Situational Judgement Tests (SJTs) or Ai interview automation?
From one recruiter to another and one employer to another, the ways candidates are selected vary greatly. But ask anyone involved in the process, and most will agree that what happens at the early candidate screening stage, is critical to getting the best outcomes. Traditionally, it’s also been the most time-consuming and costly part of the hiring process.
Long before a face-to-face interview, recruiters need to screen candidates to decide, from potentially thousands of applicants, who should proceed to the next steps in the hiring cycle. But before they’ve even met a candidate, can recruiters really assess someone’s ability and suitability for the job they’re applying for? Yes, they can, especially with tools like the situational judgement test.
Choosing the best assessment solution for your recruitment tools suite.
In contemporary recruiting, a suite of tools and technologies can help take the hard work and the guesswork out of the hiring process. Talent assessment tools, like situational judgement tests for managers or situational judgement tests for customer service, help recruiters identify the best candidates faster – talent who will be the best fit for the role and the team, work most productively and stay in the role longer.
While traditionally a time-consuming manual review of applications and CVs would begin the hiring process, recruiters have embraced technologies that can automate these processes from the outset.
In this article, we compare two top of the funnel tools recruiters are using to assess candidates: traditional situational judgement tests (SJTs) and the next generation text interview platform.
Sapia Ai-enabled automated interviews could provide the answers you’re looking for, helping to connect to the best talent faster and more cost-effectively.
So, what is a situational judgement test?
Situational judgement tests are used to assess a candidate’s judgement and ability to respond appropriately to the real-world situations they would be likely to encounter in the workplace.
Candidates are presented with a workplace scenario and then they are required to choose or rank the best (or worst) paths to resolve the challenge, conflict or opportunity. They are a type of psychological aptitude test that provides insight and assessment of a candidate’s job-related skills.
What do situational judgement tests measure?
While the challenging scenarios presented to candidates are hypothetical, the best tests are designed around the role they are applying for.
Reflecting real situations they could encounter, the scenarios may involve working with other team members or supervisors, interacting with customers or dealing with day-to-day challenges.
Situational judgement tests date back to the 1940s. While the ways they are delivered may have changed, they remain a popular way to assess skills such as problem-solving and interpersonal skills. They are also useful in assessing soft skills and practical, non-academic intelligence.
Situational judgement tests are customised to the role and the organisation. Generally, they would be looking to assess a candidate’s aptitude for a role by measuring competencies that might include:
- Communication skills – clarity, persuasiveness, empathy
- Organisation and planning – solving the problem, staying cool under pressure
- Teamwork – collaboration, encouraging others, prioritising team needs over the individual, implementing solutions
- Decision making – exercising discretion, analysing the situation, demonstrating solid judgment
- Customer focus – listening, recognising, delivering
- Initiative – taking responsibility, demonstrating leadership, stepping up
- Ambition – drive to achieve
How does a situational judgement test work?
As they are produced by a range of different providers, SJTs can be delivered in a number of ways. As they are also tailored to suit specific roles and companies, tests can vary in their length, structure and format. While some may be paper-based, most tests are delivered digitally.
The tests provide candidates with a workplace scenario – as a written description or as a video or digital animation – and a challenge related to that scenario. Typically, candidates are then presented with four or five possible paths of action in multiple-choice format to deal with the situation described.
Different approaches are used for candidates to provide their answers. Some may require candidates to choose both the most desirable and the least desirable action. Others may ask candidates to choose just one preferred option or rank all actions in terms of effectiveness.
What benefits can SJTs bring to the hiring process?
Situational judgement tests are typically used before the interview stage and often used in combination with a knowledge-based test.
SJTs are designed to help recruiters and hiring managers to:
- filter candidates from large talent pools
- identify candidates who are likely to perform best in the role
- provide candidates with further insight into the demands of the role
- identify candidates who will be a good cultural fit
- assess candidates’ aptitude and judgement against realities of the role
- understand a candidate’s aptitude for the particular job
- help reduce staff turnover by making more informed decisions
Sapia – the smarter way to assess candidates
Since 2013, Australian recruitment technology specialist Sapia has worked to solve a problem for every recruiter and employer. That is how to get to the right talent faster while consistently improving the candidate experience.
