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Embracing the Opportunities, Averting the Risks. Russell Herder © RUSSELL HERDER & ETHOS BUSINESS LAW

Social Media: Embracing the Opportunities, Averting the Risks

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This webinar presentation by Russell Herder and Ethos Business Law offers insight into business leaders’ views and perceptions on the pros and cons of empoyees' use of social media and provides actionable recommendations and advice on the development of social media policies and employee training sessions. It also highlight the information gleaned from the recent national study conducted by the two firms on social media trends in the workplace and policy adoption.

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Page 1: Social Media: Embracing the Opportunities, Averting the Risks

Embracing the Opportunities, Averting the Risks.

Russell Herder

© RUSSELL HERDER & ETHOS BUSINESS LAW

Page 2: Social Media: Embracing the Opportunities, Averting the Risks

Russell HerderRussell Herder

Page 3: Social Media: Embracing the Opportunities, Averting the Risks
Page 4: Social Media: Embracing the Opportunities, Averting the Risks

Social media use is growing…quickly

U.S. Internet Users Who Visit Social Networking Sites

Q2 2008 27%

Visit Social Networking Sites

Q2 2008 27%

Q2 2009 43%

Source: TNS and The Conference Board, June 2009

Page 5: Social Media: Embracing the Opportunities, Averting the Risks

Perceived Value of Social Media

Enhance relationships with 81%

Perceived Value of Social Media

Enhance relationships with customers/clients

81%

81%

Build company brand

l

64%

69%Recruitment tool

Customer service

46%

0% 20% 40% 60% 80% 100%

Enhance employee morale

Multiple responses allowed

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 6: Social Media: Embracing the Opportunities, Averting the Risks

Social Media Vehicles Being UsedFacebook 80%

Social Media Vehicles Being Used

Blogs 43%

49%

55%

66%Twitter

YouTube

LinkedIn

Blogs

Yammer

43%

16%

24%

11%Flickr

Wikipedia

1%

3%

7%

8%MySpace

DiggDelicious

Second Life

9%

1%

0% 20% 40% 60% 80%

M lti l ll d

Second Life

Other

Multiple responses allowed

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 7: Social Media: Embracing the Opportunities, Averting the Risks

Projected Use of Social MediaProjected Use of Social Media(Over Next Year)

Decrease, 2%

Maintain, 25%

Increase, 73%

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 8: Social Media: Embracing the Opportunities, Averting the Risks

Key Reasons Management y gUses Social Media

1. To read what customers may 1. To read what customers may be saying

2. To monitor a competitor

3. To see what employees may be sharing

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 9: Social Media: Embracing the Opportunities, Averting the Risks

81% believe social media poses a corporate security risk

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 10: Social Media: Embracing the Opportunities, Averting the Risks

If You’re Not Using Social Media, g ,Why?

Don’t know enough about it 51%

37%

40%Confidentiality/security issues

C d b t l d ti it

7%

37%Concerned about employee productivity

No need for it

0% 20% 40% 60%

Multiple responses allowed

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 11: Social Media: Embracing the Opportunities, Averting the Risks

4 in 10 block social media access

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 12: Social Media: Embracing the Opportunities, Averting the Risks

Incidents are increasing

17% disciplined an employee for 17% disciplined an employee for violating blog or message board policies

15% have disciplined an employee for violating multimedia sharing/posting policies policies

13% of U.S. companies investigated an 13% of U.S. companies investigated an exposure event involving mobile or Web-based short message services (Twitter)

Page 13: Social Media: Embracing the Opportunities, Averting the Risks

What were you thinking?

53% of employees say their social networking pages are none of their employers’ business

61% say that they won’t change what they’re doing online

27% don’t consider the ethical consequences of posting consequences of posting comments, photos, or videos online

Source: Deloitte LLP, Ethics & Workplace Survey, 2009

Page 14: Social Media: Embracing the Opportunities, Averting the Risks

Legal Issues That Can Arise from Social Media Use

Page 15: Social Media: Embracing the Opportunities, Averting the Risks

Defamation

A false statement that injures someone's reputation and exposes him to public contempt, hatred, ridicule or condemnationridicule or condemnation

Page 16: Social Media: Embracing the Opportunities, Averting the Risks
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Anonymous Blogging –Paris Regional Medical Center, TX

Page 19: Social Media: Embracing the Opportunities, Averting the Risks

The FedEx fiasco

Page 20: Social Media: Embracing the Opportunities, Averting the Risks

Employment claims

HHarassment

Discrimination

Hostile work environmentHostile work environment

And more…

Page 21: Social Media: Embracing the Opportunities, Averting the Risks

Confidentiality and corporate security

Client or patient informationClient or patient information

Other employees’ privacy

Intellectual property

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And more…

Business disputes

F dFraud

Criminal liability

Page 23: Social Media: Embracing the Opportunities, Averting the Risks

Companies Having a Written Social Media Policy

Employee Training Conducted on Social Media

Yes, 10%

Written Social Media Policy on Social Media

Yes, 31%

No, 69%

10%

69%

No, 90%

Source: Social Media Policy Survey, Russell Herder and Ethos Business Law, 2009

Page 24: Social Media: Embracing the Opportunities, Averting the Risks

Key Elements in a Social Media Policy

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Establish a position

Define the company’s philosophy on social media on social media

Mirror the culture

Page 26: Social Media: Embracing the Opportunities, Averting the Risks

Mayo Clinic

“The main thing Mayo employees need to remember about blogs and social

ki i i h h b i networking sites is that the same basic policies apply in these spaces as in other

areas of their lives ”areas of their lives.

