Benefits administration iscoming to the fore as an area where savings can be made, but aone-size-fits-all approach to benefits will simply not do. (Photo:Shutterstock)

The rising cost of employee benefits can no longer be ignored.Mercer's National Survey of Employer-Sponsored Health Plans2017 showed that, for example, employers are struggling tocontrol the cost of pharmaceuticals, which is due to rise more than7 percent by the end of 2018. Our Global Employee Benefits Watch report alsofound that achieving “tighter control of global costs” has becomean even higher priority initiative in the last year for63 percent of respondents. Benefits administration is comingto the fore as an area where savings can be made, but a one-size-fits-all approach to benefits willsimply not do.

Related: Increasing enrollment starts with employeeengagement

Today's employees resist categorization. They want theirindividuality acknowledged and supported by their organization. Atthe same time, they seek consistency at every touchpoint with theirorganization. Technology holds the key to meeting theserequirements, enabling organizations to deliver a consistentmessage and experience, and the flexibility to meet individualrequirements. So how do you deliver an experience that meets theneeds of a diverse set of employees while controlling costs?

Put a defined benefits strategy in place for the long-term

Benefits teams can't expect to meet the cost control goals oftheir organization if there is not a long-term strategy in place.While most organizations have either already implemented – or areon their way to implementing—a global benefits strategy, theresearch reveals a mismatch between what organizations want toachieve and how their benefits strategies meet (or rather fail tomeet) these goals. Only one in three organizations said theirbenefits strategy “is aligned to their people strategy” and nearlyone in five either do not know if it's aligned to their peoplestrategy or admit that it is not aligned at all. The first priorityfor organizations needs to be putting a benefits strategy in placethat factors in their long-term people and business goals.

Live out your company values through your benefitsoffering

When determining that long-term strategy, companies must factorin their company values and culture. Employees don't just want toknow what their organization stands for – they want to experienceit firsthand. So, every touchpoint that an employee has with theiremployer must resonate with what their employer says aboutthemselves. Otherwise, it will diminish the organization'sauthenticity.

That is why the entire benefits experience needs to alignglobally with the organization's brand, so that employees share thesame experience no matter where or how they work. While the peoplestrategy needs to be a global one, it also needs to allow for localtailoring within this global framework to meet the particular needsof employees in different regions.

For example, an organization may have a strong focus onsupporting employee mental health in their people strategy. Theirglobal benefits strategy should then not only ensure local officesoffer these benefits, but also focus on putting the technology inplace globally for employees to be able to quickly access andselect the support that is relevant to them. Of course, all thewhile tracking the effectiveness of the benefits offering throughdata on a global scale.

Make proactive benefits engagement as simple and flexible aspossible

Never before has the need to focus on individuality been sopronounced. We will soon have five generations in the workplacewhen previously there have been just three or four at a time. Theneed for flexible benefits is huge, but employers simply can'tprovide the range of benefits employees are looking for whilecontrolling costs with an offline or fragmented system.

Organizations can make flexibility simple with benefitsmanagement technology that empowers choice without costing more.For example, a discounted gym membership might only benefit aproportion of the workforce. The same spend, on a wellness accountempowered by technology, could be used to benefit the fullworkforce including those who would rather go to yoga classes, orjoin a social club. This shift to flexible spending accountsenables employees to use their benefits allowance as they seefit.

Ultimately, a flexible and intuitive online platform that offerschoice and flexibility and is aligned with a company's values andculture goes a long way toward attracting, retaining, and engagingtalent. Many organizations have already automated many processesand are on the path to taking full advantage of the data thesesystems provide through data analytics. Leveraging technology toprovide an authentic and consistent employee experience helpscompanies achieve a competitive advantage in today's economy.

Read more:

• Benefits enrollment: up close andpersonal
• How will the benefits administration landscapeevolve in 2019?
• Technology helping Americans feel more prepared foropen enrollment

Chris Bruce is founder and managingdirector of Thomsons Online Benefits.