From Knowledge to Competence: EU4PFM Supports Stronger Recruitment in Ukraine’s Public Finance Institutions
Authors: Jurgita Domeikiene – Team Leader of Components 1, 3 and 4 of the EU4PFM Programme and International Key Expert on HR and Public Administration Reform; Kristina Jakubaityte-Revutiene – International Expert on HR of the EU4PFM Programme
The Right People on the Right Position
Recruitment and selection are among the most important HR processes for any public institution. This process is not only administrative procedure for filling vacancies. It is a strategic instrument for ensuring that the institution has the capabilities needed to achieve results.
With EU4PFM support a significant progress has been made in implementing a competency-based HRM within Ukraine’s PFM institutions, and first of all shifting recruitment and selection from a knowledge-based approach toward a competency-based recruitment and selection process.
EU4PFM experts have supported partner institutions in this qualitative shift by developing methodological guidance, training programs, and tailored libraries of competency-based interview questions for the State Tax Service of Ukraine, the State Customs Service of Ukraine, and the Ministry of Finance of Ukraine. These tools will help Competition Commissions assess candidates not only by what they know, but also by how they act, cooperate, lead, solve problems, manage change, reflect on their actions, and achieve results in real organisational contexts.
Why Competency-Based Recruitment Matters
Knowledge remains important in recruitment. Public finance institutions need people with the professional and technical knowledge required for the job. However, knowledge alone does not provide a complete picture of whether a candidate will perform successfully in a specific position, team, organisational culture, and institutional environment.
A competency-based recruitment approach adds this missing dimension. It helps assess the candidate’s competencies, motivation fit, cultural fit, and overall capability fit. The approach is based on the understanding that every job requires a specific set of competencies and attitudes. The better the candidate’s competencies correlate with the job role and organisational culture, the better his or her performance and engagement can be.
This makes recruitment more evidence-based and more connected to real performance. Instead of relying only on formal knowledge or general impressions, competency-based assessment methods provide a more complete image of the candidate’s profile and how the candidate might perform and behave on the job. They help identify strengths and weaknesses, set clear performance expectations, and assess the complex behaviours that the organisation would like to see candidates perform.
Building Recruitment on Competency Models
The competency model is the backbone of competency-based HRM. It defines what capabilities the institution needs to recruit. Strategic priorities require appropriate resources, including human resources, and necessary competencies. These strategic priorities are reflected in the competency model of each Partner Institution.
Recruitment is therefore not isolated from other HR processes. It is interrelated with organisational strategy, staff planning, job profiles, and the competency model. Institutions recruit what is required based on the competencies needed for successful performance. Furthermore, competency-based HRM is also highlighted in the PFM Reform Strategy for 2026-2030, recently adopted by the Cabinet of Ministers of Ukraine.
The EU4PFM-supported approach links recruitment and selection methods directly to the competency models of partner PFM institutions. Competency-based interview questions are designed to elicit information about candidates’ past experiences or intended actions in situations related to the behaviours described in the competency model. The interrelations between questions and behavioural indicators help competition commissions assess candidates’ responses in a structured and consistent way.
This connection is essential. It ensures that recruitment is not based on random questions or personal preferences, but on competencies that are relevant to the position, the institution, and expected performance. It also helps institutions align recruitment with motivation fit, cultural fit, and competency fit — the combined elements of the “Right” fit.
Practical Tools Developed with EU4PFM Support
A major practical output of EU4PFM support is the development of tailored libraries of competency-based interview questions for partner institutions. These libraries were prepared for the State Tax Service of Ukraine, the State Customs Service of Ukraine, and the Ministry of Finance of Ukraine.
The interview questions in the tailored libraries are not generic. They are linked to competency models of each PFM institution, behavioural indicators, and expected performance. They help competition commissions assess how candidates demonstrate competencies in practice and how they may behave in future work-related situations.
Detailed methodological guidelines titled “Recommendations for Competition Commission Members on Methods and Tools for Effective Interviews with Candidates” were also developed – another practical outcome of EU4PFM support. The methodology describes several types of interview questions and the recommendation for their application in practise:
Behavioural questions ask candidates to provide examples from their previous activity or experience. They help reveal what the candidate actually did in relevant situations, what actions were taken, and what results were achieved.
Behavioural questions are based on a clear principle: past behaviour under similar circumstances is one of the best predictors of future behaviour on the job. Candidates are asked to provide specific examples of how they dealt with issues in the past. This allows the competition commission to understand the candidate’s actual level of experience and potential to handle similar situations in the future.
The behavioural question logic follows the structure of Situation – Actions – Result, with Reflection captured through follow-up questions. Candidates describe the situation or task, their own actions and behaviour, the result or impact achieved, and then reflect on what they did properly and how consciously they acted.
