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Every organization needs to think about and be prepared to manage the risks associated with operating in the Digital Era. It doesn’t matter whether social media is part of the organization’s strategic agenda, or if the organization itself has any deliberate digital presence. It also doesn’t matter how large the organization is, whether it’s for-profit, BtoB or BtoC, or which industry or sector it operates in. To put it simply: If you employ people, you should have a social media policy. Digital Era risks exist regardless of an organization’s focus on technology, and/or the personal feelings of that organization’s leaders about social media and other 2.0 tools. Managing those risks is part of the cost of doing business, and managing them well can be a competitive differentiator, in both the economic marketplace and the war for talent. Generally speaking, however, there is no simple solution or “one size fits all” approach, and a “fix-it-and-forget-it” strategy is one few organizations can afford. Creating a social media policy of some sort is necessary for all organizations, but it's hardly sufficient to manage all the Digital Era risks organizations face. Drafting and implementing a social media policy should be considered part of a larger effort to ensure that an organization’s employment policies reflect Digital Era realities, and that both employees and managers understand not just the “new” rules, but also how “old” rules apply in the new era. Organizations must also reexamine and update their operational policies, as well as their legal agreements and contracts. And if they have active digital communities, both externally and internally, they need to have proper engagement guidelines in place, as well as updated crisis management plans.