Systematic Engineering Talent Acquisition Assessment Insights from Forward- Thinking Companies & Executives • Systematically Assessing Soft Skills • Determining Cultural Fit • Quantitative Interviewing Systems • Quality of Hire Metrics ENGINEERING talent solutions 1 8 0
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Elevating Soft Skills in Engineering Talent Acquisition · This e-book explores the ways leading organizations and industry executives are improving talent acquisition by focusing
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Systematic Engineering Talent AcquisitionAssessmentInsights from Forward-Thinking Companies & Executives
As we consider the talent acquisition and retention challenges facing virtually all of us within theengineering and IT fields, three issues spring to mind:
• Within our knowledge-based economy, few demands are higher priority than acquiring and retaining the talent needed to grow our businesses.
• The search and acquisition process for top engineering talent is extremely competitive.
• Without effective talent acquisition processes, there’s no method to ensure we have the key skills needed to grow our businesses.
These three statements are not profound individually, yet collectively they
are quite challenging and foundational to the future success of our indus-
try. Nearly all of us readily accept that acquiring and retaining the right
talent is critical. Additionally, most of us would agree that the engineering
and IT labor markets are tight to the point of significant long-term concern.
The United States is not graduating enough engineers and IT profession-
als, and the current immigration policies may put additional pressure on
our ability to source talent from other parts of the world. For a deeper dive
into the state of the engineering labor market in the United States, we
encourage you to explore another recent e-book, Engineering Talent in the
U.S.A. Demand > Supply, A Special Report on the Tightening Engineering
Many would agree that our talent acquisition processes need to be
as robust as possible, but are our hiring processes evolving with the
changing demands of businesses and the market as a whole?
Nearly all of us value data-driven, systematic decision-making for
aspects of our business, such as operations, finance, manufacturing,
research and development productivity, and marketing. However, are we
bringing this same discipline and analysis to talent acquisition? How do
we know whether our talent acquisition processes are effective?
This e-book explores the ways leading organizations and industry
executives are improving talent acquisition by focusing on the areas
that are most difficult to measure objectively --interviewing, soft skills
assessments, cultural fit and quality of hire evaluations.
Systematically Assessing Intangibles Is Critical to Improving Talent AcquisitionTechnical skills are a basic requirement for consideration.Soft skills and cultural fit determine which doors will open fora candidate.
We meticulously collect data, monitor trendlines, and hold ourselves and our teams accountable for a wide assortment of performance metrics.
However, few of us apply the same rigor to talent acquisition and retention—one of the most critical aspects to the future success of our businesses.
Why is this? Arguably, because we have convinced ourselves that hiring is more of an art than a science. That it’s too difficult to measure. Cultural fit
and soft skills are right up there in importance next to technical skills when hiring engineering and IT professionals. However, few organizations have
a system to truly measure these areas during interviews or to monitor the results over time. Even fewer organizations track hiring decision-making
after the fact so that continuous improvement opportunities might be identified.
Additionally, within many organizations, systematic interviewing constructs are often missing. The good news is that it is possible to apply methodical
approaches to these areas and hire candidates who are better fits for your needs and your organization. Even better, improved talent recruitment processes
will ultimately make your company more attractive to potential employees within this highly competitive talent market.
3
How concerned are you about your company’s ability to recruit theengineering andtechnology talent needed for your company’s long-term growth?
Very concerned
Moderately concerned
Not at all concerned
62%
32%
3%
S Y S T E M A T I C E N G I N E E R I N G T A L E N T A C Q U I S I T I O N A S S E S S M E N TENGINEERINGt a l e n t s o l u t i o n s180
7 Tips for Creating a Structured Interview Process As much as possible, interviews should be standard, equitable, and efficient. In addition to making better hiring decisions, approaching interviewing
in this fashion improves the candidate experience by making the process discernibly fairer and more transparent.
Avoid comparing candidates to each other or to current employees. Instead, strive to compare candidates to the established ideal as reflected in your rubric.
1. Establish position requirements. Prior to posting the job, determine
what is required for this position, such as technical skills, role-related
knowledge, soft skills, and a level of general cognitive ability. Your
company and team culture and how these characteristics relate to this
position must also be determined.
2. Bank of Interview Questions. Develop a list of questions relevant to
the role, work to validate your questions against the role requirements,
and ask the questions consistently across all interviews. Ask both behav-
ioral and hypothetical questions. Behavioral questions will focus on how
the candidate responded to a given situation in the past. Hypothetical
questions ask how they would approach challenges in your workplace.
The goal is not to trick the candidate with brain teasers or crazy scenari-
os, but to truly assess how the candidate might handle a challenge while
working for your company in this position.
3. Create a Rubric. Once you have a bank of solid interview questions,
figure out what the good, mediocre, and poor answers look like, and
record them in a rubric. Then, ask each candidate the same questions in
the same way and grade their answers against your rubric.
