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Business executives grappling with social media initiatives

By Published on .

Chicago—Businesses are torn about the value of social media, according to a survey released Wednesday by marketing agency Russell Herder and law firm Ethos Business Law.

The online study of 438 executives was conducted in July. Fifty-one percent of those surveyed said they fear social media could be detrimental to employee productivity. Additionally, 49% said that using social media could damage a company's reputation.

At the same time, 81% of respondents said social media can enhance relationships with customers; 69% said social networking can aid recruitment; and 64% said it can function as a customer service tool.

About 70% said their companies said they plan to increase their use of social media. However, only one in three businesses surveyed has a policy in place to govern social media use, and only 10% said they have conducted relevant employee training.

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