Return on investment ROI in KY

Achieving a Return on Investment with Worksite Wellness

Teresa Lovely CHESKentucky Cabinet for Health & Family Services

Kentucky Chamber of Commerce

Cabinet for Health and Family Services

It’s About Reducing Our Health Risks

Reducing health risks =

Lower health care costs


Cost of Single Risk Factor

-6%6%

7%

9%11%

11%25%

26%45%

75%

-20% 0% 20% 40% 60% 80%

Eating Habits

Alcohol

Cholesterol

Exercise

BP

Seat Belts

Obesity

Smoking

Stress

Depression

Percent Higher Annual Health Costs

HERO Study

Larry Chapman , Summex, slide, October 1998 issue of the JOURNAL of OCCUPATIONAL and ENVIRONMENTAL MEDICINE, (Goetzel, Anderson, Whitmer, et.al., JOEM, (40) (10). October 1998; 1-12).

http://www.the-hero.org/research.htm




Proof Positive

Multi-component Strong Very Strong

Medical Self Care Very Strong Very Strong

High risk intervention Very Strong Very Strong

Tobacco use Strong Moderate

Hypertension control Very Strong Strong

Program Type Alter Behavior Reduce Costs

(Proof Positive, L. Chapman, 1999)


Latest ROI Research• City of N. Littlerock

– AAOHN J (2004) – 29% reduction in W. C.

• City of Enschede– OE Med (2004)– 20.3% reduction in sick leave absenteeism

• General Motors– JOEM (2002)– C/B ratio 1:2.3 (STD & LTD)

• Chrysler– JUOEH (2003)– Participation showed “dose related response on medical costs

• GlaxoSmithKline– JOEM (2003)– C/B ratio 1:6.13


What determines ROI ?• Starting point• Level and nature of interventions • Quality of incentives• Use of high participation strategies• Organization’s current culture• Quality of implementation• Quality of measurement methods(Source: Chapman, Summex)


Strategies to Enhance ROI• Individual interventions• Looks at health and productivity measures• Strong incentives• Include spouses• Annual HRA and follow-up• Address mental health issues• Link wellness to a consumer health plan

design(Source: L. Chapman, Summex, WELCOA)


Keys to Achieving ROI• High participation

• Greater intensity of interventions

• Works in any setting or size

• Annual Health risk assessment

• More comprehensive higher ROI

(L. Chapman, Summex, WELCOA)


Comprehensive Program DefinitionHealthy People 2010• Screening program. • Health education for employees. • Supportive social and physical environments.• Integration of the program into the organization’s

structure.• Linkage to related programs such as EAP.Partnership for Prevention (national membership organization) adds: • Follow up interventions in place to support behavior

change.• Evaluation and improvement process to enhance

program’s effectiveness


Organizational Keys to Achieving ROI

• Management vision and support

• Senior level “wellness champion”

• Vision passed down through all levels

• Grassroots” wellness champion”

• Health connected to what the organization does – goals

• Organization mission and wellness program mission should overlap

(Goetzel, WELCOA, Results Oriented, 2002)


A Higher Return on Investment

• Design and implementation will determine success and impact in reducing health-related costs. ROI

• Results oriented NOT activity oriented

• Must impact the utilization of health care

• Participation is key.

Source: Larry Chapman, Summex, WELCOA


Achieving High Participation

• Use incentives (even small ones)• Program fits needs• Promote! Promote! Promote!• Be visible• Make it fun and innovative• Remember the personal touch and

make it convenient


Kentucky Company Example

• Every year team sets goals

• 50% of team must participate

• All teams that achieve 100% as a team gets award

• $50 Individual award

N a m e _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ U n i t _ _ _ _ _ _ _ _ T e a m _ _ _ _ _ _ _

R u l e s :1 . 5 0 % o f t h e w o r k t e a m m u s t b e i n c l u d e d i n o r d e r t o q u a l i f y a s a w e l l n e s s t e a m .2 . M e m b e r s o f t h e t e a m w i l l b e a b l e t o m a k e u p p o i n t s f o r o t h e r m e m b e r s , b u t a n y o n e

t h a t i s n o t 0 0 % a s a n i n d i v i d u a l w i l l n o t r e c e i v e t h e t e a m a w a r d .3 . B l o o d T e s t a n d H R A b o o k l e t a r e m a n d a t o r y f o r e v e r y p a r t i c i p a n t .4 . M a x i m u m p o i n t s a n i n d i v i d u a l c a n a c h i e v e i s 5 , 0 0 0 . T h e m i n i m u m i s 2 , 5 0 0 .

