Creating a World-Class Culture through Well-Being

LEVERAGING WELL-BEING TO CREATE A
WORLD-CLASS CULTURE
HP Live
March 1, 2013

Rosie Ward, Ph.D., MPH, MCHES, Certified Intrinsic Coach®
Health Management Services Manager, RJF

WHAT WE PERCEIVE AS “WELLNESS”
Low Number of Sick Days Regular Preventive Care

Normal Cholesterol
Healthy Weight
Eating Fruits

Physically Active
Use alcohol in
Manage Stress
moderation
Normal Blood Pressure
Non-Smoker
Normal Glucose
Getting Enough
Sleep Eating Vegetables
Use Sunscreen
Low Fat, High
Fiber Diet Wear Seatbelts
MARSH & McLENNAN AGENCY LLC February 22, 2013 1

1

WHEN EMPLOYEES FEEL “UN-WELL”

Company Doesn’t Care Pulled in too many
directions at work &
home
No time for me
OVERWHELMED Not enough
Worried about resources
layoffs Too much to do
Co-workers Don’t
Feel Trapped in my job Care
Unrealistic Company Don’t like what
All work and no play Demands I’m doing

MARSH & McLENNAN AGENCY LLC February 22, 2013 2

Section 1

WHY CULTURE MATTERS
The Link to Well-Being

2

ORGANIZATIONAL CULTURE

MARSH & McLENNAN AGENCY LLC

CULTURE IS CRITICAL!!!

• Employee engagement scores haven’t improved much after
years of effort ; Culture is the differentiator and what is
missing.
• If a culture works, everything works better.
- (200 companies) “Positive” cultures grew average of 682%
over 11 year study period compared to 166% for “Weak”
cultures.
- 2001 Field Study (UCLA): Departments behaving most
consistently with company’s desired culture perform better
financially than those without cultural buy-in.

MARSH & McLENNAN AGENCY LLC 5
Source: Adrian Gostick & Chester Elton, All In: How the Best
Managers Create a Culture of Belief and Drive Big Results (2012)

3

“Culture eats strategy for
breakfast, operational
excellence for lunch, and
everything else for dinner!”
~Peter Drucker


7

4 KEYS TO A WORLD-CLASS
CULTURE

• Trust: employees and management
operate with the utmost integrity
• Respect: employees and management feel
valued
• Effective Communication: clarity
of vision,
purposeful listening and meaningful
messaging
• Meaningful Relationships: employees
and
management view each other as valued
partners

4

INDIVIDUAL WELL-BEING

5 Universal, Interconnected
Elements:
• Career Well-Being
• Social Well-Being
• Financial Well-Being
• Physical Well-Being
• Community Well-Being


WELL-BEING CONSIDERATIONS

• 66% of people thriving in 2 areas. • 70-100 = Thriving
– Only 7% of people thriving in all 5 areas. • 40-69 = Struggling
• <40 = Suffering
• Struggling/Suffering people have 2x
higher new medical costs due to disease
burden (2008-2009) compared to those
who are Thriving.
• People with high quality friendships at
work are 7x as likely to be engaged in
their work.

Source: Rath & Harter (2010), The Economics of Wellbeing

5

LIFE EVALUATION & MEDICAL
CLAIMS

Thriving
Average 20% Lower
Medical Costs
7.0

Struggling
4.0
Suffering
Average 50% Higher
Medical Cost

Source: Gallup-Healthways Well-Being Index Community Survey and Wellmark Corporate Survey (2008)

THE REALITIES OF WORKPLACE
STRESS IN AMERICA

• 39% of adults report increased stress over past year; 44%
report increased stress over past 5 years. (APA, Jan. 2012)
- Main sources of stress: Money (75%) , Work (70%)

• 80% of workers feel stress on the job. (American Institute of
Stress, 2011)

• Workplace stress is as bad for the heart as smoking &
high cholesterol. (JAMA, Oct. 2007)
• 90% of all visits to primary care doctors are related to
stress. (JOEM, Oct. 1998)


6

COMPONENTS OF A
COMPONENTS OF A
PSYCHOLOGICALLY HEALTHY
PSYCHOLOGICALLY HEALTHY
WORKPLACE WORKPLACE
Work-Life
Balance
Employee
Health & Well-Being
Employee Safety
Involvement
Communication

Employee Organizational
Employee Growth & Functioning
Recognition Development

MARSH & McLENNAN AGENCY LLC Source: American Psychological Association (APA), Psychologically
Healthy Workplace Program (PWHP)

