Epoch | ERG Hot Takes: Rethinking ERGs for Impact and Longevity

ERG Hot Takes: Rethinking ERGs for Impact and Longevity

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In our latest Experts on Employee Experience webinar, Epoch’s Keith Choy sat down with Maceo Owens, Chief ERG Operator at The ERG Movement, to dive deep into the evolving role of Employee Resource Groups (ERGs). They explored the challenges, misconceptions, and best practices for structuring ERGs to drive meaningful impact within organizations.

Here are some of the biggest takeaways from their conversation:

Where We Stand: What Are ERGs Today?

ERGs have traditionally been seen as a mix of:

• Employee engagement initiatives
• Diversity, equity, and inclusion (DEI) efforts
• Scalable engagement programs
• Niche communities supporting underrepresented employees

While ERGs have played a crucial role in fostering inclusion and belonging, they often face challenges due to limited resources and budgets. Additionally, when ERGs become too DEI-focused, their broader purpose of employee engagement can get lost in the mix. This has led many organizations to rethink how ERGs are positioned and supported.

How Can Companies Better Support ERGs?

One of the key insights from Maceo was the need for a structural shift in how ERGs operate. Here’s how organizations can rethink their approach:

• Legal Considerations: It’s crucial to differentiate ERGs from DEI initiatives to avoid legal challenges. ERGs should not function as advocacy or negotiation groups, as this can create legal risks related to labor laws.
• Internal Consulting Model: Instead of placing the burden of ERG success on ERG leaders alone, organizations should involve DEI leaders and program managers as internal consultants to guide strategy.
• Reframing ERGs as Employee Engagement: Given the current climate, framing ERGs under employee engagement makes it easier to secure executive buy-in and budget allocation.

The Three P’s: Running ERGs Like a Business

For ERG Programs to be effective, they need structure. Maceo introduced the Three P’s of ERGs Framework to help organizations approach ERG Programs with a business mindset:

1. Purpose – Define the ERG Program’s mission and establish its ROI.
2. Process – Build the operational framework to execute initiatives.
3. Programming – Plan engaging events and communication strategies.

Many companies skip the first two steps and jump straight into programming, leading to disorganized ERGs with little measurable impact. By tackling the Three P’s in order, ERG Programs can create sustainable success.

How to Communicate the ROI of ERGs

One of the biggest challenges ERG leaders face is articulating their value. The key? Use the same success metrics that employee engagement teams use. This includes:

• Scaling engagement initiatives to niche groups
• Measuring ERG participation ratios
• Tracking engagement scores

By speaking the language of executives and HR leaders, ERGs can demonstrate their tangible impact on company culture and retention.

The Role of ERG Leaders vs. Program Managers

Many ERG leaders take on more responsibilities than they should. The distinction between an ERG leader and a program manager is critical:

• ERG Leaders: Focus on community-building.
• Program Managers: Handle ROI measurement, operational processes, and strategic execution.

When these roles aren’t clearly defined, burnout and inefficiency become common. In some cases, organizations need to overhaul ERG structures entirely to ensure sustainability.

Community: The Underrated Element of ERGs

Maceo emphasized the importance of community within ERGs. At the end of the day, ERGs are about connection, belonging, and making workplaces a great experience for everyone. However, communities face challenges such as:

1. Burnout due to lack of processes
2. Misalignment on the purpose of ERGs.
3. ERGs unintentionally becoming too focused on advocacy rather than engagement.

Despite these challenges, fostering a strong ERG community can reinforce why employees love their workplace.

Common Pitfalls and How to Avoid Them

Many ERGs struggle due to:

• Low engagement - If participation is low, the ERG isn’t resonating.
• High burnout - Overloaded ERG leaders without proper support.
• Lack of data - No measurable impact means difficulty securing future support.

A simple yet powerful data point to track? Member engagement scores - the percentage of ERG members actively participating in events and initiatives.

Starting and Growing ERGs the Right Way

For companies looking to launch an ERG program, Maceo’s advice is clear:

• Use executive-friendly language when pitching ERGs.
• Define a realistic budget and number of ERGs before opening it up to employees.
• Get specific in your ERG Program’s Purpose - avoid vague goals like “supporting women in the workplace” and instead focus on concrete initiatives that drill down to a specific topic.
• Build strong communication channels and ensure consistency in engagement efforts.

Q&A: Addressing Key ERG Challenges

Is there a world where ERG leaders can give feedback or suggest ideas on company policies and practices? ERG leaders can provide valuable insights, but they must be mindful of legal implications. Instead of advocating for policy changes as a collective group, ERG members can share feedback individually through the proper channels.

What are some tell-tale signs that an ERG is failing?

• Low engagement and participation.
• High burnout among ERG leaders.
• Lack of measurable data on impact.

What is the first step you’d recommend to a company looking to start an ERG program for the first time for a <500-person startup?

• Start by aligning ERGs with company priorities and securing executive sponsorship.
• Determine budget and the number of ERGs you can support.
• Use language and terms that resonate with leadership.

Can you share ideas on how to grow ERGs and promote engagement within them?

• Assess current engagement levels before setting growth goals.
• Build strong communication channels and promote consistency.
• Use data to track success and iterate strategies.
• Get specific with ERG missions - broad goals don’t drive engagement.

Final Thoughts: The Future of ERGs

Maceo is excited about the launch of her upcoming ERG Recipe Book, which will provide actionable insights on programming, creative event ideas, and improving ERG effectiveness.

Ultimately, ERGs thrive when they are well-structured, clearly aligned with business goals, and positioned as scalable engagement programs rather than solely DEI initiatives. By adopting a strategic, data-driven approach, companies can create ERGs that drive real impact for both employees and the organization.