There are many risks a business encounters, but an online reputational risk is emerging as a major threat. Many executives are working overtime trying to deal with the problem more proactively. A survey has found that reputational risks are now a primary concern for most corporate members.
What the results make clear is that a company’s reputation is paramount, and all risks that threaten this reputation must be dealt with aggressively. New social networking sites are just the latest threat that makes sustaining a blemish-free reputation even more difficult.
Harnessing the true potential of the internet without inviting reputational problems is a science in itself. In fact, technology has added a number of new risks (including online reputation) that businesses have to deal with.
Businesses have realized the importance of establishing an identity on the web. But, they are confronted by the daunting question: whom to blame for what others are saying online.
Reputation risk in the digital space (uncharted territory for many corporate units) is finding it difficult to grapple with the problem. Internet is a double-edged sword, and it is as much a blessing as a risky proposition.
Any spiteful individual or a group of individuals with a computer and internet connection can ruin your online reputation, and you will have no control. A single email, text or photo can do immense damage once it gets sent to millions of people involved in social networks.
‘Reputational damage can lead to significant collateral harm,’ says Rebecca Grapsas, a senior associate in the corporate department of Weil Gotshal & Manges.
Many disgruntled past employees have used social networking sites to express their thoughts on social media and review sites.
Attracting a broad audience, and the rapidity with which comments can be dispersed are the real motivation. The potential for a negative statement will quickly put your company’s reputation at stake.
Another worrying factor about electronic communications and social networking, in particular, is that persons tend to communicate inappropriate information – sometimes with mischievous intent.
Sadly, most businesses get too comfortable with the social media sites and the ease of accessibility, without appreciating the risks involved.
For this reason, it is important to remind all employees continually, executives, shareholders and directors that they need to be careful.
Most companies can’t afford to spend hours each day monitoring the onslaught of networking sites trying to head off disaster. Besides, networking sites are constantly evolving – so keep your company updated and ensure regulating the use of social media by your employees and other stakeholdersTags: online reputation India, Online reputation risk India