These days, a wellness program is no longer a “nice thing to have” and has really become a necessity. Employers are beginning to see real returns on their wellness investments not only monetarily, but also in productivity and workplace morale.
Spring plays a number of roles in wellness program projects for our clients. Most commonly, our wellness work includes developing wellness products and analyzing and assessing vendors for clients.
As part of our ongoing wellness services, Spring maintains a regularly updated, comprehensive database of wellness products and providers. This proprietary database includes key company information, including statistics on size, leadership and service categories like, health risk assessment, biometric screenings, health coaching (weight loss, tobacco cessation, stress reduction, nutrition, etc.), engagement/incentive programs, health fair, education (group and online), onsite health clinic, financial wellness, exercise programs, and other services.
Once implemented, wellness programs are monitored for cost savings by measuring the impact of these programs on stakeholder retention and overall morale. Key to successful outcomes and return on investment (ROI) from implementation of wellness products is stakeholder engagement in programs. Connecting an employer to the most appropriate vendor(s) is paramount.
Our ROI model takes into consideration a number of variables beyond the typical calculation – the amount saved as a result of implementing a wellness program (e.g., lower health care spending) divided by the dollars spent on the program. We help you create a baseline looking at several meta-studies showing that organizations with effective approaches to wellness have programs with a substantial ROI that typically grows over time.
A Harvard University study of 100 peer-reviewed journal articles, “Workplace Wellness Programs Can Generate Savings,” found that a properly designed wellness program can expect to yield an ROI of 3.27:1 on health care cost reductions and another 2.73:1 on absence and related costs after about three years. According to Larry S. Chapman, M.P.H., an expert on wellness programs, who conducted the Meta-Evaluation of Worksite Health Promotion Economic Return Studies: 2012 update, a meta-study of 56 peer-reviewed journal articles, the more recent studies documented ROI in the range of 6:1 compared to 3:1 in the older studies. He also discovered it generally takes three to five years for wellness programs to realize their full impact.
Whether you are looking to implement a workplace wellness program or evaluate your current program, contact our team for more information about our wellness services.