Understanding social media ecosystem top priority for middle managers: SFU Beedie research

VANCOUVER– Time-crunched middle managers and dismissive executives should take note: Deferring social media to your organization’s marketers or techies will soon become a relic of the past. At companies large and small, social media is expanding beyond the jurisdiction of the communications, marketing or IT departments. It requires corporate level strategic attention. For that reason, according to researchers from Simon Fraser University’s Beedie School of Business, social media sites — including Facebook, Twitter, LinkedIn and FourSquare — should increasingly become a priority across organizations. And middle managers must figure out where their firms’ business activities intersect with these social media venues. Their article, published in the spring edition of the management journal Business Horizons, is entitled “Social Media? Get Serious! Understanding the Functional Building Blocks of Social Media.” It was authored by Simon Fraser University’s Jan Kietzmann, Ian McCarthy, Kristopher Hermkens and Bruno Silvestre. The authors present a number of recommendations for how firms should develop strategies for monitoring, understanding and responding to different social media activities – on the premise that different social media arenas correspond with different organizational functions – from employee recruitment to customer service to public relations. “This is a social media world, and yet a lot of middle managers know very little about social media, and as a result they are feeling the pressure,” said Ian McCarthy, Beedie School of Business Professor and Canada Research Chair in Technology & Operations Management. “There is an abundance of evidence indicating that it can significantly impact a firm’s reputation, sales and even survival. Even if you are in the potash industry, you need to be aware of how social media impacts your organization.” The authors point to a number of real-world social media situations – involving customer service, consumer feedback and brand reputation – that have had major business consequences for companies ranging from airlines to restaurants and retailers. To help managers understand the social media ecology they will inevitably confront, the authors have articulated a honeycomb model that reflects the spectrum of social media sites in terms of their scope and functionality. The model includes seven functional building blocks: identity, presence, relationships, conversations, groups, reputations and sharing. “Differences do matter in social media, which is why you need to set your priorities,” said Jan Kietzmann, Assistant Professor at the Beedie School of Business. “For example, LinkedIn is all about identity, while FourSquare is clearly about location. That’s why it is increasingly important for companies to understand and where necessary develop these social media platforms.” The research concludes that by carefully analyzing the layers of the social media ecosystem, firms can monitor and understand how these activities vary in terms of their function and impact – and act accordingly. To view a copy of the Business Horizons article in PDF format, click here.