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Running head: HEALTH AWARENESS IN SUCCESSFUL BUSINESS 1
Healthy Awareness in Successful Business
Michael Calara Nevada State College
HEALTH AWARENESS IN SUCCESSFUL BUSINESS 2
Health Awareness in Successful Business The structure of the business and how higher executives can lead their employees are integral for the success of the business. Taking into consideration their employees health as a factor, worksite wellness programs are effective investments, as they can provide necessary help to stop unhealthy habits or even start the person on the right path to being more healthy. The mental health and overall wellbeing of an employee can be considered as a factor that contributes to how successful a business is. This can be defined as employee satisfaction; the employees are in a working environment that where they are committed to their duties because they are able to take pride in their role. There is encouragement and support from others within the company shows that they are not a disposable resource, waiting to be replaced by someone else. From a health & wellness stand point the idea is this; healthier people are able to contribute more to their well-being, workplace, and overall productivity. There are many chronic diseases on the rise - diabetes, the various cancers, hypertension, and heart disorders. These are added complications and if the standards are not there for those who need help, then it can be detrimental. If given the right attitude about one's own personal health and lifestyle, then those contributing disease factors can be less dangerous, which can be a big potential change. The employees, as well as the executives should be well aware if their health is going to be a liability, they should take effective steps to prevent a health incident from occurring. In order to create this culture of better health, there has to be a leader that can effectively motivate others to start being more aware. The McKinsey 7S model will be discussed and how it can be beneficial to the company and how to incorporate the wellness program. A brief overview of this model is that there are seven areas that can be individually looked at as well as different segments that connect with one another. HEALTH AWARENESS IN SUCCESSFUL BUSINESS 3
One area that could potentially be harmful to a company is the chronic work place diseases. The cost to cover chronic diseases has increased over the years which make it difficult to cover, and if a company cannot offer the proper working environment, then this can lead to unhealthier work habits. According to George DeVries and his writings, These costs can lead to over one trillion dollars a year. (DeVries, 2010). This can potentially lead to inadequate spending that a company cannot afford to do. However there are some prevenative steps in wellness programs that could negate the costs of spending resources to cover chronic diseases in the work pace. A huge push that helped this industry was the increased use in technology. With the use of new devices, better structured and comprhensive plans are developed, effective methods, and new incentives to achieve better wellness and participation, and ultimately overcome past challenges. In this journal article, George Devries identifies six different areas that contribute to a better wellness plan and the six categories are: Wireless Techonology, Integrated Wellness Solutions, Telephone Health Coaching, More Robust Programs to Enhance Participation, More meaningful Incentives, and Expanded Wellness programs (DeVries, 2010). Wireless technology as developed to the point where a small device can keep track the number of steps a person has walked during a work shift and transmit that data to their computer and able to download the password protected and private information. This type of techonolgy is creative in a way that it encourages the workers to get up and move. If every employee had that small device clipped on, overtime the steps add up, and hundreds of miles will have been calculated. The next three areas are all equally important, but they piggy-back off each in a few ways. Intergrated wellness solutions and telephone health coaching are more taylored to the individual but a common problem is weight gain and smoking. A wellness solution typically includes a specialist in stopping the habit of smoking - as this is considered pretty common, and HEALTH AWARENESS IN SUCCESSFUL BUSINESS 4
with over the phone coaching, both can point the direction of a healthier way. The more robust wellness programs want to have the employees to be actively enaged by offering incentives to those that join. Participation is huge because with no membership, the organization cannot implement health improvements to show the effect of change, reduce medical costs, and improve on employee production. Stress is another factor and these plans must have programs ready for this. Offering stress management classes, discounted gym memberships, relaxation thearpy, these are just a few ways to promote a work healthy attitude and the benefits. Another thought that should be taken into consideration is the effectiveness of worksite health promotion (WHP) (Nohammer, Stummer, Schusterschitz, 2011). Are the methods already in action benefitting the company or is it a slow methodically changes? To further look into this three different areas were taken into consideration for the overall wellbeing - physical/cognitive element, social component, and emotional factor. Nohammer, ET all, have stated, Strengthening the emotional components of WHP information and program elements is proposed for increasing participation rates and the subsequent individual benefits derived (2011). The point is to change behaviors and thoughts towards a more productive and healthier alternative. The encouragement from the worksite health promotion is perpetuating that healthy attitude. Instead of salty and sweet snacks, there are fresh fruit available, or instead of a 'smoke break' employees are encouraged to take alternative directions like walking around. These small miss-steps eventually add up and contribute to the rise of chronic diseases. With the change in physical levels, it is implied that a mental change comes along. Promoting positive influences at the work place and find ways to handle work related stress. However part of the commitment comes from the workers as participants enrolled in WHP. The increased awareness becomes more evident as a general trend is to stay away from the negative influences HEALTH AWARENESS IN SUCCESSFUL BUSINESS 5
