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Nearly 1 million heart attacks in the U.S.A annually About a quarter of a million deaths from the attack per year In the average 7 minutes it takes EMT to arrive you’re dead

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Page 1: In the average 7 minutes it takes EMT to arrive...Nearly 1 million heart attacks in the U.S.A annually About a quarter of a million deaths from the attack per year In the average 7

Nearly 1 million heart attacks

in the U.S.A annually

About a quarter of a million

deaths from the attack per year

In the average 7 minutes it takes EMT to arrive – you’re dead

Page 2: In the average 7 minutes it takes EMT to arrive...Nearly 1 million heart attacks in the U.S.A annually About a quarter of a million deaths from the attack per year In the average 7

Welcome this webinar is sponsored by, but not about…

Wellness An Emerging 4 Billion Dollar Market

Joel D. Schaffer, MAS

[email protected]

The quality or state of being healthy in both body and mind, especially as a result of

a deliberate effort. It’s an active process and approach to employee

healthcare that emphasizes preventing illness and prolonging life, as opposed to

emphasizing treating diseases.

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There is a need for our products and services in many applications.

There is a place for a wellness engagement consultant on a corporate wellness team.

This opportunity should not be approached without knowledge.

How to position yourself and your company for the buyer.

Today’s Takeaway

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Corporate America

Spends Over $250 Billion annually on healthcare

Loses 1.1 trillion due to due to diabetes, depression, cardiovascular health and other illnesses .

Could save $254 billion by lowering the obesity and getting more

productivity.

America’s GDP can grow by $905 billion from even modest improvements

in prevention and treatment

Why Wellness Programs? – The Numbers Are Staggering

Source: 2007 Milken Institute report

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General Motors, covers more than 1.1 million employees and former employees, and the company says it spends roughly $5 billion on healthcare expenses annually. GM says healthcare costs add between $1,500 and $2,000 to the sticker price of every automobile it makes.

$1,500 - $2,000

Sticker Shock

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This fact, along with a desire to improve productivity, has caused (or forced)

more and more employers to turn to company wellness programs.

HOWEVER…

Employee Insurance Costs More Than Double In Ten Years

Client Problem – Client Need – Client Opportunity

Source: 2009 employee survey conducted by MasterCard and Harris Interactive

…despite their popularity, these programs aren’t living up to their potential. Participation rates are

disappointingly low,

46%

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You Invest – It Returns

$613.00 Estimate annual savings is the ROI from wellness programs

National average

Why Wellness ?

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Wellvolution – California Blue Cross Blue Shield

Watch It On You Tube

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Source: Quest Diagnostics Study 2003 -2010

There Is A Problem

More than one out of three employees who took employer-sponsored

lab-based wellness tests were found to be at high risk for :

High Cholesterol -Kidney Disease -Diabetes

It was news to them.

The study covered 52,270 first-time participants in wellness tests at 15 companies.

Kidney Disease Diabetes Heart Issues

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Average participation in biometric screenings

45% with incentives 25% without

Trending - Undergoing A Huge Change

Average participation in completing health risk

assessments

46% with incentives 19% without

Negative incentive use is forecasted to grow

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Healthier is better but, for wellness program success, you need to give employees a reason to sign up and stick with it. The right kind of incentive will inspire this behavior, increasing participation and ROI.

The Key To Program

Wellness programs will fail without employee engagement.

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Employee Engagement

Consultant

The Core Need – The Core Assignment ?

Employee Wellness Engagement Consultant

Not forms

Not embroidery

Not sales

Not marketing

Not printing

Not fund raising

Not apparel

Not branding

Not promotions

Not products

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To change human behavior sustained engagement is required Most people do not modify behavior with one message. It takes multiple messages, multiple impressions in a multi-media approach.

Advertising & Promotion Meet Wellness

Client’s Objective: Change the behavior or their employees

Use a multi-phase approach Use multi-media communications campaign that provides bits of information at a time Use special events Use multiple “hits” to the target audience “effective reach” of 3+ or 5+ times

Awareness Interest Desire Action

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Several laws and regulations govern wellness plans; the most important of which is the Health Insurance Portability and Accountability Act (HIPAA). HIPAA is a broad-reaching statute that touches employee health, privacy and benefits. Most notably when it comes to wellness, HIPAA deals with whether employees are discriminated against by the employer.

Source: Amy Gallagher, GoLocalProv

Consultants Must Know The Laws

Key element – Companies cannot rate discriminate

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Participation-based : May reward employees for simply participating in activities such as health screening or a tobacco cessation programs, but may not be required to have a “normal” health screening result (i.e. 120/80 blood pressure) or quit smoking.

Consultants must Know The Methodology

Wellness Programs Fall Into Two Basic Categories

Standards-based programs: Aim to help employees meet behavior-changing milestones by providing incentives only if health goals are achieved. An example of a standards-based program is one that requires employees to show whether they smoke, either by completing an affidavit or having a tobacco

screening with a negative result.

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• Incentive rewards must not exceed 20% of the cost of

employee-only coverage.

