All Canon raw files (and any files from a camera with an antialiasing filter) need a degree of sharpening in order to compensate for the softening effects of the antialiasing filter. There are basically three stages of sharpening that can be applied during processing of a file, or you can wait till the end of all your adjustments and sharpen as the last step before saving. The three stages are....
1. "Capture" sharpening, which is quite modest in effect and intended only to resharpen the image a little in order to overcome the softening of the AA filter;
2. "Creative" sharpening, where you choose to selectively sharpen particular features, such as eyes, while leaving other areas, such as skin, untouched, or even softened;
3. "Output" sharpening, which is required following a downsizing of an image in order to restore edge contrast to edges that disappeared s a result of the downsizing.
If you use software like Photoshop then you can perform this three-stage sharpening. If you use Lightroom then you can have two sharpening stages. If you use DPP then there is only one stage available and DPP will perform the sharpening when it decides to.
There's an enlightening thread over on POTN about sharpening....
http://photography-on-the.net/forum/showthread.php?t=466333
and a Canon tutorial/walkthrough on sharpening here....
http://www.usa.canon.com/dlc/controller?act=GetArticleAct&articleID=287&fromTips=1
FWIW, although I no longer use DPP for processing my raw files, I always used to find that setting sharpening to 3 (or even 2) gave me good results on a file that was sharp to begin with. With a file that was a bit soft (OOF or blurred) then increasing sharpening to 4, 5 or 6 might help improve it. Beyond that it was a bit like flogging a dead horse. Sharpening controls are intended to enhance sharp images, not fix soft ones.
I like my photos to look naturally sharp, like the things would look in real life, not oversharpened, with ghastly halos, as some people seem to prefer.
It's also worth noting that when you view files it can often matter what zoom level you use. 100% zoom is very punishing and will reveal weaknesses in camera performance, lens performance and photographer skills, or the limitations imposed by physics, such as diffraction. If you are shooting things that move, with a long lens, such as BIF, then you will probably need high shutter speeds in order to achieve pixel level perfection. Viewing files at 50% or 33% is usually equivalent to a large print size, but also a bit more realistic in terms of meeting expectations. Viewing at these magnifications should allow the software to do a good job of rendering the images sharply, assuming they were sharp to begin with. You may well find that viewing at other arbitrary magnifications, which are not at 1/2, 1/3 or 1/4 size that the software can not do as a good a job of making a sharp version of the image, so be careful not to assume the worst when you view at "fit to screen" size. It might be the software that is the problem, not the image.