According to a study by Gartner, the IT research and advisory firm, social software can considerably change how candidates perceive a company and therefore impact employer branding strategies. Companies that have implemented a branding strategy via these social networks are still few and far between, however.
What are social software?
Nowadays, there are a variety of tools for online communication: chatting, e-mails, discussion groups, blogs, wikis, online games and especially virtual social networks. The latter are a set of social entities, such as individuals or companies, linked by virtual social interactions. The best known and most visited are Myspace and Facebook. With more than 222 million visitors all over the world, or 22% of the web's total audience, Facebook is undeniably the reigning social software champion.
But there are also professional social networks, such as LinkedIn, Plaxo, Ning, and Viadeo. These sites allow registered professionals to exchange with their peers. Usually, you need to register on the site, fill out a profile with your work experience and skills, then invite your work acquaintances to join, which gives you access to their networks and broadens your base of contacts. You can also search for specific professionals using the search engine.
Adapting to social software
According to the Gartner study, social software make traditional management of employer brands more complicated because they change the way in which candidates perceive companies. On such sites, speech is free. Professionals can use them as collaboration tools but also for reflection and information sharing. Furthermore, candidates seeking information on your company are likely to hear something about it via someone they know on LinkedIn or Facebook.
Social software therefore have a major impact on corporate communication. Just check out Glassdoor.com in the U.S. or Ratemyemployer.ca in Canada to measure the effects. Although the comments can sometimes be negative, it's better to be present because it's a sign of openness. It shows employees that your company is a place for discussion, and candidates, that it's a stimulating place to work.
Large companies such as Microsoft, Tesco, Google, Starbucks, Unilever, and Philips, to name but a few, are investing large amounts of money to manage their image on social software. According to the Gartner Institute, 60% of the top 1000 companies should have virtual communities or other forms of social networking in place by 2010.
Nevertheless, good examples of the use of social software are still rare, underlines the study, and companies have not necessarily realized their potential impact on their image. Human resources managers are not taking full advantage of the opportunities open to them to manage their reputation.
How to communicate on social software
The strategies that can be used on social software are varied. They may involve creating intranet-based discussion platforms where employees can freely sign up, and discussion groups on your corporate site. Other strategies include setting up corporate blogs, wikis and mini-sites inviting visitors to write comments, or simply registering your company on Second Life or LinkedIn.
Thousands of potential candidates can find out about working conditions at Microsoft via the Mini-Microsoft blog. It's an efficient means of hiring people who are well informed about your corporate values.
Another example: IBM hires many interns and junior employees on Second Life, since involvement on social software is also a way of reaching Generation Y. These new workers are always connected, like taking the initiative and especially dialoguing. The virtual world of Second Life is a concrete way for showing the "Ys" that you're "with it."
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Use of social networks by Philips
According to the Gartner study on social networks and recruiting released in October 2008, Philips is to be emulated. Job Mensink, global head employer branding, shares with us his virtual social network branding management policy.
What do you think of the Gartner report?
We are proud to have been named in the Gartner study. Our global employer brand management approach only started four years ago, and we have already noticed an increase in applications. It should be noted, however, that we do not use any one online social network in particular. It is instead a global-and-local approach to employer brand management.
How would you describe this approach?
Brand management starts with people: we first start by getting feedback from candidates, employees and managers on what sets Philips apart. This dialogue gives us valuable information for developing our communication tools (web site, brochures, etc.), as well as selecting professionals who share our corporate culture. We are looking for ambassadors who are passionate about the company and the brand. These people will themselves go and write positive comments on web sites, blogs and discussion groups for professional networking like LinkedIn, alumni networks, etc. What's certain is that today, word of mouth, especially on virtual social networks, is more effective than any directive advertising campaign.
Specifically, how do you go about creating brand ambassadors?
The basis is dialogue with our employees. To do this, our work space is set up to encourage sharing. Our managers are also there to listen, and during important meetings, employees have their say. Similarly, when we visit university campuses, alumni employees are invited to come along and tell students about their experience working for Philips.
What would you do if online visitors criticized your brand?
This is the very principle of social networks—the sharing of diverse, varied opinions. If a negative opinion about Philips were to arise online, I'm sure that it would kick off a true discussion. New points of view would be shared and the fire would put itself out. We do not therefore intervene specifically. Generally speaking, to avoid this possibility, Philips shows its openness to dialogue on social networks. As a recruiter, it's better to be a part of the conversation rather than the focus of one.
Do you have advice to give on how to optimize the use of social software?
To start off, don't run off to an interactive marketing agency. You first have to ask the right questions: What do your employees like about your company? What don't they like? What are the strengths and weaknesses of your leaders? These questions help get a fix on your company's values and shed light on selling points with potential candidates as well as employees. Then you communicate them online via all the means open to you on the web and the many social networking sites.