Social Networks Benefit Employees and Customers

Social media provides users with information viashopper' at the company! Such customer
blogs, podcasts, and webinars. Users writesatisfaction can only drive return business.
reviews or create forums, wikis, and videos.For 71 of its 75 years, Indium Corporation of
Users connect with each other and providersAmerica, developer, manufacturer and supplier of
through virtual worlds and social networksolders and thermal interface materials, acquired
communities.business through direct marketing and trade
"Social networking has caused a fundamental andshows. Four years ago, the marketing director
transformational shift in the way that people aretapped an engineer on the shoulder and asked him
connecting, knowledge is being shared andto start blogging. Four years later, Indium has ten
information is flowing," says Charles B. Kreitzberg,blogs and 15 bloggers, professional staff who
Ph.D., CEO of Cognetics, a firm dealing with thecultivate relationships that have moved offline to
human aspects of computer technology.ongoing business relationships. Made worldwide,
About 50% of large companies and 75% of smallthese relationships have not only enhanced
ones (fewer than 500 employees) are using socialcustomer satisfaction and brand loyalty but
media of all types. Of those, it is estimated thatemployee satisfaction as well; employee bloggers
40-60% have their own social network. Microsoftfeel empowered to interact with customers in
has the Town Square, IBM the Blue Pages, andnew ways.
Best Buy the Blue Shirt Nation."Relationships in business mean everything; the
"Engage me, inform me, and entertain me," saysrelationship should be with the people behind the
Bernie Borges, author of Marketing 2.0: Bridgingsite, not with the site itself. Those in the
the Gap Between Seller and Buyer on the Socialorganization must foster and nurture the
Web. "But don't make me read an ad; don't sendrelationship," states Anne Pauker Kreitzberg,
me email news. Companies are made up ofPresident of Cognetics.
people; be social with your existing andBy social networking, employees learn new things
prospective customers."about their colleagues - personally and
Sharing Knowledgeprofessionally. One employee was struck by
Social networking creates personal networks ofinsightful comments made online by a colleague, a
friends and professional networks of colleaguesman who appeared aloof during face-to-face
available to offer information at the click of ameetings. This realization prompted the employee
mouse. Meeting others through onlineto interact more often with this colleague. Social
conversations creates and strengthensnetworking opens up infinite possibilities and
relationships, alerting employees to who knowsresources - not the least of which may be
what, where to go for information. Through socialincreased employee satisfaction.
networks, people share common interests orEngaging Employees
needs who wouldn't normally meet; they supportSocial networking also increases employee
each other in knowledge sharing and problemsatisfaction on the job because employees feel
solving.more engaged in their work. An $8-billion energy
Social networking helps form business strategiescompany was conducting a strategic analysis of
and strategic alliances. Howard Rheingold, Rheingoldfactors influencing its industry. The usual practice
Associates, notes that a large teacherswas for the company to hire external consultants
organization had developed and was promotingto work with its corporate officers.
new standards for teaching math at all levels.Recently, however, the company created an
Getting everyone together was unrealistic soonline network to engage people at all levels of
what was the most efficient way to promote thethe company around the world in discussions (real
new math standards?time and asynchronous) about industry trends,
Ultimately, the teachers organization partnerednew technologies, the economy and factors
with a public television station to produce andinfluencing the success of the company. Some
distribute videos showing real teachers teaching togroup discussions became so dynamic that
the new standards. A teacher facilitatedproblem-solving moved to creativity and
interaction on a social network with groups ofinnovation! Social networking activities made
teachers to share teaching experiences, studentinformation relatively easy to locate and
projects and best practices. One teacher notedsummarize in a report.
that just reading about the new standards wouldFacilitating Talent Management
never have given him the "...rich, depth ofSocial networking facilitates talent management.
information, and resources obtained through theAmong the largest law firms in the world, Latham
social network."& Watkins LLP has a private social network
Enhancing Communicationcontaining policies, procedures, forms, invitations,
Social networking allows people to get and stay inupcoming events, calendars, forums and photos.
touch, minimizing the need for endless emailThe network is used early in the recruiting
streams or the wait for an 'expert'. Online usersprocess through to the 'alumni' relationship, when
are surprised by how quickly they get responsesattorneys leave or retire from the firm.
from employees at Sears and Kmart in responseThe firm grants second or third round recruits
to questions and complaints posted on companylimited access to the network. Once a position is
websites. Timely communication fosters customeraccepted, on-boarding is managed through the
satisfaction, which creates brand loyalty andsocial network. When new attorneys show up for
contributes to the bottom line.work the first day, they have already made
Online social networks at work facilitateconnections and developed relationships with other
continuous employee communication, whichstaff. This social network stimulated a 15%
promotes awareness of and helps employeesincrease in first year retention and a 38%
better understand the roles and responsibilities ofincrease in first year productivity.
colleagues in other departments. This helpsIn addition to enhancing productivity, social
employees feel a part of the whole, increasingnetworking creates an environment in which
employee satisfaction at work.employees continuously contact others for advice,
Making Connections, Cultivating Relationshipsstrategies, and best practices - just-in-time to
Information and knowledge are shared withapply it on the job. This helps minimize the need
people, not organizations. We all know thatfor training outside of the organization, saving
creating relationships is essential to businessboth time and money.
success; social networking connects people, who"The key to the successful use of social
often establish relationships lasting a lifetime.networking is to listen and the ability to listen is
Two-thirds of all Zappos employees are oneasier than ever," notes Borges. "You identify the
Twitter, where they are encouraged to let theircommunity you want to reach and listen to what
personalities shine through when connecting onlinethey say. On the web, it's easy to track interests
with customers to offer tips on shoe care orand trends. Comments from consumers turn into
respond to customer questions. Customersleads." Do you know how social networking
describe it to be like having their own 'personalcontributes to your bottom line?