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Realizing the promise and Competitive Advantage of a: “Thriving, Healthy, High-Performing and Sustainable Workplace and Workforce” June 12, 2015 ©2015 Edington Associates Edington Associates LLC Shared Values-Shared Results: Health as A Win-Win Organizational Philosophy
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©2015 Edington Associates 2 Questions to Address the Future State of Wellness What will be the Future State of Wellness and Well-Being (Build on our Strengths) 1. Maintain the course of Prevention, Wellness and Well-Being (Controlling risks and evolving to Quality of Life) 2. Evolution to The Clinical Man (Quantifiable Man/Woman) (Using wearable technology to report clinical and other measures) 3. Develop a Healthy Organizational Environment, Culture and Climate (Create a Culture and Environment where Health Thrives and Flourishes) 4. Evolve to a Shared Values-Shared Results: Health as a Win-Win Organizational Strategy/Philosophy Taking Health and Wellness to a Higher Level
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©2012 Edington Associates3 First Story 1978 to 2008 From The Unknown: (Risks to Costs Relationship) to Low-Risk - Low Cost (Zero Trends) Health as a Serious Economic Strategy
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©2012 Edington Associates4 Estimated Prevalence of Health Risks OVERALL RISK LEVELS Low Risk = 0-2 risks Medium Risk = 3-4 risks High Risk = 5 or more OVERALL RISK LEVELS Low Risk = 0-2 risks Medium Risk = 3-4 risks High Risk = 5 or more From the UM-HMRC Medical Economics Report Estimates based on the age- gender distribution of a specific corporate employee population Health Risk Measure Body Weight Stress Safety Belt Usage Physical Activity Blood Pressure Life Satisfaction Smoking Perception of Health Illness Days Existing Medical Problem Cholesterol Alcohol Zero Risk High Risk 41.8% 31.8% 28.6% 23.3% 22.8% 22.4% 14.4% 13.7% 10.9% 9.2% 8.3% 2.9% 14.0%
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Low Risk Excess Diseases Associated with Excess Risks (Heart, Diabetes, Cancer, Bronchitis, Emphysema Percent with Disease Med Risk Age Range High Musich, McDonald, Hirschland, Edington. Disease Management & Health Outcomes 10(4):251-258, 2002.
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©2012 Edington Associates6 Excess Medical Costs due to Excess Risks Edington, AJHP. 15(5):341-349, 2001
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Change in Costs follow Change in Risks Cost reduced Cost increased Risks ReducedRisks Increased Updated from Edington, AJHP. 15(5):341-349, 2001. Overall: Cost per risk reduced: $215; Cost per risk avoided: $304 Actives: Cost per risk reduced: $231; Cost per risk avoided: $320 Retirees 65: Cost per risk reduced: $214; Cost per risk avoided: $264
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©2012 Edington Associates 8 Natural Flow: by Risk Status 1640 (35.0%) 4,163 (39.0%) 678 (14.4%) High Risk (>4 risks) Low Risk (0 - 2 risks) Medium Risk (3 - 4 risks) 2,373 (50.6%) 21,750 (77.8%) 4,546 (42.6%) 10,670 (24.6%) 4,691 (10.8%) 27,951 (64.5%) 11,495 (26.5%) 5,226 (12.1%) 26,591 (61.4%) 892 (3.2%) 1,961 (18.4%) 5,309 (19.0%) Modified from Edington, AJHP. 15(5):341-349, 2001 Average of three years between measures
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©2012 Edington Associates9 Cluster Analysis Health Measure Cluster 1: Risk taking (N=6688) Cluster 2: Low Risk (N=3164) Cluster 3: Biometrics (N=3100) Cluster 4: Psychological (N=3927) Baunstein, Yi, Hirschland, McDonald, Edington. Am. J. Health Behavior. 25(4):407-417, 2001 Smoking Alcohol Physical activity Safety belt usage Body mass index Systolic blood pressure Diastolic blood pressure Cholesterol HDL cholesterol Self-perceived health Life satisfaction Stress Illness days Overall Risks Low risk (0-2 risks) Medium risk (3-4 risks) High risk (5+ risks) Average Number of risks 50.2% 35.7% 14.1% 2.8 97.6% 2.4% 0 0.6 26.5% 48.9% 24.7% 3.6 18.9% 35.9% 45.2% 4.4 31% 10% 28% 36% 27% 9% 5% 19% 34% 13% 4% 9% 21% 0% 25 % 0 % 19 % 10 % 0 % 16% 3% 19% 22% 38% 81% 61% 27% 33% 9% 2% 12% 27% 5% 26% 31% 27% 23% 20% 22% 24% 28% 73% 76% 26%