4. Standard Rubric Scoring. Develop standard rubric scoring for a given
position or type of position. Consistently assessing candidates against
the same expectations reduces unintentional bias and allows you to
better predict on-the-job performance. Avoid comparing candidates to
each other or to current employees. Instead, strive to compare candidates
to the established ideal as reflected in your rubric.
6. Interviewer Recommendations. After each interview, the interviewer
completes the rubric, makes notes about the candidate’s specific an-
swers within the interview, and makes a hire or no-hire recommendation.
7. Train Interviewers. Interviewing is a skill that must be practiced and
perfected. Interviewers should undergo training and, if possible and
appropriate, shadow experienced interviewers.
4
Does your company have a well-defined, systematic interviewing process that allows you to track and measure the effectiveness of your company’sinterviewing process?
Yes
No
64%
36%
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Systematically Assessing Soft SkillsSoft skills have always been important, but they’re increasingly vital. The rise of automation and artificial intelligence means that hard skills alone are no longer enough to be successful. Additionally, the valuable life span of many hard skills is shrinking, but soft skills will stay relevant for the long haul.
In LinkedIn’s 2019 Global Talent Trends report, 80 percent of hiring professionals indicated that they feel soft skills have increased in significance.
Additionally, 92 percent say that soft skills matter as much or more than technical skills.
While 92 percent of hiring professionals recognize how critical soft skills are to the success of their organizations, only 41 percent have a formal process
to access soft skills and 57 percent struggle to accurately assess soft skills.
Concerningly, 68 percent of hiring professionals in the LinkedIn study indicated that they primarily assess for soft skills by picking up social cues during
an interview. Unfortunately, these perceptions aren’t predictive, and worse, they’re often unconsciously biased.
How to Systematically Assess Soft Skills
1. Make a list. List the soft skills that are most important to the specific
role for which you are hiring. If you haven’t yet determined which soft skills
are most important, take inventory of the soft skills possessed by success-
ful members of the team in similar roles. Having a team-wide discussion
is often a great way to identify the most important soft skills, and doing so
can be a beneficial team-building exercise.
2. Online tools. Consider some of the emerging online tools to prescreen
candidates. While these tools are still in their infancy, an ongoing explora-
tion of tools to help you to remove bias is highly recommended.
3. Structure interviews carefully. Unstructured interviews often allow
unconscious biases to creep into the interviewer’s judgement. Remember,
you are working to assess the candidate against the ideal traits you
have established—you are not comparing candidates to each other.
Furthermore, interviewers must not unconsciously compare interviewees
to themselves.
4. Soft skills in action. Ask problem-solving questions to observe soft
skills in action. It is best to present candidates with scenarios that are re-
lated to your organization and the position in question. For example, what
would the candidate’s approach be if they were asked to make a product
feature adjustment within a compressed time frame?
5
When recruitingcandidates, does your company have asystematic method forobjectively assessingcandidates’ soft skills?
Yes
No
60%
40%
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Systematically Assessing Culture FitWhen assessing for culture, it’s critical to avoid applying unconscious bias. The question is not whether you want to have a drink with the candidate, but if the candidate possesses the qualities prioritized by your company.
Hiring candidates who are a poor culture fit for your organization can cost
you dearly—according to the Society for Human Resource Management
(SHRM), it can cost that employer between 50–60 percent of the candi-
date’s annual salary. However, before the hiring team can start assessing
a candidate’s cultural fit, they need to define and articulate the organiza-
tion’s culture and then weave this understanding into the hiring process.
Edgar Henry Schein, a former professor at the MIT Sloan School of
Management, published groundbreaking work related to organizational
culture. He submitted that culture is “a pattern of shared basic assump-
tions that the group learned as it solved its problems that has worked well
enough to be considered valid and is passed on to new members as the
correct way to perceive, think, and feel in relation to those problems.”
So, how can you assess whether a candidate will operate well within the
pattern of basic assumptions that the collective has used to effectively
solve problems within your company?
Some Suggested Interview Questions for Determining Cultural Fit
• What type of environment do you thrive in?
• Describe a time when you worked for or with a company where you felt you were not a good fit. Why was it a bad fit?
• What values are you drawn to within the workplace?
• Why do you want to work at our company?
• How would you describe the culture of our company based on what you have experienced so far? Does it feel like a fit for you?
Expose Candidates to as Much as Possible
Expose the candidate to what it would be like to work for your company, and observe the candidate interacting within these settings. Allow them to meet
and interact with their future peers in addition to their future boss. Making time for candidates to interact with members of the executive team provides
candidates with valuable insights into the company’s broader visions and to gain a better understanding of the leadership team’s priorities.
6
When recruitingcandidates, does your company have a systematic method for objectivelyassessing the likelihood of the candidate’s cultural fit within your organization?
Yes
No
56%44%
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Quality of Hire AssessmentAn ideal quality of hire measurement includes metrics for performance, productivity, cultural fit, and a 360-degree comparison.
