Smarter Hiring, the DDI Way

At the core of its process is Targeted Selection, which is its trademarked phrase (the company is infatuated with buzzwords). Think of it as an operating system for hiring, a set of instructions that is "behavior-based." This simply means that past behaviors -- versus, say, a personality test -- are the best predictors of future performance. (DDI uses personality testing only for senior positions as part of a holistic view, separating it from competitors, like Gallup, which rely heavily on the personality instrument.) Its "structured interview" -- central to the Targeted Selection apparatus -- probes for these behaviors through a gentle but relentless examination of past job experiences. The assessor, who either works for DDI or was trained by it, focuses on specifics. Rather than ask how you might win over a tough customer, the assessor might say, "What was your most difficult sale, and how did you approach it?" (Less squirm room.)

Like much of what DDI does, this is institutionalized common sense. Byham says people think they know how to interview because they've been grilled so often themselves and the wrong approach gets passed along, a contagion of bad practice. Interviewing is a skill that must be taught.

DDI doesn't test for basic skills. That's the job of recruiters and internal HR departments. "If you look at why people fail," Byham reflects, "it's almost never for technical reasons. It's for a behavioral reason; they can't get along, overanalyze, jump to conclusions." Byham feels confident, for example, that DDI's process would have identified behavior-based issues with Harvey Pitt, who melted down as SEC chairman last year. "Absolutely," he says. "Pitt is a brilliant lawyer. His problems were management-oriented and related to handling internal matters and the press. That would have emerged."

To explore a job candidate's potential more deeply, DDI also offers a series of simulation techniques. The most elaborate of these is its Acceleration Center process, which can be an all-day affair. To clone a virtual job experience (without the Raelians), DDI has created a hypothetical company into which a candidate is thrust -- a full and complete simulation that includes business challenges, financial issues, public relations crises, the works. And it's all videotaped. The idea is to replicate a fluid, real-world job -- a nonlinear experience complete with interruptions, surprises, and distractions. It's a process that is equally valuable at assessing outside candidates and judging internal ones. Byham tells the story of a closely held small business in which the son of the founder and the executive vice president were both assessed as part of a succession plan -- and, to the surprise of Dad, the son was the objective winner.

Candidates going through the DDI process today might find themselves faced with solving a personnel problem or mentoring someone on the team, while handling a constant stream of e-mails and phone calls. Part of the mix is an in-basket exercise, which assesses time-management skills and priority-setting. Of course, the actual simulation depends on the job description -- DDI spends a lot of time working with its clients on that -- and the "competencies" being assessed. For example, someone who deals with the media might suddenly get the message that a hostile public relations person is on the phone. How the candidate proceeds -- whether to wing it or decide to canvass internal resources before taking the call -- is part of the evaluation. All the "actors" in the day's performance are trained assessors. (Or at least they usually are. Sometimes DDI uses actual actors as part of the strategic charade.)

And that's just the morning. The real pressure cooker comes in the mid-afternoon, at a strategic meeting in which the candidate presents a recommendation based on a business case history that was supplied earlier. After the day is finished, the assessors, who've seen it all, meet for the data-integration phase of the evaluation. DDI claims it is the only consultant that incorporates this phase, a critical part of the process. Here, an entire day's behavior is quilted into a pattern; trends are identified, weaknesses brought to the surface, strengths knotted. A candidate who gets off to a rocky start has the ability to rebound. If the assessors disagree about a candidate's prospects, they can go to the videotape and replay a critical moment. The system aligns not only behavioral characteristics with the requirements of the job, but also, in some cases, the cultural fit. Byham believes this is the transcendent beauty of the DDI approach: the fullness of an individual, revealed.

Bill Byham is a sixtyish man with an open aspect and a folksy style that belies his role as the Grand Assessor. There is a gentle but firmly missionary quality about him: "What a wonderful business we're in. We're helping people get into jobs where they can succeed and will feel good and be motivated. What better can you do, other than cure 'em of cancer." He is from West Virginia, and his down-home style -- no New York Zip Code in hearing range -- noticeably contrasts with the buzzwords that percolate in his patter, including a favorite: empowerment. "We kind of invented empowerment around here," he is fond of saying.

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