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Well my hypothesis is that there is too much talent applying to each offer. So companies have to build a process that evaluates all candidates to be sure they only hire the best according to them. It's FOMO.

In the past company I was working, they boasted off only hiring the best, and having like 5 interviews, skipping tons of candidate. And the one they were hiring at the end were consistently worse developers and product managers than average.

I don't think that skill of tech employees is strongly linked to company performance (but I have no data on it). Meaning hiring the best developers will not impact the financial metrics of a company. As a result of that it doesn't really matter if your hiring process is performant or not



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