated accordingly). The estimate of the numberof dollars saved per year per employee can be made moreor less conservative by changing the parameters used inline 00770 of the program (see Schmidt et al, 1979).

Language. The program is written in an extremelygeneric dialect of BASIC that should run on most BASICsystems with little or no modification. The program con­sists of 98 lines and takes up approximately 4000 bytesof memory space.

Availability. Listing of the program can be obtainedfree of charge by writing to the author.

REFERENCES

BROGDEN, H. E., & TAYLOR, E. K. (1950). The dollar criterion: Ap­plying the cost accounting concept to criterion construction. Person­nel Psychology, 3, 133-154.

CRONBACH, L. J., & GLESER, G. C. (1965). Psychological tests andpersonnel decisions. Urbana, IL: University of Dlinois Press.

MULLEN, B. (1984). SELECTl and SELECT2: BASIC computer pro­grams for selection data analysis in industrial/organizational psychologyclasses. Behovior Research Methods, Instruments, & Computers, 16,473-474.

NAYLOR, J. C., .I: SHINE, L. C. (1965). A table for determining theincrease in mean criterion score obtained using a selection device.journal of Industrial Psychology, 3, 33-42.

ScHMIDT, F. L., HUNTER, J. E., MCKENZIE, R. C., .I: MULDROW, T.W. (1979). Impact of valid selection procedures on work force produc­tivity. Journal of Applied Psychology, 64, 609-626.

(Revision accepted for publication October 18, 1985.)

579 Copyright 1986 Psychonomic Society, Inc.