Routine background checks reduce risks for companies. Risks of this nature are primarily caused by white collar crime and breaches of compliance guidelines. Checks are also able to reduce the risk of financial losses for a company as they provide meaningful support for HR diagnostic insights into applicants’ attitudes and motivation and can prevent the recruitment of unsuitable employees caused by negligence.
Employees are the most important factor determining a company’s success or failure. Therefore in times of increasing global competition the selection of the right staff is of ever- increasing importance for the financial success of companies. And the demands placed on staff also grow with mounting competition. They need to be not only professionally competent but also possess moral integrity. In the course of Germany’s transformation into a knowledge-based economy, staff increasingly become knowledge carriers and represent the real capital of a company. But at the same time the risk of possible harm to companies by the outflow of know-how and white collar crime also grows. Harm of this nature can be disastrous for companies whose very existence is dependent on the protection of their core know-how.