Sapia’s text-based interview platform uses artificial intelligence, machine learning and natural language processing to provide reliable personality insights into every candidate. While SJTs can be expensive time-consuming to create, administer and assess, Sapia’s platform can provide like-for-like personality and job-fitness tests with far greater ease and at a fraction of the cost.
Why organisations are turning to interview automation over situational judgement tests
Here is feedback from a customer after running a pilot using SJTs:
Often situational judgement tests don’t accurately represent what the job is really about. There are so many aspects that need to be considered within a real-world situation. Feedback from the SJTs pilot groups is that they often felt as though they were being forced into specific areas that may not be job-related. There needs to be more flexibility for a candidate to say: “I would do this, but I would also do a bit of that”. Having an experience that gives flexibility in answering. It enables candidates to have that open-ended answer to express what was important to them.
How Sapia’s interview automation works
Smart Interviewer is Sapia’s machine learning interview platform. With learning from analysing more than 165 million words in text-based interviews with more than 700,000 candidates, Smart Interviewer combines standard interview questions related to past behaviour and situational judgement to reliably assess personality traits. The questions can be customised to the specific role family – sales, retail, call centre, service etc– and specific requirements relating to the employer’s brand and employment values.
Candidate assessment at scale
The scientific foundation of Sapia’s Ai interview platform is that language forms the framework for the knowledge, skills and personality we possess. Through a simple text-based conversation, Smart Interviewer provides valuable candidate insights. It can predict a candidate’s suitability for a role and guide their progression through the recruitment process. It delivers the insights that recruiters and employers need to make better hiring decisions at scale.
Enhancing the candidate experience – 99% satisfaction
Improving the candidate experience is a priority for every recruiter and employer. The effect of a poor experience can cause lasting damage to reputations and brands. Sapia is the only conversational interview platform with 99% candidate satisfaction feedback. Candidates enjoy the process, appreciate the opportunity and value the personalised feedback. Something that’s simply not practical with most high-volume recruitment briefs.
Candidates know text and trust text
As text is a familiar, non-confrontational way to connect, candidates enjoy the text interview experience. Unlike SJTs that lock them into choosing options from pre-determined answers, candidates appreciate the open-ended questions . Here they are empowered by the opportunity to tell their story in their words.
While questions are customised to the role, some typical examples include:
• What motivates you? What are you passionate about?
• Not everyone agrees all the time. Have you had a peer, teammate or friend disagree with you? What did you do?
• Give an example of a time you have gone over and above to achieve something. Why was it important for you to achieve this?
• Sometimes things don’t always go to plan. Describe a time when you failed to meet a deadline or personal commitment. What did you do? How did that make you feel?
• In sales, thinking fast is critical. What qualifies you for this? Provide an example.
Tackling bias and taking CVs out of the equation
Sapia provides blind-screening at its best, effectively reducing opportunities for bias from the assessment process to ensure every candidate is playing on a level field. Candidates recognise and appreciate the opportunity to tell their story without the subjective biases of a human interview or a cursory review of their CV. For top of the recruitment funnel interviews, Sapia removes CVs from the process altogether.
Find out more about Sapia’s Ai-powered candidate assessment tool and how it could replace your time-consuming and costly SJTs today.
You can leave us your details to get a personalised demo OR try out Sapia’s Chat Interview right now, here.
Related
Blog
How leading retailers are using AI-Native Hiring
Retail leaders have embraced AI to improve supply chains, automate checkout, and enhance customer experience. But what about finding the people who deliver that customer experience?
AI brings incredible possibilities to supercharge how retailers hire, develop, and retain talent.
