A recent report (pdf) by Forbes for Deloitte on risk management reveals social media to be the fourth largest vulnerability to companies over the next three years, on a par with financial risk.
This underscores the impact of social media for firms as a whole, and the necessity to approach social media as a company-wide as opposed to a marketing, PR or customer service initiative.
To quote the report: “Social media risk may magnify the threats from a diverse array of risks, including reputation, strategic, operations, and compliance. Confidentiality may be breached, corporate secrets spread or malicious rumours started that can put a company in a tailspin.”
As noted in a previous post, the impact of social media on reputation looms large, even if senior business leaders do not view it as potentially damaging as technology risks.
I was recently asked to talk at a conference in Hong Kong on the risks inherent in social media marketing. Here’s my ten cents – or 10 basic principles – on how to limit social media marketing risks.
In short, much can be gained from careful business and campaign planning and governance.
Given the tendency for social media still be operated in siloes, some lateral thinking would also not go amiss.