• Home /
• BCM News and Events /
• BCM news /
• Social media activity 'poses a data protection risk to organizations'

Social media activity 'poses a data protection risk to organizations'

20 June 2011

The reputation and data of businesses could be placed at risk by social media activities, it has been suggested.

According to insurance broker and risk adviser Marsh, websites such as Facebook and Twitter offer an array of opportunities to organizations, but may also cause damage to their operations unless they are managed properly.

The company's Senior Vice-President, Robert Parisi, explained that risks associated with social media include defamatory remarks being left as part of online 'chats' or cyber-criminals targeting sensitive data.

Furthermore, firms could be left vulnerable to accusations of infringement of intellectual property as a result of their use of social media websites.

Mr Parisi advocated a "consistent and integrated risk management strategy", including monitoring, detection and reporting systems, defining what employees may say and putting policies in place in the event of a crisis.

"Failure to be informed about social media and neglect in establishing protocols can expose companies to significant liabilities," he cautioned.

Recent data from Sunshine.co.uk suggested that more than half (54 per cent) of UK holidaymaker rely on social media platforms to plan their holidays.