BENEFITS OF A PSYCHOLOGICALLY
BENEFITS OF A PSYCHOLOGICALLY
HEALTHY WORKPLACE
HEALTHY WORKPLACE
U.S. Average 2012 PHWA Winners

80%
70%
60%
50%
40%
30%
20%
10%
0%
EE Turnover EEs Reporting EEs Intending to EEs Who Would EE Satisfaction
Chronic Work Stress Seek Employment Recommend as
Elsewhere Good Place to Work

Source: American Psychological Association (APA), Psychologically Healthy Workplace
MARSH & McLENNAN AGENCY LLC Program (PWHP); APA’s 2012 Work Stress Survey

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A CULTURE OF BELIEF:
Exponential Engagement

Attachment to Engaged
the company &
willingness to
give extra effort
A work
Enabled environment
that supports
productivity &
performance

Individual Energized
physical, social
& emotional
well-being at
work

COMPETITIVE ADVANTAGE OF E + E + E

27.4%
3x Higher
Operating
Margin 14.3%
9.9%

Companies Companies Companies
with Low with High with High
Engagement Engagement Levels of
E+E+E


8

LESSONS FROM ZAPPOS!

• Focus on company culture as
the #1 priority!
- Culture dedicated to EE empowerment
& delivering happiness through satisfied
customers and valued workforce

• Help employees grow personally and
professionally


17


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Section 2

CAREER WELL-BEING
The Trump Card for Success


WHAT IS BEING ASSESSED?

1. Would you describe your work as monotonous?

2. How satisfied are you with your job?

3. How tense or anxious have you been in the past
week?

These three questions are part of a screening that is more
than 80% accurate at predicting what?


10

ENGAGEMENT CONTINUUM

Enrolled

Exponentially
Engaged


ENGAGEMENT & PHYSICAL HEALTH
ENGAGEMENT & PHYSICAL
HEALTH
Effect of Work Life on Health

2% 1% 1%
12% 22%
30% 39%
62% 54%

25%
23%
30%

Engaged Not Engaged Actively Disengaged

Source: Crabtree, Gallup Management Journal (2005)

11

DISENGAGEMENT & MENTAL WELL-
BEING

10.4%
8.8%
7.6%
6.4% 6%
4.6%
1.7x Increase for Disengaged EEs
compared to Engaged EEs

Engaged Not Engaged Actively Disengaged

% Dx with Depression Over the Next Year

% Dx with Anxiety Over the Next Year

Source: Robison, Gallup Management Journal (2010)

IMPACT OF A NEGATIVE WORK
ENVIRONMENT OF A NEGATIVE WORK
IMPACT
ENVIRONMENT
• Elements of negative work environment:
– Dissatisfaction with job
– Authoritative rather than collaborative leadership
– Lack of trust and openness at work
– Lack of focus on individual strengths

• Employers eliminating even just ONE of these negative factors will
see one of the greatest improvements in well-being and return on
employee investment

Source: Gallup-Healthways Well-Being Index – Oct. 2008 Results

12

SUPPORTING CAREER WELL-BEING

• Comprehensive Leadership Development Plan
- Long-Term (shifting thinking / communication) and Day-
to-Day tactical (feedback, recognition, safety, well-being,
company vision in practice, etc.)
- Current AND Future leaders

• Clearly defined Talent Management philosophy
• Clearly defined Career Ladders
• Meaningful Employee Recognition


Section 3

DEVELOPING LEADERS
A Critical Component to Career Well-Being


13

LEADERSHIP CREATES CULTURE

50-70% of employee’s
perception of the
organization’s climate
can be traced to the
actions of the leaders.

Sources: Consortium for Research on Emotional Intelligence in Organizations (2001);
MARSH & McLENNAN AGENCY LLC Adrian Gostick & Chester Elton, All In: How the Best Managers Create a Culture of Belief
26
and Drive Big Results (2012)

27

LEADERS’ ROLE IN WELL-BEING

• Leaders shouldn’t ignore well-being as if it’s
beyond the scope of their jobs.
• People who agree their manager cares about them
as a person:
– Are more likely to be top performers
– Produce higher quality work
– Are less likely to be sick
– Are less likely to change jobs
– Are less likely to get injured on the job

Source: Rath & Harter (2010), Wellbeing: The Five Essential Elements

14

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ENGAGEMENT / WELL-BEING
REQUIRES A SHIFT IN THINKING

• Only 29% of employees believe management
cares about them developing their skills.
• Only 42% believe management cares about
them at all.
• Creating credibility and trust requires showing “I
care” and mean it.
• Sustainable culture change requires shifting
thinking.

