Overview
U.S. employers pay twice as much on average for healthcare as employers in other developed countries, according to the Commonwealth Fund Health Care System Performance Ranking. Yet the U.S. ranks only in the middle on care process; second to last on administrative efficiency; and last on access, equity, healthcare outcomes and overall performance. And the cost of care in the U.S. continues to rise well above the rate of inflation, approximately 4% to 6% per annum, as it has for the past 40 years!
Progressive employers have moved past cost-shifting to their employees in an effort to redress some of the failings of the U.S. delivery system, with point solutions such as transparency and wellness. While many of these solutions appeal to employers’ and employees’ positive aspirations, they have failed to mitigate the cost trend or improve employee health overall.
How we help
Leveraging our unique inside understanding of how the U.S. healthcare system does and does not work, L.E.K. works with employers to develop customized solution packages proven to keep the trend flat while simultaneously improving the quality of care and employee satisfaction.
Employers are asking us the following key questions:
- What can we learn from high-performing health systems and other employers that have demonstrated an ability to deliver better employee health solutions?
- Given our workforce composition and health profile, which point solutions can impact trend, quality and satisfaction, and which solutions are a waste of money? How should these solutions be implemented to maximize employee engagement?
- How can we respect workers’ free will and earn their alignment — but ensure employees will respond when offered compelling options?
- How can point solutions be integrated to drive value that is greater than the sum of the parts?
- How can unilateral or collective action increase employers’ buying power with providers?
- What provider compensation models work to change providers’ behavior and hold them accountable?
- How can we leverage digital medicine for high-cost condition management?
- How can we better manage pharmacy spend and manage the direct and indirect costs of substance abuse?
We have advised leading employers and coalitions on strategies to take control of their healthcare spend. With our clientele of forward-thinking providers and payers, we know how to make the system work for employers. Through our transaction support and advisory work, we have a deep understanding of current winners and losers in the lineup of point solutions available to employers — from telehealth and digital wellness tools to “hub” portals and centers of excellence.
Most important, we are objective and uncompromised advisors for employers seeking insightful guidance that goes beyond benefit design — and without the sales pitch around preferred offerings.
