| Casino A Case Study from the Max Impact Family |
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Casino no longer gambles on new hires
The focus of this case study is a gaming operation owned and operated by a Native American Tribe. The
operation includes a large casino with restaurant and entertainment venues, a substantial hotel and an adjacent
RV park and has expectations of future growth. Located on a major Interstate Highway, the development is in
a rural environment with a very limited employment pool. For years, the area’s economy rested on the timber,
mill, and mining industries; the collapse of those industries resulted in outmigration and further shrinking of the
population of available workers. The challenge for the HR team includes recruiting an adequate supply of
workers and finding workers with the qualities required to succeed in the 24-hour, seven day week
environment of gaming. In addition, integrity of workers is essential in a cash-rich environment.
The baseline group for this case study consisted of the last 100 employees hired prior to the beginning of the
assessment program. In this group, failure rates were compiled for 30, 60, and 90-day cumulative failure rates,
as well as total failures over the study period. Failure was defined as leaving employment with the operation for
any reason.
Beginning with the study period, every applicant selected as eligible for an interview completed the Step One
Survey II™, an honesty-integrity assessment which measures attitudes on four scales: Integrity, Substance
Abuse, Reliability, and Work Ethic. The SOS2 also includes a measure of distortion—exaggeration in the
positive direction.
Hiring procedures were modified and a criterion level was adopted, based on research using the SOS2
assessment in similar employment settings. A distortion score of one or two, or any two scale scores of three
or less, were considered a negative factor in the total employment decision, much as a negative reference or
unexplained gap in work history would be. Managers who chose to consider a candidate who scored below
criterion level could do so and could hire, but were required to provide reasons for their decision. The
interview guide produced by the assessment was used in the interview to investigate any negative indications in
the results.
Over the six-month study period, 302 assessments were administered and 155 hires were completed. The
relatively high 50 percent ratio reflects the shallow nature of the applicant pool in this setting. Presumably,
managers were forced to balance the desirability of individual candidates with the necessities of the operation
and the reality of the pool.
Further indication of the dilemma managers faced is provided by the nature of the failures—less than 10
percent of the people who left were under involuntary terms.
Results of the study are summarized in the table below. Surprisingly, 30-day failure rates nearly doubled with
use of the assessments, but overall hire failures dropped in every other category and were reduced by 33
percent overall.
Based on a cost-per-hire of $3,000 (frequently used in the hospitality industry), this represents an 855 percent
return on investment.
Contact us to learn how to duplicate this success story in your organization.
The focus of this case study is a gaming operation owned and operated by a Native American Tribe. The
operation includes a large casino with restaurant and entertainment venues, a substantial hotel and an adjacent
RV park and has expectations of future growth. Located on a major Interstate Highway, the development is in
a rural environment with a very limited employment pool. For years, the area’s economy rested on the timber,
mill, and mining industries; the collapse of those industries resulted in outmigration and further shrinking of the
population of available workers. The challenge for the HR team includes recruiting an adequate supply of
workers and finding workers with the qualities required to succeed in the 24-hour, seven day week
environment of gaming. In addition, integrity of workers is essential in a cash-rich environment.
The baseline group for this case study consisted of the last 100 employees hired prior to the beginning of the
assessment program. In this group, failure rates were compiled for 30, 60, and 90-day cumulative failure rates,
as well as total failures over the study period. Failure was defined as leaving employment with the operation for
any reason.
Beginning with the study period, every applicant selected as eligible for an interview completed the Step One
Survey II™, an honesty-integrity assessment which measures attitudes on four scales: Integrity, Substance
Abuse, Reliability, and Work Ethic. The SOS2 also includes a measure of distortion—exaggeration in the
positive direction.
Hiring procedures were modified and a criterion level was adopted, based on research using the SOS2
assessment in similar employment settings. A distortion score of one or two, or any two scale scores of three
or less, were considered a negative factor in the total employment decision, much as a negative reference or
unexplained gap in work history would be. Managers who chose to consider a candidate who scored below
criterion level could do so and could hire, but were required to provide reasons for their decision. The
interview guide produced by the assessment was used in the interview to investigate any negative indications in
the results.
Over the six-month study period, 302 assessments were administered and 155 hires were completed. The
relatively high 50 percent ratio reflects the shallow nature of the applicant pool in this setting. Presumably,
managers were forced to balance the desirability of individual candidates with the necessities of the operation
and the reality of the pool.
Further indication of the dilemma managers faced is provided by the nature of the failures—less than 10
percent of the people who left were under involuntary terms.
Results of the study are summarized in the table below. Surprisingly, 30-day failure rates nearly doubled with
use of the assessments, but overall hire failures dropped in every other category and were reduced by 33
percent overall.
Based on a cost-per-hire of $3,000 (frequently used in the hospitality industry), this represents an 855 percent
return on investment.
Contact us to learn how to duplicate this success story in your organization.
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