Tips for avoiding social embarrassment

How far should companies monitor in-house bloggers?

One of the most exciting recent developments for firms looking to enhance their web presence has been the emergence of Web 2.0 technologies and social networking. In theory, these tools offer the promise of better, more intimate customer relationships, allowing firms to present a more human face to their clients.

In November 2008, Viviane Reding, the European commissioner for the information society, summed up the seismic changes under way on the internet.

“Web 2.0 is all about social networking, which so far has been low-definition video and entertainment driven,” she said. “But Web 2.0 is now being applied as a business tool.” Reding described a world where increasingly businesses make use of social networking tools for internal management as well as interacting with their customers.

So what are the challenges and legal issues facing companies when using social networking media? How can firms exploit the opportunities that Web 2.0 technologies present, and what safeguards can they put in place to ensure staff use of social networks has only a positive impact?

How firms can exploit social networking
There is already widespread use of blogs by companies to communicate with their customers, suppliers and staff. The issues have been well rehearsed and apply equally to Twitter, which is growing in popularity.

Blogging and tweeting can be used to build close relationships between a company and its customers, but there is a fine line between success and failure. One of their key attractions as communication channels is their informality, so too much interference from a company can diminish their value. Too little, however, and the company may lose control of its brand and reputation.

Perhaps the biggest commercial opportunities lie in the communities created by social networking sites. Huge groups of like-minded individuals represent a marketing department’s dream.

While social networking has become synonymous with sites such as Facebook, there are many other examples that are specifically targeted at business professionals or purchasers and users of particular products. Increasingly, companies are targeting these communities by means of competitions, surveys with prizes, special offers and fun software downloads and widgets. All too often, this is where things can go wrong.

Social networking pitfalls
In many ways, the risks of using social networking media to promote a business are not very different from those associated with other forms of online media. Apart from the obvious risks in relation to brand protection, business leaders need to remember that social networking sites are full of personal data.

Often the data available about individuals will be more than the company needs and may contain sensitive personal information. This means that it is essential that businesses get their data collection right. If an organisation wants to collect information from user profiles, it will need to ensure that the individual’s permission is obtained first and that it is made clear what information it will be collecting and what the data will be used for.

This is especially true given the increased powers of the Information Commissioner to punish breaches of the Data Protection Act that are due to come into force later this year.

All the usual trading rules and regulations still apply, such as those concerning advertising, data protection and consumer protection. The key point is to think about how social networking sites work, and then consider how the various regulations apply.

Social networking by staff
There are two key issues as far as employees are concerned. The first is how far a firm should go to control what an employee says about it. In the past, some companies have taken a hard line against employees who have written uncomplimentary blogs or posts about them. However, this has nearly always proved counterproductive. The employee is invariably portrayed by the media as being downtrodden, while the employer usually comes across as draconian.

Second, there is the danger that while social networking techniques can be used to encourage collaboration and communication between staff, they can also lead to time wasting.

So what can an employer do? The key is education. Employers need to tell their staff what is expected of them. This does not mean telling them what they should say in their blogs, posts or tweets, but rather the standard of conduct expected of them. If staff have a grievance, it is better for this to be aired internally rather than on Facebook.

In many ways, people are becoming more aware of the impact of their actions online. Many employers will look at the way in which prospective employees have portrayed themselves online before making a job offer. In those circumstances, hilarious holiday snaps may not be so funny ­ – as Sir John Sawers, the future head of MI6, would no doubt concur, following the recent media coverage regarding the now infamous “Speedo photos” his wife shared online.

The best approach is to tell staff what is expected and lay down clear guidelines in an internet and email usage policy that includes guidelines about the use of social networking sites.

As a minimum the policy should be clear about the amount of time that employees can spend online for personal use and establish what may constitute unacceptable use. It is helpful if the policy includes examples and scenarios.

Where employees are writing a corporate blog, the policy should include a reminder that the staff are the representatives of the company and so should be careful as to what they post. It is worth considering a buddy system whereby a colleague reads through the post before it is uploaded. A reminder not to cut and paste third-party materials or post confidential or sensitive information would also not go amiss.

On a cautionary note, it is essential that if a company adopts an internet use policy, it makes it available to staff and if possible makes breach of the policy a disciplinary matter. As well as ensuring that its staff know and understand the content of the policy, it is important that the policy is enforced consistently. There cannot be exceptions made for “good” employees. If a company does not enforce its policy on personal use of the internet and instead adopts a laissez-faire approach, its policy will become one of allowing unlimited personal use.

Jon Fell is a partner at international law firm Pinsent Masons

Read part four of our definitive guide to e-commerce