Managing benefits today can feel like playing a rigged game where the odds are stacked against you. Employers are caught in the middle of a complex and broken system controlled by healthcare providers, insurance companies, and brokers. Employers are paying more for deteriorating benefits creating a workforce that is frustrated and financially stressed out.
Today, CFOs live in a world of Zero-Based Budgeting (ZBB) where all expenses must be justified. However, the ZBB approach is not applied to healthcare costs as this balance-sheet liability continues to be one of the biggest sources of revenue leak inside most organizations. By effectively managing the healthcare supply chain, CFOs can successfully bring certainty and predictability to the bottom line.
Healthcare is the biggest financial threat our country faces and the primary driver behind the unsustainable rise in health insurance costs employers face today. Brokers play a pivotal role in creating a brighter future for employers and the employee benefits industry. However, success requires the role of the broker to shift to that of a healthcare supply chain manager.