March 1, 1990

Explanation of Who You Are

No, I'm not being metaphysical here. I'm just attaching a note explaining who you will pretend to be as you read my proposal.

You will imagine that you are the personnel manager of the Automation Division of the Highway Department. The Automation Division employs approximately three hundred people. As you can tell from the name, the Automation Division employs mostly sedentary workers: analysts, programmers, managers, opertors, and technicians.

The personnel manager is the liaison between the Human Resources Division of the Highway Department and the employees of the Automation Division. This person is responsible for informing employees of any changes in departmental policy that will affect employees' health, safety, or finances.

M E M O R A N D U M

TO: Dr. David David McMurrey

FROM: Joan A. Student

DATE: March 1, 1990

RE: Proposal to Write a Feasibility Report for an Employee Wellness Program

The following is a proposal to conduct a feasibility study for the personnel section on the need for, and the benefits to be expected from, instituting an employee wellness program for the Automation Division of the Highway Department. The following proposal contains background on the need for and benefits from a wellness program, an outline of the work I plan to do, my qualifications, and a schedule. This study may have to be expanded to include the entire department. I understand that the Automation Division cannot arbitrarily effect such a drastic policy change. I look forward to hearing your ideas on the scope of this feasibility report.

Need for a Wellness Program

Current work and home schedules prevent employees from exercising enough. Current health insurance policies focus on curing illnesses rather than prventing them. Medical research has proven that healthy choices can prevent many diseases. The current system has resulted in steeply increasing group health insurance costs. Also, current budget restrictions force us to think of new ways to increase employee productivity.

Benefits of a Wellness Program

In the report, I will document the following: (1) wellness programs produce healthier employees, (2) healthy employees are more productive, (3) healthy employees file fewer health insurance claims, (4) healthy employees live longer, and (5) employee group health insurance costs will decrease.

Report Audience

I will address the report to you. However, I will target the report to the administration of the Highway Department and to the directors of the Employees Retirement System. As you know, the ERS negotiates and administers our group health insurance plans.

My Qualifications

I have worked for the Highway Department for thirteen years. I have been in the Automation Division for eight years. I have an eleven-year old son. I go to night school at Austin Community College. Therefore, I have personal experience with how difficult it is to find enough time during the day to exercise or to prepare healthy, nutritious meals. I have no experience in the medical or actuarial fields. However, I know that I can find documentation to support the establishment of a wellness program. Please review the tentative bibliography.

Plan for Feasibility Report

I will deliver the report to your office on April 26, 1990. Here is my plan for completing the project: 

	1. Library research			through March 15 
	2. Correspondence			through March 5 
	3. Review correspondence received	finish March 23 
	4. Conduct interviews			finish March 30 
	5. Write preliminary draft		finish April 18 
	6. Produce graphics			finish April 23 
	7. Finalize preliminary draft		finish April 25 
	8. Deliver preliminary draft		on April 2

Costs

There will be no costs involved in producing this study, other than the minimal costs of an hour a day for the next four weeks to do the study and write the report, and costs for typing, binding, and duplicating the report.

List of Graphics

A list of graphics I plan to use is presented here: 

  1. Health and longevity relationship	            Graph
	
  2. Health and absenteeism relationship	    Graph

  3. Reduction in health insurance costs by         Table
     companies that have wellness programs	   

  4. Cost of wellness programs versus cost of       Graph
     health insurance	                           

  5. Recent increases in group health insurance     Graph
     rates

Tentative Outline 


       I. Introduction

          A. Description of wellness programs
	  B. History of wellness programs

      II. Need for a Wellness Program

          A. Need to contain rising health insurance costs

             1. Private sector costs
             2. Public sector costs

          B. Need to increase productivity

             1. Budget restrictions
             2. Workplace constraints
             3. Employee-related problems

     III. Benefits of a Wellness Program

          A. Healthier employees
          B. More productive employees
          C. Lower health costs

      IV. Instituting a Wellness Program

       A. Workplace changes
       B. Education needs

          1. Nutrition education
          2. Exercise education
          3. Substance abuse counseling

       C. Cost
       D. Policy changes

    V. Conclusion

       A. Summarize benefits
       B. Summarize costs
       C. Recommend action

TENTATIVE BIBLIOGRAPHY

  1. "Advances in Preventive Medicine: New Ways Not to Get Sick." Cosmopolitan (November 1989), 272.
  2. "Better Than Cure." The Economist (October 3, 1987).
  3. Bloom, Jill. HMOs: What They Are, How They Work, and Which One Is Best for You. Tucson: Body Press, 1987.
  4. Brackenridge Hospital. Choices: A Catalog of Wellness Courses. Austin: The Hospital, 1985.
  5. Bud, Brian. Executive Guide to Fitness. Toronto: Von Nostrand Reinhold, 1982.
  6. "Cutting Back on Fringe Benefits." Management Today (October 1987).
  7. Dres, Fredrick R. and Jerel M. Zoltick and James B. Emerson. A Healthy Life: Exercise, Behavior and Nutrition. U. S.: Benchmark Press, 1986.
  8. Eilers, Robert and Robert M. Crowe. Group Insurance Handbook. New York: R. D. Irwin, 1965.
  9. Fein, Rashi. Medical Care, Medical Costs. Cambridge: Harvard University Press, 1986.
  10. "Fending Off the Leading Killers." U. S. News and World Report (August 17, 1987), 56.
  11. Harrington, Geri. The Health Insurance Fact and Answer Book. New York: Harper and Row, 1985.
  12. "Health." Encyclopaedia Brittanica. 15th Ed., 1986.
  13. "Health Costs: What? Me Worry?" Esquire (June 1989), 82.
  14. Health Insurance Institute. Source Book of Health Insurance Data. New York: Health Insurance Institute of America, 1988.
  15. "Health Insurance Trends in Cost Control." Monthly Labor Review (September 1986).

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