INFLUENCING QUALITY OF LIFE BY IMPROVING HEALTH

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INFLUENCING QUALITY OF LIFE BY IMPROVING HEALTH Ericsson s approach to wellness Case Study

Introduction Ericsson, a Fortune 500 company with employees around the globe, is one of the leading providers of Information and Communication Technology with about 40 percent of the world s mobile traffic carried through its networks. Ericsson s investments in innovation have delivered the benefits of telephony and mobile broadband to billions of people around the world. Ericsson s benefits, branded E-Care, offer a wide variety of opportunities for employees to enhance their overall well-being. From financial assistance to employee recognition, Ericsson provides assistance across multiple aspects of everyday life. As a multiple health award winner, Ericsson has demonstrated essential values that contribute to a thriving healthy workplace: vision, culture/ engagement, learning, expertise, metrics and technology. Prior to partnering with Vitality in 2012, Ericsson understood the opportunity it had to positively influence the quality of its employees lives through improving their health. Ericsson took early steps to begin its wellness journey by branding their wellness program E-Health and conducting annual health fairs at its largest locations. With a continuous drive to expand and evolve the program, Ericsson partnered with Vitality with the goal of offering a premium employee experience with immense choices in holistic wellness categories including physical activity, education, prevention, communication, and a focus on verified engagement. With the combination of Vitality s expertise in delivering evidence-and databased strategies, and Ericsson s commitment to enhancing and supporting its employees health and well-being, a sophisticated and robust offering was established that is supported by the factors on the following pages.

2 ERICSSON CASE STUDY Proactive Yearly Program Strategy Ericsson and its Vitality wellness strategy manager leverage monthly, quarterly and annual reports to help shape the strategy of the program. This provides Ericsson with the ability to deploy interventions such as challenges in ways that align with the needs of its population. Additionally, the insight gained from the reporting helps form communication strategies to target messages, themes and initiatives to members based on the uniqueness of the members within a specific location, or the population as a whole. Doing this has given Ericsson a strategic focus and the ability to deliver campaigns on specific initiatives throughout the year. Themes include physical activity, nutrition, mental health and prevention. Social and Communication Strategies Using reports to analyze the level of member engagement, Ericsson tailors its communications around quarterly themes which are tied to their top risk factors. Those factors are also the focus of education to further improve overall health and of Ericsson-created initiatives for employee participation. One of these initiatives includes a Mindfulness Scavenger Hunt, designed for employees to find the answers to questions across various Ericsson benefit websites. Additionally, Ericsson created Nutrition Bingo, which provides immediate gratification by awarding Vitality Points for taking selfies while participating in healthy activities. Further activities include walking days, quarterly Lunch n Learns and men s and women s prevention weeks. Leveraging its proactive and ongoing strategic planning for the program, Ericsson has established an internal central communication point that allows for easy delivery of informational and promotional digital signage. Communications include multiple articles delivered each month promoting Vitality events. Ericsson and Vitality also strongly collaborate on communication initiatives, leveraging both the passion and insight that Ericsson has for enabling better health and wellness for its members, and Vitality s marketing and communication resources. This allows Ericsson to deploy targeted effective communication through multiple channels. Ericsson Communication Channels Newsfeed posts: displaying on the member portal homepage, and creating awareness of company initiatives, challenges and resources Newsletters: promoting all Ericsson events, information, benefits resources and initiatives Digital signage: driving awareness of the program by placing promotional information about it around the office Yammer: internal, company-wide networking

