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    North America

    Wellness at Volvo/MackThe Real Truth

    Jeffrey Burtaine M.D.

    Medical Director: Volvo / Mack North America

    Aldo Cipriotti

    StayWell Senior Program Coordinator: Mack

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    North America

    History

    1. Program began in 2000, when Mack was

    owned by Renault

    2. We hired StayWell with J+J being a very

    close second.

    3. Program lasted approximately 2 years until

    the truck market went in the tank (3 to 4year cyclical market)

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    History

    4. Program more of a delightful add on ratherthan a Company sponsored cultural change

    effort.5. World Headquarters building was already

    smoke free. Factories went smoke free in2000

    6. Began the program again,with StayWell,June 2004.

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    Why Wellness Now??

    1. AB Volvo bought Mack Trucks late 2001.

    a. Work life balance very important in

    Sweden

    b. Corporate Value: Respect for the

    Individual.

    c. Successful global company with large

    pocketbook.

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    Why Wellness Now??

    d. Already had versions of wellness in

    Sweden ex. Lifestyle West

    e. Trying to get control of, and understand,

    American health care and American labor

    costs.

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    Why Wellness Now??

    2. Jeff Burtaine works at Volvo/Mack

    a. Started one of the first hospital based

    wellness centers, 1982.

    b. Had gotten high enough in the Company

    to have political influence.

    c. Had the enthusiasm and energy to

    pursue this dream.

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    Why Wellness Now??

    d. Understood that it had to be part of theculture, not an add on.

    3. Joe Huxta, health benefits manager, worksat Mack.

    a. Understood that the health care cost

    trend was out of control.b. Understood that a multi-facetedapproach was needed.

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    Why Wellness Now??

    c. Understood the link between healthieremployees and healthcare costs without

    insisting on hard data to start with.4. Kaye McLeod is in charge of benefits for

    Volvo NA, Joes boss.

    a. Also understood the link betweenhealthier employees and costs. Had faith inJoe and his analysis.

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    Why Wellness Now??

    5. The CEO of AB Volvo had a heart attack.

    a. When he recovered he called the

    Presidents of Mack and Volvo NA and told

    them to put state of the art fitness facilities

    in their administrative office buildings.

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    What Results Do We Hope For?

    1. Highly successful participation figures

    memberships in fitness centers, % of HRA

    participants, numbers attending classes, lectures,stop by booths etc.

    2. Behavior change resultsstop smoking, lost

    weight, controlled blood pressure etc.

    3. Number of employees in high risk groups

    dropping to medium or low risk, StayWell data.

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    What Results Do We Hope For?

    4. Changes in presenteeism as judged by self

    report questions on HRA.

    5. Changes in absenteeismpresently this

    data is not available until we switch to SAP.

    6. Changes in dollars spent on health care

    claims. StayWell is currently working withour third party vendors.

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    Global Implications

    1. We want the same programs globally,starting with the big three: France, Sweden,

    USA2. Another corporate valueVolvo will have

    among the healthiest employees in theworld.

    3. A corporate health and well being steeringcommittee at AB Volvo

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    Global Implications

    4. Three major expectations for Volvo employees:

    Business objectives, Personal growth objectives,

    Health and well being objectives. Put all three inthe Personal Business Plan (PBP)?

    5. Cultural Support/Buddy SystemPeer

    encouragement.

    6. Health Risk Analysis Screening (HRA) in the big

    three countries.

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    Global Implications

    7. EAP (employee assistance programs) in

    Europe following the American model.

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    Results

    Health care expense trend is flattening

    2003 11.7%

    2004 8.9%

    2005 2.1% (Partly due to union

    negotiations and costsharing)

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    26% 34%

    58%56%

    15% 10%

    0%

    25%

    50%

    75%

    100%

    P ast Cur r e nt

    Percent

    at Risk

    0-2 Risks 3-5 Risks 6+ Risks

    Mack Trucks

    2/23/2006

    31% 36%

    57% 56%

    12% 8%

    0%

    25%

    50%

    75%

    100%

    P ast Cur r e nt

    Percent

    at Risk

    0-2 Risks 3-5 Risks 6+ Risks

    Volvo

    2/23/2006

    Program yielded a

    6.5% reduction in

    health risks for Mack

    employees, which

    exceeds expectations

    by 3.5%. [N=734]

    Program yielded a

    4.5% reduction in

    health risks for Volvo

    employees, whichexceeds expectations

    by 1.5%. [N=801]

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    $4,183

    $3,946

    $3,800$3,850$3,900$3,950$4,000

    $4,050$4,100

    $4,150$4,200$4,250

    Past Current

    AvoidableCo

    sts

    (000s)

    $3,803

    $3,543$3,400

    $3,500

    $3,600

    $3,700

    $3,800

    $3,900

    Past Current

    Avoidable

    Cost

    (000s

    )

