The Truth About Employee Wellness
Multi-national enterprise software company SAP recently published their 2021 Integrated Report, detailing the results of their company-wide wellbeing efforts via their Business Health Culture Index (BHCI). With an astounding 81% BHCI, they exceeded their employee wellbeing goals in 2021.
Why does employee wellbeing matter? It turns out SAP’s high BHCI enabled an equally high employee retention rate of 92.8% and delivered a $90-100 million (EU) impact on their operating profit for each 1% change in BHCI. By recognizing the link between employee wellbeing and company success, SAP became one of Germany's most successful companies.
Employee Wellness Programs
The best way to ensure that your business is properly supporting employee wellbeing is through employee wellness programs.
Although often treated as an added benefit by most workplaces, employee wellness programs support one of the most integral elements of a successful business – employee retention. By focusing on individual wellbeing, employee wellness programs improve relationships between employees and managers; promote a healthy work-life balance, and increase productivity. And all work together to help companies retain their top talent.
“Although often treated as an added benefit by most workplaces, employee wellness programs support one of the most integral elements of a successful business – employee retention.”
Breaking Down Employee Wellness Programs
All successful employee wellness programs are grounded in six essential pillars:
Multilevel Responsibility
Naturalized Implementation
Personalized Relevance
Accessibility
Expert Partnerships
Inclusive Communication
Wellness programs that effectively implement all six pillars facilitate the strongest bonds between employees and their company – ultimately aiding in long-term retention.
1.Multilevel Responsibility
Just as businesses rely on every employee for different responsibilities based on their role within the organization, employee wellness is the responsibility of every team member to varying extents.
Executives
For wellness programs to succeed, executive-level management must demonstrate a serious commitment to employee wellbeing – past the company benefits. As leaders within their respective businesses, executives must champion organizational priorities. If employees don’t see a genuine commitment from their executive team, they won’t see wellbeing as a priority to their company either.
When MD Anderson Cancer Center in Houston began its employee wellness program in 1999, Wellness Coach Bill Baun took walks through the employee building with President John Mendelsohn. Having executive-level leadership initiate personal conversations with employees was a new practice for MD Anderson, but it encouraged an organization-wide acceptance and commitment to employee wellness.
Middle Managers
As the first line of communication for their respective teams, middle managers play a crucial role in establishing and developing mini cultures in the workplace. Middle managers are often the first line of support for employees, making them integral to identifying individual employee needs and championing wellness in the day-to-day.
In fact, according to Gallup, 70% of the variance in employee engagement in both work and wellness can be attributed to middle management – meaning managers can make or break a wellness program AND employee engagement in general.
Employees
At the end of the day, employees are responsible for engaging with wellness programs. While managers and executive leadership can encourage participation, employees hold power to decide for themselves. Because of the nature of opt-in programs, it’s up to the employee to decide if a program is right for them.
Wellness Champions
With large corporations, wellness champions frequently support employee wellness programs. Whether they act as program managers who develop long-term wellness plans or short-term consultants to help get programs off the ground, wellness champions are responsible for facilitating the necessary conversations to prioritize employee wellbeing.
2. Naturalized Implementation
Any company-wide shift takes time and commitment to make a long-term impact. While it’s not unusual for most wellness programs to start strong and slowly fade as priorities shift, this is not ideal for long-term wellness and retention.
Rather than implementing hard and fast changes that become deprioritized over time, businesses should see employee wellness programs as a natural extension of their identity and organizational goals. If the required changes are too drastic for employees, wellness programs will struggle to be accepted by the organization.
Rather than implementing hard and fast changes that become deprioritized over time, businesses should see employee wellness programs as a natural extension of their identity and organizational goals.
Nelnet, a financial services conglomerate, faced this problem when it first began implementing wellness programs. When it asked employees to complete a health screening to identify potential risk factors, they were confused. After receiving feedback, Nelnet brought in a wellness program manager to develop a more comprehensive strategy, and they reached a 90% participation rate in health risk assessments.
3. Personalized Relevance
It’s easy to think of employee health in a generalized manner. Wellness looks different for everyone based on various factors, including physical fitness, mental health, environmental circumstances, genetic background, and more.
So, how can organizations build a wellness program that suits their entire workforce? Many corporations opt for online HRAs (Health Reimbursement Arrangements) to guide their employee wellness investments. An HRA combines survey and test results to calculate a confidential health-risk status for each participant.