• Rewards can include premium credits, copay reductions… or

even gift cards.

• The program design must promote health or prevent disease.

• Employees must have the opportunity to qualify for the

incentive at least once a year.

•The program must be available to all similarly situated employees. This means that if an

employee comes to you and says there is a medical reason why he/she cannot meet the standard

health goals because it would be “unreasonably difficult,” you must provide a reasonable

alternative or waiver for any employee who presents this situation.

•The program must provide written materials describing the availability of an alternative standard.

•Employers must communicate details about the program, incentives, etc. to the employee.

Standards-based programs have greater HIPPA requirements

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Low Middle High

Little company involvement;

employees must earn their

rewards outside of work on

their own time.

Company may host small

events for employees, such as

yearly flu shots; minimal

involvement with outside

vendors.

Adequate company

involvement; employee can

enjoy some onsite activities to

earn rewards, such as blood

drives, cholesterol readings, etc.

Company will establish one or

two outside vendor

relationships to help host

events.

Company invests significant time

into onsite events for

employees, such as Wellness

Days with various events.

Company will sponsor or reward

participation in outside events

(5K walks, CPR classes, etc.)

Company will establish several

significant relationships with

outside vendors to aid in

presenting events and

promoting healthy activities

(gym memberships, etc.)

Finding The Best Prospects

Target – 100 Or More Employees

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Who is the person who sends you all the communication about health, wellness, watch your weight, stress, exercise…?

Finding The Wellness Buyer

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Who Buys? Some strategic titles Manager, Organizational Performance Rewards and Recognition Manager System Director, Payroll Services & Corporate Taxation Recognition Programs Manager

Prospecting

Wellness is not just a sale, it’s an enterprise

Run Away – Run After You can’t convince a company to run a program. Run away from those who don’t have one, run after those who do.

Keep a running tab on those most likely to have one soon.

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Who Is The Wellness Buyer?

Director of Employee Health and Wellness University of Texas Medical Branch - Galveston, Texas (Houston, Texas Area) Job Description The Director of Employee Health and Wellness serves as the administrator and manager of business and clinical affairs for the Employee Health & Wellness Division of Human Resources (Division includes Employee Health Clinic, Employee Wellness Health Promotion, Employee Assistance Program, Employee Injury Management Program and Institution ADA compliance).

Desired Skills & Experience Bachelor's degree in Nursing, Registered Nurse in Texas or a Compact State AND Master's degree in psychology, social work or related field, 7 years of progressive experience in Human Resources, Workers' Compensation, Employee Assistance Programs, Outpatient Clinics or related field (prefer outpatient operations and management preferred).

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The majority of a workforce will sit at a desk for a full day. Combine that with sitting during their commute and while watching TV. The sum of sitting equals an average of 7.7 hours a day spent being sedentary.

.

Dr. David Laibson, Ph.D., a Harvard professor recommended that employers encourage working groups to have walking meetings to build more movement into the workday. Wellness & Prevention, Inc., a Johnson & Johnson company, states that as little as one to two minutes of physical activity every 30 minutes or so is enough to oxygenate the brain to improve employee function and productivity.

Would You Believe

Women 94%

More likely To Die

Men 48%

More likely To Die

If You Sit More Than Six Hours A Day

American Cancer Society Study Source: American Journal of Epidemiology

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Job Stress

40% of workers surveyed indicated their job is “very or extremely stressful” 75% believe the worker has more on-the-job stress than a generation ago

Source: Northwestern National Life

29% of those surveyed were “quite a bit or extremely stressed at work . Source: Yale University

25% view their jobs as the number one stressor in their lives. All of this data was collected before the economic collapse of 2007.

Source: The Families and Work Institute

Problems at work are more strongly associated with health complaints than are any other life stressor — more so than even financial problems or family problems.

Source: Princeton Survey Research Associates

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• WEIGHT MANAGEMENT • DIABETES SUPPORT • STRESS MANAGEMENT • CHRONIC CONDITIONS SUPPORT • PHYSICAL ACTIVITY • DEPRESSION SYMPTOMS SUPPORT

Primary Areas Of Wellness Concern

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Three Faces Of Product Positioning

Create Awareness Incentive

Functional Tool

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Primary Areas Of Wellness Concern

Weight

Tape Measure Calorie Guide Scale Health Food Lunch bag Jump Rope Pedometer

Diabetes

Pill bottle Carry Case Books Cooking Utensil

Depression Activity Chronic

Mouse pad Pillow

Stress

Music Books Yoga Mat Aroma Waterfall

Weight management Diabetes Support

Stress Management Chronic Conditions Support

Physical Activity Depression Symptoms Support

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• Antibacterial Products • Apparel • Awards • Awareness Bracelets • Bags & Totes • Blood Pressure Guides • Calendars • Calorie Counters • Cancer Awareness • Caps & Hats • Computer accessories • Condom

Desk & Office • Drink ware • Emergency & Survival • Exercise & Fitness • First Aid Kits • Food & Candy • Fun & Games •

