Good social media policy vital for compliance

by MPA07 Mar 2017
I have asked MGIC's Marketing Department for some insight on the question we have received. Starting today, and continuing for the next 2 weeks, MGIC will outline how you can consider leveraging social media for increased business opportunities. They begin the series with “Establishing a Social Media Policy.” In week 2, MGIC will discuss “How to Develop a Social Media Strategy That Works” and in week 3, they’ll conclude with “Taking Your Social Media Strategy to New Heights.”

Our company is considering allowing its employees to use social media for business. Where do we get started with this process and how do we make it work for our sales force?

—Aubrey from Minnesota


Social media can be a great tool for employees of a company to use for increased business opportunities. However, it is important to get started on the right foot with a social media policy. A sound social media policy serves two key purposes: to educate employees on use within and outside a company work environment and to mitigate corporate risk through guidance on process and procedure as it relates to industry compliance and messaging. For some more heavily regulated industries, the latter becomes extremely important.

Several organizations within the financial industry monitor and assess what companies say and provide to their customers via social media. They have the ability to fine and penalize companies who are not compliant. Staying compliant is highly recommended, and following the guidelines provided by FIRNA, FFIEC and SEC is advised.

That said, in order to implement a successful social media policy that remains compliant, there are a few key components you need to consider. This includes the use of cross-functional collaboration with departments, defining objectives (and setting goals), providing clear guidance, addressing compliance, education and training to enforce the policy. You can learn more about how to create a social media policy by clicking here and accessing the full article on MGIC Connects. Next week, MGIC will be addressing how to make social media work for you.
 —Dave Hershman


Dave Hershman has been the leading author and a top speaker for the industry for decades with six books authored and hundreds of articles published. His website is www.originationpro.com. If you have a reaction to this commentary or another question you would like answered in this column? Email Dave directly at dave@hershmangroup.com.
 

Poll

Should CFPB have more supervision over credit agencies?