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Bertus Van Niekerk: Unlocking the True Potential of Integrated Occupational Health and Safety and Corporate Wellness Programmes
- 1. Speaker : Bertusvan Niekerk Presentation Title : Unlocking the true potential of integrated occupational health and safety and corporate wellness programmes
- 2. Synopsis can be increasedexponentially This presentation argues the value of integrated occupational health and safety and corporate wellness programmes • by integrating personal data collected from • a host of stand-alone safety technologies with • the e-Health record and • integrating this information with existing ERP systems. Today, most organisations manage occupational health and safety and wellness programmes as mutually exclusive. • Human resource management focus on health and wellness programs focusing on chronic diseases to reduce healthcare costs. • Risk management teams focus on occupational health and safety in the workplace environment to reduce workers compensation costs.
- 3. Global Health Challenges TheHealth sector vision is to deliver cost effective and quality services for a demanding Health market and in doing so, must consider a number of fluid political, economic, social and digitalisation factors. The following drivers must be carefully considered to plan appropriately to overcome the challenges. Changing medical technology and capabilities Rising Costs and Expenses Rising cost and expenses (incl. employee absenteeism) together with fraud and wastage in the prevailing financial climate of strained budgets as well as raising expectation of service delivery are putting all health organisations and employers under pressure to contain costs. Life Expectancy Compliance Health Skill Shortages Health Stakeholders Collaboration Commercial Nature of HealthData Consistency & Information Sharing (EHR) The raise of phenomenal modern medical technology and capabilities including mobility and wearables is challenging the health industry to a substantially up- scaled and more diverse operational model i.e. Tele- medicine, Wellness Management, etc. The life expectancy of the average human is increasing world wide. This aging population is putting financial pressure on Healthcare Budgets in both Private and Public sectors. There is a shortage of skills in the healthcare industry, with an increasing portion of healthcare workers approaching retirement age. Fewer nurses and doctors are also being trained and with an aging population, demands on healthcare system are increasing. More Demanding Customers Increased Patients Safety & Quality of Care Chronic Disease Prevention The competitive commercial nature of medical services provision (professional staff, presentable infrastructure, services relationships, reputation, cost, etc.) challenges all health providers for business agility and market dominance. Health organisations are compelled to adhere to a multitude of varied international, governmental, industrial, technical, etc. regulations, personal data, procedures and standards forcing additionally costs impacts. Collaboration between manufacturers, suppliers, other health organisations, customers “patients” in an integrated manner required to ensure effective service delivery and cost competiveness. Sharing of data through an efficient Electronic Health Record is key to ensure availability of consistent operational and management information for key Health decision makers, Health Bodies and patients to improve medical practice management. Healthcare customers are better informed and expect therefore discerned quality in health services they received. They expect faster responses, improved attention and improved collaboration between healthcare organisations on a modern digitalised platform. Patient safety is of critical importance (“medical liability claims” ) and with the vast volume and multitude of new drugs and treatment available today, it is of the utmost importance that healthcare providers keep abreast with results of treatments to safeguard patients. With chronic diseases on the rise in the middle age population group, chronic diseases prevention is of the upmost importance to prevent out of control medical costs. Human Resource Management View
- 4. Corporate Health Challenges& Wellness Lifestyle Behaviors Physical Inactivity Poor Nutrition Smoking Chronic Diseases Diabetes Heart Disease Lung Disease Cancer Increased Mortality/ Sickness Over 50% of Deaths (36 million, 5% of all deaths) 12 % to 30% less productivity Medical technology, IT & wearable device advances Global increase in wellness offerings (Insurers/Employers) Improved Health Leading cause of death is personal decision making in lifestyle choices. Obesity 80% increase in healthcare costs last 10 years Sources: Medisys healthcare results 2013 CDC: Centers for Diseases and control Preventation
- 5. Wellness Programmes Landscape EHR WellnessActivity Profile Trackers Wellness Reward ParticipantsMember Medical Insurance Employers (workplace wellness programmes)Fitness Service Providers Medical Services Providers Wellness Programme Administration -Social -Commercial HRM Typical Wellness Parameters • Education and Information • Motivation • Health Risk Assessments (HRA) • Weight Management • Blood Pressure • Cholesterol • Tobacco Cessation • Alcohol consumption • Lifestyle Coaching • Activity Profile • Diet • Stress Management • Workplace Programmes • Incentives (financial and other benefits) • Medical Insurance • Employer 40% of US companies over 200 employees have workplace programmes offering on average $500 per year rewards Wellness programs include activities such as company-sponsored exercise, weight-loss competitions, educational seminars, tobacco-cessation programs and health screenings that are designed to help employees eat better, lose weight and improve their overall physical health.