Page 27: Social Media: Embracing the Opportunities, Averting the Risks

RightNow

“All of us at RightNow are working to rid the All of us at RightNow are working to rid the world of bad experiences. Contributing to

online communities by blogging, wiki posting, participating in forums, etc., is a good way to extend our mission. We believe participation i li di th h th i l b in online discourse through the social web can empower us as global professionals,

innovators and citizens ”innovators and citizens.

Page 28: Social Media: Embracing the Opportunities, Averting the Risks

U.S. Coast Guard

“Becoming a more agile and change-centric Becoming a more agile and change centric organization requires that we understand and interact through social media... The

governmental and public affairs directorate will coordinate our organizational

engagement in the social media environment engagement in the social media environment with interim policy, guidance, tools and

processes ”processes.

Page 29: Social Media: Embracing the Opportunities, Averting the Risks
Page 30: Social Media: Embracing the Opportunities, Averting the Risks

Require transparency

Ask employees to be…• OpenOpen• Honest• Respectful

T ll h diff i h i l id i f h i b iTell them to differentiate their personal identity from their businessidentity

Page 31: Social Media: Embracing the Opportunities, Averting the Risks

Safeguard confidential and propriety information

Especially since social media can be less formal, there is increased risk for inadvertent disclosure

Reinforce your confidentiality policies and explain how to apply them to the social media environment

Page 32: Social Media: Embracing the Opportunities, Averting the Risks

Avoid conflicts of interest

f h d f lDefine how to identify potential conflicts of interest, what types are prohibited and who to talk to when in doubtto when in doubt

Page 33: Social Media: Embracing the Opportunities, Averting the Risks

When in doubt, spell it out

Employees should make it clear that their views about work-related matters do not represent the views of their employer or any other personother person

Encourage a disclaimer when confusion could exist, such as:

“The views expressed on this blog are mine alone and do not represent the views of my

employer or any other person ” employer or any other person.

Page 34: Social Media: Embracing the Opportunities, Averting the Risks

Make sure to address the basics

Non-discrimination

Harassment

Monitoring rights

Di i li id liDisciplinary guidelines

Page 35: Social Media: Embracing the Opportunities, Averting the Risks

One-size-fits-all?

Organizations – and social media policies – differ depending upon…

• Levels of desired social media participation

• Culture and degree of “acceptable” behavior

• Methods of conflict resolution • Methods of conflict resolution

• Opinions on the overall value of social media

Page 36: Social Media: Embracing the Opportunities, Averting the Risks

Be sure to…

Look inside firstLook inside first

Engage appropriate resources

Page 37: Social Media: Embracing the Opportunities, Averting the Risks

Remember, social media is about…

New technology

New generation

New normsNew norms

Page 38: Social Media: Embracing the Opportunities, Averting the Risks

Should you monitor employee social media use?

Depends on company culture

Always reserve the right

Monitor if facts and circumstances warrant

Page 39: Social Media: Embracing the Opportunities, Averting the Risks

How do you get top management on board?

Stick: Lawsuit examples and potential litigation

Carrot: Brand awareness, marketing and customer awareness

Page 40: Social Media: Embracing the Opportunities, Averting the Risks

Strategies for management engagement

Competitive review

Executive briefings

Adoption of policies to guide employee behavioremployee behavior

Organization-wide employee training

Page 41: Social Media: Embracing the Opportunities, Averting the Risks

Are you liable “off the clock”?

No such thing anymore as “work hours”

Can be liable at any time, in any place

Page 42: Social Media: Embracing the Opportunities, Averting the Risks

When something does happen…

First, look to policies and procedures

Second, consult appropriate professionals (e.g., HR, legal, account management)

Use as a learning opportunity

Page 43: Social Media: Embracing the Opportunities, Averting the Risks

How do you control “social not-working”?

Management!

Turn use into productive use

With growing number of Millennials in the workplace, p ,remember that social media is often a replacement for e-mail

Page 44: Social Media: Embracing the Opportunities, Averting the Risks

How do you shape behavior?

Consider generational gap

Be open to opportunity

Training, training, training

Page 45: Social Media: Embracing the Opportunities, Averting the Risks

An effective training plan should…

Be grounded in the company’s values and ethics

Reach every employee in the company

Be an interactive educational opportunity

Be ongoing

Page 46: Social Media: Embracing the Opportunities, Averting the Risks

Does the value of social media outweigh the risks?

O t it t t ith Opportunity to connect with customers/patients/clients

Platform for customer service

Opportunity to engage employees

Excellent vehicle for crisis communicationscommunications

Page 47: Social Media: Embracing the Opportunities, Averting the Risks

QUESTIONS?QUESTIONS?

Page 48: Social Media: Embracing the Opportunities, Averting the Risks

www russellherder com/SocialMediaResearchwww.russellherder.com/SocialMediaResearch

R ll H d612.455.2360 612.767.3311

Russell Herder