How the duplicate check works in ORC

Summary:

How does the duplicate check work with candidates and how does the employee/candidate comparison work?

Content (required):

Dear colleagues,

I'm not clear on how this process works in ORC.

I learned that the check between employees and candidates happens depending on the options set in Manage Enterprise HCM Information. 

This would mean that if a candidate meets one of the conditions set in the Manage Enterprise HCM Information task (for example, in our client's case we chose the Last Name, First Name, DOB, Gender Or NID Country-Type-ID option) then the system allows you to merge between the candidate and the employee. Am I interpreting this correctly?