Cognitive Ability Predicts Job Performance and Career Advancement

06 June 2011

Summary

A major federal regulatory authority commissioned a study to evaluate the relationship between the Onetest Cognitive Ability Test (OCAT) and various organisational outcomes.

This research identified a direct relationship between applicants’ OCAT scores and subsequent job performance and career advancement.

Business Problem

A major federal regulatory body has used Onetest recruitment assessments since 2004. They commissioned a study to evaluate the relationship between the Onetest Cognitive Ability Test (OCAT) and various organisational outcomes in order to demonstrate the effectiveness of psychometric assessments.

Results

Job Performance

OCAT scores were compared to the annual performance ratings of 500 employees, derived by assigning numerical values to descriptive ratings.

As displayed below, the average OCAT score for those receiving a ‘Strong/Outstanding’ rating (27.8) is 16% higher than those who receive a ‘Consistent Performance’ rating (23.9).

 
On average, employees with ‘average & above’ OCAT scores achieved job performance ratings nearly 10% higher than those who were ‘below average’.

 

Employee Movement

OCAT scores were compared to each role change that 638 employees experienced while at the organisation. Employees were assigned a movement descriptor based on the type of role change:
  • Positive Movement – Promotion and career progression.
  • Negative Movement – Resignation, dismissal, failure of probation, abandonment of employment and unspecified termination.  
A direct relationship between OCAT scores and positive movement was identified.

As detailed below, employees with ‘above average’ OCAT scores were nearly 5 times more likely to receive a promotion or other type of career progression than those with ‘below average’ scores.

 

Business Implications

This analysis indicates there are strong relationships between OCAT scores and employee performance and career advancement.

This study presents strong support for using OCAT as a selection tool in recruitment. By using this psychometric assessment, improvements in business metrics associated with job performance are expected.

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