How to start building a business-focused ERG?

Identifies the key objectives for any business-focused ERG and practical advice how to get started by developing a business case for founding an ERG.

How to start building a business-focused ERG?

Let’s start with what it takes to found a successful ERG on a high level and then drill down to real-life examples and practical advice.

What you cannot go without is a strategy that creates a business need before you drum up people which creates a buzz! You will have to make sure that you never run short of

  • Executive support for your ERG,
  • Recruiting members,
  • Showcasing your achievements and
  • Communicating effectively to meet the above three goals.

My approach was to build a business case to prove the company’s need for having the ERG.  To convince executives, explain to them what is in it for them, i.e. what the benefit is to the company and to them individually by supporting your ERG. Address very basic questions as a first step: Why does the company need this ERG? How will the company benefit from it measurably? What resources do you need to found and sustain the ERG?

Let me know what you think – more to come!

Why do companies need business-focused ERGs?

Changing the organization from within by engaging employees in business-focused employee resource groups (ERGs) – the practical “how-to” guide!

Why do companies need business-focused ERGs?

The answer can be as simple as this: Because it makes good business sense!

But what makes this answer so simple? – Well, because it’s made up of a few simple aspects:

First of all, every company, unless it is classified as a non-profit, is in business for one reason: to make money by providing some sort of product or service to its customers.

Simply put, if a company fails to rack up profits it will go out of business. That’s why focusing on the business benefits, the “bottom line”, the return on investment (ROI) makes not only sense but is key for successful employee resource groups (ERGs). It’s the bottom-line arguments, the financial benefits, that open the doors to executive support, buy-in, and funding.

Second, to take advantage of the diversity and capabilities of the human capital readily available.

Let’s look at companies, its workforce and its markets today: We live and work globally – everyone is connected. Our markets today are just as diverse and multi-faceted as our workforce should be. It takes all we know and who we are as diverse human beings (coming from different cultures and ethnicities, religious beliefs, physical characteristics, sexual orientation, and so on) to understand what our customers need and how we can give it to them.

Therefore, it makes sense not only to diversify the product portfolio to mitigate risk and seize opportunity but also to diversify the workforce for the same reasons. Not tapping into all of your workforce’s diversity and capabilities puts you at a disadvantage to companies who know how to maximize their human capital effectively.

Are you still with me? So, the next question is how to meet this goal.

Stay tuned for practical advice, keeping it simple, and examples taking you through the steps on how to build a business-focused ERG.

– Any questions so far?