An internal data analysis at McKinsey revealed that resilience—specifically, having a setback and recovering—is a better predictor of making partner than perfect grades. The firm has changed its hiring process to actively screen for this trait.

Prioritize candidates who have navigated difficult situations. They learn more from tough times than from being at a constantly successful company where mistakes might be masked by overall growth. Adversity builds crucial problem-solving skills and resilience that are invaluable to a growing organization.

To succeed in its proprietary sourcing model where the default answer is often "no," TA Associates specifically hires individuals who have overcome adversity. They believe this trait builds the necessary resilience and motivation to persist through constant rejection without losing drive.

Beyond raw intelligence, AppLovin seeks candidates with low ego, as this trait enables them to listen, take feedback, and question themselves—all crucial for growth. The third, equally important criterion is how they respond to adversity, as resilience is a key predictor of success in a challenging environment.

Counterintuitively, being brutally honest with candidates about the low odds of success is a powerful recruiting filter. It selects for mission-driven individuals who are mentally prepared for the inevitable tough cycles of a startup, ensuring they won't quit when things get difficult.

Resilience is not a learned trait for entrepreneurs but a fundamental prerequisite for survival. If you are still in business, you have already demonstrated it. The nature of entrepreneurship, where the 'buck stops with you,' naturally selects for those who are resilient and adaptable.

Experiencing struggles as a child—like being an immigrant, a poor student, or not athletic—desensitizes you to judgment and failure. This builds a resilience that becomes a significant competitive advantage in entrepreneurship, where fear often paralyzes others.

Instead of standard behavioral questions, Endra's CEO asks candidates to share their life story, from childhood to the present. This narrative approach reveals a person's trajectory, resilience, and underlying motivations in a way that screening for specific skills cannot, allowing for a deeper character assessment.

Beyond IQ and EQ, interview for 'Resilience Quotient' (RQ)—the ability to persevere through setbacks. A key tactic is to ask candidates about their proudest achievement, then follow up with, 'What would you do differently?' to see how they navigated strife and learned from it.