How A Successfully Implemented Corporate Internet Policy

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How A Successfully Implemented Corporate Internet Policy Could Save Your Organization
Hundreds of Thousands, If Not Millions of Dollars

It is often said the Internet was one of the greatest technological innovations of the twentieth century. Not only does it enable organizations to exploit new channels to market, it is an extraordinary tool, helping find answers to even the most esoteric questions in seconds, or to identify products or services to solve a particular business need.

However, if not managed appropriately, the Internet’s very strengths can be used by employees in ways which can lead to devastating effects for organizations, often having a detrimental impact on the firm’s bottom line.

The 2002 Computer Securities Institute/FBI Computer Crime and Security Survey found that 78% of employers reported staff abusing email and the Internet systems whilst at work. This article explores the key risks arising from inappropriate Internet use in the workplace and how an effectively implemented Corporate Internet Policy can minimize the risk.

LOSS OF PRODUCTIVITY

The most common misuse of the Internet in the workplace is non-work related surfing. Unlike taking an extended lunch break to go shopping where one’s physical absence is observed, surfing the Internet whilst at your desk often goes unnoticed by colleagues.

The temptation for staff to surf for personal ends or as a mindless activity due to boredom or lack of commitment is rife throughout the workplace. Numerous surveys have concluded that a significant proportion of work time is lost to personal use of the Internet. For example, IDC Research estimates that 30% to 40% of employees’ Internet activity is not business related and costs organizations millions of dollars in lost productivity.

These statistics are quite frankly staggering, especially now after many years of the Internet’s introduction in the workplace. Employers would never dream of allowing their staff to take 2 days paid holiday each and every working week. However, they are effectively doing just that by enabling staff unfettered access to the Internet.

This loss of productivity from Internet surfing is also a major contributory factor to most of the other risks and so needs to be tackled head on. An effective Corporate Internet Policy, suitable monitoring tools and enforcement mechanisms can significantly reduce this and the other risks outlined within this article.

LEGAL LIABILITY

Employers are obligated to protect their staff from inappropriate behavior of a racist, sexual or offensive nature. This, by definition must include employees use of the Internet. The downloading of such material from the Internet regardless of whether intentionally or otherwise, exposes the organization to legal risks. Businessweek.com estimates that 70% of Internet porn traffic occurs between the hours of 9am to 5pm. Even if not forwarded to others, staff accessing such inappropriate information or images on their own PC could be accused of causing harassment.

Should employers not have an effective Corporate Internet Policy and disciplinary guidelines designed to prevent such activities and where they unfortunately do occur, deal swiftly and effectively with such matters, other employees may have recourse to the courts. This can sometimes result in significant damages being awarded to claimants. Some 27% of Fortune 500 companies have faced harassment claims from misuse of either the corporate Internet or Email systems.

Additionally, employees need to be aware when downloading of files – whether they be images, documents, software, data, music, video etc. – that they are not subject to intellectual property rights. Infringement of these can also lead to costly settlements should action be taken.

BREACH OF CONFIDENTIALITY

What is often forgotten is that confidentiality breaches most often stem from within. Such information could include the organization’s strategic direction, client and prospect lists, or sales, forecasting or other sensitive financial data. The Internet offers numerous ways to disseminate information, often without trace. Internet-based email systems, instant messaging services, chat rooms, news groups, bulletin boards are just some of the methods staff can use to funnel confidential information.

Should such information be passed into competitors or others hands, it could cause significant damage to your business, potentially resulting in the loss of client revenue. Staff must be explicitly informed whether they are permitted to use such tools and if so on what basis, and again, monitoring and enforcement tools must be implemented to back up such a policy.

DAMAGE TO REPUTATION

Often overlooked, the publishing of inappropriate material on a chat room, news group or bulletin board using a company email address can lead to the organization’s reputation being unnecessarily tarnished, as can unwanted publicity resulting from inappropriate Internet use. 10 Downing Street were famously subjected to adverse publicity in the press when it sacked 3 workers for downloading pornographic images. In a commercial environment such adverse publicity can have financial consequences if existing clients or prospects take their custom elsewhere.

DAMAGE TO IT SYSTEMS AND ELECTRONIC DOCUMENTS

Viruses can be introduced to a corporate network from the Internet. This can lead to documents being damaged and/or IT systems needing to be rebuilt. This risk will always be prevalent, but the introduction and maintenance of virus protection software and guidelines within the Corporate Internet Policy relating to the downloading of materials from the Internet will reduce this risk.

INCREASING IT NETWORK TRAFFIC

Often overlooked, personal use of the Internet can result in a significant portion of the network’s bandwidth being utilized for non-business related activities, having a detrimental impact on business related network traffic.

BENEFITS OF AN EFFECTIVE POLICY AND IMPLEMENTATION STRATEGY

An effective Internet Policy establishes a comprehensive set of rules and guidelines to enable your organization to effectively manage these risks. It allows you to communicate the standards and behaviors expected of employees and provides a blueprint for the effective management and use of the Internet.

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