On a personal level, social media offers an easy-to-use platform to share information and connect with friends. In business, we are just now beginning to understand and grasp the value of using such networking sites, especially in the accounting profession and business marketplace.Niche Sites Lead to Information Exchange
Americans spend about 17 percent of their Internet time on using social media sites, and the use of these sites has tripled in the last year. However, most people don’t realize that they have engaged in social media activity. E-mail messages and Web sites are examples of social media, yet the nomenclature we now think of as “social media” didn’t explode until 2003 when LinkedIn was created. Still considered the most professional social network, Linkedin is the only networking site approved for use in accounting firms because they can quantify the ROI when a LinkedIn relationship produces a qualified referral or one who becomes a client.
Two other sites, Facebook and Twitter, are the next most popular sites because each demonstrates new and innovative ways to make connections. Twitter, the fastest growing community site, reported a 1,382 percent increase in visits from February 2008 through February 2009. Facebook says it has more than 300 million users with 65 million users accessing Facebook via smartphones.
Because accountants work in many business arenas and consult with clients on a variety of issues, niche social media sites are popular because they address issues directly targeted to the profession rather than maintaining a more general approach. Site developers know and understand this concept and have designed their sites to meet the needs of the targeted populations.
As a result, content is developed to build an accountant’s technical acumen and make them better at what they do. For example, if an accountant works in appraisal and business valuation, discussion forums and blogs catering to these topics are ideal to learn what’s happening in the field. Tax professionals enjoy visiting sites that discuss the latest legislation, or how sales and use tax software helps automate a return. At the highest levels within a firm, partners visit sites that offer refreshers on the industry, human resources and practice management. Other sites offer Web seminars to satisfy CPE requirements or enable connections with former colleagues and enhancement of professional networks.
Sharing information on these sites is key to the long-term survival of social media. Yesterday’s static bulletin boards are today’s real-time chat rooms and online forums where questions can be asked and answers given in seconds. One-way communications has its place, but not online. Social media Web sites are designed for conversations to make us experts and even learn some useful soft skills.
Pros and Cons
Using social media also disadvantages. On an individual level, ask yourself if social media helps meet your own professional and personal goals. Are you seeking an answer to a technical question or seeking new employment?
Within firms, managing partners like social media when it helps build relationships—connecting with colleagues and professionals to discuss topical business trends or exchange information.
Partners are more supportive of social media if there are either direct or indirect benefits from time invested in these activities. Texting is a form of social media and the primary communications platform for younger generations. A partner or manager who sees a person texting or viewing a site may realize that the employee is either engaged in a productive networking activity or in learning something new.
A better approach is to hold a firm-wide conversation about the advantages of using social media, assessing which ones make the most sense given the firm’s overall mission and vision. In addition, many firms are now beginning to implement social media policies that recommend sites employees should visit and the amount of time during work an employee should spend using them.
Social media continually changes; what’s hot today may be old news within a matter of days. Whether you chose to visit some of the niche networking sites that are more professional, or spend time on some of the more trendy sites, an ongoing evaluation is absolutely necessary.
Social media is a not going away any time soon. In fact, usage is growing exponentially—just consider that business-to-business sites grew by 184 percent from last year.The bottom line is that using social media wisely is the key to success. Firms must evaluate sites and select the ones that provide the greatest value. It is also important to realize that those businesses that avoiding social media altogether, may be left out of an increasingly mainstream US and international business paradigm.
