Total Health Management: A Wise Investment for the Health of Your Workforce and Bottom Line
The article tries to prove that companies that care for the helath of their employees through total health management (THM) have a better cost-effectiveness, lower spending on critical healthcare & better employee productivity. THM would include a comprehensive spectrum of programs including health management, safety, occupational health, disability, etc. Watson Wyatt conducted a study in 2008 and found that employers who engage in THM have a 2.4 % health cost-trend benefit compared to 1.1 % who did not have any THM. The revenue generated per employee, the market value of the company and the shareholder-return was higher. Thus it can be said that employee heath investment can potentially improve the status of the organization. THM not only includes healthcare benefits, return-to-work schemes, disability management, life insurance, etc, but also integrated with other related programs such as worker compensation and safety reporting and monitoring. In general, anything related to health and well-being of the employee would be brought under one umbrella and integrated comprehensively. Currently, several organizations have gaps in these programs meant of the benefits of the employees. To understand the what the employees may be experiencing with the current health programs, the employers should look into whether the health status of the organization is affecting the business, whether the health programs are utilized by the employee population and whether the health policy adopted by the organization take into account the demographics, characteristics and the preferences of the employees. THM in an organization would be a business within a business, with the employees playing the role of customers. It includes various steps defining & prioritizing health needs, developing strategies, actively involving the employees, integrating the THM programs with the business of the company, evaluating the results, and continuous improvement.
The Health Enhancement Research Organization (HERO) tool helped the employers to understand the impact of their THM programs. The Attinia Group Employee’s health management program is given as an example of best practices in THM. In the year 2003, there was increasingly high spending on healthcare by the Attinia management. The company decided to invest in long-term healthcare so as to prevent disease and improve the health status rather than spending more each year on critical illnesses. The entire program was management by StayWell Health Management and included several programs concerning lifestyle management, onsite screening, health assessment, reducing health risks, etc. The employees also signed commitments with the organization to involve actively in promoting their helath and reducing risks. Several programs meant to improve health of the employees were initiated including weight management, quitting tobacco, rewarding good health outcomes, prenatal care, cancer screening, blood pressure checks, etc. Results demonstrated all these programs significantly reduced the health risks and improve the health status of the employees thus improving productivity, reducing money spend on managing critical illnesses, etc. It was a win-win situation for the employers and the employees.
A company cannot merely have health insurance, disability programs, etc, as health management programs. Often having a few programs that take into account managing a few health risks would not help to achieve the organizations goal of improving the health of the employees and in this way having better productivity, better cost-effectiveness and better market value of the company. It is essential that all the programs directed towards health, safety and well-being of the employees be integrated and managed under one roof. The THM of any company should consider the various aspects of health including risk management, disease prevention, health promotion, active screening, lifestyle changes, disease management, employee safety, critical illness management and disability reduction. The Attinia Model can be taken as a unique model of integrating all the health programs under one umbrella and ensuring employee benefits which would ultimately benefit the entire organization.
References
Total Health Management: A Wise Investment for the Health of Your Workforce and Bottom
Line (2010), Aspen Publishing.