Source: Stephen M. R. Covey, The Speed of Trust; Senn Delaney consulting

29

WHY DON’T WE ACT IN OUR OWN
BEST INTEREST?

“Leaders don’t have time for the future because they’re too
busy with the present.” ~ Muhammad Yunus

“To transform the world, we must first transform ourselves.”

Source: Tony Schwartz, “Why Don’t We Act in Our Own Best Interest?”, Harvard Business
Review (Jan. 2012)

15

BRAINS ARE LIKE RW CDS

“Scientists estimate that the average person has
50,000 to 60,000 thoughts a day. 90% of those are
repetitive. 85% of the repetitive thoughts are
negative. If leaders have approximately 45,900
negative thoughts a day, and, their followers are doing
the same, the most important skill that leaders can
develop is training the mind to lead.”
–~Suzanne Kryder, Ph.D. (www.themindtolead.com)


IT ALL COMES DOWN TO
LEADERSHIP…

Organizational Effectiveness & Health Determined by:
• Who leaders are BEING, not what they’re doing.
• Cohesive leadership teams
• Leaders recognizing when their thinking isn’t serving
them
• Leaders being intentional vs. habitual in their thinking
and actions
• Leaders recognizing the importance for their ongoing
development.
Sources: The Arbinger Institute, Leadership and Self Deception (2010); Patrick Lencioni, The Advantage
(2012

16

ASSESS YOUR COMPANY’S CAREER
WELL-BEING
• We conduct a culture survey at least every 2 years,
communicate the results and use it to target change and
improvement efforts.
• We already have or are working on establishing a high-trust
environment.
• We have a comprehensive leadership development plan that
includes current and future leaders.
• We have clearly defined career paths and talent management to
foster ongoing employee growth and development.
• We recognize and celebrate employee personal and
professional achievement in ways that are meaningful to them.

Section 4

SOCIAL WELL-BEING

17

SOCIAL CONNECTEDNESS MATTERS!
• Higher levels of social
connectedness associated with:
– Lower blood pressure
– Lower obesity rates
– Lower risk of cancer and
diabetes
– Better immune responses
– Lower levels of stress hormones

MARSH & McLENNAN AGENCY LLC Source: Uchino, et al. (1996). The relationship between social support and physiological processes: A review with emphasis on
underlying mechanisms and implications for health. Psychological Bulletin, 119 (3), 488-531.

35

RELATIONSHIP OF WORK AND SELF
RELATIONSHIP OF WORK AND
SELF

Outcomes Outcomes

Part 1 – Part 1 –
Work Side Work Side

Part 2 – Part 2
Self Side Self Side

Source: Byrum, Ph.D. / Judgment Index™

18

36

REASONS EMPLOYEES LEAVE

1. The job/workplace was not as expected
2. Mismatch between job and person
3. Too little coaching and feedback
4. Too few growth & advancement opportunities
5. Feeling devalued and unrecognized
6. Stress from overwork and work-life balance
7. Loss of trust & confidence in senior leaders.

Source: Leigh Branham, “The 7 Hidden Reasons Employees Leave” (2005)

WORK-LIFE BALANCE

• Summer Hours
• Telecommuting
• Job Sharing
• Unlimited PTO
• Network “Shutdown”
• ROWE


19

OTHER SOCIAL WELL-BEING
SUPPORT EXAMPLES
• Parenting Classes / Parenting Network
• Elder Care Classes
• Adoption Assistance
• Social Support Networks
• Onsite Childcare
• Work-Life Reimbursements
• Personal Day Purchase Program
• Welcome Atmosphere for Children & Dogs
• Hobby/Interest Clubs


HEALTH ADVOCATE™

• Highly trained personal health advocate
– Finding a provider; making appt. with hard-to-reach
specialists
– Helps members understand their benefits and how to
access care; helps resolve billing disputes.
– Elder care needs.
– Health Cost Estimator™

• Eligible population: EE, spouse, parents, in-laws


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FAMILY WELLNESS RESOURCES


Section 5

FINANCIAL WELL-BEING


21

THE IMPACT OF FINANCIAL WELL-
BEING
• Low Financial WB can lead to stress, anxiety,
insomnia, headaches and depression.
– Financial Security has nearly 3x the impact of income
alone on overall well-being.
– Only 6% of EEs strongly agree their organization does
things to help them manage their finances more
effectively.


