The introduction of artificial intelligence (AI) technologies into the world of HR and recruitment is not just an idea anymore, it is a reality, specifically focusing on AI for HR. Neural networks, machine learning, and natural language processing are all being introduced into different areas of HR, marking a significant shift towards integrating AI for HR purposes.
These developments contribute to the function’s increased accessibility to data-driven insights and analytics, enabling better-informed people decisions.
In recruitment and talent acquisition, AI technologies have the potential to make a significant impact by identifying candidates who can perform well in individual business environments.
However, pre-hire assessment is a complex area, and without incorporating validated behavioural science we only end up with a 2D view – instead of the 3D view we actually wanted. This is why the marriage of data, computer and behavioural sciences is essential.
By bringing together organisational psychologists, data scientists and computer scientists we truly leverage the power of artificial intelligence – and change the way candidates are recruited. It takes the recruitment process beyond the technical excellence necessary to collect and report on data and insights.
Through the combination of all three disciplines, we can access a whole extra world of meaning, enabling us to get closer to the core of what’s happening in organisations.
A recent Industrial & Organisational Psychology article pointed to the disruption taking place in the talent identification industry through new digital technologies. The authors noted that although big data is attractive, the data is often thrown together and interrogated using data science until correlations are found. This has become known as ‘dustbowl empiricism’.
My favourite for this at the moment has to be the strong correlation between the number of people who have drowned by falling in a pool, and the number of films Nicolas Cage has appeared in any given year. Who knew how dangerous Nicolas Cage could really be?
Despite the evident danger of watching Nicolas Cage films (particularly near water), I believe there is more value in explaining behaviour than in just predicting it.
For example, is there a correlation between owning a certain type of car and being a high performer?
Perhaps, but I don’t think to look for the best candidates in car parks is very useful. After all, people change cars, and so might the correlations change between particular car models and performance. To cite another famous example, as often as people change their eating preferences, so goes the link between curly fries and intelligence.
Understanding why data is linked can suggest better ways to improve performance than just updating the carpool or changing the canteen menu.
Linking a vehicle preference to well-established behavioural science may suggest that a client considers how a candidate is innovative elsewhere in their lives, such as in their adoption of other new technologies. Or they may look for other ways the candidate demonstrates a penchant for reliability (perhaps through previous work choices).
This is where organisational psychologists come in.
They have an intimate knowledge of the theories that can help interpret and explain the links between personal attributes and performance, or other variables that matter. They know how to use these theories to solve real problems and they know how to design studies and measurement tools to ensure that scientific knowledge is applied correctly in an organisational setting.
I learned a lot of organisational psychology models and theories during my Masters and PhD studies. We focused on these and the research behind them when I taught MBA and Master of Organisational Psychology programs – sometimes noting gaps in current models and theories – and designing studies to help extend or debunk what we knew.
While completing my MBA and later in a corporate role, I became skilled in applying that knowledge to the problems managers and executives face.
As an organisational psychologist I often find that it isn’t just knowing behavioural science that matters, it is knowing the behavioural science detail to understand what is most relevant for a role or business problem.
For example, consider sales performance.
Thanks to the popularity of some psychometric instruments, ‘extroverted’ or ‘introverted’ are understood as reliable ways to describe elements of a person’s personality, and many people are convinced that being extroverted is important in a sales role.
However, the research on sales performance says otherwise. An International Journal of Selection and Assessment article shows that across a range of studies there isn’t a strong link between ‘extraversion’ (broadly) and sales performance, despite this being such a common view.
Knowing the detail matters here.
A broad description of extraversion may not do a candidate justice, particularly when we’re focused on understanding performance in a particular role.
Instead, we might be interested in a candidate’s level of dominance, their sociability, what they would be like in a group setting, or presenting to a group to make a sale.
Perhaps we’d be interested in whether they are independent, adventurous, or ambitious, all of which (as potential elements of extroversion) may have different implications for sales performance.
We might also focus on the particular nature of the sales role – many roles are becoming more formalised and structured, with down-to-the-minute journey plans and call times. No wonder then that the Journal of Selection and Assessment article found another personality factor, conscientiousness, to be relevant for predicting sales performance.
It’s the acceptance of how important behavioural science is to the new world of AI that has led me to Sapia, where we believe all people decisions should be based on science, data and analytics – not just gut feeling.
Sapia focuses on the things that matter.
We use validated behavioural science to build predictive models, centred on the issues your business wishes to address and their corresponding KPIs. The predictive model is based on your workforce data so it’s unique to your organisation, maximising predictive accuracy while also prioritising the candidate experience.
We use various techniques, including training a neural network to identify what drives performance in the organisation, based on the data we collect. We build our algorithms to achieve accurate predictions from the start, and the model improves over time through machine learning.
