What makes a great employee network?

Author: Gareth Buchanan

Employee networks, also known as employee-led diversity networks, employee resource groups (ERGs) and employee affinity groups, play a pivotal and increasingly prominent role in fostering diversity, equity and inclusion (DEI) in the most diverse organisations. Inclusion consultant Gareth Buchanan explores the ingredients for making a really great one. 

Employee networks are voluntary groups that enable employees from similar backgrounds, often with common heritage, identities and experiences, to connect and support each other. Typically, networks form with the purpose of raising awareness of marginalised employees' experiences and perspectives, breaking down barriers to progression and improving employment experiences.

The most effective employee networks help to set and achieve organisational DEI strategy and goals. They typically focus on the attraction and retention of diverse talent, and increasing representation of diverse talent at all levels of the organisation. By helping business leaders to better understand the challenges that particular groups experience, they play a valuable role for their members and the organisations these individuals work for.

However, when there is a gap between employee network strategy and organisational strategy, effectiveness can be limited. Similarly, organisations that have numerous employee networks working in different ways, with different agendas, can struggle to support and enable them fully.

The challenge for business leaders is therefore to work with networks to develop collaborative DEI strategies, and to support them to deliver outcomes that drive meaningful change while enabling them to self-govern.

What's in a name?

In the United Kingdom, the terms "employee network" or "employee-led network" are more commonly used. In the United States, "employee resource group" is more common. The term "employee-led network" emphasises their bringing together of people with a common purpose, fostering change and improving opportunities for their members.

Organisations should choose a title that encourages a mindset that values their reason for existing and their contribution in driving DEI. Ensuring that these networks are recognised as agents of positive change, rather than mere resources to be utilised, is vital in demonstrating the value they add, and in improving understanding of their role.

The benefits of a great employee network

The most effective employee networks:

  • help leaders to understand the challenges that certain groups face in the business;
  • get involved in setting DEI strategy, and are seen as a vital and valuable partner;
  • develop and communicate clear and specific goals that align with the DEI goals of the organisation;
  • have clear structures and ways of working that enable quick decision-making, focused messaging and accountability to their membership;
  • are focused on fixing the practices and cultures that halt and hinder progression of marginalised groups, rather than changing or "fixing" the people that those practices and cultures impact most; and
  • deliver transformative activities, as opposed to events and continual awareness raising. 

Fundamentally, employee networks help leaders to better understand the challenges that some people face in doing business with, or for, their organisation.

From a colleague perspective, effective employee networks focus on strategic alignment to organisational DEI strategy, with a view to working together with employers to achieve common goals.

When fully embedded in organisational culture, they play an important role in helping the organisation to better understand diverse customer needs, alongside those of employees. They can facilitate product, service and communications development and testing, sharing insights and ideas that might not arise in their absence.

Effective employee networks are supported by their business counterparts to deliver activity that fundamentally changes how the organisation interacts with people from marginalised communities, as opposed to helping individuals from those communities to assimilate or "fit in" to cultures that do not inherently recognise their needs or value.

Facilitating the creation of purpose-led employee networks

Promoting and actively welcoming the creation of employee networks is crucial for empowering employees to establish representative bodies.

The provision of clear guidance for network creation not only demonstrates that diverse experiences and challenges are acknowledged and welcomed by organisational leadership, but also ensures that founders have the tools they need to get started.

To encourage the formation of new networks, business leaders and HR teams can establish, publish and promote a defined framework and designated point of contact for employees interested in starting a network. Designating a sponsor or champion who is specifically focused on DEI or employee networks can serve as a valuable catalyst. These individuals should be knowledgeable and empowered to provide expert advice, support and guidance throughout the network's journey.

Organisations can support founders to form representative bodies that can add value quickly, without getting bogged down in administrative decision-making, by providing guidance on:

  • network formation;
  • roles and responsibilities;
  • structure;
  • election processes;
  • terms of office; and
  • ways of working with other networks.

Recognition should, however, be given to the importance of allowing and enabling networks to govern themselves, while recognising that they will typically rely on, and expect, company resources to facilitate their growth and goals. The focus here should be on providing support and clarity of expectation while promoting accountability and collaboration.

Related resources

Six steps to embedding a diversity and inclusion strategy

How Auto Trader utilises its employee networks to be more inclusive and enhance engagement

Creating an inclusive workplace for religion and belief (4): Roles and duties, awareness, ERGs, time off, flexible working and monitoring

Five ways to make your employee networks more effective