Healthy Employees Equal Healthier Bottom Line
Aon experts show how fostering employee health helps deliver fiscal ROI

Since the birth of modern medicine, scientific advances have dramatically improved public health and increased life expectancy. Today, longevity continues to increase, but people are actually less healthy, with obesity, cardiovascular disease, mental health and musculoskeletal problems all increasing as a direct effect of modern lifestyle. The cost of keeping an increasingly unhealthy population alive for a longer period threatens to challenge fundamental assumptions about funding healthcare.

For employers, too, the healthcare focus is shifting. Whereas traditionally the emphasis was on providing effective access to treatment so that employees got back to health—and work—more rapidly, now more and more organizations are focusing on prevention, helping their workforce to stay healthy rather than only helping to treat them when they fall ill.

The financial benefits are clear. A healthier workforce is a more productive workforce, able to focus more of its energy on the job at hand and less likely to take time off because of illness. At the same time, proactively encouraging good health reduces the costs of providing treatment. Yet the benefits go deeper, as demonstrating an active interest in employees' health increases their engagement and loyalty to the organization. At all levels, employee health and organizational success are closely linked—and are being carefully considered in the boardroom.

FOUR STEPS TO ORGANIZATIONAL HEALTH RISK AND HEALTH MANAGEMENT

What factors are important when considering a health-management program? From our work with clients, we have identified four key factors:

1. Sponsorship

  • Secure organizational support and commitment to educate key stakeholders on the bottom-line impact of employee health.
  • Establish clear roles and responsibilities.
  • Identify and allocate resources for program management.

2. Analysis and Design

  • Use claims data, demographics, casual absence data, employee assistance program and health risk data to assess workforce health.
  • Identify relevant groupings within the workforce based on health data.
  • Apply predictive modeling results overall and for individual groups.
  • Develop focused interventions.
  • Balance resource allocation between modifiable risks and chronic conditions.

3. Engagement

  • Design population-appropriate incentives to maximize engagment.
  • Measure outcomes to ensure program success.

4. Communication

  • Create branding for personalized communication campaigns to educate, engage and empower employees.

THE IMPORTANCE OF HR & BENEFIT DATA

Given the extreme sensitivity of the personal data involved in the analysis process, Aon has developed a unique methodology to combine disparate information sources while protecting employee confidentiality. Our approach combines hard data from health risk assessments conducted using statistical software with soft data from health questionnaires completed voluntarily by individual employees. Correlating all the information allows an organization to pinpoint current health problems and identify areas where it can take short-, mid- and long-term action to obtain the best return on investment.

Employers should also determine if their employee health benefit program will target individuals, specific groups or all employees—a decision that is often tied to available budget. Aon recommends you also use a variety of programs, including those designed to change employee lifestyle habits or maintain healthy ones. Activities such as screenings, conferences, workshops and employee communications must be repeated on a regular basis. The frequency, diversity and accessibility of such activities are all factors that will help to ensure the program's success.

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