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A Complete Guide to Using Job Simulations in Your Hiring Process

Post Author - Juste Semetaite Juste Semetaite Last Updated:

Imagine being able to see your candidates in action before they even step into your office. Job simulations give you this unique advantage by allowing candidates to demonstrate their skills and abilities in a scenario that mirrors the real work environment.

Whether you’re hiring for customer service roles or software development positions, these pre-work assessments provide important insights into how candidates perform under pressure, solve problems, and adapt to new challenges (among many other factors that can help you avoid costly hiring mistakes).

Basically, what we’re saying is that job simulations offer an unparalleled glimpse into a candidate’s potential, equipping you with the real-world data necessary to make informed hiring decisions. If that’s something you’d like to learn how to do, keep scrollin’ to see how to use job simulations to elevate your hiring process.

TL;DR — Key Takeaways

  • A job simulation, or work simulation, refers to pre-employment tests that give both candidates and employers a glimpse into job performance.
  • By asking prospective candidates to complete tasks similar to those expected from them on the job, hiring managers can evaluate job-specific skills, gather candidate insights, and even reduce bias in the hiring process.
  • Additionally, by allowing candidates to demonstrate their skills and capabilities in a realistic setting, candidates are able to self-select, leading to higher job satisfaction.
  • Examples of job simulations include skills assessments, cognitive ability tests, take-home assignments, live job simulations like role-playing, and personality/culture fit tests.
  • Toggl Hire’s skills test library is a robust resource of professionally crafted questions to help you create the perfect job simulation assessment.

Job simulations definition…what are they, actually?

Job simulations are a type of pre-employment assessment that gives hiring managers valuable insight into how candidates might perform on the job. Plus, they allow candidates to showcase their skills and abilities in a job-like setting.

Think of it like a test drive for job performance. Instead of relying solely on resumes and interviews, successful online job simulations are another piece of the puzzle that helps hiring teams make better-informed hiring decisions.

Here are three examples:

  • In a customer service job simulation, candidates may interact with a simulated customer to assess their communication, problem-solving, and interaction skills.
  • For a software development role, the simulation might involve writing code to solve a real-world problem.
  • In a sales position, candidates could be challenged to make a sales pitch to a simulated customer.
job simulations in the hiring process
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The beauty of a job simulation is that they can be used at any stage of the hiring process. For example:

  • They are particularly useful in the early screening stage, allowing you to efficiently assess a large number of candidates and identify the most qualified ones early on—saving time and money.
  • Job simulations also shine in the final interview stage, providing a more in-depth look at your candidate shortlist, helping to compare candidates, and to inform your decision-making.

What are the different types of job simulations?

To select or create the right job simulation test, you’ll need:

  • An understanding of the available job simulation formats, from skills tests to work sample tests
  • A clear understanding of the role requirements and ideal candidate profile
  • Knowledge of when in the hiring process to best use which test type

To help you hit the ground running, consider the following eight different examples of job simulation tests and how they might fit within the three core stages of recruitment. If you’re short on time, read through our tip about what type of job simulation is the most effective.

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In 2022, researchers from the University of Minnesota and Indiana University revisited a classic 1998 study by Schmidt and Hunter, who analyzed 85 years of data to determine the most effective hiring methods. Their review concluded that job knowledge and work sample tests are the best predictors of job performance.

*It’s worth noting that many other types of job simulations weren’t included in their analysis, so take that conclusion with a grain of salt. We ultimately recommend choosing a job simulation based on the role and your ideal candidate profile.

#1. Screening candidates

Skills assessments

Skills assessments are a valuable tool for evaluating a candidate’s job-related abilities, such as technical skills, administrative skills, software expertise, language proficiency, and other essential competencies required for entry-level positions and management positions alike.

According to the Society for Human Resource Management, around 82% of organizations use skills testing in their recruitment process, so you’re in good company (plus, People Management says 92% of employers believe they’re more effective than the traditional résumé for identifying talented candidates).

For example, if you’re looking for a top-notch software developer, you could use a coding test or challenge to assess their programming skills and determine if they meet your requirements.

