You cannot ignore Background Checks- Here’s Why

Business growth is the focal agenda for companies rather than cost cutting motives, which was earlier the thriving factor during recessional times. Having looked at the last year progression, the competition has just intensified. Talent Acquisition and Retention has become more than important. Organisations are struggling with hiring the right fit for the right role, while matching the massive hiring targets to meet growth requirements.

About 15% of candidates lied on their resume in 2017. However, employers have not been able to uncover such frauds easily, leading to bad hires and damage to business outcomes. This is because recruiters are still underestimating the power of background verification services and how it can effectively help in overcoming some major business challenges.

 

Below are the key business challenges which can be overcome using effective background checks-

1. Accelerated Business Growth Even though economic challenges cause businesses to rethink hiring decisions, they are, however, supportive of the fact that decisive and thought-through hiring techniques would lead to authentic talent acquisition.

Further, employers are majorly concerned with finding and retaining quality talent which brings forth the need and significance of background screeningNot only do organizations need to verify, they need to verify hires quickly to be able to onboard faster and reduce the dropout rate.

Verifying new hires not only improves the quality of hires consistently; but also helps in the identification of top-level candidates, which in turn lowers attrition and leads to reduced business risks. Effective background checks focus on verifying the identity, profile, and reputation of individuals through identity checks, employment verification, education verification, address verification, criminal checks, drug abuse tests, and more. With tech-enabled background checks, background screening companies can help employers with real-time results for hiring and onboarding candidates faster!

2. Mitigate Risks & fulfill Compliance Employers are increasingly becoming aware of industry-compliant practices and the risk of facing penalties which can range from loss of contracts to filing of lawsuits. Recognizing such concerns, employers are now majorly concerned about maintaining industry compliance and staying adept with occurring changes. In order to help in mitigating employee risks related to insider threats, company frauds, etc., employers are increasingly associating with background verification providers and seeking customized solutions to fulfill compliance requirements as well as create a secure workplace. Several of the leading background screening companies provide expert solutions on pre-employment background verification.

3. Cost Management After talent acquisition and risk mitigation, managing costs becomes a key concern to employers. Outsourcing background checks to professional background screening providers help in reducing costs. It also helps companies contain hiring costs by enhancing the quality of new hires and reducing the attrition rate. Screening the candidates for employment history, criminal background, etc. can help in removing the bad hires from the list and reduce the cost of replacement hiring.

4. Competition management Acquiring top-quality talent is instrumental in achieving business success as companies focus their concentration on growth and expansion. Surviving in a competitive industry is a challenge that can be met with the help of attracting and retaining experienced and required talent. An efficient and structured background screening program can enhance the quality of new hires and aid in business growth plans. Moreover, tech-enabled background verification providers deliver quick TAT and hence can facilitate acquiring of better talent in the shortest possible time.

Background verification is a specialized task and not a core business area for employers. They need experts for conducting background checks. The role of background verification is most definitely irrefutable. Outsourcing background checks though can help organizations keep a time-consuming bureaucratic process in check.

Also Read: Bring in Expertise and Experience: Outsource Background Screening

Machine Learning, Artificial Intelligence & Background Verification

Structured background checks have become an important part of contemporary businesses. Before firms hire candidates, before banks open accounts to new customers, before investors give out money to people, and before people co-share resources through “sharing economy” arrangements- in all these cases- background verification is a “must do”. For many years now, the process of conducting background verification has stayed identical. Technology, automation and latest developments in Artificial intelligence (AI) today are transforming the background verification domain – making it quick, accurate and efficient.

Also read: Innovating Service Delivery in Background Verification

Let’s have a look at how AI is transforming the background verification industry-

1.     Enhanced Performance with Wider Research AI & Machine Learning are enabling better performance of background checks through deeper analysis, more accurate delivery and higher efficiency than could be done previously. This is because AI enables coverage of more data sources across the web by introducing the capability to analyse and match comparatively larger volumes of data points than ever before! This makes the analysis more comprehensive and meaningful. The availability of massive data points with increased digitization of identity records, criminal records and other records called for intelligent algorithms to seep through the ocean of data, select relevant data, perform quick analysis and deliver meaningful insights! With AI, this process becomes a matter of minutes!

2.     Greater understanding of risks/threats AI and machine learning algorithms can recover and screen companies and organizations with which a person is directly or indirectly connected – thereby allowing employers to develop a better understanding of any potential tiffs/ war of interest or dismissive behavioural changes. In fact, AI can also conduct different regulatory and legal analysis on the job candidates- a process which was previously difficult to do.

Related vulnerabilities, which were earlier often considered a liability for traditional Background Screening methodologies, are now monitored and addressed by modern background screeners.

3.     Focusing on the Relevant data points Massive sea of data points can only be useful if relevant information can be identified and analyzed. AI helps the background screeners to produce exhaustive reports and retrieve critical insights and actionable data points like they do in a wild goose chase than being stacked with unnecessary piles of data! Intelligent use of AI also helps to avoid redundancy and deliver relevant insights by identification of connections and patterns between different data elements – something that was not even remotely possible!

4.     Enhanced Speed of Delivery AI accelerates the background screening process with intelligent processing of data to deliver results in a matter of minutes! Technology and automation of search and analysis processes condense the report delivery time. Furthermore, because AI can pick up pieces to draw conclusions, it helps in summarizing reports with greater efficiency and timeliness to close summaries faster.

5.     Improved Relevance of Analysis One of the drawbacks of traditional background checks is that a certain report loses its relevance the next data due to the potentially obsolete data. AI introduces the ability to continuously pick, scan and analyze a vast corpus of data to ensure that red flags are highlighted well in time. Moreover, AI can also present futuristic predictions which can be of great help in many cases!

6.     Gritty risk analysis and scores Artificial Intelligence & Machine learning can give out easy risk scores compared to manual ways of operation. It can evaluate risk factors in various areas for making effective hiring decisions through predictive algorithms. Results are based on extensive evaluation of historical data sourced from plethora of sources across the web and an invidual’s digital footprints. In all, background verification companies in India are rapidly picking up on the fortune called ‘Artificial Intelligence’ to deliver background checks of tomorrow!

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