If you’ve had the chance to observe the glacial cliffs in Alaska, you can attest to their elegance and grandeur. Massive sheets of ice, built-up over centuries, slowly creep forward, until a thunderous roar snaps the silence and a massive glacial shift sends a mass of ice and snow tumbling into the ocean.
If I can take the liberty, I would like to apply this thinking to this week’s market shifting news by the Securities Exchange Commission (SEC).
On Tuesday, the SEC outlined a new rule, that for the first time it will allow companies to use social media (Facebook, Twitter, etc) to disclose key financial information.
Corporations must clearly inform investors about their change in disclosure policy and strategy. With this move, a HUGE barrier to corporate social media adoption experienced a major glacial shift; catapulting the investor relations status quo deep into the ocean.
While some may be concerned about this change in policy. In the world of business communication, this change is both healthy and necessary, because:
- Businesses can communicate financials with vast audiences, for minimal cost
- Companies can begin moving towards a conversation style that’s more natural
- Business models will evolve, and jobs will be created
- PR teams have the opportunity to further improve their corporation’s voice
This shift by the SEC was slow, and adoption by corporations might be even slower. But, as a colleague of mine (and fabulous blogger), Ron Ploof , wrote in his book, Read This First:
Transition isn’t easy. In order to adopt some of these methods [social], corporate executives must rethink traditional marketing and public relations roles….such radical changes require tough executive decisions.
I believe that the use of integrated digital communication principles is more important than ever, and this move by the SEC validates this point.
Remember, Change comes slow…but when it comes, we need to be ready to act…or we might just find our way of doing business at the bottom of the ocean of old ideas.