Employees who lie to you about their work are a major problem. How can you tell if your candidate will be honest and candid? Ask them to describe one of their projects that failed. Beware if they tell you they have never had a failed project. They have either never had a project assigned to them or they are not telling you the truth. You want to determine how your candidates handle failure. Do they learn from their mistakes? Are they afraid of failing? People who are afraid of failing have difficulty making decisions and may lie to cover their tracks.
Excerpted from Attracting & Rewarding Outstanding Employees