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2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Abstract
Many companies that use social media struggle to successfully integrate it into their daily business routines. The challenge is frequently found within the creation, execution, and enforcement of social media policies. Manycompanies do not establish policies to govern social media usage or can find their policy difficult to enforce due to lack of employee engagement and training on the topic. Add to the mix the complexities associated with talent management of a multigenerational global workforce while taking into consideration the culture, laws, and regulations of different countries, this can seem like a daunting task. Given these challenges, it is not surprising that many executives prefer to avoid the topic by saying that they have no need for social media or policies to manage it. However, as companies begin to realize the true value to be gained by social media adoption, consideration of workforce risk is essential for avoidance of loss of employee goodwill, information breaches, and reputational damage. There is good news. Clients are demonstrating how social media innovation, which incorporates enhanced governance, facilitated through the application of change management tools to increase employee engagement can greatly increase the benefits realization of social media adoption. In this white paper, we will provide recommendations for mitigating the risks and optimizing the rewards of integrating social media in todays business environment. We will also lay out recommended methodologies that clients have successfully used to train employees surrounding the utilization of social media.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Introduction
It is virtually impossible to avoid the buzz about Web 3.0 and how it can help your business succeed. Social media is changing the way companies enable the business, enhance brand value, engage the enterprise, and recruit and retain top talent. Thereare risks associated with using social media, for example, stories about employees posting inappropriate or confidential information online. Although these risks can be intimidating, once your organization learns how to mitigate them, it can more fully enjoy the potential benefits and opportunities that social media provides such as collaboration, brand awareness, innovation, and gateways to hiddentalentcommunities. So, how to begin a social media journey? Here are a few recommendations. First, we will discuss how you can mitigate the risks of social media through a robust social media governance program. This includes considering internal and external guidelines that help to govern your workforces use of social media. Internal guidelines should address social media use both on and off your organizations networks. External guidelines govern how the voice of the organization is managed through sanctioned use of social media for marketing and communications across all sponsored social media channels. Second, we will discuss the impact of social media on your talent management program and ways to prepare your organization to embrace social media. Third, we will discuss approaches to training and communications that will support sustainable adoption and integration of social media. Finally, we will discusshow social media is changing the business landscape through collaboration and innovation. Questions to ask to determine your organizations readiness for an integrated social media business platform: How can social media support our organizations vision, mission, and strategy? Do we have a social media policy in place and is our workforce aware of it? Is our organizations culture ready to embrace social media? Do we have leadership buy-in and are they fully engaged? How do we monitor the use of social media and measure its effectiveness/impact on our organization? Do we provide our social media team as well as our employees with continuous training? Do our management practices and reward system support and encourage the integration of social media as part of our core business strategy?
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Are you ready for a social media policy that works for your organization?
Social media integration
Social media provides great benefits. Organizations are progressing to the next level of adoption but are still struggling with the question, how do we best manage our social media programs? These same organizations are challenged with fully adopting social media and capitalizing on all of its potential benefits. In order to progress, organizations should address a number of questions. Where should guidelines for the use and management of social media be established within the organization? What areas of the organization are/will be affected? How does the organization control an environment that is rapidly evolving and will continue to do so at a greater pace? How can we implement a solution when there are no standard platforms or operating models? How can we develop a policy that is all encompassing and applicable to everyone yet specific enough to be effective?
internal risks
Employees inadvertently or deliberately leaking privileged information that belongs to the organization The creation of public, and therefore discoverable, public record related to internal employment issues Ownership issues regarding public forums/networks where employees might engage with customers to discuss business issues
external risks
The potential for viral growth of negative sentiment either in response to organization communications or simply a market discussion on products or services Inappropriate or inaccurate commentary on organization financial performance Misrepresentation of organizations position on publicissues
Potential risks
Social media presents the enterprise with two unique sets of risks. They are either internal to the organization or external. The internal risks stem from employee use of social media to discuss their work while either on or off the organizations network. External risks present themselves when organizations begin to utilize social media for marketing or communications activities. These activities can include public discussions related to products, services, or organization performance that can positively or negatively affect brand image. Therefore, we recommend that you consider addressing the following scenarios as you create your social media policy:
Given the unique nature of organizations, creating a set of policies to address social media utilization that mitigates the potential exposure to both internal and external risks requires careful consideration. However, the effort can be of considerable benefit to the organization. For example, it will allow you to tap into the multitasking and collaborative nature of the emerging millennial workforce, and you can gain market insights through carefully engaging the customers you seek toserve.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Are you ready for a social media policy that works for your organization? (continued) Deliver real value
Many of KPMG firms clients have successfully delivered real value through formally engaging their workforce with enhanced social media policy. When a social media engagement model is defined and communicated to employees, a new set of evangelists are created. They can aid the organization in carrying positive messages to the marketplace regarding the quality of their products and services as well as the nature of the workplace itself being a collaborative environment where creativity and expression of new ideas is both welcomed and encouraged. Addressing a number of common issues such as considerations for the global nature of social media and the impact of international laws and customs on creation and enforcement can help to produce a realistic set of guidelines for your organization. The rapid evolution of social media and diversity of related applications creates a highly challenging legal environment that will need to be continually monitored. Each country in which an enterprise operates will inevitably hold their own position on employment issues related to social media. While the United States of America appears to be leading in terms of establishing case law guidance in this area, other geographic regions such as the European Union are beginning to apply their own vision to areas such as data and privacy protection on behalf of the employee. Organizations must consider workers rights in each unique geography as social media policies are customized. The ultimate goal should be to provide guidance that does not contravene legal frameworks.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Are you ready to integrate social media into your talent management strategy?
