Chapter 3: Health and Productivity Management

Abstract

SUMMARY This article focuses on the emergence of Health and Productivity Management (HPM) as a context for understanding the integration of health and wellness into employee assistance and work-life programs. Major factors influencing the growth of HPM are raising medical costs as well as the rising incidence of obesity. The Wake-up Call to Corporate America underscores the need to manage these costs and improve health through the proactive alignment of health-related benefits and programs. HPM is described as an integrated approach to capture direct medical costs as well as the indirect costs associated with poor health and lost productivity. Critical design and implementation features that are likely to contribute to a successful integrated approach are described and highlighted. An HPM case example of a large pharmaceutical company examines a unique cross referral program including considerations for continuous improvement. Finally, the article concludes with key challenges related to marketplace competition, pricing pressures, concerns regarding the sub-optimization of programs and the influence of current health care system changes.