The Role of Background Screening and Risk Management in Building a Better Workforce: Our latest slideshow looks at key concepts employers should know about background screening; the connection between your hiring process and organizational risk management; and major classes of risk that can be mitigated through employment screening.

1. HIRING THE
RIGHT PEOPLE
The Role of Background
Screening and Risk
Management in Building
a Better Workforce

2. If you have the wrong people on
the bus, nothing else matters.
JIM COLLINS, GOOD TO GREAT

3. Finding the right
people requires a
hiring approach that is:
Fair to
applicants
Delivers the
best employees
possible to the
organization

4. At every step in the hiring process,
and particularly in background
screening, HR managers should
address the threats of risk directly.

5. Position
Description
Background
Screening
Key Steps in the Hiring Process
Sourcing
Filtering
The First
Interview
Contingent
Offer
Final
Interview

6. Background Screening
6 Key Concepts

7. Employers have a right
to use background
screening in making
employment decisions.
1

8. Screening should be
job-related and serve
a business necessity.
2

9. The specific items researched in a background check
for a job should be consistent for every applicant, and
used consistently in decision-making.
3

10. In general, employers
should avoid blanket
background check policies.
4 APPLICATION
Have you ever
been convicted?
[ ] yes [ ] no
Beware of “the box” and
other blanket criteria that may
unfairly disqualify an applicant.

11. Adverse action
against an
applicant should
follow the two-step
process defined
by the Fair Credit
Reporting Act
5 ADVERSE ACTION 2-STEP
1
PRE-ADVERSE
ACTION NOTICE
2
ADVERSE
ACTION NOTICE
NOT
ACCEPTABLE
NO HIRE
CANDIDATE RESPONSE
EXPLANATION / DISPUTE
OKNOT OK
FINAL DECISION
ACCEPTABLE
HIRE!

12. If a background check for an applicant indicates
they have arrest or conviction records, an
individualized assessment is recommended.
THE “GREEN” FACTORS
1. Nature & Gravity of Offense
2. Time Elapsed Since
Offense & Sentence
3. Nature of Job
6

13. THE CONNECTION TO RISK

14. Organizations have
humans engaged in many
complex ways to achieve
common purposes.

15. Their interactions within the
organization and between it
and external entities create
risks of different types.

16. These human-generated risks create
liabilities or expose the organization to losses
of capital, reputation, or market share.
Capital
Market Share
Risk

17. 5 Classes of Human Capital Risk Mitigated
through Employment Screening:
Occupational
fraud
Employee
profile
changes
Employee
turnover
Catastrophic
workplace
events
Negligent
hiring and
retention

18. Occupational Fraud
It can happen to you.
of top line
revenue is lost
to fraud in any
given year.
Fraud occurs
in all types of
organizations and
at all levels.

19. changes to
employee profiles
The person you hired today can
be a “different person” tomorrow.
Perform regular
background screening
to verify such factors
as maintenance of
professional licensing,
maintenance of
acceptable driving
records, drug use, and
criminal histories.

20. employee turnover & risk renewal
Anytime you have to hire, you expose
yourself to routine hiring risks.
When there is a shortage of labor or positions need to be filled
quickly, the risks can be greater as there may be a tendency to
hire less qualified applicants or to hire out of desperation.

21. Take advantage of repetitive hiring by analyzing your
employee performance data to ensure the screening
process is more targeted and more efficient.
Tips to mitigate turnover risks:
Use background screening to help identify
replacement candidates within your workforce.
Boost the number of applicants you screen if
possible. Work to find those “good apples.”

22. catastrophic
workplace events
Employment Screening:
• Helps prevent workplace
violence and promotes a
more productive workplace
culture.
• Helps to verify key
qualifications and
characteristics that may
improve the chances of an
employee performing well
on the job.
• Prepares your organization
for the likelihood of a
litigious aftermath of a
catastrophic event.
IN THE YEAR 2013:
3,007,300 nonfatal injuries and
illnesses in private industry
4,405 workplace fatalities
397 workplace homicides
– National Census of Fatal Occupational Injuries in 2013

23. negligent hiring & retention
Background screening helps to mitigate the
risks of negligent hiring and retention:
Screening helps
to exclude risky
applicants.
Screening for relevant factors
helps provide an effective defense
against charges of negligence.

24. When you make better hiring
decisions, you can better mitigate
the human capital and hiring-related
risks that impact your organization.
It’s a win-win.

25. Learn more about
hiring the right people.
Download our complete guide
to best hiring practices at
proformascreening.com/lp/hiring-best-practices/
GETTING THE
RIGHT PEOPLE
ON BOARD
Tips for a Fair and
Effective Hiring Process
Best Hiring Practices
Proforma Screening Solutions delivers a wide range of
background checks and background screening services
to help companies make better hiring decisions.
Learn more at proformascreening.com
or call (866) 276-6161