20 Questions About Online Screening: Survey Results

In June of 2002 Rocket-Hire conducted a survey of staffing professionals in order to identify trends in the use of online screening. The results of this survey were originally published by the Electronic Recruiting Exchange in two installments and appear below in edited form. Please feel free to contact Charles Handler if you have any questions or comments about these survey results.

In June of 2002, I asked ERE readers to complete a survey aimed at gathering information needed on the adoption and use of online screening. My survey sought to examine trends in three specific areas: 1) the current state of use for online screening, 2) the identification of obstacles to the adoption of online screening, and 3) the future of online screening.

Quite a few people were kind enough to respond to this survey and their responses provided some excellent insight into trends related to the usage of online screening. Details regarding these trends are summarized in the following sections.

Sample Limitations

1. Those persons who are presently using screening may have been much more likely to take the time to complete the survey because they have made an investment in screening technology.
   
2. ERE readers represent a population that is likely to be much more technology-minded than persons in similar positions who do not read ERE. This means that responding ERE readers may be more likely to be using technologically advanced methods such as online screening.
   
3. ERE readers are busy folks with lots going on so I had to keep my survey short. Because I limited myself to 20 questions, it was not possible for me to drill too deeply into any one particular issue.
   

Figure 1. Job Title

Recruiter was the most common job title, accounting for about 39% of the total sample. The next most common title was HR/Staffing executive, accounting for about 14% of the total sample. Most of the other respondents were spread fairly evenly about the other seven job titles, each accounting for close to 10% of the total sample.

For the purposes of examining more detailed trends in my data, I broke the sample based on the level of responsibility associated with job titles. This breakdown revealed that 36% of the sample was managerial level or above while 42% were non-managerial level. The remaining 22% of respondents could not be coded due to a lack of information about the level of responsibility associated with their position.

Figure 2 provides details about the size of survey respondents’ companies.

Figure 2. Company Size

The information in Figure 2 indicates that 40% of respondents were employees of large companies (over 5,000 employees). The remaining respondents were fairly evenly split amongst small, medium, and medium/large size organizations.

The sample was relatively balanced in terms of the size of respondents' companies. The fact that almost half of respondents are recruiters is complimented by the fact that about half of the sample hold managerial or executive-level positions. This suggests that the sample provides a good balance between respondents who are actually using online hiring technology on a daily basis and those who are making decisions about implementing such technology.

Overall, the balance reflected in this sample means that the data represent an excellent cross-section of people who are likely to be using online screening. This suggests that the data summarized here offer excellent insight into high-level trends in the use of online screening technology.

Section 2: Current Usage of Online Screening
The questions about current usage of online screening were designed to gather the information needed to answer the following general questions:

• What is the present usage rate for online screening?
  
• What are the characteristics of this usage (i.e., what type of screening is most popular, for what jobs is screening most commonly used)?
  
• Do those persons using online screening feel it is effective?
  

The data summarized in this section provides some interesting answers to these questions.
Overall, 65% of respondents indicated that they are currently using some form of online screening. While this figure is encouraging, it becomes much more meaningful when viewed in conjunction with a more in-depth investigation of the usage rates for various types of online screening.

Table 1 provides a summary of the current usage rates for various types of online screening.

Table 1: Usage Rates by Screening Type
Note: All percentages are based on population using screening (n=42)

Non-Scientific Screening
The results in Table 1 indicate that 83% of those using screening are using at least one form of non-scientific screening (for the purpose of this survey non-scientific screening is defined as high-level automated screening, automated resume screening, background investigations, and knowledge assessments).

High-level automated screening (64%) was the most popular of the 10 types of screening included in this survey. Other popular non-scientific methods included automated resume screening (21%) and background investigations (31%).

Interestingly enough, despite the fact that a large number of respondents are using high-level screening tools, results indicate that just 33% of respondents are currently using only these types of tools. This suggests that the majority of respondents are using more than one type of screening; however, there appears to be no real pattern in terms of the additional types of screening being used.

Scientific Screening
Amongst those using screening, 55% use some form of scientific screening. Survey data did not suggest that there is one clear favorite type of scientific screening. Usage rates for the three most popular types of scientific screening — personality screening (21%), screening based on fit (29%), and screening based on ability (26%) — were similar.

The data indicates that 17% of respondents used only scientific screening with no additional non-scientific screening. The data also reveals that just 10% of those using scientific screening used only one type of scientific screening. These results show that scientific screening is most often used as a compliment to non-scientific screening tools, and that whenever scientific screening is used it is common to use more than one type.

Overall these results show that non-scientific screening is the most popular type of screening and accounts for the majority of instances where screening is used.
This makes sense, as this type of screening is less complex, has less legal gray area surrounding its use, provides a lot of bang for the buck through its ability to weed out candidates who are clearly unqualified, and is often offered as part of the functionality provided by ATS systems.