The benefits of skills assessments are twofold:

  • They provide quantifiable data on a candidate’s abilities
  • They help narrow down the candidate pool efficiently.
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It’s important to remember that skills tests focus on a specific skill or competency and may not capture overall suitability for the role. Our suggestions is to tailor the skills assessment to reflect the specific demands of the role, such as a coding challenge that mirrors the real-world tasks a software engineer would handle. With our customizable skills test templates, you can create job-specific job simulations and assessments in minutes!

customize your skills tests

Cognitive ability tests

According to Harver, at least 80% of the Fortune 500 companies globally use cognitive and IQ tests during the hiring process. Cognitive ability tests assess a candidate’s analytical, critical thinking, and logical reasoning skills—the mental tools for the job.

cognitive abilities that matter

The perks? Cognitive ability is a strong predictor of a candidate’s ability in various roles. These tests also help reduce bias by focusing on cognitive abilities rather than personal backgrounds.

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Balance cognitive ability tests with other assessments for a complete picture of the candidate’s suitability for the role. To choose the right tool, see our breakdown of the Top 5 Cognitive Ability Assessment Tools 🧠.

Situational judgment tests

Situational judgment tests offer candidates a glimpse into real workplace scenarios, assessing their ability to navigate diverse situations and make appropriate choices.

These tests provide hiring managers with practical insights by simulating on-the-job situations and showcasing a candidate’s practical decision-making capabilities. They also promote fairness and reduce bias.

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Interestingly, a study in the Journal of Applied Psychology highlighted a strong correlation between situational judgment tests and job performance. To maximize their effect, include scenarios that encompass both everyday challenges and more complex situations to mirror the demands of the role.

#2. Shortlisting candidates

Take home assignments

Take-home assignments allow candidates to demonstrate their skills and talents within a designated timeframe while working in their own environment. For example, crafting a sample social media campaign for a marketing role.

While these assignments offer flexibility, they’re not cheat-proof, and evaluating these assignments may also require more effort.

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To maximize the value of these assignments, provide clear guidelines and tailor the task to align with the role’s challenges. Here is an example of what that looks like when using Toggl Hire.

Get a jumpstart on your selection process with easy-to-use homework assignment templates.

In-basket/in-tray exercises

In-basket/in-tray exercises immerse candidates in realistic job scenarios, often against the clock. These exercises are designed to simulate the pressures and challenges that job applicants would experience in the role.

Imagine being able to see how a candidate performs when stepping into the shoes of a manager, faced with a virtual inbox filled with emails, memos, phone calls, and tasks requiring prioritization and timely action.

Through this exercise, you can assess their organizational skills, ability to handle multiple responsibilities, and their aptitude for making effective decisions.

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We often see companies get this wrong because they forget to clearly define the expectations and time constraints for completion. We also don’t recommend making the task too challenging. The goal is to see how candidates perform under pressure—not to stress them out.

Personality and culture fit tests

These tests evaluate how well a candidate aligns with your team, work environment, and company culture—assessing traits, values, and compatibility.

A Deloitte report found that 89% of executives believe a strong workplace culture attracts and retains top talent.

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Combine personality assessments with other tools for a comprehensive evaluation.

#3. Making the final selection

Live exercises

Live exercises, often as part of the interview process, immerse candidates in dynamic group interviews, presentations, or case studies that mirror real-world challenges and evaluate teamwork, communication, and leadership skills.

Imagine candidates collaborating on a marketing campaign pitch or tackling complex problem-solving scenarios. That’s why these simulations are popular during graduate assessment centers, where multiple candidates are being evaluated simultaneously.

Top tips to enlarge those brains Top tip:

Like in-basket exercises, these simulations are time-intensive, so save them for the final selection stage.

Role-play

A role-playing simulation allows candidates to experience the challenges of the role firsthand by acting out scenarios while giving hiring managers a look at how they might perform tasks and navigate interpersonal relationships.

HR Daily Advisor reveals that 65% of job candidates consider role-playing a fair assessment method for evaluating their skills.

Role-play simulations assess interpersonal and communication skills, brainstorming abilities, and adaptability, providing a glimpse into candidates’ real-life performance, but nerves can come into play during role-play exercises.

Top tips to enlarge those brains Top tip:

Create a comfortable environment for candidates to feel at ease. Provide feedback afterward to promote growth and improvement.

7 benefits of using job simulations (and why traditional hiring methods don’t work)

As we’ve said (and seen first-hand), job simulations can help you make more informed hiring decisions, which is a key benefit in itself. However, they’re helpful for a lot of other hiring tasks as well. Let’s break it down further by analyzing seven additional benefits of work simulations.

#1 – Evaluate job-specific skills

For most roles, you’ll need to find and attract candidates with a specific set of skills. Traditional hiring methods like resumes and job interviews can only tell you so much. A job simulation can help you to complete the picture by allowing you to assess the exact skills, knowledge, and competencies needed for the role.

