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Melbourne, Victoria, Australia
Born in the mid 1950's and raised in a very small country town situated in Northern Victoria. Resident of Melbourne since 1980 and happy to stay living in one of the world's most liveable cities. You can view my professional profile at http://www.linkedin/in/danielwatson

Tuesday, January 5, 2010

Is Social Media Sucking your Business Dry?


Being blissfully unaware of the entire social media landscape before embracing LinkedIn about two years ago, and then branching out over the last six months or so to embrace facebook, twitter, blogger, instant messaging, web-based e-mail and the like, I had no idea of the amount of time, that active participants in this so-called social media age, must commit to remain active and relative to their audiences.

As a management consultant, I am now concerned for all business owners who have employees with direct and unfettered internet access, and who do not employ an IT manager, or have a very good understanding themselves, of the social media landscape.
  
My concern stems from the fact that even with an IT manager or a good understanding of social media, it is far from an easy task to determine the extent to which company time and resources are being misappropriated through the private social media activities undertaken by employees.

Without one, or both of these elements, at your disposal to stem systematic abuse, your business profitability, is at the mercy of your employees.

Apart from the time such private activities can suck out of any business day, there is also the cost of bandwidth effectively stolen from your business and used to download music, movies, video clips etc to ipods, mobile telephones, flash drives and the like, for private use (the fact that such devices can also be used to download and steal business data, is a separate issue all together).

Those of you with wireless capabilities enabled in your business premises may, to your cost, find that employees and their friends are accessing your internet connection for downloads after hours, via smart phones or laptops operated from cars parked within range of your business broadband signal.

The critical danger will be where you have one, or more employees, who develop an addiction to social media activities. There are already terms such as Facebook addict, Twitter addict, and Social Media Whore, being bandied about on the internet, with some users applying these labels to themselves.

Don’t just think that it won’t affect any of your employees, and remember that it is not only the young, that are heavily into social media. You need to develop a real awareness of the dangers both financial, and potentially legal, of providing unfettered internet access to your employees. 

Remember that if you feed an addiction, it will only get worse.

As with gambling, alcohol, and illicit drug addicts, it is ultimately a downhill spiral, with the employer bearing the brunt of the collateral damage, and ultimately paying a high price, before eventually needing to dismiss the errant employee.

Don’t think social media is a passing fad. If you have lived in blissful ignorance like myself until recently, you are about to be hit by a fundamental change in the way in which the world communicates and transacts.

I am old enough to have commenced work before mainframe computing impacted on the workplace, and well before personal computers were thought of, and certainly many years before that other supposed passing fad, the internet, was available to the masses.

I have no doubt that unauthorised social media activities by employees are going to become a large and problematic issue for small business owners, especially those not equipped to fully understand, much less handle, the risks inherent in this growing problem.

Do you know just how much time your employees spend on unauthorised social media activities during working hours?

Would you have any idea if any of your employees are social media addicts?

Do you understand that this is an issue that you can ignore, but only at your own peril?

5 comments:

cvnbdfwe said...

Interesting article Daniel.

Don't you think that if you've hired good people, they will be responsible and accountable?

Police all you like, but you're then going to lose (good) people purely because they perceive you not to trust them!

Caroline B said...

I think your commentary is the most cogent article I've read recently. I have free rein in the small environment I work in to explore and develop our business network through SM. I limit my activity to LinkedIn and Plaxo and work only with a clear objective of what I am trying to accomplish. If I were unable to manage my time properly, I can see the peril you point out vividly.

Shawn said...

Daniel,
Seems like a glass half empty kind of argument:
1. Part of the blessing of inexpensive wireless is the opportunity to password protect your network (even a small home link between your PC and laptop) from unauthorized bandwidth use and providing free bandwidth to your customers costs little when compared to the benefits.
2. Having happy employees socially active online and talking about your company can be a positive thing. If they're goofing off or running down your business instead, it could be the sign of a deeper systemic problem with your business and without computer access, disengaged and unhappy employees will still find a way to cost you money.
NOTE: If you're concerned about managing your businesse's online reputation correctly, you can partner with a blogger or social media professional to better present your company's public face at a very reasonable cost.

Joe Engineering PA said...

There is a balance to be maintained. Certainly, hire individuals that appear to be conscientious. Then monitor appropriately to be sure that nobody slips into a pattern of abuse.

Mark Jackson said...

As a business professional that talks to many leading ICT vendors across Australia and New Zealand on a daily basis your thoughts on this are indeed interesting.
Social Media for personal use in the work place is and can be an issue.

It's promising to note that some businesses (albeit a few) have turned a negative into a positive.
As an example I had a very interesting conversation with a business owner that had an issue that with an employee that was a bordering on being a Social Media junkie.
HR had provided written warnings for repeated infringements and then out of the blue... the business owner sat down with the person, listened and watched what the employee was doing, saw the opportunity and now the employee has a new couple of lines added to his position description, along with his previous tasks he is now the companies Social Media Manager and works closely with the company's Sales and Marketing Manager, Product Manager and Service Manager.

They've used Facebook to facilitate customer feedback and have turned negative comments (warning, if you are going to put it out there, expect negatives - bet on it) into a positive by educating the end user and answering question directly.
Additionally, the material generated from Facebook is being utilised in their sales and marketing collateral as well as the companies online FAQ.
They are using both Facebook and Twitter to advise of such things as product updates, scheduled outages, events and general news in the company.

With a little education, it's pretty easy to turn a negative into a positive.
Another note – it's absolutely astounding how many companies I come across that do not have a clearly defined social media strategy.
Sadly it's a case of 'yup, we are on Facebook and twitter – now what?' and that's pretty sad coming from a Marketing exec.