    Based on health risk reduction,

    program yielded an estimated

    savings of $322/participant

    Based on health risk reduction,

    program yielded an estimated

    savings of $320/participant

    Mack

    Volvo

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    HEALTH FOR LIFE

    A Snapshot of Wellness at Volvo and Mack

    North America

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    Millions of years50 years

    THINK ABOUT IT

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    Mack Top Health Risks

    Weight (72%)

    Eating (72%)

    Stress (65%)

    Exams (62%)

    Cholesterol (57%)

    Mack # of Chronic Conditions

    68% report having 1 or more

    41% - 1 Chronic Condition

    28% - 2 Chronic Conditions

    31% - 3+ Chronic Conditions

    Volvo Top Health Risks

    Weight (71%)

    Eating (66%)

    Stress (62%)

    Cholesterol (61%)

    Exams (58%)

    Volvo # of Chronic Conditions

    65% report having 1 or more

    43% - 1 Chronic Condition

    22% - 2 Chronic Conditions

    25% - 3+ Chronic Conditions

    WHY WELLNESS ? THIS IS WHY

    2004 Results of Company Health Risks for Non-Bargaining Unit Employees: Total Participants 2,162

    Tool: StayWell HealthPath Health Risk Assessment

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    Mack Top Health Risks

    Weight (75%)

    Eating (72%)

    Exams (69%)

    Stress (67%)

    Cholesterol (66%)

    Mack # of Chronic Conditions

    65% report having 1 or more

    41% - 1 Chronic Condition

    27% - 2 Chronic Conditions

    32% - 3+ Chronic Conditions

    Volvo Top Health Risks

    Eating (77%)

    Weight(76%)

    Exams (70%)

    Stress (68%)

    Cholesterol (68%)

    Volvo # of Chronic Conditions

    66% report having 1 or more

    36% - 1 Chronic Condition

    29% - 2 Chronic Conditions

    35% - 3+ Chronic Conditions

    2005 Results of Company Health Risks for Bargaining Unit Employees: Total Participants 1,846

    Tool: StayWell HealthStep Health Risk Assessment

    WHY WELLNESS ? THIS IS WHY

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    Health for Life

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    Components

    On-Site Management: Mack and Volvo Headquarters NA

    Expansion: ManufacturingPlants: NRV & Powertrain Q4 2006

    Committee: Eleven active members participating monthly

    HRA: HealthStepand HealthPath: Online and Paper

    Biometric Screenings: Total Cholesterol, HDL, Glucose, BP

    Campaigns: Nutrition, Stress, Exercise, Weight Management

    Workshops: Focused delivery on a variety of topics

    Disease Management: Work with health plans

    Next Steps: Intervention ProgramHealth Behavior Change

    Fitness Programming: Fitness Centers on-site

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    North America

    Mack Program Participation

    N (2005) % N (2004) %

    Mack HRA

    NBU940 70% 976 73%

    Mack HRA

    BU985 36% N/A N/A

    Biometric

    Screenings1,861* 43% 872 63%

    Onsite

    Programs15,000** N/A N/A N/A

    *Program expanded from 1,300 eligibles to 4,300 in 2005

    **Includes total touches for onsite programs such as: campaigns, workshops, courses,

    massage, stop by booths and more.

    Mack Trucks

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    Volvo Program Participation

    N (2005) % N (2004) %

    Volvo HRA

    NBU1,183 61% 1,186 61%

    Volvo HRA

    BU861 30% N/A N/A

    Biometric

    Screenings1,809* 40% 1,034 54%

    Onsite

    Programs13,000** N/A N/A N/A

    *Program expanded from 1,950 eligibles to 4,600 in 2005

    **Includes total touches for onsite programs such as: campaigns, workshops, courses,

    massage, stop by booths and more.

    Volvo

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    Winners of the INDIVIDUALINDIVIDUAL Competition:

    1st Place: Participant

    Lost 16.91%2nd Place: ParticipantLost 15.33%3rd Place: ParticipantLost 14.98%

    Winners of the TEAMTEAM Competition:

    1st Place: Team BTL Lost 13.05%2nd Place: Team Dead Weight Lost 12.76%

    3rd Place: Team Gut Busters 11.34%

    Total Weight Loss for Volvo and Mack

    7,957 lbs7,957 lbs

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    Our Strengths

    Philosophy:Not Just Another Wellness Program: ProgressiveCompany Support:North America(Mack / Volvo NA) and Global

    (AB Volvo- Jeff Burtaine Influence on Global Application)

    Programming: Comprehensive Program Delivery to Mack / VolvoEmployee Participation/Support: Bargaining and Non-Bargaining

    On-Site Delivery Team: Wellness & Fitness Components

    Dedicated Committee: Representation by Key Personnel/Locations

    Research Tools: Building the Case/Outcomes Study

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    N th A i

    Moving into the

    Future.