Leadership Due Diligence - Latest Developments
For every organisation today, hiring is a gamble. With the number of frauds increasing year by year, you never really know who you are welcoming into your organisation. Regardless of the position, the risk is the same. This means that even for leadership positions, it is necessary to conduct exhaustive executive screening. According to a report, about 85 percent of managers and employers have caught applicants providing false information on their resume. Five years ago, it was just 66 percent of managers. Today, there have been many cases of various companies suffering major setbacks because they did not carry out their leadership due diligence properly. For instance, in 2015, a US-based IT company discovered with the help of exhaustive senior executive screening from AuthBridge that, the man they had hired for their Indian branch CEO position had lied about his qualifications. Moreover, the cost of a bad hire is high for executive-level positions, and organisations committing this dire mistake will have to pay the price. Recent research has found that hiring for leadership positions can cost around 10 percent of the entire CTC. However, for executive screening purposes, just 0.25 percent of the CTC is used. At AuthBridge, we understand that in India, there is an urgent need for reliable, accurate and fast screening of emploees so that organisations across industries can carry out their leadership due diligence and make smart hires. It is exactly because of this reason that we have developed Leadership Due Diligence - AuthLead™, a game-changing verification product made exclusively for conducting thorough and accurate executive screening. Also read: Overcoming C-Suite Hiring Challenges with Leadership Due Diligence
The new senior executive screening norm
Background screening for executives cannot afford to follow the same procedure as any normal screening service. Because the position is higher and the responsibilities are more, the stakes for a bad hire are much higher. Therefore, organisations need to follow the below in order to ensure a thorough leadership due diligence.
• Make sure executive screening is more comprehensive and highly accurate
When it comes to C-suite executives, it is important that background verification companies check more than just their educational qualification and employment history. You should also include a credit check, in addition to a criminal record check. A huge part of leadership due diligence is making sure they have a good reputation and are well-respected in the industry. Ensure that they have a good track record in all aspects of their professional life. Leaders are the face of your organisation and it is imperative that you put your best foot forward by conducting a thorough executive screening.
• Make sure your organisation’s executive screening consists of the 3C’s
Any comprehensive executive screening process must include the 3C assessment basis. These 3C’s stand for Character, Credentials and Competency. When it comes to character, executives of any company need to be individuals with strong morals and values. Their character, to a large extent, determines the fate of the company. Credential checking in leadership due diligence ensures that executives have the required educational qualification and professional experience to take charge of the company. When it comes to competency, executives undergo a thorough executive screening to ensure that they are of a healthy body and a healthy mind, and have the right mind set and attitude that is in alignment with the culture and vision of the organisation.
• Make sure your organisation digs deeper into references
An executive candidate is likely to have remarkable and striking references. Always make sure that you do your part in digging deeper into these references provided to ensure that they are genuine and are not biased. To know more, book an appointment with one of our experts today. Write to us at firstname.lastname@example.org