Reducing risk with centralized EB managementFor most business areas, reducing risk is a priority. However, creating an efficient and powerful centralized system for business processes such as Employee Benefits management can seem too complex to initiate, even if it does help to reduce risk.
Read on to discover how a simple-to-set-up, centralized Employee Benefits can lower risk on many fronts, including:
- Reducing employee risk
- Mitigating future business and financial risks
- Increasing protection against data loss and inefficiency
Building a resilient workforce
When we refer to “risk” in a corporate setting, often we’re thinking of financial risk specifically. However, risk can come in many forms - and one of them is employee risk.
Organizations are having to work harder to attract great talent, as expectations for Employee Benefits rise. At the same time, health risks are increasing - with the population living longer, health spending globally is projected to grow at a rate of 5.4% to reach $6.2 trillion by 2028. To highlight the change, in 1950, the global average life expectancy stood at 47 years - as of 2020, it was 73 years.
Providing corporate health insurance can help to not only drive employee engagement, but lower risk. With their health protected, employees are less likely to take unnecessarily long times off for unresolved medical issues and stress. Great candidates are also more likely to join the business, reducing the risk of hiring people who aren’t appropriate or skilled enough for the role.
To reduce employee risk - both from hiring insufficient talent and from absences due to health issues - employers should:
Create evidence-based corporate healthcare insurance programs
Understand your staff’s actual needs and fit your corporate insurance policy for employees around them. A tailored insurance program that has taken into account various data (absence data, health benefits data, employer liability claims data etc.) is more likely to reduce employee risk and appeal to candidates looking for the best health provision as part of their role.
Offer access to the best healthcare in the world
Does your corporate medical insurance offer access to wellness options and extra services? With telemedicine and virtual consultations, employees can get a quicker and more efficient diagnosis and treatment, lowering the risk of needing extensive periods of sick leave.
Use a centralized, global system for Employee Benefits management
From a monetary perspective, a multinational employer can reduce their financial risk by choosing to purchase insurable Employee Benefits on a global basis with regional sensibilities. You can save money on your premium spend with the right Employee Benefits consultancy and a centralized system that’s designed to reduce risk and increase efficiency.
Mitigating financial risk with centralization
Centralizing operations can often seem daunting to businesses, particularly when they are multinationals working across multiple regional fronts. There’s a concern that the nuances of regional legislation, requirements and know-how can be lost with an international system - but there are ways to centralize without losing this refinement.
Issues with centralization that companies often worry about include:
- Business inflexibility
- Reduced team motivation or increased burden
- Increased bureaucracy and paperwork
However, if the value of this centralization is more than 10% - suggests McKinsey - these centralization concerns are worth the risk.
Particularly with Employee Benefits management, financial risks are reduced with factors such as economies of scale and the ability to be flexible on renewals. Centralization can provide greater transparency over inefficiency and where costs can be cut. It can also reduce the risk of data being lost - multiple regional systems can often not “talk” to one another properly and data safety can vary.
Businesses looking to centralize should:
Ensure that centralization is promoted from the top-down
Centralization can be difficult to implement without the support of the higher-ups in a business. Deciding to reshuffle responsibility for e.g. regional corporate health insurance to a singular centralized system based out of headquarters can be met with resistance if the benefits and reduced risk is not highlighted properly. Ensure that the upsides of a centralized system - multinational pooling, cost savings and more - are clear to staff.
Use the right technology to enable centralization
Centralization only mitigates risk when the technological backbone of the system can cope with a business’s demands. Using one centralized system created by experts, rather than a mix of different regional systems, can reduce errors in reporting, highlight inefficiencies more effectively, and reduce financial risk.
Reducing risk with centralized Employee Benefits management
The ASN WEB EB Dashboard was created as the result of years of expert Employee Benefits consultancy. With intimate knowledge of the worldwide Employee Benefits that candidates are looking for and the expertise to develop a sophisticated system that can source and manage corporate health insurance, the ASN-WEB team have designed intelligent software to help you centralize stress-free.
“Companies that choose not to centralize put themselves at higher financial, people and data risk,” says Balazs Kaposvari, Employee Benefits insurance expert at ASN-WEB. “We help to mitigate compliance risks and protect financial investments with a technological solution that can flex as companies require.”
This Software as a Service (SaaS) solution provides:
- Global policy set-up and administration
- Worldwide insurance policy sourcing
- Virtual pooling creation and management
- Renewal support and revision options
- Data acquisition for centralized dashboards
- Data evaluation for simple comprehension of claims and multinational pooling results
- Employee Benefits optimization
Our software becomes your Employee Benefits consultant and administrator in one. Risk is reduced alongside effort, helping your teams to work more efficiently and with less administrative headaches.
We pride ourselves on our user-friendly system, which provides access to our trusted partner network with contacts in more than 40 countries. Our detailed dashboard gives you increased power over your risk management.
We offer you:
- Better control over Employee Benefits-related costs and risks
- Easy-to-manage Employee Benefits plans
- Consistent and comparable reporting
- Facilitated multinational pooling
- Secure connections to trusted insurance providers
- Get in touch now to see how we can help you reduce your business risks.