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©2012 Edington Associates 10 Natural Flow of a Population by: Risks-Costs-Age Low Annual Medical Costs Med Risk Age Range High Non-Participant Edington. AJHP. 15(5):341-349, 2001
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1.Risk status is related to costs (pain and Suffering) 2.Excess costs are related to excess risks 3.Risks travel in clusters 4.Change in costs follow change in risks Controlling risks leads to Zero Trends IF people and organizations control and maintain their risks 11 Learnings from the First 30 Years
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©2010 Edington Associates 12 The Promise of Zero Trends Zero Trends: Health as a Serious Economic Strategy (2009) required 30 years of complexity* to arrive at simplicity First Part of Zero Trends Do not get worse Help the low-risk stay low-risk Help the high-risk move to low-risk Second Part of Zero Trends Use the five pillars to move to a Culture of Health Engage Strategic, Systematic, Systemic and sustainable strategies Measure What Matters to the Organization and the People *800 articles and presentations, over $60M total revenue. From 2 to 34 staff per year
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13 Vision from Zero Trends Zero Trends provides a transformational approach Populations throughout the world live and work within a thriving, healthy, high performing and sustainable workplace and workforce Based upon over 900 Publications and Presentations
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©2014 Edington Associates14 Second Story (Part A) 2009 to 2025 From “Low Risk-Low Cost:” Health as a Serious Economic Strategy To Individual and Organizational Health
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15 Business Strategy for Health ©2014 Edington Associates
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16 Living and Thriving Assessment Individual Supportive Community Supportive Family and Friends Supportive Workplace Thriving Employee ©2012 Edington Associates Living and Thriving Assessment
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What is SELF-LEADERSHIP? Self-leadership is the process of purposefully… engaging in change making thoughtful decisions having resilience which builds on strengths and is continuously learning and growing in thriving relationships 17© 2012 Edington Associates
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Vision for Self-Leadership in Individuals Personal Control Optimism Self-Leadership Resilience Confidence/ Self-efficacy Self- Esteem Knowledge Health Literacy Negotiation Skills Vitality/Vigor Consumerism Engaged patient role Social Support − Colleagues − Community − Family Environment and culture 18 © 2012 Edington Associates Other characteristics: Mindfulness, Integrity, Trust, Thrive, Enthusiasm, Ethical, Spiritual, Creative, Flexible, Gratitude, Low-Risks and Behaviors Purpose, Values, Mission, Vision
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Positive Outlook Happiness Brain Health Emotions & Intuitions Mental Shortcuts and Biases Environment Values Purpose Vision Focusing on Strengths Positive Reframing Creating a Plan for Change Fundamental Skills to Build Life Skills
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©2015 Edington Associates20 Second Story (Part B) 2009 to 2025 From Individual and Organizational Health to Shared Values-Shared Results: Health as A Win-Win Organizational Philosophy
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21 Business Strategy for Health ©2014 Edington Associates
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22 Thought Questions: A Game Changer for me Think about “healthy” individuals: What words would you use to describe the most outstanding low-risk people you know? Are all low-risk individuals the same? Think about “successful” companies: What words would you use to describe the best of the workplaces you know? Are all workplaces the same?
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©2015 Edington Associates23 Challenge for 2015-2025 How can we make today's positive outliers tomorrow's norm? What if anything will we do differently?
