Part of our job here in the workforce science team is to keep up to date with new research in Organisational Psychology. This might sound boring to some people – but we love it!
As massive nerds, we find nothing more exciting than seeing new progress in our field. This time, our knowledge-cravings took us all the way from Melbourne to Orlando, Florida, to this year’s SIOP conference.
The issue of Adverse Impact
An important issue within our field – and within the US in general – is adverse impact and hiring for diversity.
We are passionate about ensuring people are not discriminated against in selection methods, whether it is because of gender, age, ethnic background or sexual orientation.
(Actually, this is also one of the key values and driving forces behind why Paul, our CEO, founded Sapia.)
One key topic at this year’s conference was the combination of data science and behavioural science. Specifically, there were a lot of discussions around how these sciences can work together to minimise bias and discrimination in the hiring process.
The standard recruitment selection process
To give you some background as to why this is important, let’s explore what a standard selection process might look like today.
If you ever have applied for a job, it is likely you have gone through a process involving;
- your resume
- a cover letter
- a psychometric test (personality/intelligence)
- an interview
- reference checks
As mentioned, pretty standard. This is typically the different pieces of information that recruiters would use to assess your suitability for a role.
However, from an adverse impact perspective, this isn’t good enough.
The reason is that humans are biased (there are a plethora of studies out there proving this). And even if our biases (in most cases) are unconscious, we still base discriminatory decisions on them.
Does your name predict future performance?
A research study by The Ladders found that recruiters only spend about 6 seconds looking at a resume. Using gaze-tracking technology they identified that recruiters spend almost 80% of this time on only a few items:
- name
- current title/company
- previous title/company
- previous position start and end dates
- current position start and end dates
- education
To most people that would seem reasonable. Our previous professional and educational experience should be predictive of future performance, right?
If you agree, it might surprise you that past job experience only has a 0.13 validity when used to predict performance (and your name certainly has nothing to do with how you would perform).
So not only is the information recruiters look at not actually predictive of performance, but it also has the potential to adversely impact minorities.
An eye-opening example
In the 1970s, the Toronto Symphony Orchestra was composed of almost all white males. A few years later, they caught on to their diversity issue and decided to do something about it.
One initiative was to introduce ‘blind auditions’. Individuals would perform from behind a screen, making the assessors ‘blind’ to who was performing. This meant that the performance was in the center of the assessment, not the individual.
The result?
The proportion of women within the orchestra increased from 5% to 35%.
Individuals within racial minority groups are also discriminated against based on resumes.
Research found that applicants with ‘traditional’ english names received an interview for every 1/10 resumes sent out. This is in contrast to applicants with African-American names, who only got an interview for every 1/15 resumes.
As the resume is one of the most common determinators of whether an applicant progresses to the next stage – it is alarming that this method can adversely impact minority groups.
Luckily, some progress is definitely being made to combat this.
Different techniques, for example blind recruitment, are increasing in popularity. Some progressive businesses have leap-frogged and started using artificial intelligence (AI) driven algorithms as a first step in their assessment process.
Important to keep in mind with AI and Adverse Impact
When using AI, it is very important to understand that the data put into the algorithm is of great importance. AI is often touted as the solution to the biases inherent in our thinking, but if not executed properly, AI can also become biased.
This is because an AI algorithm is only ever as bias-free as the data we used to build it.
It can be difficult to make sure AI is increasing diversity, and at the same time maintaining its predictive power. The predictive power is basically how good a model is at predicting good performance – and weeding out those who wouldn’t do so well.
To ensure best chance of success it is crucial that the data we put into AI recruitment tools is bias free.
One way is to control what you put into your AI models. Big Data can for example be dangerous, as it looks at adding all possible data sources of information to predict performance.
This could mean that the AI model learns that ethnic background is a predictor for success, which we clearly want to avoid.
To combat this issue at Sapia, we make the following decisions:
Targeted variables:
- we only choose variables that minority groups do not answer differently to other groups
(if we did the model could learn to discriminate against these groups if the variable was considered predictive)
Test our predictors:
- Are they in fact adversely impacting anyone?
