As the influence of social media increases, there are frequent cases of corporate reputations collapsing in an instant. We live in an era where a momentary careless response can determine the survival of a company. Online risk management is now a necessity, not an option, for companies.
The ability to protect a company’s reputation through traditional PR alone has reached its limit. In the hyper-connected era, the image that a company has built over the years can be destroyed in just a few hours or minutes. We live in a world where managing malicious information spread online has become as important as promoting positive images of companies and brands. This is why we need to pay attention to real-time monitoring and rapid response using cutting-edge technologies such as artificial intelligence (AI).
Sohyun Shin, CEO of Eyeshield
In the digital environment, negative issues spread in real time, and the information once spread remains permanently. These risks do not necessarily come from outside. Internal risks such as internal members’ social networking service (SNS) activities, internal information leaks, and inappropriate comments by retired executives and employees are also fatal.
Consumers’ awareness of corporate ethics and social responsibility continues to rise. Actively raise your voice through social media, and inappropriate responses lead to a boycott. Failure to manage reputation leads to an immediate decline in a company’s sales.
As the online risk management environment has become more difficult, companies’ responses must be more systematic. Various elements for internal risk management, such as △SNS guidelines, △establishing and training an in-house security management system, △retired employee information management, and real-time monitoring, must be prepared in advance.
Above all, there is a need to build an automated response system for quick response. After malicious information is spread online, the golden time to respond is only about one hour. △Identification and detection of illegal and false content △Optimized reporting process for each platform △API-based bulk deletion request △Automatic collection of legal response data △Analysis of secondary damage impact by channel must be carried out quickly.
It is also a good way to visualize and understand the real-time risk index through an integrated monitoring dashboard and monitor the response status in real time. It is also necessary to introduce automation in the reporting system, such as an early warning system for issues and automatic generation of reports by period.
Future corporate reputation management requires the advancement of prediction systems to respond to attacks using AI, such as deepfakes. Detect potential online risks in advance, predict the path of issue spread, and devise a response strategy. Internal and external risks must be managed integratedly and real-time responses must be automated. This means using AI to prevent threats that are increasing due to AI.
Corporate risks in the digital age are becoming more complex. Listening to and managing internal voices is as important as listening to external voices. In particular, at a time when the digitalization of internal communication is accelerating due to the increase in members of the MZ generation, establishing a balanced risk management strategy is more important than ever.
In conclusion, reputation management for modern companies is an area that requires response know-how and technical skills in addition to technical skills. Real-time monitoring and automated response systems are now a necessity, not an option. Companies should not spare any investment in strengthening these technical capabilities, and at the same time, should strive to secure professional manpower capable of operating them.
In addition, we must remember that the most effective defense system is ultimately understanding and trust in ‘people.’ Systems and systems are important, but in the end, it is people who operate them. Going forward, companies will need to build a more robust risk management system based on sincere communication with internal and external members.
Sohyun Shin, CEO of Eyeshield [email protected]
**How can companies effectively leverage automated response systems to mitigate the impact of online crises during the crucial “golden hour?”**
## The Urgent Need for Online Risk Management in the Digital Age
This article underscores the critical need for online risk management in today’s hyper-connected world. As social media’s influence continues to grow, corporate reputations are more vulnerable than ever, susceptible to sudden collapse due to even seemingly minor missteps.
The article argues that traditional PR methods are no longer sufficient to safeguard a company’s image. The speed at which negative information spreads online, coupled with its lasting impact, demands a proactive and systematic approach to risk management.
Here are some key takeaways:
**The Perils of a Digital World:**
* **Speed:** Negative news travels at lightning speed online, with the potential to inflict irreparable damage within hours.
* **Permanence:** Once information is online, it’s nearly impossible to fully erase it, meaning past mistakes can continue to haunt a company.
* **Internal Risks:** The threat doesn’t solely come from external sources. Internal factors like employee social media activity, data leaks, or even comments from retirees can pose significant risks.
**Shifting Consumer Expectations:**
The article highlights the rising consumer awareness of corporate ethics and social responsibility. Customers are quick to voice their disapproval online, and companies failing to address concerns promptly face the possibility of boycotts and diminished sales.
**A Call for Proactive Risk Management:**
To navigate this challenging landscape, companies need to adopt a multi-faceted approach to online risk management:
* **Internal Risk Mitigation:** Implementing clear social media guidelines, establishing robust security systems, and managing information about retired employees are crucial first steps.
* **Real-Time Monitoring:** Employing tools that allow for real-time tracking of online conversations and sentiment is essential for early detection of potential issues.
* **Automated Response Systems:** Building systems that can quickly identify and address malicious content, streamline reporting processes across platforms, and automatically collect legal response data is vital for maximizing the critical “golden hour” response window.
* **Data-Driven Insights:** Utilizing dashboards to visualize risk indicators and track response effectiveness provides valuable insights for continuous improvement.
**In Conclusion:**
Online risk management is no longer a luxury but a necessity. Companies that fail to adapt and implement robust strategies risk irreparable damage to their reputation and bottom line. The article emphasizes the urgency of embracing proactive measures and leveraging technology to navigate the complex and ever-evolving world of online communication.