We’re now at a point where we can use behavioural science, data science and computer technology to understand the intricate links between candidate information and performance data. With that we can help reduce bias and level the candidate playing field and give managers a 3D view of their candidates, to enable them to make the best people decisions.
Dr. Elliot Wood is a registered organisational psychologist with a bachelor’s degree, various master’s degrees and a PhD in the field. He spent 12 years in academia, teaching master’s-level organisational psychology; supervising post-graduate research; and working on research grants and consulting projects. He then moved into organisational development–focused consulting in Australia and Asia, followed by an internal talent role in a multinational brewer. He is now Chief Organisational Psychologist at Sapia.
References
Tomas Chamorro-Premuzic, Dave Winsborough, Ryne Sherman and Robert Hogan, Industrial & Organisational Psychology, ‘New Talent Signals: Shiny New Objects or a Brave New World?’
Murray R. Barrick, Michael K. Mount, Timothy A. Judge, International Journal of Selection and Assessment, ‘Personality and Performance at the Beginning of the New Millennium: What Do We Know and Where Do We Go Next?’
A new study has just confirmed what many in HR have long suspected: traditional psychometric tests are no longer the gold standard for hiring.
Published in Frontiers in Psychology, the research compared AI-powered, chat-based interviews to traditional assessments, finding that structured, conversational AI interviews significantly reduce social desirability bias, deliver a better candidate experience, and offer a fairer path to talent discovery.
We’ve always believed hiring should be about understanding people and their potential, rather than reducing them to static scores. This latest research validates that approach, signalling to employers what modern, fair and inclusive hiring should look like.
While used for many decades in the absence of a more candidate-first approach, psychometric testing has some fatal flaws.
For starters, these tests rely heavily on self-reporting. Candidates are expected to assess their own traits. Could you truly and honestly rate how conscientious you are, how well you manage stress, or how likely you are to follow rules? Human beings are nuanced, and in high-stakes situations like job applications, most people are answering to impress, which can lead to less-than-honest self-evaluations.
This is known as social desirability bias: a tendency to respond in ways that are perceived as more favourable or acceptable, even if they don’t reflect reality. In other words, traditional assessments often capture a version of the candidate that’s curated for the test, not the person who will show up to work.
Worse still, these assessments can feel cold, transactional, even intimidating. They do little to surface communication skills, adaptability, or real-world problem solving, the things that make someone great at a job. And for many candidates, especially those from underrepresented backgrounds, the format itself can feel exclusionary.
Enter conversational AI.
Organisations have been using chat-based interviews to assess talent since before 2018, and they offer a distinctly different approach.
Rather than asking candidates to rate themselves on abstract traits, they invite them into a structured, open-ended conversation. This creates space for candidates to share stories, explain their thinking, and demonstrate how they communicate and solve problems.
The format reduces stress and pressure because it feels more like messaging than testing. Candidates can be more authentic, and their responses have been proven to reveal personality traits, values, and competencies in a context that mirrors honest workplace communication.
Importantly, every candidate receives the same questions, evaluated against the same objective, explainable framework. These interviews are structured by design, evaluated by AI models like Sapia.ai’s InterviewBERT, and built on deep language analysis. That means better data, richer insights, and a process that works at scale without compromising fairness.
The new study, published in Frontiers in Psychology, put AI-powered, chat-based interviews head-to-head with traditional psychometric assessments, and the results were striking.
One of the most significant takeaways was that candidates are less likely to “fake good” in chat interviews. The study found that AI-led conversations reduce social desirability bias, giving a more honest, unfiltered view of how people think and express themselves. That’s because, unlike multiple-choice questionnaires, chat-based assessments don’t offer obvious “right” answers – it’s on the candidate to express themselves authentically and not guess teh answer they think they would be rewarded for.
The research also confirmed what our candidate feedback has shown for years: people actually enjoy this kind of assessment. Participants rated the chat interviews as more engaging, less stressful, and more respectful of their individuality. In a hiring landscape where candidate experience is make-or-break, this matters.
And while traditional psychometric tests still show higher predictive validity in isolated lab conditions, the researchers were clear: real-world hiring decisions can’t be reduced to prediction alone. Fairness, transparency, and experience matter just as much, often more, when building trust and attracting top talent.
Sapia.ai was spotlighted in the study as a leader in this space, with our InterviewBERT model recognised for its ability to interpret candidate responses in a way that’s explainable, responsible, and grounded in science.
Today, hiring has to be about earning trust and empowering candidates to show up as their full selves, and having a voice in the process.
Traditional assessments often strip candidates of agency. They’re asked to conform, perform, and second-guess what the “right” answer might be. Chat-based interviews flip that dynamic. By inviting candidates into an open conversation, they offer something rare in hiring: autonomy. Candidates can tell their story, explain their thinking, and share how they approach real-world challenges, all in their own words.
