Why superannuation funds need behavioural hiring

Superannuation funds need behavioural hiring because technical financial expertise alone is no longer enough to manage complex regulatory environments and member expectations in today's landscape. By focusing on how a candidate behaves and makes decisions – rather than just what they know – funds can build resilient, ethical, and high-performing teams that align with their long-term culture.

Key takeaways

• Behavioural hiring helps superannuation funds identify candidates whose work personality matches the risk-aware and member-first culture of the industry.
• Shifting focus from technical skills to behavioural traits reduces costly turnover in high-pressure financial services roles.
• Assessing work personality allows funds to balance team dynamics, ensuring a mix of analytical thinkers and visionary leaders.
• Behavioural data provides a more objective, bias-reduced method for selecting talent compared to traditional resume screening.

The shift from technical prowess to behavioural fit

For decades, the superannuation sector prioritised technical qualifications above almost everything else. If a candidate had the right degree and a decade of experience in funds management, they were often considered a safe bet. However, the modern financial landscape is far more nuanced, requiring a delicate balance of compliance, ethics, and member-centric service.

Technical skills are the baseline, but they don't tell you how a person will react when a market downturn hits or how they will collaborate with a diverse team. Behavioural hiring looks at the 'how' behind the 'what'. It explores the underlying traits that drive performance, such as adaptability, empathy, and integrity. For super funds, where trust is the primary currency, these traits are non-negotiable.

When we look at high-performing teams, we see that success is rarely about having the smartest person in the room. It is about how those people interact. By using a Workforce Intelligence Platform like Compono, funds can move beyond the resume to understand the DNA of their workforce. This shift ensures that every new hire adds to the culture rather than merely filling a seat.

Why resumes are failing the superannuation sector

Resumes are essentially historical documents. They tell you where someone has been, but they are remarkably poor at predicting where they are going. In a sector as dynamic as superannuation, relying on past titles can lead to expensive hiring mistakes. A candidate might be a brilliant Auditor on paper, but if they lack the interpersonal warmth needed for a member-facing role, the fit will eventually fail.

The cost of a bad hire in financial services is significant – often estimated at double the employee's annual salary when you factor in recruitment costs, lost productivity, and the impact on team morale. Superannuation funds operate on thin margins of trust. One hire who doesn't align with the fund's ethical standards or cultural values can cause damage that takes years to repair.

Behavioural hiring acts as a filter for these risks. It allows hiring managers to see if a candidate’s natural work preferences align with the specific demands of the role. For example, a fund looking for a new investment strategist might prioritise Evaluators – individuals who are logical, critical, and realistic. Without behavioural data, you are essentially guessing whether a candidate possesses these essential traits.

Building teams that balance risk and innovation

Superannuation funds face a unique challenge: they must be conservative enough to protect member assets, yet innovative enough to remain competitive. This requires a balanced team. If your entire investment team consists of Doers, you will get tasks done efficiently, but you might miss the big-picture shifts in the global economy.

Conversely, a team full of Pioneers might be great at spotting trends but struggle with the methodical rigour required for compliance. Behavioural hiring allows you to map your current team and identify the gaps. Are you missing someone who can sell the dream and inspire the team? You might need a Campaigner.

At Compono, we believe that understanding these dynamics is the key to organisational health. By using our platform to Engage with your current staff and assess their work personalities, you can create a blueprint for future hiring. This data-driven approach takes the guesswork out of team design, ensuring that each new member brings a complementary set of behaviours to the group.

Enhancing member outcomes through empathetic leadership

The ultimate goal of any superannuation fund is to deliver better outcomes for members. This doesn't just happen through investment returns; it happens through the quality of the service provided. Member's aren't just numbers – they are people planning for their future. They need to feel heard, understood, and supported.

This is where Helpers and Advisors become invaluable. These work personalities are naturally empathetic and collaborative. They excel in member-facing roles because they prioritise relationships and harmony. Behavioural hiring allows funds to specifically target these traits during the recruitment process, rather than hoping they show up in an interview.

Leadership within super funds also requires a behavioural shift. Effective leaders must know when to be directive and when to be democratic. By understanding their own work personality, leaders can learn to flex their style to suit the situation. A leader who is naturally a Coordinator might be excellent at setting plans, but they may need to consciously work on their empathy when supporting a team through a period of significant change.

The role of data in reducing hiring bias

Unconscious bias is a persistent challenge in recruitment. We are naturally drawn to people who are like us – people who went to the same university or have a similar background. In a sector like superannuation, which is striving for greater diversity and inclusion, these biases can hinder progress. Behavioural hiring introduces a level of objectivity that traditional methods lack.

When you assess a candidate based on their work personality and cognitive fit, you are looking at data, not gut feel. This levels the playing field for candidates from diverse backgrounds who might not have followed a traditional career path but possess the exact behavioural traits your fund needs. It allows you to focus on the person's potential and fit for your specific culture.

Using a structured assessment process, such as the one offered through Compono Hire, ensures that every candidate is evaluated against the same criteria. This not only improves the quality of the hire but also protects the fund from the risks associated with biased decision-making. It is a fairer, more transparent way to build a workforce that reflects the diverse membership the fund serves.

Key insights

• Behavioural hiring is essential for superannuation funds to ensure ethical alignment and cultural fit in a highly regulated environment.
• Relying solely on technical skills and resumes increases the risk of costly bad hires and team dysfunction.
• A balanced team requires a mix of work personalities – from analytical Evaluators to empathetic Helpers – to manage both risk and member service.
• Objective behavioural data reduces unconscious bias, leading to more diverse and capable teams.
• Understanding work personality enables leaders to adapt their style, improving team engagement and overall fund performance.

Where to from here?

Building a high-performing superannuation fund starts with understanding the people behind the numbers. Behavioural hiring provides the intelligence you need to make smarter, more confident talent decisions.

• Explore: The Compono Platform
• Talk to an expert: Book a 15-minute chat to see how behavioural insights can transform your fund's hiring process.

Frequently asked questions

What is behavioural hiring exactly?

Behavioural hiring is a recruitment method that prioritises a candidate's natural work preferences, personality traits, and decision-making styles over their technical experience alone. It uses data-backed assessments to predict how a person will actually perform and interact within a specific team environment.

How does this help super funds with compliance?

Compliance requires a specific mindset – often one that is methodical, detail-oriented, and risk-averse. By using behavioural assessments, funds can identify individuals with an 'Auditor' or 'Coordinator' work personality who are naturally inclined to follow strict procedures and maintain high standards of accuracy.

Can behavioural traits really be measured accurately?

Yes. Modern psychometric and behavioural assessments are based on decades of organisational psychology research. These tools are designed to filter out 'faked' answers and provide a reliable profile of a person's dominant work personality and motivations.

Does behavioural hiring replace the traditional interview?

Not at all. It enhances the interview by providing the hiring manager with specific insights to probe. Instead of asking generic questions, you can ask targeted questions based on the candidate's behavioural profile to see how they have handled specific challenges in the past.

Why is work personality important for team culture?

Culture is the sum of the behaviours of everyone in the organisation. If you hire people whose natural work preferences clash with your core values, your culture will suffer. Behavioural hiring ensures that new hires are aligned with your fund's 'way of doing things' from day one.