Harvard Business Review: How data from a health OS improves benefits delivery

Companies are increasingly relying on real-time data and analytics to drive business decisions. In times of rapid change, businesses need to look at data relating to inventory, sales, supply chain, payroll, product usage, and staffing levels to adapt, innovate, and ensure business continuity. To date, employee health information has largely been absent from the level of scrutiny that has become the defacto standard in many other departments. Typically, claims data is reviewed on an annual basis prior to open enrollment, limiting companies’ abilities to proactively respond to impacts to employee health.

Employee health is mission-critical in today’s business environment. Real-time data analytics on population health has the power to streamline care delivery, improve health outcomes, and save on health care costs. That’s why we partnered with Harvard Business Review (HBR) Analytic Services on a new paper, “Transforming Employee Health, Benefits, and Well-Being with a Health Operating System.” The paper shares an expert perspective on how data from a health operating system can drive business decisions.

Data helps companies serve their employees better

According to HBR, “Employers who want to deliver personalized, timely, and cost-effective health solutions need a direct line of sight into the health of their workforce.” That direct line of sight is made possible with technology that connects employees to the care they need and keeps track of their activity.

Eric Parmenter, vice president of health advisory at League, shared the philosophy underlying our solution, what he calls “The Patient Bill of Rights.” He says, “We want to deliver the right care, at the right time, at the right place, at the right cost, with the right outcome.” That can be difficult when employees don’t quite know what they need and don’t know where to find it.

Personalized health care is made possible with a system that ingests data from various sources and proactively delivers relevant information to employees at the right time. A more relevant experience not only drives better health outcomes, it also improves overall employee engagement. “The number one driver of employee engagement is the belief that the senior leadership of the company cares about the employees,” said Parmenter. “What better way to demonstrate that you care about the employees by helping them with their health in a personalized way, at the time they need it most?”

Data helps manage costs

Health care is full of inefficiencies. In the United States, the difficulty of navigating the health care system creates waste—for both employers and employees. Services can be overutilized when medical care is not coordinated among specialist providers. Conversely, health care can be underutilized when employees avoid seeing the doctor and end up with acute conditions later on. This inherent inefficiency has contributed to rising health care costs.

“Health care costs have been going up anywhere from five to six times the rate of inflation,” said Parmenter. “This suppresses wages.” He explained that every year, companies have to balance a proposed wage increase against the health care cost increase. “Large health care costs increases lower the rate of increase in cash compensation.”

A health care operating system can reduce inefficiencies and encourage preventative care, creating a healthier employee population, and ultimately lowering costs. These savings can be put back into the business through higher wages or additional benefits such as mental and behavioral health.

Data accessibility is key to successful employee health analytics

The U.S.healthcare system is highly fragmented, and many employers offer multiple, disparate programs. Parmenter said, “It’s not really a system; it’s a collection of silos.” To work effectively, a health operating system needs to ingest data from a variety of sources. This flexibility enables the personalized experience for employees while giving employers access to real-time data.

Reviewing claims data once a year is not helpful when companies need to react quickly to help employees cope with unexpected global, national, or local events that can impact physical and mental health. The HBR paper quotes Michael Christie,

“You can’t be targeted or predictive if you’re not using a lot of real-time data and analytics,” says Michael Christie, founder and president of Christie Advisory, a health care consulting firm. “In a rapidly changing world, employers need more emerging information that helps them spot and highlight trends as they’re forming. It’s akin to seeing the wave as it’s starting to form so they can get out in front of it, as opposed to managing the fallout.”

One League customer, a transportation company, identified that over a third of its employee population needed help managing stress. A self-discovery survey triggered the delivery of stress management resources and connected employees with personalized mental health plans through a partner. Connecting employees with effective resources resulted in productivity savings of $400,000 for the company.

But don’t just take it from us. Download the HBR paper today and find out how data and analytics from a health operating system can drive business success. You’ll find insights from the following experts:

• Josh Bersin, global industry analyst and dean of the Josh Bersin Academy, a professional development academy for HR
• Barbry McGann, executive director, office of CHRO solution marketing at Workday
• Aaron Groulx, partner, HR transformation, at Deloitte.
• Michael Christie, founder and president of Christie Advisory