and focus on the positive ones. It becomes almost integrated into the brain that these old habits are bad, and a person could be putting a lot at risk if they do not want to change their habits. A sign of improvement from the investment of WHP is if the employees are self-aware of their choices, motivation, and job satisfaction have changed in a positive trend, then it is shown to be an effective plan. An important factor that should be taken into consideration is employees with disabilities. Disabilities should not hinder a person from working, but if the organization cannot provide the proper support, it becomes more difficult to ensure safety for that worker. They become a potential liability, as they can struggle to complete tasks. A stigma associated with disabilities in workers is that because of the nonstandard work arrangements that are needed, many employers see that disability as an inability to work. Having that kind of attitude can negatively impact the disabled worker and can perpetuate negative biases. However, these types of attitudes and behaviors are more prevalent in middle to lower income workers or nonunionized organizations it is harder for these types of companies to provide support for those with health issues and without those handicapped experience lowered wages, fewer benefits, and great job insecurity (Shuey & Jovic, 2013). In order to determine the effectiveness of wellness programs, Companies can use sets of return on investment (ROI) to determine the how beneficial the program has. A return on investment is different from profits as profits directly measure how well the company is doing. Return on investment is money invested into a company or program and the return on the money is based on the total net profit for that business. Essentially if there are reduces costs that company is spending on their employees, than it is worth investing. The same is applied to companies willing to invest in wellness programs. Barlow and Weber in their article states that, HEALTH AWARENESS IN SUCCESSFUL BUSINESS 6
Simply put, if it can be demonstrated that the effects of a particular health care program reduced the companys costs over what they would have been without the program, we measureable savings and the basis for a valid ROI measurement (Barlow & Weber, 2012). Some current methods to determine if the ROI is positive are: Test/Control Group Methods (within here they had different set ups for the control groups); Population wide Analyses/ Historical Control Analyses; Longitudinal Studies of Participants; Qualitative Assessments. It is within the best interest that companies look to using more than one method to analyze their return on investments as it lead to producing more definite outcomes. The first method of using test and control group is looking at participants who are currently using the health programs versus those who are not enrolled. In this case the control group can be further sorted by employee demographics and then can be sorted by characteristics of the control group to match those of the test group (Age, gender, salary, medical care costs, chronic conditions, etc.); a more complex yet more accurate way to measure investments using this method. Taking out the human factor, this method only analyzes the raw numbers and data to see how much money is being spent on employees and savings if program was absent. It does not mention if the program works individually. Referred to as measurement of negative medical events (Barlow & Weber, 2012), Population analysis looks at the entirety of those in utilizing the program and the different medical or health related events. Medical events can include, number of sick days, hospital admission, emergency room visits, number of surgeries, new diabetic cases, etc. the list is quite extensive. By comparing these events, it can help determine what may be repeatable events that are costing the company. HEALTH AWARENESS IN SUCCESSFUL BUSINESS 7
Next methodology is longitudinal studies of participants, and this focuses on employees who currently have some sort of medical condition. They are looked at before starting the wellness program and afterwards to see if there was a difference in these medical events. This requires both medical vendor and the company to work together to analyze if the program has been effective. So for example an employee with back or spinal related issues can be a candidate for this method and if then they are observed to see how frequent has those spinal related issues have surfaced before entering the wellness program and then if the number of those incidents has decreased after entering said program, then it a positive result and worth the investment. However this requires the employer to work with every one of those individuals with any medical conditions and this requires the investment of time and effort more so than money. Something to keep in mind is that there may chance for regression than progression. The last type is qualitative assessments and this basically reports, forms, some sort of written feedback to compliment the raw data from the above methods. The purpose is to help explain what the numbers mean to employers is the investment working for those in the enrolled in the program or is the company losing money trying to get their employees in this program. This the opportunity to get input from those utilizing the program and hopefully give the company a more clear direction to focus what can be improved for the wellness program. In general if the reports reflect the numbers and it shows the company is still able to meet demands then it is essentially a positive return on investment. Incorporating wellness programs to benefit the employees to help drive success for the company, can analyzed by using the McKinsey 7S Model. Essentially, seven different areas can be analyzed individually or even when group together with their respective counterparts. The seven areas are shared mission, vision, values; strategy; structure; systems; staff; style; and skill. HEALTH AWARENESS IN SUCCESSFUL BUSINESS 8