- Conduct adverse impact studies
When considering a new assessment tool, you should always ask your test provider the following;
How do you ensure the assessment isn’t biased against any gender, age or racial category, whilst remaining highly predictive of performance?
If they can’t give you a satisfying answer, it is definitely worthwhile considering another vendor.
Liked what you read? For further reading on how we minimise bias in our algorithms, head here.
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Joe & the Juice Partners with Sapia.ai, Scaling an Exceptional Candidate Experience and Cutting Time to Hire
Read the full press release about the partnership here.
Joe & the Juice, the trailblazing global juice bar and coffee concept, is renowned for its vibrant culture and commitment to cultivating talent. With humble roots from one store in Copenhagen, now with a presence in 17 markets, Joe & The Juice has built a culture that fosters growth and celebrates individuality.
But, as their footprint expands, so does the challenge of finding and hiring the right talent to embody their unique culture. With over 300,000 applications annually, the traditional hiring process using CVs was falling short – leaving candidates waiting and creating inefficiencies for the recruitment team. To address this, Joe & The Juice turned to Sapia.ai, a pioneer in ethical AI hiring solutions.
A Fresh Approach to Hiring
Through this partnership, Joe & The Juice has transformed its hiring process into an inclusive, efficient, and brand-aligned experience. Instead of faceless CVs, candidates now engage in an innovative chat-based interview that reflects the brand’s energy and ethos. Available in multiple languages, the AI-driven interview screens for alignment with the “Juicer DNA” and the brand’s core values, ensuring that every candidate feels seen and valued.
Candidates receive an engaging and fair interview experience as well as personality insights and coaching tips as part of their journey. In fact, 93% of candidates have found these insights useful, helping to deliver a world-class experience to candidates who are also potential guests of the brand.
“Every candidate interaction reflects our brand,” Sebastian Jeppesen, Global Head of Recruitment, shared. “Sapia.ai makes our recruitment process fair, enriching, and culture-driven.”
Results That Matter
For Joe & The Juice, the collaboration has yielded impressive results:
-
33% Reduction in Screening Time: Pre-vetted shortlists from Sapia.ai’s platform ensure that recruiters can focus on top candidates, getting them behind the bar faster.
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Improved Candidate Satisfaction: With a 9/10 satisfaction score from over 55,000 interviews, candidates appreciate the fairness and transparency of the process.
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Bias-Free Hiring: By eliminating CVs and integrating blind AI that prioritizes fairness, Joe & The Juice ensures their hiring reflects the diverse communities they serve.
Frederik Rosenstand, Group Director of People & Development at Joe & The Juice, highlighted the transformative impact: “Our juicers are our future leaders, so using ethical AI to find the people who belong at Joe is critical to our long-term success. And now we do that with a fair, unbiased experience that aligns directly with our brand.”
Trailblazing for the hospitality industry
In an industry so wholly centred on people, Joe & the Juice is paving the way for similar brands to adopt technology that enables inclusive, human-first experiences that can reflect a brand’s core values.
If you’re curious about how Sapia.ai can transform your hiring process, check out our full case study on Joe & The Juice here.
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Sapia.ai Wrapped 2024
It’s been a year of Big Moves at Sapia.ai. From welcoming groundbreaking brands to achieving incredible milestones in our product innovation and scale, we’re pushing the boundaries of what’s possible in hiring.
And we’re just getting started 🚀
Take a look at the highlights of 2024
All-in-one hiring platform
This year, with the addition of Live Interview, we’re proud to say our platform now covers screening, assessing and scheduling.
It’s an all-in-one volume hiring platform that enables our customers to deliver a world-leading experience from application through to offer.
Supercharging hiring efficiency
Every 15 seconds, a candidate is interviewed with Sapia.ai.
This year, we’ve saved hiring managers and recruiters hours of precious time that can now be used for higher-value tasks.
Giving candidates the best experience
Our platform allows candidates to be their best selves, so our customers can find the people that truly belong with them. They’re proud to use a technology that’s changing hiring, for good.
Leading the way in AI for hiring
We’ve continued to push the boundaries in leveraging ethical AI for hiring, with new products on the way for Coaching, Internal Mobility & Interview Builders.