At Sapia.ai, we helped iconic retailers like Woolworths, Starbucks, Holland & Barrett, and David Jones reimagine hiring from the ground up – replacing resumes, ghosting, and gut feel with structured, ethical AI that delivers performance and fairness at scale.
The Retail Problem: Volume, Turnover, and Ghosting
Retail is high volume. It’s high churn. And it’s high stakes for candidate experience:
- Candidates ghosted during slow hiring cycles
- Store managers are overloaded with admin
- Recruiters are overwhelmed with 100,000+ seasonal applicants
- Talent is overlooked due to bias or unfair screening processes, not a lack of potential
And yet, most hiring still relies on broken tools: resumes, forms, manual processes, and outdated systems.
Sapia.ai: The AI-Native Hiring Engine Built for Retail
Our platform automates the entire “apply to decide” journey, leveraging AI & automation to streamline the hiring process & bring intelligence into retail hiring.
Smart Interviewer™: Mobile-first, chat-based, structured interviews for a holistic candidate assessment.
Live Interview™: AI-driven bulk interview scheduling without calendar chaos.
InterviewAssist™: Instant interview guide generation.
Discover Insights: Embedded analytics to track hiring health in real-time.
Phai: GenAI coach for career and leadership potential.
Unlike resume parsing or generic chatbots, Sapia.ai assesses soft skills, communication, and culture fit using natural language processing and validated psychometrics. It’s ethical AI built in, not bolted on.
From Application to Interview in Under 24 Hours
Candidates don’t want to wait. They don’t want to be ghosted. And they don’t want resumes to define them.
> 80% of Sapia.ai chat interviews are completed in under 24 hours.
We see consistently high completion across categories: grocery, merchandising, home improvement, and luxury retail.
“It was fast, fair, and I actually got feedback. That never happens.” – Retail Candidate Feedback
Real Impact, Across Every Retail Category
Sapia.ai powers hiring for millions of candidates across diverse retail environments:
| Impact of Sapia.ai on Retail Hiring in 2024 | |||
| Category | Hours Saved | FTEs Saved | Cost Saved |
| Grocery | 272k | 131 | $6.5m |
| General Merchandise | 193k | 93 | $4.6m |
| Specialty Retail | 133k | 64 | $3.2m |
| Home Improvements | 103k | 50 | $2.5m |
| Merchandising | 22k | 11 | $0.5m |
| Luxury | 9k | 4 | $0.2m |
The savings created by intelligent, AI-native automation have unlocked team capacity, impacted retailers’ P&L, and improved store readiness.
Speed That Delivers Real ROI
Every candidate gets interviewed instantly. No waiting. No bias. Just fast, fair, data-backed decisions. This generates real impact for retailers who previously relied on slow, outdated processes to handle thousands of applicants.
- Woolworths: 5,000 hours saved in a single week
- Starbucks: Doubled hiring capacity, 91.8% completion
- Holland & Barrett: Time to hire cut from 20 to 7 days
- Woodie’s: 3x more ethnic minorities hired in 3 months
DEI by Design, Not by Mandate
With Sapia.ai:
- 98% of candidates opt in to demographic questions
- Zero adverse impact detected across gender, ethnicity, and disability
- 1.5–3x improvements in diverse hiring rates
DEI Fairness Scores (based on actual hiring data):
Gender: 1.03 (vs customer baseline of 1.01)
Ethnicity: 1.15 (vs customer baseline of 0.74)
Why? Because ethical AI removes what humans can’t unlearn: bias. With a candidate experience that is inclusive by design, retailers can ensure fairness in screening, and measure it in hiring.
Candidate Experience = Brand Experience
Retail candidates are your customers. And the experience you give them matters. We have built a brand advocacy engine that delights candidates and gives you the data to prove it.
