Social Networking in the Workplace

A recent U.S. study showed concern among business executives that the use of social networking in the workplace can lead to undesirable outcomes, citing productivity and damaged brand reputation as the leading reasons. As a result, many employers are blocking employees from specific social networking sites, but what they may be missing out on is the opportunity for employees to utilize social networking to build relationships and a company’s brand. It’s a double-edged sword with very sharp edges.

The study found that 40 percent of companies technically block their employees from accessing social media while at work, while paradoxically, the overwhelming majority of executives feel social networking sites are an important business tool. (Source: Russell Herder And Ethos Business Law, August 2009)

Highlights of the survey:

• 81% believe social media can enhance relationships with customers/clients
• 81% agree it can build brand reputation
• 64% see it as a customer service tool
• 46% think it can be used to enhance employee morale
• The most popular vehicles being used include Facebook, Twitter, YouTube, and LinkedIn
• 26% of companies use social media to further corporate objectives
• 70% said they plan to increase the use of these new opportunities

The use of sites like LinkedIn can be very useful for employees and business executives alike, as this site is aimed more at a business audience than a recreational one. For example, I recently received a voicemail about a possible new business opportunity. I took the name and number down, searched the contact on LinkedIn and instantly had a business background about the person contacted that me. From their page, I was able to view link to their company’s website (which was not coming up on a Google search) and return the call within a half an hour with at least a rudimentary knowledge of the company’s business. Being in the client service industry, this is a valuable tool which I would like all my employees to have access to.

I also want my employees to talk to their contacts about the new and innovative things happening here, as it builds our reputation and our brand. It can become a tool for recruiting and endorsement. Ah, but there’s the other edge of that sword, disgruntled employees can also demean and defame the brand.

So each company exec needs to weight the pluses against the minuses; potential lost productivity through overuse and abuse and possible brand damage vs. possible increased business intelligence and brand reputation enhancement.

Social media like any other business tool (such as internet access, phone calls, photocopier, etc.) should be part of a formalized policy to ensure the privilege is not abused with clear parameters for use regarding when and how these sites can be accessed as well as what content can be posted while on company time. It won’t be perfect, but we have to start somewhere.

- Jim Kabrajee, Partner, jimk@marshall-fenn.com