Type I, II Errors in Recruiting

The HR department is trying to fill a vacant position for a job with a small talent pool. Valid applications arrive every week or so, and the applicants all seem to bring different levels of expertise. For each applicant, the HR manager gathers information by trying to verify various claims on resumes, but some doubt about fit always lingers when a decision to hire or not to hire is made.

What are the Type I and Two decision errors costs?
Which decision error is more likely to be discovered by the CEO?
How does this affect the HR manager’s hiring decisions?

Solution Preview

Errors in Recruiting
When recruiting and selecting employees, there are many errors that can be made by those charged with such a responsibility in the human resource department. There are two major errors that may occur including type I errors and type II errors. Type I errors is when candidates are rejected despite the fact that they do meet the needed requirements and qualifications (Wood, & Payne, 2014). Type II errors happen when an applicant is hired despite the fact that they do not meet the needed expertise and qualifications that are required by that position or vacancy that has risen at the workplace.

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