Would you rather be leading a team or company that is losing money due to marginal performers or one that is driving significantly higher results due to a greater number of top performers?
Reports show again and again that your top performers produce as much as 3x the output of your marginal performers. They also generate at least 40% more value than the mean salary for their jobs. Marginal performers generate 40% less value than their mean salary, resulting in a loss to your business.
This does not even include the costs from loss of productivity, direct reputational damage, team members’ performance, churn, and replacement costs that result from poor hiring decisions. These can add up to multiples of the annual salary.
Achieving top-level performance does not happen by accident. Assessment tools are invaluable in helping you move your workforce into the top-performing category. They can help you get up to 64% greater improvement in the quality of hire and double the improvement in cost per hire.
When used with a clear purpose, assessment tools directly drive your business performance. Opportunities for this exist when you make decisions, choices and set expectations in:
- Personal development
- Team effectiveness
- Succession planning
To get the most impact from assessments in these, you need to align the specific solution with your desired business results. This means that the solutions are based on a clear and measurable outcome that is impacted by the people you choose, the way that you develop them, and how they are led.
Before choosing the specific assessment solution you need to ask yourself two key questions:
- What business objective/s do I need to achieve?
- What objectives is my business currently not achieving?
These will give you clarity on the capabilities, styles, and performance of your people in order to achieve these objectives. It highlights priorities in talent management and clarifies the gaps that need to be closed.
This clarity helps you choose the right assessment solution and the measures within that solution that measure the relevant drivers of your business performance.
You select talent, develop specific skills, reinforce effective styles, plan and prepare for your workforce needs, and align people with roles that they have a genuine interest and passion in. Having done this, you also use the assessments to track your progress in closing the gaps to achieving your business goals.