Managing social media and your workforce
Organizations need to be aware of the potential risks, challenges, and benefits faced when implementing or revising social media policies and procedures while effectively managing its use in a multigenerational workforce. Proactively managing and executing a social media strategy and policy not only mitigates a number of complex risks, but can also lead to competitive gain and performance growth. Many corporations today use at least one form of social media technology, yet many of those companies are just learning about the critical requirement to clearly define the purpose of their social media strategy and accompanying policy. Implementing a successful social media policy requires alignment to business strategy, leadership buy-in, change management, and a well thought-out communications plan.
1 Corporate Leadership Council: Aligning Social Media with Business Objectives, 2011
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
As previously mentioned, many of todays leaders are still unfamiliar with social media and are characteristically not social media users, thus clouding individual stakeholder understanding of social media benefits and risks. Lack of understanding or identification with social media can ultimatelyreduce leadership buy-in and acceptance of the evolving trend, further immobilizing the imperative change effort. It is critically important for leaders to understand socialmedia, its challenges, risks, and its countlessbenefits. The role of leaders in this process is vital, as it is demonstrable that employees will not change their behaviors unless they have visible role models, demonstrating the behaviors and offeringencouragement and support. Through properly diagnosing leadership, they may more easily understand andreflect on their own behaviors, what they are able to offerto support the change, and what they may need to changeindividually.
Figure 1
Business case development Questions to ask and answer
Why do we need to create and implement a social media policy, what are the desired benefits, and how does it impact me? How do I help ensure that I have galvanized leadership consensus for the change and how do I mobilize them to manage their stakeholders? As a leader, what can I do to best understand the change, why its needed, and how can I support my workforce through the adjustment? How do I manage stakeholders through social media implementation with a particular emphasis on proactively mitigating behavioral resistance?
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Are you ready to integrate social media into your talent management strategy? (continued)
An example of how this can be achieved is by setting clear performance objectives in performance scorecards that reinforce competencies such as collaboration and teamwork, within the context of improving operational efficiencies, customer experience, and personal learning and growth. Another interesting trend is the shift to a mobile/remote workforce, which can potentially offer significant benefits to the organization in the form of increased customer and employee engagement, and lower costs. Organizations that wish to capitalize on this opportunity using social media may need to revisit job design. Thingsto consider in this review would be to identify roles that are suitable for mobile or remote work, and identify the competencies and skills that these employees need to possess to leverage the use of social media in order to remain connected with the organization and customer. These are just a few facets of alignment to think about as they relate to social media. The change readiness assessment exercise is a very important tool that may provide additional insight into where additional alignments may be required.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Are you ready to integrate social media into your talent management strategy? (continued)
Baby boomers and traditionalists are able to quickly learn and use new devices. However, introducing a new piece of technology to this population will be different than introducing it to those who have grown up with technology from their early years. As adoption of social media tools, both for internal and external communications, readily grows, it becomes important to clearly define and articulate your social media policy. While baby boomers and traditionalists may be more resistant to initially using social media and accepting social media policy, Generation X and Y will almost positively grow frustrated if an organization does not use social media or fails to properly manage or recognize its use. Contrary to popular belief, if controlled appropriately,social media has shown to increase productivity and employeeengagement, and foster innovation through collaboration. As a result, morethanhalfof the organizations using social media technology have achieved best-in-class performance.3 When implementing social media or creating new policies, developing a strategy that focuses on such multigenerational differences becomes a fundamental building block for success and sustainability. Demographic differences can affect everything from communications, to training, to resistance to change, to user adoption, and other components. Organizationsshould focus on how social media may specifically affect each generation through effective stakeholder assessment and management, while executing a communication plan that seeks to accommodate individual differences and will not only positively affect the change effort, but it will also result in lastingchange.
