Behavioral Due Diligence

"FDA inspection found problems at factory making vaccine…The Baltimore factory hired to help make Johnson & Johnson’s COVID-19 vaccine was dirty, didn’t follow proper manufacturing procedures and had poorly trained staff, resulting in contamination"  AP, April 2021

"SoulCycle, Equinox face boycott calls after owner's Trump fundraiser revealed" -NBC, August 2019

The case for applying robust due diligence practices for a variety of business dealings is well founded.  These dealings typically include mergers and acquisitions, vendor assessment, supply chain risk management (SCRM), third party management, Foreign Corrupt Practices Act (FCPA) and more recently Environmental Social Corporate Governance (ESG) assessments.

Classic due diligence methodology covers a variety of topics related to profitability, operational structure, growth potential, production capacity, IT systems, etc.  At times, a more focused effort evaluates C-suite personalities as in Management Due Diligence.  

We find classic due diligence methods are lacking in a critical realm: behavioral assessment of key personnel.  23 Risk uses advanced behavioral analysis methods to uncover hidden sources of risk relevant to today's business environments:  hidden ownership/foreign ownership, reputational risk, problematic associations, incompatible political affiliations. Additionally, we evaluate risk potential for insider threat and trade secret theft via these business links.  

Our Behavioral Due Diligence assessments can either integrate into classic due diligence projects, be introduced on a periodic basis for continuous risk management, or stand alone as needed. 

We look at the people behind the business.