Clinching a job on Wall Street soon may have as much to do with beating an algorithm as nailing the interview.
Goldman Sachs Group Inc, Morgan Stanley, Citigroup Inc and UBS Group AG are exploring the use of artificial intelligence software to judge applicants on traits – such as teamwork, curiosity and grit – that help in the workplace but don’t always show up on a resume or come through in an interview.
Banks are turning to the hiring software at a time when they are under pressure to cut costs and finding it difficult to lure and retain top talent. Bank executives hope that artificial intelligence will help them avoid the expense of problem hires and turnover, industry sources said.
‘Up until this point, technology has only allowed you to find the best resume, but now it’s a way of truly understanding the people that are applying,’ said Mark Newman, chief executive of Salt Lake City, Utah-based HireVue, a video-interviewing platform that uses artificial intelligence to screen applicants.
Several banks are in the early stages of adding artificial intelligence software to complement in-person interviews and other traditional hiring processes. The banks hope that the technology can help predict which employees will succeed at a given job by creating patterns around large amounts of data that the tests produce.
Seattle-based Koru Careers Inc makes one version of the technology, which Citi and other banks are using in pilot programs to sort out applicants. Other banks are experimenting with software created internally.
Koru begins by testing a client’s employees to identify traits that mark high performance, known as a corporate ‘fingerprint.’ Then applicants take the same assessment, and the software identifies which candidates are best suited to that company. The tests can be taken online, at work or via mobile.