What are panel interviews and what are the pros and cons?

Even though hiring practices vary between companies and industries, the time it takes to find, screen, and choose a new team member can throw a wrench in the process. Panel interviews offer an advantage in this respect, and many employers are discovering how this style of candidate screening can streamline the entire recruitment cycle.

If you're getting ready to open a role or currently engaging and interviewing candidates, approaching the process from a group angle can save you considerable time, effort, and resources. Here's what you need to know about panel interviews and their advantages and disadvantages.

What are panel interviews?

A panel interview is a job interview style where multiple interviewers, rather than only one person, meet with potential hires. You can use this form of interview to gather several people's insights into a candidate's qualifications rather than just those of a single source.

The panel of interviewers typically consists of the key decision-makers in your company's hiring process, but it's also to your advantage to include relevant individuals who would directly work with or supervise the new employee. The questions you ask during a panel interview will depend on the role. However, common questions aim to assess industry expertise, technical aptitude, and soft skills or present hypothetical situations.

Advantages of panel interviews

Panel interviews have plenty of advantages. They streamline the hiring process and can give you greater insight into a potential hire's qualifications. Let's explore some more benefits of start incorporating panel interviews:

Streamline the interview process

One of the challenges businesses and organizations have is the time it takes to hire new staff. On average, the hiring process can take over a month. Most of this time is spent on multiple rounds of interviews and prescreening. This makes time a critical factor in filling essential jobs.

In the case of Pfizer's hiring process, "most interviews last around 45 minutes," but this can vary based on the position. The panel format allows you to streamline some of these interview processes, saving you time and resources in the long run.

Reduce personal biases

Even in the most structured hiring practices, bias can still be a pitfall. However, a collective decision is more likely to reduce biases arising from personal preferences. Individual interviews can often muddy these diverse perspectives during hiring. The dynamic approach a panel structure provides helps your team better assess candidates based on their talents and qualifications and avoid making decisions influenced by personal judgments.

Gather better feedback

Groups also provide diverse perspectives that help decision-makers assess candidates fairly. Each interviewer's input comes from their expertise, skillset, and specialized knowledge. This allows for a deeper look at candidates' ability to perform in a role and work with a specific team.

Assess a range of skills

With a group of interviewers, you can go beyond a small scope of qualifications. Each panel member brings their experience to the table to assess all the different layers that make up the job's role in the company. This could mean including executives, managers, or even team colleagues in your interview panel to assess different skills.

For instance, a panel interview for a technical role might have a senior manager and team lead in the group to assess technical and interpersonal skills. Many panel interviews also include situational or behavioral questions to give you an idea of how candidates would handle different scenarios at work.

Showcase company culture

Panel interviews allow candidates a closer look at your company culture and team dynamics. In a survey by Greenhouse, an astounding 92% of respondents considered an inclusive and diverse company culture essential to a healthy work environment. Inviting candidates to meet the team they'll potentially be working with lets them learn more about your team's collaboration style, daily tasks, and overall environment.

"Even in the most structured hiring practices, bias can still be a pitfall. However, a collective decision is more likely to reduce biases arising from personal preferences."

Disadvantages of panel interviews

Panel interviews have disadvantages, too, but you can be proactive and deal with these challenges preemptively. There are several cons to panel interviews to consider before diving in:

Conflicting schedules

One disadvantage of panel interviews boils down to scheduling. Are all your team members available on the same day? What time will be the best for everyone? These challenges can pose a problem if you're under a tight deadline to fill a position. One of the best ways to combat this is to start planning an interview schedule before starting the hiring process. Determine whether you want to hold a panel interview round, and get on top of the scheduling for the people you want to include.

Comfort level

Candidates' comfort level can also be a drawback, as interviews tend to make people nervous. However, you can create a warm and welcoming atmosphere for each candidate who meets with your team. If you can, hold the interview in a less formal room or office with comfortable furniture. Use the first few minutes of the discussion to ask about the candidate, make introductions, and build connections. Be genuine in your interactions, and follow interviewing best practices to get to know your candidates.

Time management

Managing how long it takes to conduct each meeting also poses a challenge for panel interviews. The key to overcoming this is to set a strict time frame for interviews. Each person on the panel should also plan out the essential questions they want to ask and the criteria they're looking for candidates to meet in their responses. Divide your set time frame among each panel member so they have enough time to cover the most important topics.

Differences in perspectives

With the range of diverse perspectives you get from a group, differences can be problematic. Anticipate any differences in criteria or must-have qualifications with your team to avoid conflicting viewpoints on a candidate's suitability for a role. In addition, consider any differences in perspectives as feedback for improving approaches to future panel and group interviews.

When to use panel interviews

The right time to use panel interviews depends entirely on the role you're hiring for and your company's expectations. With that said, a panel interview can become necessary if you're hiring for specialized roles with cross-departmental duties — especially mission-critical ones. There are several other instances when you might use panel interviews in the recruiting process:

No clear hiring manager role: For many upper- and senior-level roles, it's unclear who will supervise the employee. Having a panel of senior professionals versus a single person can be advantageous.
Multiple interviews required: If the position requires multiple interviews, a panel format can help reduce the number of meetings with a single candidate.
Equal input from the team is needed: If a role is cross-functional or collaborative, a panel interview makes more sense for a team.

Ultimately, panel interviews have advantages and disadvantages you'll need to consider before planning the process with your team. Determine what you want to accomplish in a group setting and whether the role could benefit from this format. With a more effective approach, you'll cut down on costs, time, and the resources it takes to find and hire top talent.