- 9.2/10 CSAT across 2.6 M+ retail candidates
- NPS: 78 (30+ points above industry benchmark)
- 87% more likely to recommend the company’s products post-interview
Responsible, Explainable AI Built for Retail
Not all AI is created equally. Since 2018, Sapia.ai has been built on a foundation of responsible AI:
- No use of resumes or scraped data
- Hosted securely via AWS Bedrock
- Claude-powered LLM scoring with model cards and explainability
- Independent audits on bias, privacy, and methodology
“We can’t go back to life before Sapia.ai. We used to spend half the day reading resumes.”
— Talent Lead, Starbucks AU
What’s at Stake: Time, Brand, and Revenue
Every day spent using outdated hiring methods costs retailers:
- Wasted recruiter hours
- Lost revenue from unfilled roles
- Bad churn that drains training budgets
- Lower customer satisfaction from poor-fit hires.
With Sapia.ai, you get the productivity unlock retail hiring demands, and the intelligence your talent deserves.
Want to see how fast, fair, and human retail hiring can be?
Book a demo
Blog
Reinventing the Competency Framework: A Data-Driven Approach for the AI Era
We can’t hide from reality anymore. Talent needs are shifting overnight, and AI is redefining what it means to work. Traditional talent frameworks are no longer fit for purpose. At Sapia.ai, we believe the future of talent strategy lies in a smarter, fairer, and more adaptive way of defining what great looks like.
Our AI hiring platform is built on the largest proprietary dataset of interview answers globally – we’re a data company at heart, and we’ve seen the power of data-driven people methodology in transforming how organisations hire and retain good talent.
So, when it came to building a new Competency Framework that could be leveraged globally for hiring for any role at any scale, of course, we used a ground-up, data-led methodology that bridges the gap between organisational psychology and AI.
Why Rethink Competency Frameworks?
Conventional frameworks are typically crafted through expert interviews and focus groups. While valuable, they tend to be subjective, static, and too slow to keep pace with evolving job demands. As roles become more fluid and technology augments or replaces task-based skills, organisations need a new way to understand the human capabilities that genuinely matter for performance.
We wanted to identify enduring, job-agnostic competencies that reflect what drives success in a modern workplace – capabilities like adaptability, resilience, learning agility, and customer orientation.
(Why competencies and not just skills? Read why here.)
Our Approach: Where AI Meets I/O Psychology
Sapia.ai’s methodology is rooted in the science of human behaviour but powered by cutting-edge AI. We asked two core questions:
- Can we make competency discovery agile, scalable, and evidence-based?
- Can we use AI to automate the process without losing the rigour of traditional psychology?
The answer to both: yes.
We began with a rich dataset of over 37,000 job descriptions across industries and role types. Using large language models (LLMs) and advanced NLP techniques, we extracted over 200,000 behavioural descriptors. These were distilled down through a four-step process:
- Behavioural Descriptor Extraction
- Clustering and Labeling
- Cluster Analysis by I/O Psychologists
- Thematic Categorisation and Definition of Competencies
This resulted in a refined list of 25 human-centric competencies, each with clear behavioural indicators and practical relevance across a wide range of roles.
Built to Scale. Built to Adapt.
Our framework is intelligent, but importantly, it’s adaptive. Organisations can apply this methodology to their own job descriptions to discover custom competencies. This bottom-up, role-data-led approach ensures alignment to real work, not just theoretical models.
And because the framework integrates directly with our AI-powered hiring tools, you get a connected system that brings your talent strategy to life.
Our framework comes to life in the following tools:
- Job Analyser – Starting with a job description, it creates a unique competency profile for each role to build tailored structured interviews in seconds.
- Structured Chat-based Interviews that assess candidates’ responses according to the competency profile for consistent candidate assessment.
- Talent Insights Reports from every interview with deep reasoning and explainability for fair and objective hiring decisions.
- Phai Career Coach for internal mobility and employee growth that considers their competency strengths and career aspirations.
The Future of Talent Acquisition & Development is Competency-First
Skills alone cannot predict success. Competencies do. As AI continues transforming how we work, Sapia.ai’s Competency Framework offers a scalable, scientific, and fair foundation for hiring and developing the talent of tomorrow.
