In this week’s post we are going to analyze the effects of Employee Resource Groups (ERGs) on CSR and ESG Engagement.
If you currently have ERGs, are planning on launching them soon, or are unsure of their impact, this post will walk you through:
- Two key trends in ERG management you need to know.
- Why ERGs should be used as a tool to grow CSR engagement.
- How to maximize the effectiveness and participation of ERGs.
Let's jump right into it!
1. ERG Trends
For WeSpire customers and beyond, ERGs have become central to driving employee engagement, and their adoption is a clear indication that this trend is only going to continue.
Our own data has shown a 10x increase in ERG membership YoY from May 2021 to May 2022.
Another key trend:
High performance organizations are 2.5x more likely to describe their employee resource groups as experiential career advancement and leadership development vehicles.
2. Why ERGs are critical for your CSR and ESG goals.
ERGs have a built-in, highly engaged workforce of future and current leaders.
When employees are highly engaged, customer retention rates are 18% higher and earnings per share are 147% higher than their competition.
Because of this, ERGs have moved beyond ‘nice-to-have’ status and are now filling a legitimate business need to grow performance & retention within an organization.
For ESG and CSR professionals, ERGs have become critical to launching initiatives, raising funds and engaging volunteers.
These members are already highly engaged leaders in their communities and can help catalyze growth when they feel connected to the subject. They are also a great resource for employee surveys to better understand where passions lie within the organization!
3. How to maximize ERG effectiveness & participation
Successful CSR & ESG organizations use technology to connect ERGs globally. In fact, WeSpire customer Eastman Chemical has grown their participation by 55%.
How do they do it?
They use ERG management tools, like WeSpire, to empower and encourage internal community leaders through clearly defined metrics and campaigns.
By using technology to launch initiatives organizations are able to connect global communities on a single platform and meet minority groups where their passion lives to drive social impact.
Are your ERGs on a positive trend?
We like to hear from you about how your ERGs are helping grow ESG and CSR programs as well as increase retention and performance. If you have any trends you would like to share or questions about some of the data we used, email info@wespire.com!