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Situational Judgement Tests vs. AI Chat Interviews: A Modern Perspective on Candidate Assessment
Choosing the right tool for assessing candidates can be challenging. For years, situational judgement tests (SJTs) have been a common choice for evaluating behaviour and decision-making skills. However, they come with limitations that can make the hiring process less effective and less inclusive.
AI-enabled chat-based interviews, such as Sapia.ai, provide organisations with a modern alternative. They focus on understanding candidates as individuals and creating a hiring experience that is both fair and insightful while enabling efficient screening and selection.
This shift raises important questions: Are SJTs still a tool that should be considered for volume hiring? And what do AI assessments offer in comparison?
1. The Static Nature of SJTs
Traditional SJTs use predefined multiple-choice questions to assess behavioural tendencies and situational knowledge. While useful for screening, these static frameworks lack the flexibility to adapt based on real-world performance data or evolving role requirements.
Once created, SJTs don’t adapt to new data or evolving organisational needs. They rely on fixed scenarios and responses that may not fully reflect the dynamic realities of modern workplaces, and as a result, their relevance may diminish over time.
AI-enabled chat interviews, on the other hand, are inherently adaptive. Using machine learning, these tools can continuously refine their models based on feedback from real-world outcomes such as hiring or turnover data. This ability to evolve ensures the assessments align with organisations’ needs.
2. Richer Data Through Open-Ended Responses
One of the main critiques of SJTs is their reliance on multiple-choice responses. While structured and straightforward, these options may not capture the full scope of a candidate’s thinking, communication skills, or problem-solving ability. The approach is often limiting, reducing complex human behaviour to a few predefined choices.
AI-enabled chat interviews work more holistically and dynamically. These tools provide a more complete picture of a person by allowing candidates to answer questions in their own words. Natural language processing (NLP) analyses their responses, offering insights into personality traits, communication skills, and behavioural tendencies. This open-ended format lets candidates express themselves authentically, giving employers a deeper understanding of their potential.
3. The Candidate Experience: Stressful or Supportive?
SJTs often include time constraints and rigid formats, which can create pressure for candidates. This is especially true when candidates feel forced to choose options that don’t fully reflect how they would actually behave. The process can feel impersonal, even transactional.
In contrast, chat-based interviews are designed to be conversational and low-pressure for candidates. By removing time limits and adopting a familiar chat interface, these tools help candidates feel more at ease. They also frequently include personalised feedback, turning the assessment into a valuable experience for the candidate, not just the employer.
4. Addressing Bias and Fairness
Traditional SJTs are prone to transparency issues, as candidates can often identify and select the “best practice” answers without revealing their true tendencies. Additionally, static test designs can unintentionally embed bias; due to the nature of the timed test, SJTs have been found to disadvantage some groups.
AI chat interviews, when developed ethically within a framework like Sapia.ai’s FAIR Hiring Framework, eliminate explicit bias by relying solely on the content of a candidate’s responses. Their machine learning models are continuously validated for fairness, ensuring that hiring decisions are free from subjective judgments or irrelevant demographic factors.
5. An Assessment That Improves Over Time
Workplaces are constantly changing, and hiring tools need to keep up. SJTs’ fixed nature can make them less effective as roles evolve or organizational priorities shift. They provide a snapshot but not a dynamic view of what’s needed.
AI-enabled chat interviews are built to adapt. With feedback loops and continuous learning, they incorporate real-world hiring outcomes—like retention and performance data—into their models. This ensures that assessments stay relevant and effective over time.
Rethinking Candidate Assessment
As hiring demands grow more complex, so does the need for tools that can capture the whole person, not just their response to hypothetical scenarios. While SJTs have played an important role in hiring practices, they are increasingly being replaced by tools like AI-enabled chat interviews.
These modern approaches provide richer data, adapt to changing needs, and create a richer and more engaging experience for candidates. Perhaps most importantly, they emphasise fairness and inclusivity, aligning with the growing demand for unbiased hiring practices.
For organisations evaluating their assessment tools, the question isn’t just which method is “better.” Understanding the specific needs of your roles, teams, and candidates will help you choose tools that help you make decisions that are both informed and equitable.