Q1: What Is a Social Media Information System (SMIS)?
Social media (SM) is the use of information technology to support the sharing of content among network of users. Social media enables people to form communities, tribes, or hives, all of which are synonyms that refer to a group of people related by a common interest. A social media information system (SMIS) is an information system that supports the sharing of content among networks of users. There are three SMIS roles: user communities, social media sponsors, and social media application providers. Forming communities is a natural human trait. The key difference of SM communities is that they are formed based on mutual interests and transcend familial, geographic, and organizational boundaries. Because they are information systems, SMIS have the same five components as all IS: hardware, software, data, procedures, and people.
Q2: How Do SMIS Advance Organizational Strategy?
Social media is by its very nature dynamic; its flow cannot be designed or diagrammed, and, if it were, no sooner would the diagram be finished than the SM process would be changed. Therefore, it's important to back up a step and consider how value chains determine dynamic processes and thus set SMIS requirements. Gossieaux and Moran, creators of the hyper-social organization theory, identify two kinds of communities that are important to commerce: defenders of belief and seekers of truth. Defenders of belief share a common belief and form their hive around that belief. They seek conformity and want to convince others of the wisdom of their belief. Seekers of truth share a common desire to learn something, solve a problem, or make something happen. Social media contributes to the sales and marketing activity, customer service, inbound and outbound logistics, manufacturing and operations, and human resources.
Q3: How Do SMIS Increase Social Capital?
Capital is the investment of resources for future profit. Human capital is the investment in human knowledge and skills for future profit. Social capital is the investment in social relations with the expectation of returns in the marketplace. Social capital adds value in four ways: information, influence, social credentials, and personal reinforcement. The value of social capital is determined by the number of relationships in a social network, by the strength of those relationships, and by the resources controlled by those related. Social networking increases the number of relationships as well as the strength of those relationships.
Q4: What Roles Do SMIS Play in the Hyper-Social Organization?
A hyper-social organization is an organization that uses social media to transform its interactions with customers, employees, and partners into mutually satisfying relationships with them and their communities. In particular, a hyper-social organization is one that has made the four transitions called pillars. In the four pillars, customers become humans, market segments become tribes, channels become networks, and structure and control become messy.
Q5: How Do (Some) Companies Earn Revenue from Social Media?
Companies vary widely in their SM use. Some companies use it only internally and make no attempt to earn revenue from it. Others offer it to their customers as a service-again without an attempt to gain direct SM revenue. Some companies however, do earn revenue from SM activities. They use a revenue model that came into existence around the turn of this century and was then referred to as Web 2.0. Web 2.0 are Web-designed services and content that are paid for by advertising. Unlike traditional media such as newspapers, users can respond directly to Web ads by clicking on them. This is highly valued by advertisers because they can know the percentage of viewers who clicked on an ad and what action they took next.
Q6: How Can Organizations Manage the Risks of Social Media?
The first step any hyper-social organization should take is to develop and publicize a social media policy, which is a statement that delineates employees' rights and responsibilities. The more technical to the organization, the more open and lenient the social policies. User-generated content (UGC), which simply means content on your SM site that is contributed by nonemployee users, is the essence of SM relationships. UGC comments, as with any relationship, can be inappropriate or excessively negative in tone or otherwise problematic. The major sources of UGC problems are: junk and crackpot contributions, inappropriate content, unfavorable reviews, and mutinous movements. Once such content is found, organizations must have a plan for creating the organization's response. Three possibilities are: leave it, respond to it, or delete it.
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