ERGs ... "Real Work" or Social Club?

I recently heard something that completely baffles me. As the story goes, an employee was telling his supervisor about his involvement in one of our Employee Resource Groups (ERGs). Now we all know the purpose of ERGs: To promote diverse thinking and inclusive work climates, to expand market reach, to develop individuals, to educate those who are curious, and to give a voice to those who are under-represented. All noble and worthy pursuits, right? But as this employee was describing the work he did with the ERG, his supervisor suddenly felt compelled to “coach” him: 

“You might not want to tell too many people about that.” 

“About what?” 

“About your work with the ERG. I mean, look around you. The business is in challenging times. Job security is important. You don’t want to be perceived as someone who doesn’t have enough ‘real’ work to do. It doesn’t look good.” 

Now, this leader may have thought he was watching out for his employee, but was his guidance accurate in this case? Is the work of ERGs not connected to the business? Is “affinity” the sole outcome of ERGs? Do those who belong to an ERG do so because they don’t have more meaningful things to do with their time? 

To answer this, we have to get to the heart of the matter. I can only offer you my own experiences for perspective. I’m not an expert on ERGs, and I haven’t done any research into their effectiveness in the work place. I’ve never worked in our Corporate D&I office. I can’t even name all the active ERGs in my company without looking at the web site. In fact, I was a little late in getting aboard the train. ERGs were well established here before I took notice of them. 

But about two years ago I reached out to our Chinese Resource Group and asked if I could get involved. It just so happened that they had a vacancy on their administrative board, and I jumped into the role. It’s been one of the most rewarding decisions I have made in my career, and I have seen first-hand how ERGs impact the business. 

Here is what I wish all leaders knew about their employees’ involvement in ERGs:

Real work happens: I mean critical, strategic work with long-term ramifications for the company. Some companies don’t even call them ERGs anymore; they refer to them as “Business Resource Groups”. For example, members of our resource groups often consult to the business on how to handle complex cultural issues in their country of origin.  This consultation can positively impact customer interactions, product design decisions, import/export issues, local marketing initiatives, supply chain challenges, and a host of other business issues. ERG members also help host customers and dignitaries from foreign countries and pave the way for consensus about the solutions we offer … and build confidence in our company. They have cultural insights and practical business knowledge that most of us can’t begin to understand. If you have a member of your team who is serving on an ERG, chances are very good he/she is leveraging expertise from other ERG members to gain insights for success in their job role. It’s not a social club, and it’s not a feel-good thing. ERGs help our company be a global citizen with a seat at the table in all markets we serve. Anyone who is contributing to that is contributing to our bottom line.

Development happens: ERGs are a great place to hone and practice leadership skills. Think about it … ERGs are entirely made up of volunteers from around the company. If ERG members don’t step up, there simply would be no leadership of the various projects and initiatives in the ERG. While there are only a few opportunities for official leadership positions in the ERG … and those are determined by vote, there are numerous opportunities to lead committees, direct project teams, deploy initiatives, manage communications, and plan events related to the ERG. I often hear of employees who feel they have no personal development opportunities during austere times. ERG participation is the perfect antidote for this. Leadership development opportunities abound in an ERG for those who are willing to step up and take ownership. And remember, learning theory says that 70% of our development occurs through on-the-job experiences … like those you get through active ERG participation.

Inclusion happens: We all know diversity is pointless if we don’t have inclusion. Giving voice to the diverse makeup of our work force is a primary goal for ERGs. That’s why you will see the various ERGs working so hard to both educate the organization and also to drive inclusion of diverse viewpoints. Make no mistake about it, ERGs are here to impact the business. They don’t promote awareness for awareness’ sake … they promote awareness because the business needs awareness. We need all viewpoints in order to succeed, and ERGs are determined to make that happen. 

Business consulting happens: In our company we regard the various ERGs as a critical sounding board for key strategic decisions that impact our company’s future. You may not be aware of this, but the ERGs are one of the most sought-after audiences for opinion surveys and feedback sessions to gather employee input. Why is this? It’s very simple. By their very nature ERGs are a diverse slice of the organization. They represent broad viewpoints and a collective voice of employees that can’t be found in any other structure. ERGs also represent the diverse work force we are trying to hire more of, so their voice in company decisions carries a lot of weight. The Individual ERGs are diverse in who they represent, but they are not homogenous in their makeup. You will find creative and energized people from every professional discipline, gender, race, culture, and geography come together and find common ground in the work of the ERGs. So, for example, if the company is considering a new compensation policy or business improvement agenda, the ERGs are often sought for input. It’s one of the best forms of strategic consulting a company can pursue, and the feedback comes at no cost. Those who serve in ERGs are business consultants who have significant ability to shape the direction of the company, because their opinions are highly sought after.

So what can you do as a leader to support ERGs? First and foremost, you should join one and start contributing to the common good. Your viewpoints and experiences and creativity are needed as much as anyone else’s. And I promise you will be pleasantly surprised like I was by the impact you will have … if you go “all in” and invest yourself in the effort. Secondly, challenge your team members to get involved. Encourage them to do it for their own personal development, and to support inclusion in the work place, and to help the business prosper, and to promote organizational learning. What other work is your team doing that accomplishes all these things? Some leaders go so far as to hold special recognition ceremonies for those who support an ERG by volunteering or in a leadership role. It’s really that big of a deal, and a great opportunity to recognize those who are contributing above and beyond their official job scope to help the company. 

Bottom line: ERGs deserve not only our full support, but also our active promotion and committed participation. To the extent you are building our ERG base and promoting their work, you are contributing to the future success of the company.