- 6. Corporate Wellness Benefits Source:Medisys healthcare results 2013 Note cost savings do materialise until wellness program has been in operation for at least 5 years. Effective Health and productivity Programs experienced superior human capital and financial outcomes, including: • 11% + higher revenue per employee • 1.8 + fewer days absent per employee per year • 28% + higher shareholder returns American research conducted by Harvard University found that workplace wellness programs also delivered significant cost savings for employers. For every $1.00 spent on wellness programs • medical costs fall by about $3.27 • absenteeism costs fall by about $2.73 What Canada’s top 100 employers know about wellness programs: • Boosts employee engagement by 96% • Improves productivity by 76% • Reduces drug benefit and disability costs by 54%
- 7. Corporate wellness valueand the risk management imperative Sources: Bureau of Labor Statistics Journal of occupational & Environmental Medicine The Bureau of Labor Statistics (BLS) reported • Incurred a 26% cost per hour increase in workers compensation expenses from 2001 to 2011 Impact of unhealthy behaviours on these costs significant • Business pay an average of $2,189 in workers compensation costs for smokers, versus $176 for non smokers • Morbidly obese workers • filed 45% more claims • And has 13 times the number of lost days • 7 times higher medical costs claim • 11 times higher indemnity costs According to NIOSH, “comprehensive practises and policies that take into account the work environment – both physical and organisational – while also addressing the personal health risks of individuals are more effective in preventing diseases and promoting health and safety that each approach taken separately.
- 8. Key Practises forIntegrating Occupational Health & Safety and Wellness Programs Break Down Silo’s Treat occupational health and health as the same goal to benefit the entire company Customise Solutions Customise Wellness Solutions for Your Organisation and include incentives Engage Workers & Management Actively consult with employees throughout program from design to evaluation to ensure participation including safety stakeholders. Ensure Adequate Staff & Resources Dedicate adequate personnel, funding, and time to implement program to ensure success. Evaluate & Adapt Regularly evaluate a blended safety and wellness program for positive outcomes. Integrated Information Management Solution (Foundation off success to implement Integrating Occupational Health & Safety and Wellness Programs) Employees with chronic health conditions often have more workplace injuries and more costly workers compensation claims. An integrated risk management and wellness program don’t only reduce medical costs and increase productivity, it also improve employee morale and health reducing frequency and severity of workers compensation claims. Reduce Costs Increased Productivity Source: PMA Integrating Risk Management & Wellness Programs
- 9. Integrated Information ManagementSolution Global ICT Health Drivers for Change • Electronic Health Record • Medical Insurance Administration • Wellness • Tele-Health • Practice Management • Hospital Management • Specialist Health Services Management • Health Analytics • Health Compliancy Key ICT Significant Domains
- 10. Integrated Information ManagementSolution E_Health Record An e-health record is a database containing personal body parameters, medical history and supports diagnosis and prevention-based treatment. This information can be used to support diagnoses, verify the success or impact of medication and lead to the prevention of health incidents. The Personal Health Holy Grail – the e-Health record
- 11. Integrated Information ManagementSolution E_Health Record Electronic Health Record Diagnostics Insurance Prescriptions Billing/Claims Documents Wellness Dashboard Vitals Medication Allergies Medical History Examinations • Weight • Height • Body Compensation • BMI • Activity • Cholesterol • Blood Sugar • Blood Pressure • Oxygen • Sleep • Alcohol Consumption • Tobacco Usage • Diseases • Cardiovascular • Diabetes • TB • Malaria • HIV • STI WEARABLE TECHNOLOGY
- 12. Integrated Information ManagementSolution Wearable Technology Wearable technology is clothing and accessories that incorporate computer and advanced electronic technologies. The designs often incorporate practical functions and features, but may also have a purely critical or aesthetic agenda. Wearable Usage Market Forecast Predicts 100% increase of wearable units in next two years. Has called the “Next big Thing” with sales increase from 5$ Billion to $50 Billion in 2020. Wearable Devices Types Meaningful Aggregated Data Wearable Usage Trends Device Makers Wellness Programs Commonly used to monitor fitness (movement tracking) . Also monitor sleep, heart rate, body temperature, blood oxygen level, respiration, glucose and some cases specialist industry (mining, security, etc.) applications i.e. fatigue monitoring, body positioning monitoring, stress level monitoring, alcohol monitoring and fall detection. . Devices are typically in form of bracelet, smart watch or chest straps that can sync with mobile phone. Latest innovations are glasses, sensors in pills and devices and “smart garments” i.e caps, shirts and pants. Awareness and usage of wearables are on the rise. 60% obtained the devices in last 6 months with 15% using it in daily lives. Half of users between 18 and 34 years (young and affluent). Fitness band devices (61%) and smart watches (45%). Device commitment is increasing but one third of users who obtained more than 12 months ago are no longer using it today. . Future will allow for more open platforms to allow easier integration (sharing) of fitness, nutrition, etc. and personal