Social Media – C-Levels Tricked and Trapped

During various conversations at the dmexco 2012 in cologne I realized that Social Media Risk Management already hit the boardroom but almost nobody is aware of it. So was I!

The reason why I believe that social media already reached the boardroom is so simple and so complex at the same time.

Almost everybody knows that you need to be active on social media. As social networks and social media is constantly gaining more and more power it is the ultimate source to solve a couple of challenges companies and their C-Levels experience:

Marketing Efficiency

Who wants to spend millions for marketing campaigns some really enthusiastic and creative brains build without giving you the tools to find out how effective your campaign is.

War for Talents

New employees are the lifeblood of every professional services firm. Attracting the right people and retaining them is key. But how do you do that? Go social! Young people leaving university and school have an incredibly huge social media competence and define themselves different than people like I did at their age. During interviews with potential candidates for our firm I had to realize that the questions I am asked are different than 10 years ago. People ask for BYOD, Smartphones, Work Life Balance Concepts, Mobility Concepts and much more. Most of the time they already used social media to inform themselves about my company. They even do not use our website, but they use facebook and twitter. So going social is not optional! It’s mandatory and therefore it’s a boardroom issue. The C-Suite usually approves this “HR stuff”.

CRM

Is customer relationship management an application to plugin to you ERP system or buy a monumental application that stores all your client data. I believe we will see distributed CRM systems in the future. These are the Facebook profiles, twitter lists and Xing / linked in groups which are the data marts for future CRM systems. Right now most of the professional people, being active on social networks, maintain not only private but also business contact lists and support sales and delivery through these channels. It became more viral than most of the non social networking C-Levels believe. In the end it means that you need to rely on those people acting in social networks and facilitate sales and generate leeds. In most of the companies (especially the professional services firms)  this is done unintentionally and the leaderships are overwhelmed by the “new” opportunities that arise.

What is the conclusion

You might ask yourself or me why a blogger about security and risk management writes something about CRM and war for talents and what this has to do with Social Media Risk Management.

As I already said it is simple but also complex. Everybody accepts that social media is in important factor in people’s life and business matters. We design campaigns for our businesses.  We sometime try to enforce social media policies. But do we really think that there is a difference between private and professional social media? We think so but it’s not! People have to disclose which company they are working for or they should not write one word about this company and stay private.

When asking people about their profiles on social network sites like facebook I very often get the answer:

Uuuh good question, but I am prepared for this! I arranged this in a propper way: facebook is used privately and linkedin is used in the professional part of my life!

Sounds reasonable but reality looks different. If you look at those facebook profiles you see that people disclose their company name and their position in the firm. This is the moment when a private account is not private any more. In Germany there was a law suite about where the judges came up and said that the use of a company name and maybe writing that you want to get (business contacts) is sufficient to assume you are not a privateer and that you have to behave professional.

Following this argumentation the C-Levels need to be in control over what their employees do just in case a third party cannot find out ad hoc if a person is a private or a professional person when looking at posts or their profiles.

C-Levels need to have an overview, who is acting as an employee of their company (even when knowing it). And last but not least it means that C-Levels have to enforce and monitor the use of policies in these open spaces. Right now I believe that boardroom members do not realize that they have to extend their control to social media or tell their people that they may not act on behalf of the firm and have to stay strictly private.

But who wants this? Nobody! You would loose the viral effect of social networks!

I know that this is a provocating statement but I absolutely believe what I wrote. Any comments are highly appreciated.

Next Generation Security – See how Facebook, Cloud Computing and Tablets change our lives!

The use of IT has gone through radical change in recent years and will see increasingly radical change in the future. More and more enterprises are getting involved in the opportunities and risks of cloud computing in all its different forms. This would therefore be a good place to clarify what other hot topics would be wise to consider in the context of cloud computing and what this will all mean for information security in particular.

For instance, seeing cloud computing in connection with Bring Your Own Device (BYOD) and social networks – two of the latest IT hypes –can be particularly exciting as this raises new information security issues.

The first question is why there has been so much hype around BYOD and how it relates to cloud computing.

Given the demographic shift, the related lack of qualified experts and the resultant general employee situation among today’s enterprises – a veritable job-seeker’s market – it is now more important than ever before for enterprises to take the needs of their employees to heart so as not to lose sight of the target markets. New employees are attracted to enterprises that have their individual, personal needs in mind, while long-time employees expect their employers to offer an evolving personal working environment that keeps pace with the times.

By now, the use of consumer devices has grown to become part and parcel of an attractive working environment. An IDC study from 2010 shows that about 95% of all employees also use consumer devices. So it is only logical for them to want those devices to be more integrated into the business structure. That integration is increasingly made possible by web based services, which are provided as cloud services.

One good example is the provision of storage capacity, which can be accessed through enterprise devices, consumer devices or a range of general device types. Cloud services make it possible to use to these consumer devices all at one and the same work location. This is also evident from the number of cloud users: since the launch of Android-based consumer devices in 2008, public cloud computing services have grown. While this trend might not be directly attributable to the new generation of devices, the statistics show a define connection.

By analysing different studies on cloud computing (e.g. Cloud Monitor 2012 – http://bit.ly/CloudMonitor2012) one can conclude that public and private cloud services, in spite of the difference in popularity between the two cloud types at present, will converge in the future. The hybrid cloud will therefore be the de-facto cloud model of the future.

The proliferation of social networks can be seen as another phenomenon. While we see different social networks, whose business model is based on actual ‘networking’, the ‘main players’ in this industry see the network as a means to an end to generate large numbers of users. These are then marketed (e.g. advertising) as the actual value added. In particular, some networks have specialised in reusing the identities in their database for authentication services. Facebook, Twitter, Google Yahoo and LinkedIn can be cited as the main examples. Who the market leader is depends on the field of use (http://info.gigya.com/identity.html). Facebook and Twitter almost always range among the top three.

Banks, mobile telephone providers or government agencies would be more likely candidates for B2B authentication systems given the confidentiality issues. And yet, Facebook has grown to become the leading provider of authentication systems (Facebook: 39% market share followed by Google with 19%, source: Gigya, 14 July 2012). In the first year of Facebook Connect alone, Facebook had signed up 80,000 websites and continues to sign up about 100,000 website a year. That social networks have become the dominant public authentication providers is something we simply cannot ignore.

So what do BYOD and social networks mean for cloud computing? Assuming that the proliferation of mobile consumer devices will promote the growth of hybrid clouds, it will likewise be necessary to use authentication providers that support authentication across the widest range of different platforms, both public and private. That is exactly what the social networks are pushing for here.

If we follow this logic, we also see a change in the need for information security.

Neither social networks nor public clouds can be swayed by enterprise security measures. Security in the sense of conventional border defences is only effective to a limited extent. That makes it increasing important to protect enterprise value while being able to react effectively to security incidents in cloud environments once they are detected. In the end, the data – whether stored on mobile consumer devices, social networks or in a cloud – are owned by company management. They remain responsible!

This results in three main aspects, which are dealt with below:

  1. Prevention of security incidents through risk-oriented measures
  2. Detection of security incidents
  3. Effective incident reaction