The document discusses current trends in mobile engagement and technology solutions in benefits administration, highlighting challenges employers face due to competing priorities and the need for strategic thinking. It emphasizes the importance of employee engagement and the impact of technology such as AI and mobile platforms on HR processes. The document also outlines potential solutions, including data aggregation platforms and the need for expert consultancy to navigate implementation effectively.

1. April 25, 2019
WHAT’S ALL
THE BUZZ
ABOUT?
Mobile engagement and best in breed
technology solutions versus HCMs in the
industry adds struggles to our employers.
Benefits and technology experts can help.

2. .
Mike Ehrle
SVP – Strategic Partnerships – Hodges-Mace
• Atlanta, GA
• 4+ Years with Hodges-Mace
• Nearly a Year with Aon – MMX
• 6 Years with Highmark BCBS
• 9 Years with UnitedHealth Group
• Drake University, BSBA, Finance
• Notre Dame – MBA, Finance

3. .
Jay Schmitt
Principal – Strategic Benefit Advisors (SBA)
• Actuary, Atlanta, GA
• 11+ Years with SBA
• 6 Years with SBC Systems
• 5 Years as an Actuarial Systems Engineer
• Davidson College – BS, Mathematics/Econ.
• Georgia State University – MAS, Actuarial Science

4. What’s happening in
our industry today?
• What are the current trends in the market?
• What is happening with HCM’s?
• Where does mobile and engagement fit in?
• How is the industry preparing for what’s going on?
• How are specialized consultants helping?
• Case studies?
• Open dialogue

5. What’s happening in our
industry today?
(continued)
• Benefits / HR Departments being asked to do more
with less
• Many internal stakeholders with competing priorities
• Forced shift from tactical thinking to strategic
• Lots of vendors vying for attention
• The emergence of IT, Purchasing and Legal
• “Implementation Fatigue” from prior projects

6. What are the current
trends in the market?

7. Benefit Enrollment
• Open Enrollment Focused
• Minimal Year Round Usage
• Focus on ‘Free’
Benefit Administration
• Benefit Enrollment
+
• Data Transfers
• New Hire Onboarding
• Decision Tools
• Fees and Occasional ‘Offsets’
• Handles Complex Benefits
Benefit Delivery
• Benefit Administration
+
• Year-Round Engagement
• Mobile Platforms
• Alexa and Google Home
• Migration to Full Fee Levels by Employer
• Greatly Needed by ‘HCM’s’
Evolution of Benefit Administration

8. What type of
technology?
Do ‘all-in-one’s’
work for complex
benefits?
How will we
budget for this?
What partner(s) do
we choose?
Who can help us
select the
technology?
What’s so
different about
these types of
platforms?
THIS MIGRATION
IS CONFUSING

9. There appear to be two
constants in the industry:
Overwhelmed / confused buyers
(both employer and employee)
Medical cost increases and a
myriad of ideas/solutions to
address or mitigate

10. Overwhelmed / confused buyers
(both employer and employee)
Medical cost increases and a
myriad of ideas/solutions to
address or mitigate
Related trends that sprout from
the above constant challenges:
• ‘Engagement’ is now the rage – but what
does that mean?
• Mobile is more important than ever
• Personalization – Human and AI connections
with multi-generational workforce
• Addressing ‘cohorts’ or subgroups of medical
conditions
• The all-in-one, HCM, sounds great but is
vulnerable
• Partnerships are of greater interest

11. What if we engage our
staff and they leave?
What if we
don’t…and they stay?
The Engagement Dilemma

12. Employers are finally realizing – that an unengaged workforce is hurting their company’s
performance. They cannot wait – they must address the engagement problem.
0%
10%
20%
30%
40%
50%
60%
1 to 99 100 to 999 1000+
Survey Question: About what percentage of your
organization's workforce do you believe is engaged? (by
size of organization and percent of engaged employees)
0% 10% 20% 30% 40% 50% 60% 70%
Less engaged organizations
Highly engaged organizations
Survey Statement: Please rate your organization's
financial performance in the most recent fiscal year
compared to competitors in your industry. (by
engagement level and percent in the top quartile of
financial performers)
Over 60% of highly engaged organizations report being in the top
quartile of financial performers in their industries

13. 83% AMERICANS
OWN A SMARTPHONE
0
50
100
150
200
250
2012 2013 2014 2015 2016 2017 2018
Time spent per day with mobile non-voice media in the
United States from 2012 to 2018 in minutes.
3 hours and 23 minutes

14. Paul Greenberg writes:
“In 2018, 253 million Americans spent $1,380 and
91 waking days [each] on their phones.
Cumulatively, that adds up to 370 billion waking
American hours and $349 billion.”
79%
customers
order via
mobile
40%
of Black Friday
sales via
mobile
230
million
Americans own
a smartphone
100
million plus
own a tablet
10%
of all retail
sales are
eCommerce

15. How Personalized Communication
and AI are Impacting HR
Recruitment
• Candidate sourcing
• Hiring process automation
• Agent-led video interviews
• Predicting new hire performance
Learning and Development
• Onboarding
• Reference information
• Personal coaching
Performance management
• Objective setting
• Capacity predictions
• Predicting performance
• Team fit psychometrics
Separation / Retirement
• Outplacement
• Pension administration
• Alumni and boomerang hire sourcing
Compliance and reporting
• Monitoring bias
• Supervision of employee activities
Risk management
• Retention and attrition analytics
• Absence and accident prediction
• Fraud detection
Engagement and recognition
Payroll and benefits automation
Engagement monitoring

16. Q
PAYROLL HR
BENEFITS
Most systems struggle to support
modern benefit strategies.
WHY AREN’T
THE CURRENT
SOLUTIONS
WORKING?