An audience analysis is typically used to identify and segment the affected stakeholders and their needs, with respect to effective execution of social media guidelines. Lastly,a culture analysis helps to identify the most preferred channels/vehicles of communication for the multifaceted stakeholder groups. In practice, creating such a communication plan may involve analyzing current communications around social media policy and adjusting those based on the new requirements and identified stakeholder groups, while developing a communications implementation strategy that includes a variety of the preferred communication means.
While communication assessment acts as a foundation for creating a tightly aligned communication strategy, the communication strategy facilitates the transition from awareness to the actual ownership and adoption of social media guidelines. Effective communication enables consistent messaging across the organization, engages stakeholders, optimizes awareness and ownership, and mitigates resistance to successful integration of social media policy. Within the following sections, we will dive deeper into communicationsplanning.
Figure 24
What do we think about social media Generation Y (16-30 years) I like to ping my social media network or just send a quick text. Itsall about efficiency and speed. I think Facebook, Twitter, blogs, etc. are great ways to foster collaboration and innovation in mycompany. I dont need to see my peers to build a strong relationship with them. Baby boomers (47-65 years) Business is most effectively conducted in face-to-face meetings or at least over the phone. Face-to-face interactions build better rapport and stronger relationships. I have started experimenting with Facebook and Twitter, but I honestly dont understand what all the hype is about. Generation X (31-46 years) I prefer to do business over e-mail. Ifind it more effective. Face-to-face meetings are needed occasionally but in reality, things can be done via e-mail. I dont have a problem adjusting to Facebook and the other social media sites, but I dont have to use it.
Traditionalists (66-86 years) I have only conducted business through face-to-face meetings. Thatis just how it works best. What even is Facebook? I dont see the value of social media as a workplace tool. It lowers productivity. Why do I have to share everything I know with the younger workforce? I have worked long and hard to gain the knowledge I have today.
Are you ready to train and communicate with your workforce on social media?
Why social media training?
Social media is such a new tool that many organizations do not yet know how to conduct training around the topic. Training employees on social media policy can enable organizations to mitigate risk and realize its full benefits. The way an organization approaches the training and communication strategy dictates how effectively the tools will be used and the overall success of the program. Throughout the training process, it is critical to understand that communications and training are interlinked. As mentioned in the previous section, an effective communication strategy is multifaceted and recognizes that every generation interacts with social media differently, and thus, the training approach needs to be tailored to those unique experiences and needs. Failing to acknowledge these factors may lead to the development of training that is neither fit for purpose nor successful in its application. Employees should be aware of their organizations social media policy before, during, and after the training. It is not realistic to expect employees to understand policies and effectively use social media tools after participating in just one training session. Further, when designing training content and communication strategies around social media policy, it is important to recognize the differing needs of our multigenerational workforce. These different delivery methods are extremely important as they will have a great impact on the implementation process. We will discuss different methods as we move forward. Managers need to understand how social media can support their business, how to help appropriately regulate and monitor their staffs activities, how to manage issues, and how to access utilizations and effectiveness reports and statistics. Theyneed to be trained how to respond to social media activity regardless of whether they have a formal strategy to leverage social media in their marketing andadvertising. Employees need to understand the benefits, potential risks, and issues related to their social media activities. They should be shown how to manage their activities effectively by understanding the tools available and how these tools can be best applied to realize full benefits. To effectively mitigate social media risks, employees may need to be trained how to deal with negative or aggressive comments that may be posted about the organization or how to appropriately respond if comments are misinterpreted and create unexpected, or potentially damaging, results. When thinking about training delivery, here are a few factors to consider: Large classroom-style training may be effective in teaching employees the technical aspects of using social media tools, but they are generally not sufficient in the long term, particularly in helping to understand the why of using the tools and the how in effectively helping employees achieve their communication goals. One-on-one coaching methods (like mentoring) actually achieve better results: this way the training can be tailored to best suit the needs of the individual and can initially be targeted towards employees who have a genuine interest. The organization can support early adopters to set a positive example of effective social media usage, and to promote the benefits, as demonstrated in Case Study X. Bear in mind that the skills required to be effective with social media cannot be taught in a single lesson. They require practice, patience, and time.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
A three-phase approach is recommended: 1. Raise awareness of the tools and their purpose by conducting high-level education/information sessions and providing a safe demonstration environment where people can experiment with the tools. 2. Provide one-on-one coaching through a network of early adopters. Supplement this with online resources. 3. Reinforce the messages through an ongoing communication program, reinforcing the organizations policies and promoting success stories. Create an online user community where participants can share questions, suggestions, and best practices. Workshop techniques can be used to support the awarenessraising phase, in particular, to highlight the importance of social media channels and the need to properly plan and monitor social media activity.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Case study: Simulation to demonstrate why social media is an important tool to monitor Australian government agency
The participants in a workshophad a variety of experience and understanding of social mediaand represented a mixof generations. They were taken through a scenario involving the establishment of an imaginary government body. This body had created a Facebook page announcing the release of a new policy involving live animaltransportation. Participants were selected to represent this imaginary government body. The remaining participants were divided into other stakeholder groups, including those for and against the government, for example, meat & livestock traders, agriculturists, animal rights/advocacy organizations, concerned citizens, etc. Thestakeholders were encouraged to comment on the policy through a variety of channels including Facebook, YouTubeTM and Twitter. The result was pandemonium for the government body representatives as they tried to deal with a persistent barrage of comments. Many conversations began to occur on theofficial government body Facebooksite and the team had to quickly learn tomonitor other activity. The participants learned the value of constant monitoring, preparing advance responses, and responding appropriately (including no response) tocomments.