Want to see how it works? Download the full framework.
Blog
It’s Time to Stop Hiring for Skills, and Start Hiring for Competencies
If you’re a CHRO or Head of Recruitment at an enterprise today, chances are you’ve been inundated with messages about the importance of “skills-based hiring.” LinkedIn’s recent Work Change Report (2025) is full of compelling data: a 140% increase in the rate at which professionals are adding new skills to their profiles since 2022, and a projection that by 2030, 70% of the skills used in most jobs today will have changed.
This is essential reading. But there’s a missed opportunity: the singular focus on “skills” fails to acknowledge the real metric that talent leaders need to be using to future-proof their workforce — competencies.
Skills vs Competencies: The Crucial Distinction
- Skills are task-specific capabilities. Think Python programming, Excel, or even negotiation.
- Soft skills refer to interpersonal or behavioural qualities like adaptability, communication, and resilience.
But skills on their own — even soft ones — are generic, disjointed, and often disconnected from real-world performance. In contrast:
- Competencies are clusters of skills, knowledge, behaviours and abilities that are observable, measurable, and context-specific.
Put simply, competencies answer the all-important question: Can this person apply the right skills, in the right way, at the right time, to deliver results in our environment?
Why Competencies Matter More Than Ever
The Work Change Report outlines a future where job titles are fluid, roles evolve quickly, and AI is a constant disruptor. This creates three massive challenges for hiring at scale:
- Roles are changing faster than static skill frameworks can keep up
- Job candidates may have non-linear, cross-functional backgrounds
- The shelf-life of technical skills is shrinking rapidly
Skills alone don’t tell us whether someone can succeed in a role that will look different 12 months from now. But competencies can. Because they measure not just what a person knows, but how they apply it.
Adaptive Talent: The New Competitive Advantage
The LinkedIn report highlights a critical insight: organisations now prioritise agility in entry-level hiring. And there’s a good reason for that. With professionals expected to hold twice as many jobs over their careers compared to 15 years ago, adaptability is not just a nice-to-have. It’s core to success.
But you can’t measure agility with a keyword on a CV. You measure it by looking at competencies like:
- Learning agility
- Change resilience
- Cross-functional collaboration
- Problem-solving in ambiguous contexts
When you shift the focus away from skills to behavioural competencies that can be defined, observed, and assessed in structured ways, you open yourself up to a much more dynamic and more useful way of managing talent.
Building a Competency-Based Talent Framework
To hire effectively at scale, particularly in a technology-driven world of work, talent leaders must shift their lens:
- Define Role-Specific Competencies: Move beyond job descriptions based on qualifications or vague skill sets. Break roles down into measurable competencies that reflect current and emerging performance expectations. This step is crucial for organisations to be able to accurately assess role-fit in the next stages. Sapia.ai does this automatically, taking job descriptions and building role-specific competency models in seconds.
- Assess Competencies Fairly and Objectively: Use structured behavioural interviews, ideally at scale. These provide a much more accurate picture of a candidate’s readiness than self-reported skills or credentials. Sapia.ai’s AI powered interviews enable competency assessment, at scale.
- Build Pathways for Development and Internal Mobility: A competency framework makes it easier to identify transferable strengths, development gaps, and future-fit potential. It gives employees clarity on how to grow within the business. Using an AI-powered coach can help ensure that talent is being continuously developed against the organisation’s competency framework.
The Future of Work Requires Depth, Not Just Breadth
LinkedIn’s data shows that people are learning more skills more quickly than ever. But the real question for talent leaders like you is: Are those skills being applied in ways that drive value? Are we hiring for task proficiency or performance?
The truth is that the organisations that will thrive in an AI-driven, skills-fluid economy aren’t the ones chasing the next hot skill. They’re the ones designing systems to identify, develop and scale competence.
Keen to Shift to Competencies, but Lacking a Framework?
Sapia.ai has developed a comprehensive Competency Framework using a data-driven approach. Download the full paper here.