Traditional recruiting practices reinforce efficiency and talent acquisition cost
reduction. However, these considerations do not take into account the contri-
butions the hire will make towards advancing the company’s success. Filling
positions quickly and cost effectively is an accomplishment, but does not reflect
whether your organization is making effective hiring decisions.
In a recent survey conducted by 180 Engineering, only 28 percent of engineering
executives indicated that their company is objectively tracking the performance
of their talent acquisition process. Turnover, performance reviews, and hiring
manager satisfaction are good proxy measurements, but these measurements
have their limitations.
Working to determine how long it took for a new employee to become fully
productive, how he or she ranks among his or her peers, and whether he or she is
a cultural fit are better determinants of whether the hire was a successful one.
Establishing a process to collect quality-of-hire understandings for the express
purpose of improving your hiring process can be quite valuable—the challeng-
ing part is the statistical analyses that determine whether your quality-of-hire
metrics are aligned with critical outcomes.
7
Is your company able to objectively track theperformance of your talent acquisition process through analytics andinsights?
Yes
No
72%
28%
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Four Engineering Executives Share Their Talent Acquisition InsightsWhat are engineering executives’ thoughts as they consider the engineering labor market today and in the near future? How are their organizations
managing interviewing processes to secure the best candidates? What are the best ways to assess soft skills and cultural fit? How do they know if
their hiring processes are effective?
180 Engineering spoke with four engineering executives to learn more. The executives we spoke with included:
• VPLC - the vice president of connected products at a nearly 100-year-old legacy company in the midst of digital transformation
• EDMD - the engineering director at a medical device company
• VPAS - the vice president of engineering at an aviation services company
• DQWS - the director of quality & product engineering at a wireless services company
What does the availability of engineering talent look like today and in the near future?
VPLC: Four or five years ago, recruiting was easier in that there were a lot of contractors and consultants coming through temp agencies. For
the past year and a half or so, we have had to look hard to find the right candidates because the market is quite tight. The market is especially
challenging for software and firmware engineers. You have to rely on relationships to find candidates interested in having a conversation about
potentially coming to work for us even though they are happy in their current positions.
Even here, a 98-year-old mechanical-products company in the midst of a transformation, we see engineering talent become more software-based,
just because it has to be. As we continue to build out the IoT, I believe there will be a decided shortage of software and firmware engineers.
EDMD: The near term is very rough. Just looking at some of the data, the engineering unemployment rate is at a five-year low. It’s especially
difficult to hire more specialized engineers.
It is not as challenging to fill entry-level positions. But, we do struggle to hire more specialized engineers. For instance, injection molding and
plastics engineering is a core competency required in our line of business. These people are difficult to find. Even though some of the schools offer
specialties in plastic engineering, these schools tend to be in specific regions, and it is not a nationally developed field.
One of our most significant issues is hiring control engineers. As manufacturing operations move increasingly toward automation, there
aren’t enough engineers with PLC, coding, or motion control experience. It’s only been within the past five years or so that I’ve seen some
universities creating automation engineering and control engineering tracks in addition to the skills they are learning in more traditional
engineering tracks.
VPAS: I don’t think there’s necessarily a shortage of engineering talent in general. However, I do believe that different metro areas face different
challenges. For instance, we are an aviation company in Chicagoland, and there isn’t a lot of aviation engineering talent in this area.
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EDMD: The easy answer is by looking at turnover. Given the shortage of engineers, we work to reduce our turnover—we’ve been under the
national average, which is good. It tells us we’re doing something right and creating a good culture.
However, turnover is only one metric. You can have low turnover because you have a bunch of mediocre players who don’t have the desire to go any-
where. So we also look at the results. It’s challenging to put metrics on engineers because projects vary. But, we try to have some guiding metrics
such as completion rates, budget adherence, sticking to timelines, documentation issues, quality of the product, and so forth.
Turnover and performance of the organization—these two metrics combined give us a good picture of how we are doing.
What value do you find in using outside talent acquisition resources?
VPAS: I’ve always thought that for knowledge work, like engineering, you tend to get fresh ideas from outside your industry. Our company’s
relationships are mostly within the aviation sector; however, an outside firm specializing in engineering talent acquisition can tap into a network
across different sectors.
Engineering jobs are also incredibly specialized today, so it’s tough for internal talent recruiters to understand the nuances of all of the positions
needing to be filled. Outside recruiters specialized in engineering understand many of these specialized positions and can bring a lot of value to the
process.
ConclusionCompetitive advantage among engineering- and technology-based organizations is increasingly based on companies’ ability to acquire and retain
the talent needed to support their strategic plans. The engineering and technology labor markets are incredibly tight and all indications are that
this pressure will continue to mount.
Given these challenges, the most successful companies will be those that continue to improve their ability to acquire and retain needed talent.
Soft skills and cultural fit are two factors that play an enormous role in the ability for candidates to meet the needs of the organization and the
organization’s ability to support employee satisfaction and professional development. Creating systematic processes and objective measurements
to support success in these areas, just as we do in nearly every other area of our businesses, will separate leading organizations from those at risk
of falling behind.
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