data (personal health record). Companies will be require summarise and analyse the data in meaningful ways to realise value of aggregated data. Fitness monitoring device makers are expanding their offerings into corporate wellness programmes, with participant activity validated by their devices. It include incentivised rewards and challenges as well as social interaction among employees. Companies provide a communication platform and rewards for quantified activity including discounts on merchandise, travel rewards, or charitable donations (ready to use therapeutic food to undernourished and malnourished individuals. Wearable devices is being proven to be a major catalyst to ensure improved physical fitness and health. Physical fitness is associated with lower all- cause mortality due to lower rated of chronic diseases reducing costs to employers and health insurers. Fitness Communities Effectiveness
- 13. Integrated Information ManagementSolution ICT Risk Management Drivers for Change Systems in mining and construction that track and measure human conditions such as fatigue, position, health status, etc. are mostly ‘stand-alone’ systems focused on personal safety and usually aimed at complying with safety legislation. Based on pattern analysis, it is for example possible to predict at what point during a shift an operator usually gets tired and what the impact of his condition will be on his outputs or production. BUT data and outputs from these technologies are usually not integrated with the employee health record or ERP systems, achieving only a fraction of the true potential value. Stand-alone risk management technologies Integrated systems and data analytics With Through data-analytics it is possible to optimise individual productivity, increase production efficiency through support of overall production planning and scheduling activities as well as minimising potential safety risks. Feeding this ‘stand-alone’ systems’ collected data into the e- Health record and integrating this information with ERP will ensure the realisation of these benefits.
- 14. Integrated Information ManagementSolution An Example Solution Platform In accordance with an Integrated Information Management Solution strategic objectives, an example technology platform has been formulated below. The proposed platform enables a balance between resource optimisation and service efficiency and is future-ready, from which automation, efficiency and enhanced performance can be realised. Production Site Workers Employee Home Production Station Centralised Cloud Based Administration • Centralised Group ERP • Centralised Wellness Programme Management • Centralised EHR Services • Centralised Environment Health & Safety HR Department SHEProduction Department Corporate Compensation Mgmt. Performance & Goals Workforce Planning Org. Management Wellness Management Environment, Health and Safety Governance, Risk and Compliance Performance Management Analytics Connected Devices including wearables, proximity devices, etc. Maintenance Planning Production Planning Vitals, Alerts, Incidents Monitoring Health Stakeholders Patient Portal Patient Management Electronic Health Record Clinical Care Healthcare Analytics Social Media FIN Department Planning, Budgeting and Forecasting Financial Information Management
- 15. Integrated Information ManagementSolution Benefits • Ensure Proactive Decision Making - Optimised by analytics allowing for right information in hands of employers in real time • Allow for Empowered Employees- Enables Employees to make better decisions that can result in greater community health as well as Promote Personal Responsibility through Personal Ownership resulting in Higher Motivation • Ensure Proactive and efficient work force management - Increase work force potential • Allow for Wellness Benefit quantification • Allow to monitor Safety & Health Governance impact and effectiveness - Ensure compliancy by tracking and obtaining Information regarding compliancy requirements • Provide Empirical data to Insurers - Lower Risk Pool for insurers • Ensure Business Process Automation - Automated and integrated end to end business processes between Production, HR, FIN, SHE, Corporate, Employee and with Systems of Record (E_Health record “Holy Grail”) Integrated systems and data analytics CreatingNewBusiness Value Healthier&Motivated Employees IncreasedProductivity LessSafetyIncidents ReductionofHealthand workerscompensation costs MOREREVENUE
- 16. Integrated Information ManagementSolution Benefits Challenges • Employee buy-in to share information • Legal Confidentiality (e.g. POPI Act) • Workers Union support • Establishing secure record keeping, reconciliation and audit capabilities • Infrastructures and Connectivity (e.g. wearables, production plants, mining site, rural or mobile medical services) • Representative implementation footprint (EHR completeness) and interpretation risk Challenges
- 17. Conclusion An integrated riskmanagement and wellness program cannot only reduce health costs and increase productivity, it can also improve employee morale and health as well as reduce the frequency and severity of workers compensation claims. However, for such a high quality program to be efficient an Integrated Information Management Solution is a key success factor and the Foundation off success to implement Integrating Occupational Health & Safety and Wellness Programs.
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Editor's Notes
- #8 It is also today acknowledge that employees with chronic health conditions often have more frequent and costly workers compensation claims. Thus, workers wellness programs that support risk management safety initiatives can ensure that the previous mentioned potential benefits are more effectively realised