How Analytics Can Help Businesses Make Better Benefits Decisions
Posted on August 1, 2017
According to Bersin by Deloitte Research, in 2016, companies experienced a massive 120 percent increase in correlating their people data to business performance. Obviously, merely mining HR data is no longer enough; you have to actually do something with it. Today’s organizations have an operational business imperative to extract insights about their workforces that are informed by data.
It’s important to your clients that they have the capability to access this employee data to develop a competitive benefits strategy (especially when it comes to voluntary benefits), and help ensure they are best positioned to attract and retain top talent. But, designing highly tailored programs, products, benefits plans, services and rewards takes time and can cost a great deal of money.
“Today, People Analytics is poised for a revolution, and the catalyst is the explosion of hard data about our behavior at work.” – Ben Waber, Sociometric Solutions and author of People Analytics
Help Your Clients Choose the Right Benefits Package with Data
Your clients’ employees rely on them to deliver a mix of options that satisfies their individual needs. You’re charged with helping your clients in determining the best products at the best price. But how can you be sure you’ve designed the optimal package to meet the unique needs of their workforces, while, at the same time, ensuring they can still financially support the strategic goals of the business? Achieving the precise balance requires that you have the right level of transparency into actionable benefits data.
Trusted advisors help determine which solutions will best complement the core medical plans, but without thorough insight into how these plans are being used, that’s going to be nearly impossible to do. Modern data analytics tools can eliminate the guesswork, drilling down into claims data and workforce demographics to help identify gaps in coverage and better understand what their employees value the most. This data enables you to develop a highly specific, comprehensive benefits strategy that addresses the needs of everyone in each organization.
So, What Do Employees Want?
Millennials – Millennials generally are more interested in financial benefits. This group may be more driven than prior generations by their belief that Social Security will either run out or be insubstantial when they retire. Only about one in twenty count on getting the same level of benefits as today’s retirees. For plan designers, understanding Millennials’ insecurities in this sense might help them to create innovative programs such as retirement planning tools, information, and seminars aimed at workers still in their twenties.
Gen X – According to a MetLife survey, Gen X is raising kids, so they may be responsible for their children’s medical expenses as well as their own. Since this group is likely to have children in age groups that are prone to accidents (especially sports and playground injuries), 52% would be very interested in having more health plans to choose from.
Baby Boomers – A growing frequency of chronic conditions makes this generation high consumers of health care. So, much like Gen X, 52% of Boomers would be very interested in having more health plans to choose from, but for very different reasons. They also seek to protect their retirement savings against the risk of unexpected out-of-pocket medical expenses.
Having the ability to dig deep into employee data can make all the difference in customizing these benefits programs for your clients. Paycor’s Workforce Insights provides a new way for small to mid-sized businesses to meet this need.
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