The transformative power of digital benefits
Why digitization is growing in importance
Rapid digital transformation is a priority for organizations all over the world. Firms must not only make changes to their business delivery, but also create a truly digital work experience for their employees.
This has been accelerated by COVID-19 and the workforce transformation it set in action. Employee expectations are changing. Two-in-five workers say they are less likely to leave the company if their employer promotes or sponsors digital health solutions. As such, HR teams must design employee experiences that are fit for a flexible, digital working environment.
Fortunately, accelerated digitization has led to an explosion in digital health and well-being programs, which have become more relevant and have gained significant traction.
However, people management practices have not kept pace with other technological developments. Risks involving cybersecurity, loss of personal information, and system obsolescence are heightened due to how HR data is maintained, and how benefits and other HR programs are delivered.
Providing a consistent digital experience
Getting started on your digitalization journey
Five questions those responsible for HR and risk must ask to ensure that policies and practices are relevant and effective:
Are we confident the risk of a breach associated with HR data is sufficiently mitigated?
Are employees’ personal details such as salary or dependent information being shared with third parties using spreadsheets? Is that a risk you are comfortable with?
Are our HR processes aligned to the employee experience we are seeking to create?
81% of employers said that achieving a ‘globally consistent employee experience’ is a ‘high priority’, and its importance has increased year-on-year since 2018.
Have we modernized our health programs in light of a rapidly changing digital health ecosystem?
Prior to the pandemic, 68% of employers said they were likely to invest in digital health in the next five years. Interest was strongest among employers in high-tech, manufacturing/construction, and financial services/insurance.
What is our digitization strategy?
Make sure you know who is driving digitization in your organization, and what contribution is needed from HR and the enterprise risk management team in order to craft a cohesive digital agenda.
Is our employee experience for managing benefits “consumer-grade”?
Sadly, for many employees, enrolling and accessing benefits is still a frustrating experience. Over the coming years, the bar will continue to be raised. At a minimum, even if programs are highly fragmented, employers must determine what their digital approach to health, risk protection, and wellbeing programs is and then work to continuously improve by delivering a more simple, fun, and integrated experience over time.
The challenges facing organizations today
of HR and risk managers agree that accelerated digitization poses a serious threat to their business.
say cybersecurity issues are likely, and 59% say these risks could have a catastrophic impact.
Related insights
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Benefits optimizationTransform business processes and future-proof your strategy with technology. Thrive in an ever-changing world with a digital benefits strategy that enhances employee experience, reduces administration, addresses compliance, and minimizes operational risks. Achieve more with technology-driven benefits.
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