As civil rights riots broke out in New York in 1964, Xerox CEO Joseph Wilson began working with Black employees to provide a space where they could discuss their experiences and lobby the business for change. Six years later, the National Black Employees Caucus was born: the first employee resource group (ERG).
Sixty years after the business services company sowed the seeds for the concept, Xerox now has 10 global ERGs. They serve a range of groups, including women, young professionals, disabled people, veterans and the LGBTQ+ community.
Darren Cassidy, president of named accounts for western Europe, has been involved with several ERGs during his three decades at Xerox. Here, he discusses how to grow an ERG from the ground up, the importance of executive buy-in and why groups like this matter.
Why employee resource groups are important
When it comes to convincing reluctant boards and executive teams, the most common argument for diversity and inclusion is that it’s good for business. Companies that embrace DEI are 70% more likely to capture new markets, while diverse and inclusive teams make better decisions 87% of the time, according to research by management consultancy Korn Ferry.
What is an ERG?
Cassidy understands that not every organisation’s DEI strategy is as well-established as Xerox’s. Explaining how DEI can have a positive impact on a company’s workforce can be an effective way for executives to convince the board.
“An inclusive culture is good for bottom-line results because you get better productivity out of people and you get better retention rates,” Cassidy says. Retention rates for employees in Xerox’s ERGs are almost double those of non-members.
But business outcomes are not the be all and end all. “We shouldn’t lose sight of the fact that there’s only one way to do things – the right way,” Cassidy says. To leaders looking to enshrine the values of diversity and inclusion in their culture, his recommendation is to have courage in your convictions.
“It’s the right thing to do to attract talent,” he says. “Businesses should represent the outside world. And it’s right to create the diversity of thought in our decision-making that can only come from hiring people with different perspectives, ideas and experiences.”
Cassidy and his fellow ERG members have several ideas for potential new groups, including ones for neurodiverse colleagues or employees dealing with cancer. “No one at this company is under any illusions about the power or need for ERGs,” says Cassidy. “But we still need to do more. Even after 60 years of focus, we’ve still got work to do.”
Five steps to creating ERGs from scratch
Find passionate people
Employee resource groups are run by their members, so finding enthusiastic, driven people to spearhead the initiatives is important.
“The first step is to find a team of people who care so deeply and passionately about the given issue that they’re prepared to commit to running this on top of their day jobs,” says Cassidy.
Develop a plan
Once you have a team willing to go above and beyond, you need to create a plan. “I always say creating an ERG is like creating a new business unit,” says Cassidy. “There are 100 things you could do. The challenge is picking three to five things that can have the greatest impact.”
Be organised and adaptable
Be willing to revisit your ERG plan and change things if they’re not working. “Write down your plan, execute it and then, if that doesn’t work after 30 days, be agile and change it,” Cassidy says. “Set it up like a business unit. ERGs develop, grow and emerge stronger from going through these steps.”
Get leadership buy-in
No ERG can achieve its full potential without backing from leadership. Xerox’s ERG model always includes a sponsor from the executive committee to champion the group’s work with the leadership team and, when needed, even secure budget. “It’s an important statement,” says Cassidy, who is a sponsor of Xerox’s Women’s Alliance.
“The role is to be immersed, involved and committed,” he adds. “It’s very easy to stand on the sidelines saying ‘I support you’, it’s very different to roll up your sleeves and really understand some of the challenges and opportunities.”
Consider allies
Finally, be open-minded about who could be a champion and member of your ERG. Allyship can be crucial for ERG success and it’s a great way to create a truly inclusive organisation. “You don’t have to be a direct member of that community to be in an ERG and want to make a difference,” says Cassidy. He cites Xerox’s Enable All ERG, which is for people with disabilities but also those who are carers or family members of people with disabilities.
He also points to his own work with The Women’s Alliance. “The proudest moment in my 34 years at Xerox was when we launched our formal menopause policy two years ago,” he says. “Working with these groups has affected me more than winning a big deal or having a successful quarter. Nothing has the same impact as supporting other people in this way.”
