The Business Value of Health Linking CFOs to Health and Productivity IBI Research - 2006 IBI CFO Research Source: The Business Value of Health: Linking CFOs to Health and Productivity , Integrated Benefits Institute, 2006

Key Insights: CFOs want to control health plan costs but they also seek to manage all health-related costs (e.g., medical, absence, disability, etc.). 6 in 10 agree that the costs of ill health can’t be shifted Most know that ill health affects absence, presenteeism and bottom line Few get all the lost-time financial impact information they need They respond to lost time through expensive options If they had the lost-time information they value, CFOs would use that information to manage absence and presenteeism, weigh the impact of lost time against healthcare program costs, and use it to evaluate the effectiveness of their healthcare plans The full study is available to members of IBI. Commentary is available in Notes view. Purpose: 2 nd of two CFO surveys identifies their willingness to consider lost productivity as a function of ill health and identifies the lost-productivity information important to them IBI CFO Research

Key Insights:

CFOs want to control health plan costs but they also seek to manage all health-related costs (e.g., medical, absence, disability, etc.).

6 in 10 agree that the costs of ill health can’t be shifted

Most know that ill health affects absence, presenteeism and bottom line

Few get all the lost-time financial impact information they need

They respond to lost time through expensive options

If they had the lost-time information they value, CFOs would use that information to manage absence and presenteeism, weigh the impact of lost time against healthcare program costs, and use it to evaluate the effectiveness of their healthcare plans

The full study is available to members of IBI. Commentary is available in Notes view.

CFO Healthcare Management Objectives for Next Two Years No difference Source: The Business Value of Health: Linking CFOs to Health and Productivity , Integrated Benefits Institute, 2006

The Impact of Ill-Health 96% 90% 86% 84% 71% Source: The Business Value of Health: Linking CFOs to Health and Productivity , Integrated Benefits Institute, 2006

Are CFOs Getting Information? Absence 51% ever get reports on occurrence 22% get reports on financial impact Presenteeism 22% ever get reports on occurrence 8% get reports on financial impact Source: The Business Value of Health: Linking CFOs to Health and Productivity , Integrated Benefits Institute, 2006

Absence

51% ever get reports on occurrence

22% get reports on financial impact

Presenteeism

22% ever get reports on occurrence

8% get reports on financial impact

Lost Work Time Criticality 49% Source: The Business Value of Health: Linking CFOs to Health and Productivity , Integrated Benefits Institute, 2006

How Companies Respond to Lost Time Absence Overtime Temporary Workers Work Undone Deadlines Missed Bigger Staff Presenteeism Overtime Temporary Workers Deadlines Missed Work Undone Bigger Staff

Absence

Overtime

Temporary Workers

Work Undone

Deadlines Missed

Bigger Staff

Presenteeism

Overtime

Temporary Workers

Deadlines Missed

Work Undone

Bigger Staff

How CFOs Quantify Health-related Lost Productivity Source: The Business Value of Health: Linking CFOs to Health and Productivity , Integrated Benefits Institute, 2006

How CFOs Would Use Lost-Productivity Information Source: The Business Value of Health: Linking CFOs to Health and Productivity , Integrated Benefits Institute, 2006