Where our team of editors & guest writers discuss what they think about the current Issues.

Demand for Screening Grows
LexisNexis entered the screening services industry with the acquisition of PeopleWise,
a leading provider of pre-employment screening solutions, in 2000. It further
demonstrated its commitment to the space in 2004 by purchasing Seisint, creator
of the world’s first data fusion technology.
Demand for screening services goes back to the 1980s, when waves of workplace
violence spurred widespread interest in formal background checks. September
11, 2001 events further increased interest in such products.
“What started as a defensive move has now become good business practice,”
said Jim Collins, Vice President and General Manager, LexisNexis Screening Solutions.
“It’s no longer just about the cost of making a bad hire, though
that is of enormous concern. It’s also about concern for the safety of
others, and your organization’s reputation.”
The Case for Screening
Screening services are chiefly used to:
Background checks also gauge for a candidate’s honesty. According to
the Society for Human Resource Management, 31 percent of applicants “pad”
their educational credentials, while 33 percent misrepresent their work history.
More alarming is a report from the Bureau of Labor Statistics that says fully
nine percent of the population has been convicted of a felony or misdemeanor
— information that may or may not make it onto a resume or employment
application.
“Companies must ask themselves, ‘Is this the kind of person I can
trust with my customers, my employees, my sensitive data, and the reputation
of my business?’” Collins said. “Screening services can help
organizations answer those questions and reduce risk.”
Industries with significant screening needs include fields such as healthcare
and transportation, the retail segment, and insurance, banking and finance,
and credit and collections.
Screening Services Portfolio of Services
LexisNexis involvement in information services and data management made screening
services a logical extension of its brand, and the acquisitions of PeopleWise
and Seisint brought several best-of breed screening products into its portfolio.
LexisNexis Screening Services offers products for any organization with talent
screening needs, from large corporations to nonprofit organizations and family-owned
businesses.
“Not every organization has the same information needs,” says
Kim Kerr. “Some need comprehensive, in-depth information, while others
may only need to confirm social security numbers or driving records. That’s
why LexisNexis offers a menu of products.”
Because the background screening industry is highly regulated, all LexisNexis
products comply with state and federal laws and the FCRA, or Federal Credit
Reporting Act.
Screening Benefits
Screening provides an immediate return on investment for organizations with
a high rate of employee turnover. When considering the expenses associated with
recruiting, hiring and training — typically $7,000 to $10,000 per candidate
— turnover becomes a bottom line problem many organizations cannot afford
to ignore.
Screening also plays a dramatic role in reducing employee theft. Approximately
56 percent of all goods declared missing from retail or wholesale inventory
is due to in-house stealing.
Another obvious benefit of screening is the ability to safeguard customers,
employees and business reputation from individuals who could do them harm. Exercising
due diligence through screening also protects an organization from litigation
and negative publicity, both of which can have a devastating impact.
Screening Solutions Aims for Vigilance and Creativity
There are many formidable players in the $3 billion screening solutions market,
but none have the breadth and depth of data, nor the data integration capability
LexisNexis offers.
“LexisNexis has the largest and most complete data sets in the industry,
and this truth is underscored by the fact that many competitors use our data,”
said Jim. “But we own the best data fusion technology in the marketplace,
which gives us an enormous edge in our ability to deliver a product in the form
customers need it.”
That said, LexisNexis is not about to become complacent with its offerings.
“There is a lot of competition in this space, and we are a fairly recent
entry,” Kim notes. “If we want to lead, we must provide the best
solution — one that is convenient, easy to use, and tailored to our customers’
needs. That means vigilance and creativity must be our goal.”
Custom, Co-Branded Screening
An example of a creative, innovative solution is LexisNexis Specialty Screening
launched in March of 2006. This customizable, online screening tool enables
prospective employees, event staff, coaches, mentors and volunteers to visit
a customized Web site to request — and pay for (if desired) — their
own background check. Once complete, the results are delivered to the hiring
organization for review.
Any company can tailor a custom Web site log-in login page with their logo,
business information and specific event details. Business information can also
be included throughout the site, if desired, and can be changed whenever necessary.
For example, an organization that has multiple locations throughout the country
may want one central site where everyone goes for screening. This tool would
also specify which background checks are required for each job function —
ensuring that the same checks are being done for a potential janitor in California
as are being done for a potential janitor in Ohio. This consistency goes a long
way toward effective hiring practices and avoiding even the hint of discrimination.
"No one in the background screening industry offers a product like Specialty
Screening," says Brent Zajac, LexisNexis Specialty Screening Specialist.
"Clients have asked for customized background screening sites that can
be co-branded with their own logos; they have also wanted a way for applicants
to enter their own data. In the past, it would have been too costly for us to
do this kind of customization on a client by client basis. With our new Specialty
Screening product, however, customization can be accomplished quickly and easily
by any client with our online wizard."
While this feature has tremendous value for event and volunteer organizations,
it also appeals to a wide range of large organizations that are trying to simplify
the process of performing their own background checks, gain some back-end features,
and ensure compliance with the Fair Reporting Act.
"Specialty Screening sites can feature information-gathering capabilities
that help organizations with administrative tasks, such as collecting shirt
sizes and assessing special skills — like being bilingual — that
may affect the individual's placement among a pool of applicants. This is especially
important to small organizations that don't have a wealth of labor resources
to manage these details," adds Zajac.
The Power of Customization
As one might expect, setting up a Specialty Screening site is simple.
"Organizations simply go to the site and customize this resource for themselves,"
explains Zajac. "They can co-brand the site with their logo, if desired,
and quickly select the types of checks they want done for each job title. It's
really simple, and can be done in less than an hour, as long as they know what
they want."
With all its time- and labor-saving benefits, this resource has become highly
attractive to smaller companies that are interested in increased simplicity
and convenience. But they're not alone. Many larger companies are also interested
in having a co-branded site that offers the customized features they want —
while ensuring the consistent application of the screening policies across their
entire organization.
In addition to national and country criminal checks, companies of all sizes
can rely on Specialty Screening tools for verification of identities, education,
credentials and even physician licenses.
"Once organizations see what this resource can do, they see the big picture
and realize this tool goes way beyond just volunteer and event planners,"
says Zajac. "Companies of virtually any size can use this tool."
"The bottom line is that Specialty Screening helps create safer work environments,"
he says. "It allows organizations to show due diligence in their hiring
and retention processes — while doing everything they can to create a
safe work environment and protect employees, colleagues and children."