The effort and dynamic approach Ericsson uses to communicate to its members have led to increases in program participation each year, as seen in the Results section of this study. Additionally, Ericsson has tapped into two influential social approaches that motivate people to participate in the program: establishing a champions program and conducting challenges. Ericsson has tapped into research on the effects that social networks especially those in the workplace can have on people s health by establishing E-Health Champs. Champs are colleagues in the organization who are ambassadors for the program and are empowered to communicate to, and motivate, their fellow colleagues to engage in the offerings available through the program. On a quarterly basis, the E-Health Champs have an event titled Meet the Champs, in which champs distribute flyers about the current focus-area and answer related questions from members. Ericsson changes its lead champ each month. The new lead champ then works with the on-site wellness strategy manager to coordinate and promote upcoming events. Lastly, challenges have been a key to driving awareness, fun and ultimately, participation in the program. Ericsson strategically runs challenges to maximize the awareness and impact on engagement throughout the year. For example, to help members become aware of the multitude of holistic engagement activities in which they can participate, Ericsson starts the year with a Points Challenge. Members, including spouses, earn Vitality Points as incremental rewards for participating in the program. Teams of members then compete to achieve the highest number of Vitality Points through all pointsearning activities. This leads to members exploring the program and engaging more broadly. Other key challenges throughout the year include workout, health risk assessment, mental wellbeing, and steps challenges. Each takes place over the course of multiple weeks and in team formats to maximize the influence that social networks have on behavior. They are administered through the Vitality program portal.

4 ERICSSON CASE STUDY Incentives Incentives play a significant role in motivating people to engage in a wellness program. Ericsson embraces what research and Vitality data show by tapping into powerful behavioral rewards that influence people s lifestyle behaviors. Ericsson has deployed a gym rebate program in which a member has to work out a certain amount of times to receive his or her gym rebate. Not only does the program motivate members to join a gym, but the rebate incentivizes them to increase physical activity levels. Ericsson offers rewards through the Vitality Mall. Built within the Vitality member portal, the mall is constructed of a broad set of leading consumer brand offerings from fitness devices to gift cards. The Vitality Mall is designed in a way to appeal to the broadest set of members and provides motivating rewards that encourage members to participate in the program. Vitality Points earned through various activities are converted to Vitality Bucks which members can use for mall purchases. Achieving a significant amount of Vitality Bucks requires long-term participation in the program, tapping into principles of new habit-forming behavior. An additional strategy Ericsson deploys is the use of gift cards to incentivize engagement. Initially, gift cards were given when members completed the Vitality Check, a biometric screening, and the Vitality Health Review, a lifestyle questionnaire. Now, Ericsson uses Vitality Status as a measure for an additional gift card incentive. Vitality has established a status-based system using metallic bands to quantify the amount of a member s engagement. From bronze to platinum, achieving a higher status level requires active participation in the program. For example, it takes members approximately 3.5 months to achieve Silver Vitality Status. This means that members have to repeat behaviors over a longer period of time before their incentive is reached. Knowing that people behave in ways in which they are being measured, status is a powerful place to anchor your incentives, which is why Ericsson awards the additional gift card to employees who reach Silver Vitality Status.

Culture Ericsson has yielded success and recognition for its program because - from the top of the organization down - there is the belief that improved health and wellness improves the quality of its employees lives. It s not just about leveraging what Vitality has embedded within it. It s also important to bring in important elements of Ericsson s organization and culture, beyond traditional wellness. One such example is the promotion of the American Heart Walk. An initiative important to Ericsson, employees were encouraged to join a team or volunteer at the event and in return received Vitality Points for their participation. In 2017, Head of Ericsson North America was the chairperson for the Dallas Heart Walk which further boosted participation in the event.

6 ERICSSON CASE STUDY Results The commitment and effort by Ericsson have led to its receipt of numerous awards recognizing its program, as well as: increases in member engagement, reduction in health risks and overall improvements in member satisfaction. Most recently, Ericsson was included in the list of the Top 100 Healthiest Workplaces in America, and awarded the Gold Achievement Fit-Friendly Worksite by the American Heart Association in 2016, and received Silver status in the Workplace Health Solutions Index in 2017. Notable Results 31 % members are considered highly engaged (Gold status and above) 10 % increase in activities completed per member per month 10 % net improvement in health risk factors for higher engaged members (Gold status and above) 80 % of employees participate in the program

2018 Vitality Group International, Inc. All rights reserved.