Panel interviews are often used so that more people from a team can look at the candidates and reach at a hiring decision. It saves everyone's time - you don't have to go through five levels of interviews, they don't want sit in 'one more meeting'. In some countries (India), panel interviews are used in government hiring, but the interviewers are most definitely part of the team you will be working for.
Despite a popular perception, people say panel interviews are not done to interrogate you or make you uncomfortable.
Deal with each person on the panel
Look at each person as you introduce yourself. take their names (write it down if it helps and is cool enough). Ask for their names again if it helps.
Don't look at single person when giving answers
Relax, smile and look at others in there. This also helps you look confident and makes you friendlier to the panel.
Expect to repeat your answers
Others in the panel may not have heard correctly, or they want clarification- so don't flinch when they ask you. Sometimes, another will ask you the same question later. It happens. It is a group. Each one has a different mind. Each one has a different agenda. The company CEO will have a different goal than your (future) team leader.
Find who's on'your side' and who is a 'tough nut'
The one who is more open and nodding to your answers is the friendly one. The one keeps staring, or answering tougher follow up question or cuts you in while you are answering, well...
Tackle the 'tough nut' first
Look at this person a lot, friend style, go on answering whatever that person throws at you, but, show that person your 'thinking things through' thoughtful , unflappable and honest personality. Later, they will be discussing you and the 'tough nut' will give his point of view, no?
The 'hard' question
'Tell us your biggest win', 'When you were challenged most', and other questions of the same type.
The good old STAR (Situation- Tactics- Results) technique comes in handy. Have some 'power' stories ready.
At the end, thank each panel member individually. This is also where you will shine if you are good with names.
Thank you for reading.
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