This signals respect from the employer. It says: We trust you to show us who you are.
Hiring should be a two-way street – a long-held belief we’ve had, now backed by peer-reviewed science. The new research confirms that AI-led interviews can reduce bias, enhance fairness, and give candidates control over how they’re seen and evaluated.
It’s time for a new way to map progress in AI adoption, and pilots are not it.
Over the past year, I’ve been lucky enough to see inside dozens of enterprise AI programs. As a CEO, founder, and recently, judge in the inaugural Australian Financial Review AI Awards.
And here’s what struck me:
Despite the hype, we still don’t have a shared language for AI maturity in business.
Some companies are racing ahead. Others are still building slide decks. But the real issue is that even the orgs that are “doing AI” often don’t know what good looks like.
The most successful AI adoption strategy does not have you buying the hottest Gen AI tool or spinning up a chatbot to solve one use case. What it should do is build organisational capability in AI ethics, AI governance, data, design, and most of all, leadership.
It’s time we introduced a real AI Maturity Model. Not a checklist. A considered progression model. Something that recognises where your organisation is today and what needs to evolve next, safely, responsibly, and strategically.
Here’s an early sketch based on what I’ve seen:
AI is a capability.And like any capability, it needs time, structure, investment, and a map.
If you’re an HR leader, CIO, or enterprise buyer, and you’re trying to separate the real from the theatre, maturity thinking is your edge.
Let’s stop asking, “Who’s using AI?”
And start asking: “How mature is our AI practice and what’s the next step?”
I’m working on a more complete model now, based on what I’ve seen in Australia, the UK, and across our customer base. If you’re thinking about this too, I’d love to hear from you.
For too long, AI in hiring has been a black box. It promises speed, fairness, and efficiency, but rarely shows its work.
That era is ending.
“AI hiring should never feel like a mystery. Transparency builds trust, and trust drives adoption.”
At Sapia.ai, we’ve always worked to provide transparency to our customers. Whether with explainable scores, understandable AI models, or by sharing ROI data regularly, it’s a founding principle on which we build all of our products.
Now, with Discover Insights, transparency is embedded into our user experience. And it’s giving TA leaders the clarity to lead with confidence.
Transparency Is the New Talent Advantage
Candidates expect fairness. Executives demand ROI. Boards want compliance. Transparency delivers all three.
Even visionary Talent Leaders can find it difficult to move beyond managing processes to driving strategy without the right data. Discover Insights changes that.
“When talent leaders can see what’s working (and why) they can stop defending their strategy and start owning it.”
What it is: The median time between application and hire.
Why it matters: This is your speedometer. A sharp view of how long hiring takes and how that varies by cohort, role, or team helps you identify delays and prove efficiency gains to leadership.
Faster time to hire = faster access to revenue-driving talent.
What it is: Satisfaction scores, brand advocacy measures, and unfiltered candidate comments.
Why it matters: Many platforms track satisfaction. Sapia.ai’s Discover Insights takes it further, measuring whether that satisfaction translates into employer and consumer brand advocacy.
And with verbatim feedback collected at scale, talent leaders don’t have to guess how candidates feel. They can read it, learn from it, and take action.
You don’t just measure experience. You understand it in the candidates’ own words.
What it is: The percentage of candidates who exit the hiring process at different stages, and how to spot why.
Why it matters: Understanding drop-off points lets teams fix friction quickly. Embedding automation early in the funnel reduces recruiter workload and elevates top candidates, getting them talking to your hiring teams faster.
Assessment completion benchmarks in volume hiring range between 60–80%, but with a mobile-first, chat-based format like Sapia.ai’s, clients often exceed that.
Optimising your funnel isn’t about doing more. It’s about doing smarter, with less effort and better outcomes.
What it is: The percentage of completed applications that result in a hire.
Why it matters: This is your funnel efficiency score. A high yield means your sourcing, screening, and selection are aligned. A low one? There’s leakage, misfit, or missed opportunity.
Hiring yield signals funnel health, recruiter performance, and candidate-process fit.
What it is: Insights into how candidate scores are distributed, and whether responses appear copied or AI-generated.
Why it matters: In high-volume hiring, a normal distribution of scores suggests your assessment is calibrated fairly. If it’s skewed too far left or right, it could be too hard or too easy, and that affects trust.
Add in answer originality, and you can track engagement integrity, protecting both your process and your brand.
To effectively lead, you need more than simply tracking; you need insights enabling action.
When you can see how AI impacts every part of your hiring, from recruiter productivity to candidate sentiment to untapped talent, you lead with insight, not assumption. And that’s how TA earns a seat at the strategy table.