Commit to continue improvement efforts by keeping a record of additional training needs on social media. Social media is constantly evolving and so will your training needs. Conduct focus groups with employees and managers to gain insights into areas where additional training may be required. In some instances, updates to your organizations social media policy may also be necessary. Establishing such feedback loops will allow your organization to be proactive rather than reactive on social media compliance.
Test employees, digital IQ to determine their understanding of social media using a questionnaire or survey and then assign them a score (e.g., level 100-400). Thenusethese scores to determine the level of training that employees should receive. Individuals with more knowledge may be able to receive an advancedtraining curriculum. Thiswill help to establish a baselineof employee knowledge tohelp customize training, as wellas measure training effectiveness.
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Making it happen
To achieve true open innovation, organizations may have to take some calculated risks to integrate multiple groups such as customers, vendors, external experts from academic institutions, and cross-functional staff from all levels from
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Authors
George Di Fede, U.S.A. H.John Hair, U.S.A. Bhrigu Joshi, India Samantha Lee, Canada Catherina OLeary, Australia Sarah Peacey, U.S.A. Viktoria Schneider, U.S.A. Jennifer Sharp, U.S.A.
Editorial Review
Karen Isaacson, U.S.A Faisal Osman, Saudi Arabia
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Conclusion
Social media has reached critical mass and organizations should not overlook its use across the workplace. It is to their advantage to embrace the technological change and understand how it affects their business and employees. Thereare numerous benefits including enhancing public image, improved interactions with clients, and promoting creativity within an organization. But it is not without internal and external risk. Therefore, it is necessary to create policies surrounding social media and in doing so there are many different aspects to consider. Two of the main topics that should be considered from the HR perspective are generational gaps and geographical location of employees in the organization. Today, there are four different generations in the workforce, working across the globe, each having different experience with social media. While constructing policies and training, it is imperative to remember how the different generations and cultures perceive social media. The way policy and training are communicated is also vital to successfully embracing social media. Employees need to hear about the policy before, during, and after the training. Thiswill deliver a consistent message, increase awareness, and help mitigate risk. Training can be conducted in many different ways. While a large classroom can be effective in teaching the technical aspects of social media, one-on-one mentoring is often more effective in the long term, as highlighted in the Australian R&D firm case study. This approach allows people to fully understand the methods and reasoning behind the policy and how social media is applicable to their jobs. Social media is redefining how companies innovate by connecting people and ideas in ways that have previously not been explored. Organizations now have the ability to utilize knowledge from external audiences around the globe that they could never reach before. It is changing the way we do business today. Are you ready?
2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International.
Contact us George Di Fede +1 212 954 5996 gdifede@kpmg.com H.John Hair +1 312 665 3606 hhair@kpmg.com Bhrigu Joshi +91 22 3989 6000 bhrigu@kpmg.com Samantha Lee +1 416 777 3551 samlee@kpmg.com.ca Sarah Peacey +1 312 665 2047 speacy@kpmg.com Catherina OLeary +61 2 6248 1470 coleary1@kpmg.com.au Viktoria Schneider +1 415 963 7021 viktoriaschneider@kpmg.com Jennifer Sharp +1 703 286 6910 jesharp@kpmg.com kpmg.com
The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice after a thorough examination of the particular situation. 2012 KPMG International Cooperative (KPMG International), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis--vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. All rights reserved. Printed in U.S.A.. The KPMG name, logo and cutting through complexity are registered trademarks or trademarks of KPMG International. MCGraphics | MC-000110 | May 2012