While persuading employees to complete an HRA or wellness survey can be difficult, participation often increases with substantial incentives. Johnson & Johnson achieved an HRA participation rate above 80% by showing employees that participants who actively seek recommended health counseling from their HRA results average a $500 annual reduction in personal health insurance contributions.
4. Accessibility
Accessibility is vital in any business initiative, and employee wellness programs are no different. Whether it's accessibility in price, location, or convenience, all employees should feel that wellness has multiple, easy-to-access points of entry that don’t detract from their daily responsibilities.
There are many ways to approach accessibility in wellness programs. Still, some of the most common include on-site integration, mobile or online access, and dedicated time blocks for employee wellness engagement. Chevron participates in the latter, conducting daily “stretch breaks” for each unit at separate times. This encourages breaks from work without detracting from overall productivity.
5. Expert Partnerships
To fully integrate employee wellness programs into existing practices, external support often helps. External wellness partners can better empathize with individuals within an organization and develop programs that maintain engagement across departments and divisions.
Ignition Coaching provides the leading solution for teams looking to maximize performance and wellbeing through dynamic coaching, training, and customized online offerings. Ignition Coaches help you assess and target customized interventions that meet your organization’s specific needs and better communicate with employees to create a thriving workforce.
Using tools, including Ignition Coaching’s proprietary WAVE™ questionnaire, you can measure an individual or organization’s resilience. You discover strengths and opportunities for growth across the areas of mindset, focus, vitality, and relationships.
The WAVE™ Model for Resilience teaches employees to find greater fulfillment at work and beyond. The program prepares you to navigate the ebbs and flows of life and provides the tools to face the tsunamis that can make them feel like you’re drowning in today’s volatile and uncertain world. Their practical, science-backed tools form the foundation for a healthy and balanced life. Wisdom looks at your mindset and builds greater self-awareness. Alignment explores your strengths, values, and skills to find a greater purpose. Vitality explores your physical and emotional energies, and Engagement builds your empathy and compassion for stronger relationships. These four pillars are all interrelated and can boost or deplete your wellbeing if not managed carefully.
6. Inclusive Communication
Lastly, inclusive communication from both middle management and leadership is essential for an employee wellness program to succeed. Business communications require nuance to ensure that no demographic, geographic, hierarchical, or cultural exclusions exist in organization-wide messaging, and employee wellness requires even more fine-tuning.
By ensuring that all wellness messaging never makes a specific individual or group feel excluded, businesses can truly show their workers that they are valued.
The Bottom Line
Healthcare and employee wellness is a significant workplace issue and can make or break a business. If employees don’t feel adequately supported, they will struggle to feel connected to their employers and, in turn, the companies they work for.
If your company is interested in developing an employee wellness program that meets your specific needs, check out Ignition Coaching’s Employee wellbeing Programs. You can equip your team with practical tools and strategies to better manage stress, boost performance, and improve mental and social wellbeing.
Sources
Beck, R., & Harter, J. (2022, May 9). Managers account for 70% of variance in employee engagement. Gallup.com. Retrieved from https://news.gallup.com/businessjournal/182792/managers-account-variance-employee-engagement.aspx
Berry, L. L., Mirabito, A. M., & Baun, W. B. (2014, August 1). What's the hard return on employee wellness programs? Harvard Business Review. Retrieved from https://hbr.org/2010/12/whats-the-hard-return-on-employee-wellness-programs
Purcell, J. (2019, October 29). Case study: SAP shows how employee wellbeing boosts the bottom line. Forbes. Retrieved from https://www.forbes.com/sites/jimpurcell/2019/10/28/case-study-sap-shows-how-employee-wellbeing-boosts-the-bottom-line/?sh=14b5fab32a4f
SAP-integrated report 2021. SAP. (2022, February 23). Retrieved from https://www.sap.com/integrated-reports/2021/en.html
Sherwin, J. (n.d.). A look into MD Anderson Cancer Center's Wellness Program ~ an employer case study. RSS. Retrieved from https://www.corporatewellnessmagazine.com/article/a-look-into-md-anderson-cancer-center-s-wellness-program-an-employer-case
Twin, A. (2022, February 17). Health Reimbursement Arrangement (HRA). Investopedia. Retrieved from https://www.investopedia.com/terms/h/hra.asp
Uzialko, A. (2022, June 29). The business costs of employees coming to work sick. Business News Daily. Retrieved from https://www.businessnewsdaily.com/11323-cost-of-coming-to-work-sick.html