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Social media, including Facebook, Twitter, YouTube, etc., is an evolving and growing means of communication. According to some reports, people have been spending more time using social media sites than e-mail since February 2009. See “A World of Connections,” The Economist, Jan. 28, 2010. For companies, social media presents both opportunities and risks. These risks include reputational, brand, legal, regulatory and security concerns. This article outlines some approaches that companies are taking to manage the risks, including: 1) reviewing existing company compliance policies and preparing social media policies as warranted; 2) restricting workplace access to social media; 3) utilizing social media monitoring tools; 4) taking into account actual social media business issues; and 5) reviewing insurance coverage.
Company Compliance Policies and Social Media Policies
According to a recent survey by Manpower, 29% of companies in the Americas and 20% of companies worldwide have a social media policy. See “Social Networks vs. Management? Harness the Power of Social Media, Manpower, January 2010. Companies that do not have social media policies likely are preparing them or at least considering them. While there are social media policies, other company compliance policies (e.g., codes of conduct, codes of ethics, confidentiality obligations, privacy policies, intellectual property policies, etc.) often cover aspects of social media use. The starting point is for a company to review existing policies, determine whether they cover aspects of social media and revise or update them as necessary or appropriate and prepare a social media policy as warranted. A new social media policy should be drafted to be consistent and integrated with other company compliance policies.
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