A Moneyball Lesson: Your Numbers Have a Story to Tell
The numbers that follow will scare you. But, we think it is essential for you to know why your company will most likely continue to have increases in worker’s compensation and health claims costs.
Click on the image below to take a closer look at the collection of statistics our team has gathered over the past several years from a wide variety of national studies and trusted sources. It may be the most relevant case you’ve seen for the connection between workers’ compensation costs and worker health. We hope it may help you better understand the correlation between risks and costs and what employers are up against as our unhealthy nation gets even more unhealthy.
So what can be done to help solve this problem that leaves the American business picking up the tab? We believe the answer lies in rethinking how we approach the problem: by shifting from being reactive to proactive.
While it may seem daunting to know where to even start, we think it begins with opening your mind to predicting and preventing. The “windshield” perspective rather than the “rear-view mirror” is what Warren Buffett calls it.
We know it is not simple to shift from the status quo world of reactive management to a proactive one, but we hope we can help. It begins with not allowing our emotions and biases to influence our decisions. We like to rely on an ancient and proven approach that eliminates the noise. Yep, statistics. The numbers don’t lie, and they have a story to tell.
We find it can be helpful to take a deeper look at another industry to think more clearly about your own. Take for example, baseball…
The movie Moneyball is based on the true story about the Oakland A’s analytical, evidence-based approach to assembling a more competitive baseball team, despite the team’s disadvantaged revenue situation.
The central premise is that the collective wisdom of baseball insiders (including players, managers, coaches, scouts, and the front office) over the past century is subjective and often flawed. Statistics such as stolen bases, runs batted in, and batting average, typically used to gauge players, are relics of a 19th-century view of the game and the statistics available at that time. Sound familiar?
The Oakland A’s’ front office took advantage of more analytical gauges of player performance to field a team that could compete smarter (and better). In this scene, Billy Bean (Brad Pitt) is getting a fresh new perspective on how to change his approach from a young brilliant statistician, Paul DePodesta (Jonah Hill).
Perhaps this will give you some inspiration with your team to consider taking a deeper look at your numbers with an expert to see what story they can help you discover. By the way, this same evidenced based approach is taking off in a wide variety of industries including Wall Street and the NBA.
Like to learn more? Give us a call and let’s talk about how we can provide you with several key insights from your own data. We love to help our clients Reduce.Predict.Prevent.™
Think of this as your Moneyball opportunity.
Posted by Lisa Gran
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