For most ERPs and Human Capital
Managements (HCM’s, benefits are an
afterthought due to competing initiatives.

17. WHAT SHOULD
A MODERN
SOLUTION
LOOK LIKE ?
Q Point solutions address administrative
complexity while enhancing the
employee experience.
PAYROLL
HR
BENEFITS
OPTIMIZATION
SOLUTION







18. HOW IS THE INDUSTRY
PREPARING?

19. Are we ready to
address the trends?
Trends:
1. ‘Engagement’ is now the rage – but
what does that mean?
2. Mobile is more important than ever
3. Personalization – Human and AI
connections
4. Addressing ‘cohorts’ or subgroups
of medical conditions
5. The all-in-one, HCM, sounds great
is vulnerable
6. Partnerships are of greater interest
Solutions:
Mobile platforms, Amazon Alexa /
Google Home solutions and face-
to-face counselor solutions
Individual data sets and customized
communications, including through
AI capabilities…analytics and
employer administration portals
Partnerships and technology
consultants

20. Example – Accessible Mobile Platform
Employees can securely access the real-time data they care about most.
Access to Benefit
Information From
Anywhere
One-Touch Launch
to Benefit Portals
On-the-Go
Current Status of
Deductibles and
OOP Maximums
App Trends 2016
PricewaterhouseCoopers' recent study
showed health care at the center of the
top 3 mobile trends of 2016.
Current Plan
Balances and
Contributions
Customized
Messaging and
Alerts

22. CHANGES ARE
HAPPENING
45.5%
29.5% would
like to change
but unsure of
next steps
25% likely to
send RFP out
in the next 12
months

23. What drives benefits delivery
platform selection?
Accuracy /
Administrative ease
(identified by 61.4% of
employers as ”very important”)
Empowering employees to make
informed benefit decisions
(identified by 51.5% of
employers as ”very important”)
Cost
(identified by 23.9% of
employers as ”very important”)
1 2 3
Accuracy / Administrative ease is the #1 driver
of benefits delivery platform selection.

24. Experience shows that employers tend to
cycle between a bundled approach and a
best in class approach.
“Bundled” Approach
• One administrator for all benefits
• Prioritizes convenience
“Best in Class” Approach
• Different administrators for different benefits
• Prioritizes service

25. Something
new……data
aggregation
platforms which
give employers a
balance of
“bundled” and
“best in class.”
Data aggregation approach
 Best-in-class administrators for service
delivery excellence
 One consolidated platform for
convenience and ease of use
 Sophisticated data consolidation and
display for a seamless experience

26. SO, WHAT’S PREVENTING
EMPLOYERS FROM TAKING ADVANTAGE
OF THESE NEW PLATFORMS?

27. Employer benefits
departments are
already fraught…
• Thinly staffed
• Doing more with less
• Change fatigued
(software implementations,
outsourcing woes, etc.)
• Compliance fatigued
• Emotionally attachment to
costly, existing platforms
(whether they work or not)
…making new technology
implementations a
challenge.
• No time to build a proper business case
• Unsure how to choose the right vendor
• Too many stakeholders involved in the
decision-making (e.g., finance, legal, IT
and procurement)
• Understaffed for proper implementation
• Worried about missteps that will surface
down the road

28. WHAT’S THE SOLUTION?

29. Help from an
experienced team
can ensure successful
implementation
of a new benefits
delivery platform.
 Analyze current environment and develop
business case for change
 Assist in identifying ALL internal
stakeholders
 Develop and run a tailored RFP
 Assist with implementation and project
management
 Coordinate with stakeholders across the
business

30. Case Study -
Strategic Planning
Healthcare Industry
Situation:
A Fortune 100 Healthcare System had numerous internal and external
benefits administration systems that had been pieced together over a
decade. There were multiple client stakeholders across departments (e.g.,
HR, finance, payroll, etc.) with competing objectives.
The client needed an unbiased firm to assess how best control the increasing
cost and inefficiencies of having so many systems.
Result:
• Objectively analyzed solutions solely in the best interest of the client and
in conjunction with the business needs of their vendors.
• Client undertook an initiative to streamline administration systems and
improve internal processes.
• Internal client resources were freed up to perform more strategic work
rather than the tactical day-to-day work required by the inefficient
administration setup.
• Technology partner solidified their relationships with the client, and the
client ended up saving both soft and hard dollars in the long run.

31. THANK YOU!
Jay Schmitt
Jay.Schmitt@sba-inc.com
404-429-7397
Mike Ehrle
mikeehrle@hodgesmace.com
312-523-1059