A lot of people in HR struggle with making decisions in their roles and a big part of this is because they don’t understand the tools available to them. One such tool is SDy, which helps to quantify performance differences between candidates or current role incumbents. SDy is a statistical method of calculating the difference in performance in dollar terms between two people. It can be used to make decisions in recruitment, selection and training and development.
This article will be the first in a series of articles that put forward some of the fundamentals of HR and explain the use of SDy. It will be useful for both HR generalists and those who are responsible for making decisions within their own teams.
The first step in using SDy is to determine the difference in performance between a candidate and a current role incumbent. This is done by comparing the candidates’ CVs and assessing their experience, skills and capabilities. This information will then be used to create a scorecard for each candidate. This scorecard will be based on criteria and weightings that the organisation has established. The scorecard will then be used to make a decision about who should receive an offer for the role.
Once the decision has been made, the next step is to calculate the value of that candidate compared to the current role incumbent. This can be done by dividing the difference in performance by the average salary of the current role. This gives a relative performance score which can be compared with the target salary of the role to determine whether the proposed candidate is at the correct level.
It is important to note that SDy should only be used as a guide for making a decision and should not replace the need for a thorough analysis of both the candidate and the role. It is also important to consider other factors such as the company culture, the size of the team and the budget of the organisation when making a decision.
In order to get the best possible results, it is recommended that you consult a professional who can help you with this process. They will be able to provide you with the best advice and will help you to choose a candidate that is right for your organisation.