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Akron SHRM Conference Wellbeing and Engagement

ALI PAYNE AUGUST 2016

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The Evolution of “Wellbeing”

Physical health emphasis

Benefits strategies for cost

management

Right program and vendor

Participation incentives

Then

Inconsistent alignment with

mission/vision/values, desired

culture, key business objectives

Multi-dimensional (employee and

family) wellbeing with strong

social networks

Employee value proposition,

become an employer of choice

Right culture and environment

Inspire change, support,

sense of purpose

Now

Wellbeing as a cultural imperative

that drives engagement and

enables high performance

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The Multiple Dimensions of Wellbeing

Physical/

Emotional

Health

Social

Health

Financial

Health

Community

Health

Career

Health

The WHOLE person comes to work every day....

each employee’s wellbeing influences

individual and organizational performance

&

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Organizational Wellbeing: Drives Engagement

“An organization is healthy when its whole, consistent, and complete, that is, when its management, operations, strategy and culture fit together and make sense.”

Minimal Politics

Minimal Confusion

High Morale

High Productivity

Low Turnover

Source: Patrick Lencioni, The Advantage (2012)

Build a cohesive

leadership Team

Create Clarity

Reinforce Clarity

Over-Communicate

Clarity

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Connecting organizational health

Metrics to determine your strategy…

Long

Hours

BP

Obesity

Diabetes

Injury

Job

Insecurity

Stress

Risk Heart

Attack

i Opinion of your

health

Injustice/

Fairness

Migraine

BP

Burnout

Depression

Work/

Family

Conflict

Sleep Disorders

Sickness related

absence

Risk Heart Attack

i Opinion of your health

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Social Wellbeing: Social Connectedness

Just 30% of employees report having a best friend at work

Only 5% of employees strongly agree that their organization helps them build stronger relationships

Employer Opportunity: Promote relationships among colleagues

Team Building Work Shops

Group- based Challenges

All Hands Meetings

Company PicnicsSources: National Business Group on Health

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Career Wellbeing: Job Satisfaction

Sources: National Business Group on Health, New Economics Foundation

Organizational

Characteristics

Job Design

Management

Work Relationships / Social Value / Work

Environment

Using Strengths / Sense of Control /

Fully Understanding Responsibilities / Fair

Pay / Achievable Goals / Work-life

Balance

Performance Feedback /

Positive Manager Behavior

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Community Wellbeing: Community

connectedness“Community wellbeing is the combination of social, economic, environmental, cultural, and political conditions identified by individuals and their communities as essential for them to flourish and fulfill their potential.”

38%

47%

15%

0% 10% 20% 30% 40% 50%

Thriving

Struggling

Suffering

US COMMUNITY WELLBEING

Source: Gallup

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Financial Wellbeing: Security

Sources: American Psychological Association: Paying With Our Health, 2015

ARTHUR J. GALLAGHER & CO. | BUSINESS WITHOUT BARRIERS™

2,080

1,560

1,040

520

0

Age 25

Age 35

Age 45

Age 55

Age 67

10

Financial Wellbeing: Security

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Emotional Wellbeing: Support beyond drugs

Sources: American Psychological Association: Paying With Our Health, 2016

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Round Table Discussions

• Physical Wellbeing

• Social Wellbeing

• Financial Wellbeing

• Community Wellbeing

• Career Wellbeing

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Building an effective plan

Wellbeing & Engagement Strategy Framework

Health Benefits(Design, financing, risk management,

and administration)

Wellbeing & Engagement(Optimization of workforce

productivity through

engagement and good health)

Capture CEO Support

Essential to process and best in class program

Build Internal Alignment

Develop guiding principles, goals, objectives & success

metrics

Create Wellbeing Team

Build cross functional Team to drive wellbeing awareness and

distribute accountability throughout organization

Collect Data

Gather data to reveal specific areas of health/engagement

needs and interests within the organization

Develop Strategic Plan

Build operating plan to serve as roadmap and guide

interventions

Find Partners

Conduct market survey for wellness partner, if appropriate

Develop Communications

Create pervasive communications that execute on broad wellbeing & engagement

goals

Evaluate

Beyond traditional metrics on participation, risk reduction, and

cost containment, identify organizational metrics

(retention, safety, engagement)

Understand Culture, People, Risk

Connect Wellbeing Vision to Business Strategy & Objectives

P P P

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Case Study

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WHERE IT ALL STARTED

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2011 2012 2013 2014 2015 2016

Dearborn pilot /Incentives introduced

Launch at Supply Chain

Spouses included

Vitality implementation

PhysicianEngagement

Associate engagement

through technology

16

Case Study: Evolution of Wellness at Carhartt

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In order for employees to receive the incentive, they have to:

1. Complete the Vitality Health Review

2. Complete and submit their Vitality Check

3. Achieve Silver Status or higher

Case Study: Carhartt Wellness

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Engagement

1

8

Carhartt

Vitality Baseline

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Blue/No VHR Bronze Silver Gold & Platinum

Status Distribution

70% of Carhartt associatesare at Silver status

or above

ROI of $289,000

Savings Annually

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Total Health Approach to Communications

19

Champs

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Case Study: Carhartt Wellness

The reason for success

• Carhartt allows employees to earn points to increase their status through Vitality programs that are unique to the individual

• The difference between viewing employees as a number and as a person

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Questions and Discussion

Thank You For Your Time Today

Ali Payne

ali_payne@ajg.com

312.416.0465