Creating the right job simulation starts with the job description. The more specific and tailored it is, the better the results will be. This will boost confidence in your hiring decisions while also reducing the risk of a bad hire.

#2 – Well-rounded candidate insights

Beyond proving that the candidate can do the job, job simulations also equip hiring managers with critical insight into how well they might perform.

Job simulations, like role-plays or situational judgment tests, reveal aspects of candidates’ personalities that you might otherwise miss. They can bring red flags to your attention, like poor attention to detail, or they might pleasantly surprise you with strengths like strong decision-making and organization.

Job simulations can provide hiring managers with well-rounded candidate insights by assessing candidates’ job-related strengths, weaknesses, and cultural fit.

skills-based hiring vs traditional hiring

#3 – Another touchpoint to remove bias

We all have biases, whether we’re aware of them or not. If left unchecked, these unconscious biases can affect our judgments and evaluations, potentially leading to unfair treatment and missed opportunities.

Here, job simulations allow for an additional layer of fairness and objectivity, helping to remove bias from the hiring process. By emphasizing real-life performance, a job simulation allows you to assess candidates based on their actual skills and abilities rather than relying on more subjective judgments.

This ensures that hiring decisions are based on concrete evidence and merit rather than on unconscious bias.

#4 – Enable self selection

Recruiters know the frustration of offering a candidate a role only to have them decline because it doesn’t align with their interests. Job simulations give potential hires a chance to get a taste of the job before making a final decision, leading to higher job satisfaction.

It’s a win-win situation that helps you streamline hiring and ensures that you’re investing in candidates who are genuinely interested in joining your team.

Toggl Hire candidate experience

According to research, one of the most common reasons for new hires to quit in the first year after accepting a job offer is realizing the advertised job requirements don’t match the actual job content.

So, think of a job simulation as an opportunity to let candidates self-select. Those who don’t feel a connection or passion for the role can opt out before reaching the final hiring stages. It’s like a natural selection process for both sides, allowing you to focus your time and efforts on candidates who genuinely want the position.

One way that candidates decide whether a role will suit them is if it requires a certain level of skills, knowledge, qualifications and/or experience. It is an unpleasant feeling to start a new job and then realize that you are either overqualifed or underqualifed to perform the duties.

Korn Ferry report

#5 – Predict job performance

When it comes to predicting job performance, job simulations have a unique advantage. By immersing candidates in scenarios that mirror the challenges they’ll face in the real role, you can observe how they tackle problems, make decisions, and handle complex tasks.

It’s a trial run that allows you to assess candidates’ abilities, important skills, and traits required for the role, as well as overall fit for the job.

Factors that predict job performance

#6 – Lower hiring costs

Implementing job simulations can lead to significant cost savings in your hiring process.

Traditional recruitment methods often involve multiple rounds of interviews, extensive travel expenses for in-person meetings, and long decision-making periods. But with these types of job simulations, you can streamline the assessment process and identify top performers quickly and cost-efficiently.

Use a job simulation to filter out unqualified candidates sooner. This reduces the need for lengthy interview stages and minimizes the chances of hiring the wrong person. Plus, the improved accuracy in candidate selection achieved through using job simulations reduces turnover rates.

#7Candidates usually prefer them!

Job simulations offer benefits not only to employers but also to candidates. Through simulations, candidates gain a clearer understanding of the role’s responsibilities, challenges, and expectations. This allows them to make more informed decisions about whether the role aligns with their career aspirations.

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This is typically only true if you’re compensating candidates for their time. At Toggl, for example, we offer paid test weeks to the final few candidates for each role and engage them in job simulations throughout the week. We don’t recommend putting candidates through intense work simulations or projects without offering any compensation for their time and effort.

Try Toggl Hire to power your job simulation assessments

Job simulations are an effective and robust way to assess candidate abilities and skills.

By using Toggl Hire’s massive skills test library (and all of our other full-cycle hiring features), you can create tests that mimic real-world situations, such as coding problems or understanding their key skills. What’s more, skills tests are a far better way to identify both soft skills and hard skills compared to a standard CV.

Looking to get started with a job simulation assessment? Check out our assessment library and then create your free Toggl Hire account to use those assessments during your next hiring cycle.

Juste Semetaite

Juste loves investigating through writing. A copywriter by trade, she spent the last ten years in startups, telling stories and building marketing teams. She works at Toggl Hire and writes about how businesses can recruit really great people.

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