• Golf & Sports • Hand Sanitizer • Health & Beauty • Heart Healthy • Home and kitchen • Lip Balm • Music • Pedometers • Pill Boxes • Stop Smoking Kits • Stress Relievers & Balls • Sun Screen & Sun Block • Wellness Pocket Sliders • Wellness Snacks

Products In Your Wellness Solutions

There Is No Scientific Data That Squeezing A Toy Lowers

Hypertension - Stress

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• Cover letter • Introduction and benefits [ARMER] • About your company/you • Employee engagement and case histories • Accreditation • Evaluation - consulting • Recommendations • Products • Services • Value proposition

Proposal for Corporate Wellness Programs

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APPRECIATION – RECOGNTION – MOTIVATION– EDUCATION- REINFORCEMENT

Show Appreciation for participation, accomplishment, etc. Provide Recognition

•Accomplishment –weight loss, quit smoking, lower vital levels •Milestones

Provide Motivation for

•Participation •Results •Compliance

Educate the participant Reinforce a program

•Announcement •Awareness

Provide A.R.M.E.R. For Wellness Initiatives

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Build Your Wellness Network

•Assemble a network of freelance consultants oDieticians oIndustrial psychologists oFitness coaches

•Network with facilities

oSpa oGym oDiet center

•Join HR groups •Join Linked In groups •Subscribe to on line journals and newsletters

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Promotional products, when integrated into wellness programs, provide an invaluable assist in meeting program objectives in a tangible, dimensional way. Promotional products affect human behavior and help employees comply with a program and advice. Promotional products integrated into a program, can have measurable ROI and help improve overall health, productivity, wellness. Promotional products can help :

Engage employees Increase productivity Decrease absenteeism Improve morale Improve quality of life Extended life expectancy

Boldly Stating The Benefits You Deliver

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Source: Northern California Center For Well Being

Return on Investment / Financial Benefits

"For every $1 the average company spends on its worksite wellness

program, it receives an average return on investment of $3.40 to

$7.88." – WELCOA 2010

The following company statistics show the reported return on investment (ROI) for every $1 invested in

worksite health promotion programs.

Du Pont Co: (ROI: $1.42)

Absences from illness unrelated to

the job among 45,000 blue-collar

workers dropped 14% at 41

industrial sites where the health

promotion program was offered,

compared with a 5.8% decline at

19 sites where it was not

Reynolds Electrical &

Engineering Company: (ROI:

$1.68) Their Stay Alive & Well

program cost $76.24 per

employee. Over half of the 1,600

employees participated;

participants significantly lowered

cholesterol levels, blood pressure,

and weight and experienced 21%

lower lifestyle-related claim costs

than non-participants. Resulting

savings: $127.89 per participant.

Bank of America: For $30 per

person, BofA conducted a health

promotion program for retirees

using a risk assessment

questionnaire, self-care books and

other mailed materials. Insurance

claims were reduced an average of

$164 per year in this group while

they increased $15 for the control

group. Since they were able to

document significant changes in

risk behavior, they anticipate

greater savings in future years.

Pacific Bell: FitWorks

participants claimed $300

less per case for a one-year

savings of $700,000.

Savings for conditions

related to a sedentary

lifestyle are $722 per case.

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Johnson & Johnson Family of Companies (2006 to 2010)

The percentage of low risk employees increased from 78% to 87% The number of high risk employees was reduced from 1.4% to 0.9%.

Source; Wellness & Prevention Inc

Wellness Programs Work

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The Sprint Get Fit Challenge 12 week program

Employees were encouraged to sign up in teams and the competition focused on three areas: weight loss, exercise minutes and pedometer steps. The challenge achieved the following results:

Wellness Programs Work

•Over 40,000 pounds of weight lost

•Nearly 22,000 exercise minutes completed

•Almost 4.8 billion steps taken

Of those who participated in the program, nearly 70%

were first-time wellness participants.

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What's Good For The Worker Is Good For The Company Retailer L.L. Bean instituted daily, mini-exercise breaks 15 years ago throughout its assembly plant with great results, Yancey says. The breaks were five minutes each, three times a day. At the end of the shift, the company found a 30-minute return on productivity for an investment of 15 minutes of physical activity. "The number of bags and shoes that they do not produce in those 15 minutes," she says, "they actually get back and then some." Yancey is now involved in a study looking at how employees fare at more than 70 work sites instituting similar programs across Los Angeles County. She expects findings within three years.

Wellness Programs Work

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A CASE HISTORY How effective are the programs? Respondents said :

74% report they are more engaged with life 69% report they are more engaged in taking care of their health 71% report successful management of their mental energy 68% report successful management of their physical energy 56% report they are more productive at work 51% report they are more resilient

These results are based on self-reported data provided by Performance Programs, Inc. who measured the responses of program participants from 2006 to 2008 (599 participants; 201 participants at six months follow-up). Statistics reflect percentage of survey respondents.

Wellness Programs Work

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Thank You & Healthy Selling

For a copy of this presentation e-mail [email protected]