It is no understatement to say that there is a worldwide obsession with social media – Facebook, Twitter, and Foursquare are all the rage and while the social network of the moment may change, social media as a communications channel is here to stay.

While consumers may have been first to jump on the social media bandwagon, the number of businesses utilizing social media is growing, with 83% of Inc. 500 companies using at least one social network in 2010 according to a study by the Center for New Communications Research and they are increasingly reaping the benefits of having a direct communication line to their customers. We, at DuPont Sustainable Solutions, use this forum to have a dialogue with you about the most pressing issues for a 21st Century business. Being able to interact and build more direct relationships with consumers provides innumerable opportunities for all companies including ours.

However, businesses using social media face inherently greater risks than traditional communications’ channels, particularly to their reputation and financial success. Given DuPont’s history and values in ethics, safety and risk management, DuPont understands the importance of engaging audiences through online social channels openly, honestly and transparently in order to gain their trust. Doing otherwise risks damage to the company’s reputation.

So how do organizations find a way to balance the benefits of social media with the risks? The short answer is with corporate policies and proper training.

The Risks

One risk businesses face when it comes to social media is the sharing of information.  Either employees can share opinions in ways that reflect badly on the company or they can release confidential information or intellectual property.  .Confidential information being leaked, data breaches, privacy violations, offensive tweets – all of these possibilities make organizations hesitant to adopt social media.

Aside from the risks stemming from improper employee use of social media, there is also the ability of consumers and competitors to use social media to attack a company’s reputation.

 However, not engaging in social media can become a risk in itself.  Most every company and brand are being discussed through online social channels.  It is important that the company provides its voice in these discussions and conversations.  If the company does not provide a voice, others will regardless. Social media is developing into a standard practice for communications and rather than avoiding it, businesses should actively take steps to engage these online audiences.

Best Practices

Since social media is becoming a  standard practice for many businesses or at the very least a good way to interact with customers and partners , it is important for employees to understand the best practices for engagement with particular emphasis on ethics and legal responsibilties.  Having a good company policy on social media with an active governance plan is not longer optional.  It is essential to mitigating the risks associated with social media communications.

 

At DuPont, we are mitigating the risks posed by social media through corporate policies and education and training for our employees. We have created a DuPont Web Based Social Networking and Digital Media Policy that provides guidelines and expectations related to our employees’ use of social media on behalf of the company. The Policy addresses internal social networks, external social networks, codes of conduct and guidelines. We also have a Social Network Steering Committee that reviews and approves the creation and use of all social networks to ensure adherence to issued guidelines and standards. Education and training is equally important and DuPont is establishing a social media training program that will educate employees on the risks of social media, best practices for using social media and DuPont’s policies. 

 

Yes, there are risks to communicating through social media, but if a company communicates ethically and transparently, these risks are minimized.  DuPont sees the value in using these new communicatoins’ channels to reach our customers and prospects and we understand that these audiences expect us to use social media responsibly.

 

For additional discussions on the risks of social media and how to avoid them, check out:

 

5 Social Media Risks for Companies and Employees… And How To Prevent Them

 

The Risks of Social Media: Self-Inflicted Reputation Damage

 

Gary Spangler, Corporate e-Marketing Manager, also contributed to this post.