Active Financial Administration Shifts as New HR Obligation
Marcy Klipfel, serving as the chief engagement officer at Businessolver, plays a significant role in overseeing the entire HR department and promoting a high-performance culture. With rising healthcare costs projected to increase by an average of 9% in 2025, the pressure is on to optimize expenditures and boost efficiency in the HR department.
Transforming this department into a business performance lever capable of driving ROI can be achieved by focusing on organizational stability, employee engagement, and strategic investments. Here's how to accomplish that:
4 Strategies for Effective Cost Management
Proactively managing costs is essential for HR teams to thrive under tight budget constraints while maximizing employee engagement. Here are some strategies incorporating AI, mental health support, wellness programs, and outsourcing to empower your HR department:
1. Implement AI for Greater Efficiencies
Employ AI to streamline tasks, reduce costs, and prioritize strategic initiatives. Use tools like virtual assistants to provide 24/7 support, automate routine tasks, and leverage predictive analytics for insights. This can drive productivity, resulting in decreased costs and time spent on manual labor.
2. Prioritize Mental Health in the Workplace
Mental health issues often lead to lost productivity and high costs. By proactively addressing mental health stigmas and toxicity, HR teams can help create healthier workplaces. Implementing programs and fostering open dialogue can improve overall well-being and reduce sick leaves, turnover, and other associated expenses.
3. Prevent Catastrophic Claims with Wellness Programs
Evaluate data such as claims and participation analytics to identify wellness trends, which can help prevent or manage health issues. Implement educational initiatives and wellness programs to tackle issues like diabetes, heart disease, or high blood pressure before they escalate, ultimately saving money on medical costs and reducing lost productivity.
4. Leverage Outsourced Tech Solutions
Assess your technology spending to expose hidden or unplanned expenses and improve overall efficiencies. Implementing a fully outsourced benefits administration tech model may involve higher initial investment, but ultimately reduces need for headcount and offers a higher level of service.
In conclusion, HR teams need to become proactive in managing costs without sacrificing employee well-being. Strategies such as AI, mental health support, wellness programs, and outsourcing can drive efficiencies, peak productivity, and long-term success for both your team and organization.
Marcy Klipfel, acknowledging the importance of cost optimization in the HR department due to rising healthcare costs, emphasizes the role of Businessolver in implementing these strategies. By using AI, Marcy believes that efficiencies can be greatly improved, as virtual assistants can automate routine tasks and provide 24/7 support. Guardrails need to be in place to ensure that automating processes doesn't lead to neglecting employees' mental health, a matter that Marcy also considers of utmost importance.