One of the most interesting findings is the fact that almost everyone who uses screening uses more than one type. It seems very common for one company to use both scientific and non-scientific screening methods with the most popular screening configuration being the combination of high level automated screening with some form of scientific screening. Beyond this finding there seems to be no real pattern to the specific types of screening that are combined. There is no one combination of screening types that appeared significantly more often than any others.

Job Types
Table 2 provides information about the use of screening based on position level.

Table 2: Screening Usage by Position Level

The information in Table 2 indicates that the usage of online screening decreases as the level of responsibility associated with a position increases. This makes sense based on the types of jobs most commonly filled online. It is much more common to find entry level and lower level jobs advertised online and the fact that there are more of these types of jobs means there are more applicants to be evaluated. The more applicants to be evaluated, the greater the value added by online screening tools.

Table 3 provides information about the types of jobs for which screening is used.

Table 3: Screening Usage by Position Type

The information in Table 3 indicates that screening seems to be used for a wide variety of positions. The only job types for which screening does not seem to be used very often is manufacturing/labor and retail. These results demonstrate that screening is not limited to one specific type of job, but rather is a useful tool for helping to select persons for almost any job.

Importance of the Resume
Figure 3 provides some information about respondents' opinions regarding the importance of the resume in their hiring process.

Figure 3. Importance of Resume

The information in Figure 3 indicates that about 60% of respondents felt that resumes were either an "extremely important" or "very important" part of their online hiring process. These results certainly indicate a reliance on resumes as a tool for making hiring decisions.

These results get much more interesting when one compares responses regarding the importance of the resume from those using online screening to responses from those who are not using online screening. Table 4 summarizes the results of this comparison.

Table 4: Resume Importance by Screening Usage

These results clearly indicate that those using screening rely less on the resume when making hiring decisions. This provides evidence that the use of online screening reduces the reliance on resumes in the online hiring process.

Metrics
Only 45% of respondents using screening indicated that they have been able to collect metrics to help demonstrate the effectiveness of online screening. While this number may seem low, none of the respondents who are not using online screening indicated that they collect any metrics about the effectiveness of their online hiring process.

These results support the fact that online screening helps provide users with the capabilities needed to collect metrics about various parts of the hiring process. The following comments by people who are currently collecting metrics on the performance of their online screening systems seem to indicate the value of this capability:

• "We have seen reduced turnover, increased teamwork, and higher productivity."
  
• "We have seen improvements in candidate quality, cycle time and cost per hire."
  
• "In-house study showed that higher scores correlated with those hires that have performed better in jobs."
  
• "...Better than 85% accuracy regarding job performance and retention. Candidate acquisition costs are minimal compared to traditional methods"
  

I feel that the ability of online screening systems to provide metrics is one of their most important benefits. Traditionally it has been very difficult to place a value on the contributions of humans to the bottom line. The ability of online screening systems to provide metrics will help users provide the concrete proof needed to convince decisions makers of the value added by online screening and will result in an overall increase in its use.

A total of 88% of those using screening indicate that online screening has made a difference in their organization. I think that this figure speaks for itself.

Conclusions Regarding the Present Usage of Online Screening

• Companies are using online screening. A large percentage of respondents (65%) are currently using online screening. It is difficult to say if this number is reflective of the general population due to the fact that screening users were probably more likely to respond to my survey. Still this number is encouraging and shows that companies really are using online screening.
  
• Online screening is a flexible tool that can be used in a wide variety of situations. Almost all users of online screening employ more than one type of screening; however, there is no trend in the combination of types used. This reinforces the wide variety of online screening choices available and demonstrates that companies are able to choose from the available types of screening in order to construct screening systems that meet their specific needs.
  

• Online screening works. Those who use online screening are less reliant on poor sources of candidate information such as the resume. Not only does screening provide tools needed to predict which applicants are best suited for a job, it also provides users with tools that can be used to collect metrics regarding the performance of their hiring processes. Most importantly, those who are using online screening feel it is an effective tool that is making a significant contribution to their organization.
  

• Do practitioners perceive the presence of obstacles to the use of online screening?
  
• If so, what are these obstacles and why do they exist?
  
• What can be done to overcome these obstacles?
  

The data summarized in this section provide some interesting answers to these questions.

1. Do Obstacles Exist?
Sixty-seven percent of respondents answered "yes" when asked if obstacles to the adoption of online screening exist within their organizations. Even more interesting is the fact that 83% of respondents whose organizations are NOT currently using screening answered "yes" to this question.

Additional analyses revealed that responses to this question do not seem to be influenced by factors such as the size of the organization or the level of responsibility of the survey respondent. In all cases, about two-thirds of respondents indicated that obstacles do exist within their organization.

These results clearly indicate a robust trend towards the presence of barriers to the adoption of online screening within respondents' organizations.

2. What Are These Obstacles?
Table 5 summarizes respondents' opinions regarding the major obstacles to the adoption of online screening:

The responses summarized in Table 5 indicate the presence of many possible barriers to the adoption of screening. But skepticism about results offered by screening (34%) and lack of knowledge about screening within the organization (31%) seem to be the dominant obstacles.

