Utilising Psychometric Assessments in Your Business - Part Four: Benefits of Psychometric and Ability Assessments for Your Business and Your Bottom Line
Karyn Gould, Katrina Kemp
In today's competitive business landscape, you need every edge you can obtain to get ahead. Psychometric assessments can be a powerful tool to unlock potential, improve team dynamics, and ultimately boost your bottom line. But what exactly are psychometric assessments, and how can they benefit your business? We have created this 4-part series to give you greater insight into what they are, what we offer and how they can benefit your business – ‘better together’.
Psychometric assessments are a versatile tool you can leverage throughout the employee lifecycle, whether you are working to maintain and develop your talent or ensuring you ‘hire right the first time’.
Whilst, for some, the initial cost investment can seem high, on comparison with the costs associated with turnover, ranging from 100% to 300% of the replaced employee’s base salary (according to the recently released ‘2024 New Zealand Employment and Staff Turnover Report’), investment in getting it right first time, seems like a no-brainer.
The advantages of using psychometrics in your business are numerous:
- Reduced hiring costs: By selecting the right candidates from the outset, you save time and money on onboarding and reduce the likelihood of spending more time and money resolving a mismatch or having to continually recruit in response to high turnover rates.
- Improved employee engagement: When employees feel valued and placed in roles that suit their strengths, they're more likely to be engaged and productive.
- Improved Change Management engagement: Psychometrics can shed light on how your team may react to change. This allows for proactive communication strategies and support mechanisms to mitigate resistance and ensure a smoother transition during periods of change.
- Enhanced team dynamics: Psychometrics can help identify potential conflicts and build stronger, more cohesive teams.
- Better decision-making: Data-driven insights from psychometric assessments can inform strategic talent management decisions. It can also result in the right people, making the right decisions at the right time, because they understand their strengths, limitations, their role and how they best leverage others for the optimal results.
Tapping into the value of data driven insights for individual and team behaviour, can empower your business to build stronger teams, develop effective leaders and reduce the cost and time investment involved in managing high turnover and resolving mismatches in role and culture fit, all whilst enabling you to create a positive work environment which will all contribute directly to your bottom line.
Remember: Consulting with a qualified professional to choose the right assessment tools and ensure proper interpretation is crucial for maximising the benefits of psychometrics in your business. Reach out to our team to find out what tools are available to best suit your needs and long-term focus.
