Several companies when recruiting candidates, conduct character reference checks and think this is equivalent to background checks. I’ve written an earlier article which explains why character reference checks don’t make sense. Companies need to be aware of the risks if this critical process of a thorough background check vetting is not undertaken. My article on why companies conduct background screening will help to clarify this and also address the question on how does background check services help.
Companies who appreciate the importance of background checks attempt to do this themselves or even outsource this to headhunting companies who primarily only have the capability conduct character reference checks. What they fail to understand is that a thorough background check on an individual can be very complex and that this task is best left to professional background screening companies.
What’s so complex about background checks?
- Background checks involve Personal Data and this should be carefully handled. If there is any breach of confidentiality of data, there can be potential lawsuits and penalties companies might be subjected to.
- Personal Data can be compromised if they are not stored properly. There should be proper processes in place to access this data that should be housed in highly secured environment compliant to ISO27001/02 Information Security Management System (ISMS) Standards. There also need to be proper documentation on how the following will be managed: Business Continuity Planning with Disaster Recovery, Penetration Testing, Vulnerability Assessment, Risk Management, Audit procedures and so on.
- Human Resources (Talent Acquisition or Recruiters) should focus on their core strategic tasks and not be burdened with cumbersome background screening.
- Hiring is a season activity and background screening requires a large team of researchers. This can be a huge incremental cost to companies
- Employees nowadays have multi-country background having studied, lived and worked across continents. Avvanz’s studies show that the discrepancies of what candidates claim to have versus what Avvanz discovers can be more than 30%. For companies to conduct checks in different time zones can be extremely difficult. Good background checking companies with global capabilities and global background check solutions will have round-the-clock team of researchers who can help to cater to different types and ranges of background checks services across the globe.
Moreover, one-size-fit-for-all approach to background checks will not work as the risks vary by industry and by the roles and accountabilities of individuals. A creative approach to background checks needs to be crafted and this requires lot of experience which only background screening companies can provide. For example, a CXO level will require different mix of checks than a rank-and-file worker. A CXO from a banking industry will need to be differently checked from his/her peer in a manufacturing industry.
Hence, why a background checking company needs to be employed has been sufficiently explained. How to select one requires further analysis and that has been covered in this highly recommended article.
This article is written by Kannan Chettiar, Managing Director of Avvanz. Avvanz is an employee lifecycle management company with 3 business pillars – Screen –> Hire/Onboard –> Develop.
The author, Kannan Chettiar, is Managing Director of Avvanz – An employee lifecycle Management Company with 3 business pillars – Screen –> Hire/Onboard –> Develop. He can be reached at email@example.com.