3. Overcoming Obstacles
Respondents were asked to provide their opinions on what must be done to overcome the obstacles identified. Responses to this question reflect the same general themes indicated by the data summarized in Table 5.

Dealing with skepticism about the ability of online screening to deliver results seems to be the predominant need in terms of overcoming obstacles. The following quotes reinforce this conclusion:

• "Show the cost/benefit of using it. Metrics are much needed.."
  
• "Prove results to bottom line".
  
• "The number one thing that must be done in my organization is for upper management to realize the value this tool will bring..."
  
• "Because they don't see this as adding to the bottom line, they have not allowed our engineers to develop this on our corporate site..."
  

• "We need to investigate options currently in the market. We have a lack of knowledge and case studies regarding the effectiveness of online screening."
  
• "Understanding what it is and how to use it effectively is the biggest obstacle."
  
• "We need to gain knowledge about how screening can fit into our process and how it can be integrated into our online application process."
  
• "Our office really does not have a clear understanding of the whole concept of online screening."
  

• Information about what online screening is and how it works
  
• Information demonstrating that online screening is effective and can demonstrate ROI
  
• Information demonstrating that online screening is acceptable to applicants and is a safe and legally sound methodology.
  

• Benchmarking studies. Make an effort to find out how other companies have used online screening to augment their online hiring process.
  
• Research. There are a variety of sources of information about screening available in print and on the web.
  
• Pilot studies. There is no substitute for experience. A simple localized pilot study can provide the hands-on experience and metrics needed to demonstrate the value of online screening.
  

• How widespread will online screening become in the future?
  
• Will one type of online screening become dominant and if so which type?
  
• What is the future of the resume in the hiring process?
  

• Ninety-four percent of respondents indicated that they feel the use of online screening will increase over the next 5 years. This percentage does not vary based on the size of the organization or the position level of the respondent.
  
• Fifty-six percent of respondents whose organizations are not presently using online screening indicated that they are in the process of considering some form of online screening for the first time. When examining only the responses of decision makers, the percentage of respondents who are considering using online screening for the first time jumps to 73%. Furthermore, 92% of those not presently using online screening feel their organizations will use some form of online screening in the future.
  

The information summarized in Table 6 suggests that the current tendency towards the use of non-scientific screening methods will continue and reveals that fewer respondents seem to be considering adopting scientific screening besides measures of fit and measures of ability. I feel that this information may reflect a general lack of knowledge regarding certain scientific screening methods such as biodata and personality screening amongst survey respondents.
Figure 4 summarizes respondents' answers to the question, "What do you think the resume's role in the hiring process will be in five years?"

Figure 4. "What do you think the resume's role
in the hiring process will be in five years?"

The information in Figure 4 indicates that 77% of respondents feel that the resume's role will not be the same as it is today. However, very few felt that the resume will play little to no part in the online hiring process. Rather, the bulk of respondents seemed to feel that the content of the resume will change or that its role will be reduced in favor of new technology.

Summary: The Future on Online Screening
Survey results regarding the future of online screening present some interesting information:

• Responses clearly indicate that the use of online screening will increase in the future.
  
• Responses seem to indicate that non-scientific screening will continue to be the most popular type of screening.
  
• While it seems there will be an increase in the use of some forms of scientific screening (i.e., ability, fit) the adoption of some other forms (i.e., biodata, personality) may not be as rapid.
  
• Responses indicate that the role of the resume will definitely change in the next five years, but the exact nature of this change seems uncertain.
  

Section 5: Survey Conclusions
Overall the results of this survey are very encouraging. Most importantly, they reveal that many companies of all sizes and types are using a variety of online screening tools and that those who are using online screening like it and feel it is effective. Furthermore, results clearly indicate that the use of screening will increase in the future despite any obstacles that may exist.

While there are many obstacles that may be impacting the adoption of online screening, the largest one seems to be a lack of knowledge about online screening and its ability to provide ROI by increasing both the efficiency and effectiveness of the online hiring process.
This lack of knowledge is understandable given the fact that online screening is a new technology. It is clear that more real world information demonstrating the benefits of online screening to the bottom line is needed. This is especially true in the case of scientific screening, as results seem to indicate that it is currently less popular then non scientific screening. This is very unfortunate, since scientific screening offers many advantages that non-scientific screening cannot provide. It is an extremely cost effective way of adding value to the hiring process.

Finally, survey results indicate that as the use of online screening increases, reliance on the resume as a key part of the online hiring process will decrease. This is very encouraging to those of us who understand the shortcomings of the resume as a predictive tool.

The one recommendation I have for organizations considering the use of online screening is not to let a lack of knowledge about online screening stand between you and the rewards offered by a good screening program. A simple localized pilot study can provide hands on education about online screening as well as the proof needed to demonstrate its many benefits.