RESOURCE EXAMPLES
• Financial Planning, Budgeting, Counseling Resources
• Employee Welfare Fund
• Emergency Loan Fund
• Interest-Free Computer Loan
• Payroll Deduction to pay overtime:
– Weight Watchers
– Fitness Classes
– Etc.


22

Section 6

PHYSICAL / EMOTIONAL
WELL-BEING


“ENERGY MANAGEMENT”

Vs.


23

SUPPORTING EMOTIONAL WELL-
BEING
• Holistic Stress-Management (Brian Luke Seaward) –
www.brianlukeseaward.net

• Resiliency-Building Resources / Shifting Thinking
Patterns:
– John Weaver, PsyD / Healthy Thinking Program
(www.preventingdepression.com)
– Intrinsic Coaching® (www.intrinsiccoach.com or
www.isintl.com)


HEARTMATH®

• Stress & Well-Being
Survey™
– Physical Vitality
– Emotional Vitality
– Social Connectedness
– Spiritual Connectedness
– Overall Well-Being
www.heartmath.org


24

LEVERAGE EAP RESOURCES

• Provide QUALITY EAP:
– Training for managers
– Training for EEs
– In-person visits
– Reinforce regularly (topic specific)

• Training/consistency for EAP referrals


49

ENVIRONMENT SUPPORTS
PHYSICAL WELL-BEING
• Environment Critical – need to make better choices
EASIER for people!


25

Section 7

COMMUNITY WELL-BEING


THE IMPACT OF COMMUNITY WELL-
BEING
• People thriving in career well-being) are 20-
30% more likely to give back to their community.
• Physical Well-being Benefits of Volunteering
(100 or more hours per year):
– Greater longevity
– Higher functional ability
– Lower rates of depression
– Less incidence of heart disease


26

RESOURCE EXAMPLES
• Volunteer:
– PTO Policy for volunteering
– Company-wide charitable giving & volunteering
– Volunteer match; reimbursement of charitable fitness events
– Charity Miles (www.charitymiles.org)
• Sustainability:
– Green building (energy policies, building design)
– Recycling
– Bike / Carpool to work programs
• Feeling Safe Where You Live


Section 8

PUTTING CONCEPTS INTO ACTION
The Journey Towards World-Class


27

SHIFTING FROM BEHAVIOR CHANGE
TO CULTURE

“Behavior change is really the mantra of wellness,
but if a person achieves a lifestyle behavior change,
only to return to the same unhealthy environment,
what can we expect will happen? We set up
wellness for failure if we don’t work on improving
the environment and culture before we work on
individual behavior change.”
(Dee Edington, Ph.D., The Art of Health Promotion, Sept./Oct. 2012)


MOVING BEYOND “WELLNESS
PROGRAMS”

• Position Well-Being as a
BENEFIT of employment
• Support Better THINKING
through Intrinsic Coaching®
development and services
• Strengthen Career Well-Being


28

PUTTING “ROI” INTO PERSPECTIVE


LESSONS FROM AWARD-WINNING
ORGANIZATIONS


29

ASSESS YOUR COMPANY’S OVERALL
WELL-BEING
• We provide quality support and resources for employees in the
areas of well-being employees where they are most wanting
support.
• We provide equal support and resources in all areas of well-being.
• Well-being is positioned as a BENEFIT of employment and/or
communication platform and is part of the company identity,
including consistent and clear communication practices.
• Our workplace environment and policies support total well-being.
• Total Well-Being is a critical component of creating our desired
culture.


WRAP-UP

• Based on what you’ve learned today what is beginning
to open up for you that might impact the well-being of
your organization?


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CONTACT INFORMATION

Rosie Ward, Ph.D., MPH, MCHES,
Certified Intrinsic Coach®, Certified Valuations Specialist

Health Management Services Manager
RJF, a Marsh & McLennan Agency LLC company
wardr@rjfagencies.com, (763) 548-8861
www.rjfagencies.com
www.DrRosieWard.com


© Copyright 2013. RJF, a Marsh & McLennan Agency LLC company. All Rights Reserved.

The content provided in this presentation is proprietary and confidential and not for distribution without written consent from MMA.

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Creating a World-Class Culture through Well-Being

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