P o i n t s G o a l

5 0 0 _ _ _ _ _ C h o l e s t e r o l i n r a n g e

7 5 0 _ _ _ _ _ C o m p l e t e M e d i c a l P h y s i c a l

7 5 0 _ _ _ _ _ C o n s u l t a t i o n – ( i n c l u d e s B P , B o d y C o m p . , a n d W / H i n w e l l n e s s o f f i c e )

2 5 0 _ _ _ _ _ B l o o d P r e s s u r e i n r a n g e ( < 1 4 0 / 9 0 )

2 5 0 _ _ _ _ _ B o d y C o m p o s i t i o n i n r a n g e ( a c c o r d i n g t o W e l l n e s s O f f i c e )

2 5 0 _ _ _ _ _ W a i s t a n d H i p M e a s u r e m e n t i n r a n g e ( a c c o r d i n g t o W e l l n e s s O f f i c e )

7 5 0 _ _ _ _ _ F i t n e s s T e s t ( i n c l u d e s a e r o b i c t e s t , f l e x i b i l i t y , g r i p s t r e n g t h , p u s h - u p s , a n d

c r u n c h e s )

2 5 0 _ _ _ _ _ A e r o b i c E x e r c i s e i n r a n g e ( t e s t e d i n W e l l n e s s O f f i c e )

2 5 0 _ _ _ _ _ S t r e n g t h e n i n g E x e r c i s e i n r a n g e ( t e s t e d i n W e l l n e s s O f f i c e )

5 0 0 _ _ _ _ _ N o T o b a c c o U s e

5 0 0 _ _ _ _ _ N o o r L o w A l c o h o l U s e

S p o u s e P a r t i c i p a t i o n

R u l e : M u s t h a v e B l o o d w o r k t u r n e d i n t o W e l l n e s s O f f i c e a n d f i l l o u t H R A b o o k l e t t op a r t i c i p a t e .2 5 0 _ _ _ _ _ H R A B o o k l e t

2 5 0 _ _ _ _ _ B l o o d w o r k

2 5 0 _ _ _ _ _ B l o o d P r e s s u r e i n R a n g e ( < 1 4 0 / 9 0 )

2 5 0 _ _ _ _ _ N o T o b a c c o U s e

T o t a l _ _ _ _ _ T o t a l A m o u n t o f P o i n t s S i g n e d u p f o r

I p l a n o n c o m p l e t e i n g t h e s e h e a l t h g o a l s b y 1 2 / 3 1 / 0 3 .

S i g n a t u r e _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ D a t e _ _ _ _ _ _ _ _ _ _

Team Wellness Goals


Example Kentucky Company

1098 56

147

609680

798 803 853

-5050

150250350450550650750850950

'97 '98 '99 '00 '01 '02 '03 '04 '05

Individuals

Team Health Goals Met


Example Kentucky Company

49

79 85 8393 99.6 99 97

0102030405060708090

100

'97 '98 '99 '00 '01 '02 '03 '04

% Completed

Health Risk Assessment Participation


Strategic and comprehensive process to address risks

Address needs and wants of participants

Convenient and uses the personal touch

Worksite Wellness gets the most results when …..…


Get Healthy Kentucky•

gethealthyky.gov


CDC Worksite Program Tools

• Stairwell• Garden Market• Cost calculators• Toolkits • Quick resources• Credible useful resource linkshttp://www.cdc.gov/nccdphp/dnpa/hwi/index.htm

A “one-stop shopping” location for program resources.


Wellness Councils of America • Free Resources

– Special reports– Interviews– Presentations– Case Studies– ROI information– Surveys and Samples– Incentive programs


Partnership for a Fit Kentucky• www.fitky.org• Worksite wellness toolkit• Strategies that work• Regional coalitions• Worksite wellness coalitions

Links


QUESTIONS?

Healthcare

Return on investment ROI in KY