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©2014 Edington Associates24 New Knowledge Driving Future Trends in Health The science behind thriving and positive outlook New insights in mind-body connection Forming good habits while replacing old habits The impact of context: Environment, Climate, Culture and Social Support Cultivating intrinsic motivation Decision making, change, resilience New methods, measures and metrics (ROI-VOI-VOC)
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Positive Psychology – Evaluation of positive emotion (the pleasant life), engagement (the engaged life), and purpose (the meaningful life). Positive Health – Examines positive subjective, biological, and functional health. Positive Neuroscience – Explores the neural mechanisms of human thriving and flourishing. Positive Organizational Scholarship – Study of positive outcomes, processes, and attributes of organizations and their stakeholders. Positive Leadership – Process of cultivating positive climate, positive relationships, positive communication, and positive meaning in work and overall life ©2015 Edington Associates25 Increase in “Positive” Disciplines
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26 Redefining Success for Individuals and Organizations © 2014 Edington Associates We imagine flourishing organizations whose criteria for success is about more than just power and wealth creation. Positive Organizational Health We see a world where healthy, thriving and high-performing individuals are engaged in high quality meaningful work, collaborating with creative and inspired colleagues in healthy, thriving and high-performing organizations where they feel supported, valued, and challenged. Positive Individual Health Win-Win Philosophy: Shared Values-Shared Results
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©2015 Edington Associates27 Three Major Themes
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©2015 Edington Associates28 The Promise of Shared Values-Shared Results Shared Values-Shared Results: Health as a Win-Win Organizational Strategy (2015) Shared Values Value of Health Employees Organization Shared Results A Win-Win Strategy Employees Organization The Promise Employees and the Organization Share the Value of Health and Win-Win Philosophy
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©2015 Edington Associates 29 Holistic Model or Medical Model for Individuals Medical Model Focus on Sickness (defects) Focus on Weaknesses Focus on risks and behaviors Focus on stress reduction Reduce body weight Reduce Personal Weaknesses Focus on cost-avoidance Holistic Model Focus of Wellness (holistic) Focus on Strengths Focus on Wellness/Well-Being Focus on appropriate stress Focus on natural body weight Build new competencies Focus on top line revenue
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©2015 Edington Associates30 Integrated Dimensions of Health (Thriving Individual)
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Pillar 2: Positive Organizational Health (Support Positive Outliers) Pillar 5: Measure What Matters Pillar 4: Recognition (Approaches that Build Intrinsic Motivation) Thriving Individuals Healthy Foundations Pillar 3: Positive Individual Health (Create Conditions for Positive Outliers ) Healthy Environment Healthy Climate and Culture Healthy Relationships At the Workplace Pillar 1: Senior Leadership (Collaborate to Create and Live a Shared Vision) Aligned purpose, values, mission and vision All stakeholders share value At Home, and With Family, Friends In the Community Shared Values-Shared Results (Continuous Evaluation and Meaningful Feedback) ©2015 Edington Associates
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32 How both Employees and Employers Win with Shared Values – Shared Results EmployeesOrganization Maintain health High energy levels Ability to do meaningful work Opportunity to grow and thrive Autonomy and creativity Adequate compensation Respect and recognition Safe and reasonable work design Positive relationships More Quality products and services Superior customer experience Appropriate employee turnover Appropriate absenteeism Appropriate productivity Innovation Profitability Great place to work Loyalty and enthusiasm More
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©2015 Edington Associates 33 Measure What Matters
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©2015 Edington Associates34 Our Fundamental Belief We believe that everything that happens in an organization impacts the wellness and well-being of the organization; impacts the wellness and well-being of the individual stakeholders; and, impacts the wellness and well-being of families and the community.
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©2012 Edington Associates35 Going Forward What’s The Point?
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Phone:734.998.8326 (USA) Email: dwe@edingtonassociates.com jspitts@edingtonassociates.com acamilleri@edingtonassociates.com jmrichardson@edingtonassociates.com jeanettemay@edingtonassociates.com Website: www.edingtonassociates.com Address:Edington Associates LLC 1300 Bardstown Trail Ann Arbor MI 48105 ©2014 Edington Associates36 Thank you for your attention
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