You can no longer evade social media. Whether you’re engaging or not, the online talk about your organisation is taking place right now and if your employees are engaging in social media then you should be aware of the risks, compliance issues and the law. There is currently a knowledge gap about social media across the majority of organisations; IT directors, risk managers and senior directors don’t have a detailed enough grasp of social media to understand the risks and potential impact on the organisation. Furthermore, we have seen an increase in the number of social profiles representing organisations and an increase in the number of users that require access to these accounts.
To put it simply, social media poses real risks; internal and external, both of which could have potentially devastating effect on your organisation’s bottom line.
Social media engagement is no longer just the latest buzz word or an experiment for cutting edge marketing teams. Coca Cola’s social media marketing accounted for about 20% of the company’s overall budget. Organisations are rapidly shifting their communications focus towards social media as it becomes more and more important for their bottom line; delivering revenue and saving on traditional marketing spread.
Since The Board of Directors began its survey four years ago, reputation risk has increased 19%, to 73% to become the primary concern of boards. It is close to 20% higher than every other issue. In spite of increased regulatory scrutiny every year, compliance, while still consistently garnering concern from close to 60% of the respondents, is taking a back seat to reputation risk. Cyber security is a growing concern, likely due to its connection to reputation risk.
Read our white paper: Social media risk, compliance and the law, to find out more