This is a major improvement in the quality of selection decisions. It helps the commission move beyond general statements and collect evidence on what the candidate actually did, how the candidate contributed, why certain actions were chosen, what was achieved, and how the candidate understands his or her own behaviour.
Situational questions complement this approach.They are future-oriented and assess intended behaviour. They present candidates with hypothetical work-related situations and ask what they would do. Candidates are asked to imagine a specific situation and describe what they would do. This reveals their understanding of the issue, their judgement, their intended actions, and the result they would aim for. Situational questions are especially useful where candidates may not yet have extensive relevant experience or where the institution needs to assess potential. They help assess intended actions, judgement, understanding, and potential to handle similar situations in the future.
Job knowledge questions assess technical or professional knowledge.
Organisational fit questions help assess characteristics related to organisational fit, often through behavioural interview questions.
Follow-up questions are essential in both approaches. They help clarify the candidate’s initial response, encourage specificity, and ensure that enough data is obtained for assessment. They also help candidates who answer too generally to provide concrete evidence. For example, when candidates describe actions using “we” or impersonal forms, follow-up questions can help identify what the candidate personally did. When a result is described only as “good” or “successful,” follow-up questions can help clarify what was actually achieved and how success was justified.
The methodological guidance prepared with EU4PFM support helps members of competition commissions establish appropriate questions to ask during interviews and apply them consistently. In this way, competency-based interviews create a more complete, evidence-based picture of the candidate’s capabilities.
Fairness, Structure, and Quality Assurance
A competency-based approach also strengthens transparency and objectivity. The EU4PFM methodological guidelines and training sessions organized for members and senior officials of the Competition Commission also emphasize the transparency, structure, and quality of the process. For example, structured and unstructured interviews are clearly distinguished, and the importance of structured rating scales and quality assurance tools is emphasized.
In a structured interview, the criteria assessed are explicit. Interview questions are predetermined and linked to job-relevant criteria. All candidates are asked the same questions in the same order for the same job position. Follow-up questions are controlled, irrelevant information is disregarded, interviews have equal duration, and detailed notes are taken.
Evaluation scale is also structured, all candidates are assessed using a common rating scale. Rating scales may be generic or descriptive. For competency-based interviews, descriptive rating scales are especially useful because rating levels are tied to example behaviours for behavioural and situational questions or representative responses for knowledge questions.
Recommendation on quality assurance is also addressed at both organisational and competition commission levels. It includes initial training of competition commission members, monitoring candidate complaints, post-appointment feedback from line managers, monitoring staff turnover, reviewing performance appraisal results, and reflective discussion among competition commission.
Value for Institutions, Managers, and Candidates
The competency-based approach creates value for all participants in recruitment and selection.
For institutions, it strengthens organisational capability. Recruitment becomes connected to strategic priorities, competency models, job profiles, and the behaviours required for successful performance. The institution receives better information about candidates’ strengths, weaknesses, motivation fit, cultural fit, and competency fit.
For managers, it supports better hiring decisions. Managers need employees whose competencies correspond not only to formal job requirements, but also to the real demands of the role. In public finance institutions, successful performance depends not only on professional knowledge, but also on leadership, cooperation, accountability, communication, decision-making, change management, etc. and the ability to achieve results in complex institutional contexts.
For competition commissions, the approach provides a practical methodology. Structured questions, behavioural indicators, follow-up questions, rating scales, note-taking, and consistent assessment procedures help commissions collect relevant evidence and compare candidates more fairly.
For candidates, competency-based recruitment can create a more positive and transparent experience. Candidates react positively when they are given opportunities to demonstrate job-relevant capabilities, when assessment procedures are administered consistently and fairly, when information about the organisation and the nature of the job is provided, and when feedback helps them understand their standing and decide whether to proceed.
The candidate experience is not a secondary issue. Clear instructions are especially important when candidates are not familiar with behavioural and situational interview questions. They need to understand what type of questions will be asked and how to structure their responses. This helps them demonstrate their competencies and helps the commission collect the information necessary for assessment.
A More Complete View of Candidate Potential
EU4PFM’s support to competency-based recruitment and selection contributes to a modern, structured, and evidence-based HRM system in Ukraine’s Public Finance Management institutions.
The shift from knowledge-based recruitment to competency-based recruitment changes the quality of selection decisions. It moves recruitment beyond checking knowledge only and creates a more complete picture of whether a candidate can perform successfully in a real organisational environment.
Through tailored interview question libraries, methodological guidance, training and hands-on expert support, EU4PFM has helped partner institutions strengthen recruitment practices and apply competency-based approach.
This is recruitment with a clear purpose: selecting people not only for what they know, but for how they can act, lead, cooperate, solve problems, manage change, reflect on their actions, and deliver results. That is how competency-based recruitment supports “The Right People on the Right Position” – and how it contributes to stronger Public Finance Management institutions in Ukraine.