When all areas are connected it a forms an intricate web that a company can use as their foundation for their workers. There are three areas of alignment that are important to effectively lead a team and motivate, especially if a company wants to better utilize the wellness program. The first area is known as the strategic link to success which aligns the strategy to the mission, vision, and values to the staff. Considered the backbone this area is where the right leaders are formed to implement the focus of the company with how they handle workers and customers. The next are is the Hard Ss which connect strategy to systems to structure. This section is how can leaders effectively execute their plan to achieve their vision of the company. On the opposite are the Soft Ss which the shared mission, vision & values to style to staff and to skills. The section is to ensure consistent efficient plan is implemented by the workers. Watson stated in his article about the 7S model, The key factors distinguishing the 7-S framework from the traditional approach to organizational effectiveness, in fact, focus on the change levers which leaders, as distinct from managers, have always manipulated to effect organizational change and to achieve superior performance (Watson, 1983). Essentially once all areas are looked at and even adjusted to better fit the overall vision; it will inevitably mean better sales, motivated workers, effective communication and overall better business. Part of the requirement of a successful business is staffing the right people to be leaders and get others motivated to keep up this culture of health. Motivation is a strong factor in business and this can be defined as the combination of forces that drive individuals to take certain actions and avoid others in pursuit of individual objective (Bovee & Thill, 2013), this is their definition of motivation. In other words, leaders have to get their workers motivated to stay committed to their work, aware of their surroundings, and support the company and its values. Leaders have to be engaging as in that mindset it helps bring that worker to perform at their best. HEALTH AWARENESS IN SUCCESSFUL BUSINESS 9
If the employees are not satisfied with how things are running, or their work experience is terrible, then chances are it will be detrimental for the company and will stop supporting the company. Rootedness can be referred to as the possibility of an employee quitting or staying those who are more engaged and feel as if they belong to this company, and then they are likely to stay with the company and stay motivated . Jerica Turek is who works closely with other students for Nevada State Colleges Student Government is seen as a mentor, leader, and friend, but she still finds ways to keep her team motivated. In an interview with Jerica Turek about motivation she has stated, I meet with students in groups and individually, and in every meeting, I focus on their goals and dreams. I help them to formulate strategies to meet those goals. I cheer with them when there is success, and am there as a shoulder to cry on when there is not. As a supervisor, I do the same for myself in the workplace (M. Calara, personal communication, November 1, 2013). Through proper motivation, commitment can be achieved and sometimes having the right kind of mentor can be very integral towards success. A company that is moving forward with the right type of leadership and motivation, is an organization known as Valve Corporation. Valve Corporation is a software based company and the founders of the company have structured it in way that it is not based on patriarchy type leadership. How Valve Corporation has structured their company is called horizontal organization or flat organization. According to Richard Hung, in his article he describes this as A horizontal management style should structure around core processes and increase the interaction of employees from different departments and foster close working relationships and better communication (Hung, 2006). Essentially, everyone is treated as an equal; no one is below or above one another. Even the founders of Valve Corporation are not ranked higher their HEALTH AWARENESS IN SUCCESSFUL BUSINESS 10
regular employee. According to Valve Corporations New Employee Handbook, Thats why Valve is flat. Its our shorthand way of saying that we dont have any management, and nobody reports to anybody else. We do have a founder/president, but even he isnt your manager. This company is yours to steertoward opportunities and away from risks. You have the power to green-light projects (Valve Corporation, 2012). This company is relinquishing control to their workers, allowing them to work on any projects they so desire. They value the talents and skillsets each employee brings and wants them to further develop these talents. Inevitably there will come a time where a leader is required, but that person is seen as a resource for those assigned to that project, not as someone assigning tasks to be completed. Empowering their own employees allows for a less stressful working environment, where potentially more work can be done is going to lead towards success. A proper combination of business structure, employee management, and if it is worth the investment, worksite wellness programs can contribute towards success. Employees should be aware of their health status and take preventative steps before any further problems arise. This can be achieved via wellness programs as long as the commitment becomes vital to their health. Any company is willing to let their own employees make their own directives and still become successful or potentially world renown, then it is clear the company founders have figured out how to properly lead their team.
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References Barlow, R. G., & Weber, D. (2012). Determing the Value of Wellness Programs. Benefits Quarterly , 8-15. Bovee, C., & Thill, J. (2013). Business in Action. New Jersey: Pretence Hall. Calara, M. (2013, November 1). Personal Interview with Jerica Turek. DeVries, G. T. (2010). Innovations in Workplace Wellness: Six New Tools to Enhance Programs and Maximize Employee Health and Productivity. Compensation & Benefits Review, 46- 51. Hung, R. (2006). Business Process Management as Competitive Advantage: a Review and Empirical Study. Total Quality Management, 21-40. Nohammer, E. S. (2011). Improving employee well-being through worksite health promotion? The employees perspective. Journal Of Public Health, 121-129. Shuey, K., & Jovic, E. (2013). Disability Accommodation in Nonstandard and Precarious Employement Arrangements. Work and Occupations, 174-205. Valve Corporation. (2012). Handbook For New Employees. Bellevue: Valve Press. Watson, C. (1983). Leadership, Managment, and the Seven Keys. The McKinsey Quarterly, 44- 52.