On the heels of Tesla's CEO's widely-broadcast, unorthodox tweets and other public communications about the company's strategic plans, this Corporate Secretary article: "Managing your CEO's social media habits" offers sound suggestions for reducing the likelihood that a similar scenario could play out at your company.
Tips include:
- If not already in place, consider implementing a social media policy that applies to all employees and executives.
- Remind the CEO and other executives of any employment agreement restrictions against engaging in conduct that may impact the company's reputation adversely.
- Adopt a formal communications/disclosure plan or guidelines that establish a hierarchy or other framework for clearing communications on significant issues like company strategy.
- Ensure company policies are maintained current relative to applicable laws and relevant regulatory guidance.