Mercer | Mercer urges US employers to lead healthcare transformation

Mercer | Mercer urges US employers to lead healthcare transformation

Mercer urges US employers to lead healthcare transformation

  • October 17, 2016
  • United States, New York
  • “Employer-led healthcare transformation: Vitals for a better tomorrow” gives employers key insights and strategic action items to drive systemic change

  • Relentless and collective employer action is required to transform the healthcare landscape

Mercer, a global consulting leader in advancing health, wealth and careers, and a wholly owned subsidiary of Marsh & McLennan Companies (NYSE: MMC), announced today the launch of its new point of view “Employer-led healthcare transformation: Vitals for a better tomorrow”. This point of view crystalizes Mercer’s thought leadership and recommended strategies into four core areas that employers should focus on as the leaders of the required US healthcare transformation. 

Based on Mercer’s decades of healthcare consulting experience, “Employer-led healthcare transformation” provides the following transformational framework for employers to better use their unified voice and influence to drive the market forward (see figure 1): 

Pay for value – Aligning reimbursement with value, not volume.

Drive to quality – Delivering the right care at the right time, in the right setting, error free.

Personalize the experience – Leveraging better data and technology to engage employees in the right behaviors, every day.

Embrace disruption – Injecting change into the system, with internal stakeholders and external partners, to be future-ready. 

“Employers are pivotal players in today’s healthcare system, yet their role has remained remarkably passive,” said Sharon Cunninghis, North American Leader of Mercer’s Health business. “In fact, nearly two-thirds of all insured coverage is employer-provided, which translates into a nearly one trillion dollar annual spend. The time has come for employers to work with other key stakeholders to translate this potential leverage into actual market transformation – and we see our point of view as the roadmap.” 

This need for healthcare transformation is further highlighted by the fact that a healthy workforce is strongly aligned with business success in such areas as increased productivity, reduced absenteeism, higher retention, and better overall engagement. Still, the current market and system is too often failing its stakeholders (see figure 2). 

“Escalating costs, wasteful spending, significant quality gaps and poor satisfaction ratings are all driving the need for employer-led transformation – no matter how large or small the employer, and regardless of the platform used to deliver benefits,” said Jean Moore, Specialty Practice Leader for North America in Mercer’s Health business. “The ‘Employer-led healthcare transformation’ point of view addresses all of these issues with concrete action steps and strategic opportunities.”

Mercer has already created a number of solutions to support this transformation including Mercer Complete Care, a personalized advocacy and clinical care solution; a Specialty Pharmacy PBM Carve-out offering; and Mercer’s Quality Improvement Collaborative, an initiative that brings together employers with providers to improve the quality of hospital care. 

“We will be developing more solutions to support this effort and we are very excited to work with our clients to bring meaningful change to the healthcare landscape,” said Ms. Moore. 

To learn more about Mercer’s “Employer-led healthcare transformation: Vitals for a better tomorrow” point of view, please visit 

About Mercer

Mercer is a global consulting leader in talent, health, retirement and investments. Mercer helps clients around the world advance the health, wealth and careers of their most vital asset – their people. Mercer’s more than 20,000 employees are based in 43 countries and the firm operates in over 140 countries. Mercer is a wholly owned subsidiary of Marsh & McLennan Companies (NYSE: MMC), a global professional services firm offering clients advice and solutions in the areas of risk, strategy and people. With annual revenue of $13 billion and 60,000 colleagues worldwide, Marsh & McLennan Companies is also the parent company of Marsh, a leader in insurance broking and risk management; Guy Carpenter, a leader in providing risk and reinsurance intermediary services; and Oliver Wyman, a leader in management consulting. For more information, visit Follow Mercer on Twitter @Mercer. 


Figure 1: Mercer’s framework for the employer-led transformation of the US healthcare system



Source: Mercer 

Figure 2: The unacceptable results generated by today’s healthcare system



Source (Cost): "Health Policy Brief: Reducing Waste in Health Care," Health Affairs, December 13, 2012. 

Source (Quality): McMains, Vanessa, “Johns Hopkins study suggests medical errors are third-leading cause of death in U.S.,” HUB, August 26, 2016,

Source (Satisfaction): “Net promoter Score Benchmarks,” Net Promoter Network, accessed August 26, 2016,