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Good

neighbours,
good
business
Medibank Community –
our journey so far
October 2005
As Australia’s largest
health insurer,
Medibank Private is
there for Australians in
every state and territory.

Introducing Medibank Community Our Medibank Community booklet outlines what we are
doing today to be a good neighbour, and how we plan to
We believe that being part of the neighbourhood is more
be an even better one tomorrow.
than just having a presence.
Medibank Private can, and will, make a real and
Medibank Private, through Medibank Community, is
lasting difference.
committed to working with and within our communities to
make a difference and help us achieve our vision of being a
leader in private health insurance in Australia.

As Chairman and Managing Director, we are proud of the


passion and spirit with which our people have taken on the
challenge not only to be better neighbours, but also to Peter Kirby
pursue innovative ways to improve our members’ health, Chairman
address the escalation in health care costs and ensure the
long-term sustainability of our business.

We enthusiastically support and stand by our people as


George Savvides
we progress.
Managing Director

Front cover: Through the Salvation Army Christmas Appeal, Medibank Private donated brand new bicycles to 50 disadvantaged children.
Medibank Corporate Social Responsibility 2005 1

Medibank Community –
the journey begins
“Our members trust us to be there for them.
We’re responsible for building a sustainable
business that will be here for the long-term.”
George Savvides

To us, being a sustainable business is like being a good Starting with our activities in many of our communities
neighbour. Good neighbours get involved and work around Australia; to identifying and bringing together
together to improve their community. It’s just part of the organisation’s collective ‘good neighbour’ actions;
what they do. to asking our stakeholders on how we can improve
our corporate citizenship, these steps have become
At Medibank, we take great pride in the way we value more defined, more confident and more focused.
our staff, understand our members’ needs, contribute
to a healthier community and contribute to our industry. But, announcing ourselves as a good neighbour means
we must ‘walk the talk’. Nowadays, the community
We know that we are only at the start of a long and does not grant businesses the right to exist, we must
rewarding journey – a journey that we want to share earn that right by maintaining a viable business that
with our members and the wider community. considers the needs of our neighbours.
Our journey began from within. Beginning with our We look forward to updating you on our journey’s
staff, and encouraged by our Board and senior progress, including how we will measure our success
managers, we took a number of steps we believed and how we’ve listened to what you say.
would help make a difference to the community
through our social, health and well-being, community
and environmental alliances.

The Medibank Community model

Educate community about private health care The Australian


health care system

Encourage adoption of best practice quality Medibank


and safety protocols in health care health care providers

Help members achieve good health through Medibank


health and well-being programs members

Medibank
Support staff to be involved in the community staff

Open and transparent reporting standards Medibank


governance
2 Medibank Private Corporate Social Responsibility 2005

Healthy inside and out

Medibank Private is building a


performance-driven organisation that
unites and empowers our people.
We want our staff to be proud of
working for Medibank Private.
To help us to achieve these goals, Above: The inaugural ‘Kids at Work Day’ in Melbourne’s head
office brought Medibank Private staff and their children
together for fun at work.
we have been developing and
implementing a series of programs
to engage, support and encourage
our team to be their best.

Some of the Medibank Community programs include: Innovation and inspiration


• Providing supportive workplace practices including financial One of the ways in which we encourage our staff to
assistance for staff in need, leadership and development contribute to our business and the community is through
programs, online career management, an annual ‘good- Quality Action Teams (QATs). These teams can be set up by
health day’ and a focus on work/life balance; any staff member with a desire to find a solution to a
• protecting the health of our staff by providing free income challenge or problem that exists in our business. They are
protection insurance and by subsiding the cost of their organic. Once the QAT has achieved its goal and the
personal health insurance; solution implemented, the team disbands. And others form.
• identifying where we can do better, for example, using
staff feedback, we learned that our staff want even more Being action-oriented, voluntary, and time-specific,
open and transparent reward and recognition programs participation in QATs not only results in business problems
and communication. In response, we introduced an being solved, but deliver intangible benefits including:
annual reward and recognition program, including the • personal ownership of issues;
‘AAA’ achievement and appreciation awards for • staff empowerment; and
outstanding employees;
• an increased staff focus on innovation.
• our senior leadership team sharing our corporate vision
through regular staff forums across the country and by We expect the QATs to continue to bring inspiring and
empowering staff to innovate within the business; and innovative ideas as well as practical recommendations for
• actively connecting staff to the community in which they enhancing our business; keeping us healthy – both inside
live and work to recognise that we can contribute more and out.
than just through the jobs we do.
Medibank Corporate Social Responsibility 2005 3

From small things…big things grow

Our staff invented Medibank Community


One of our most successful Quality Action Teams Below: This Sydney-based
(QAT) initiatives was the establishment of Medibank QAT Team is exploring ways
to improve communication
Community. The team looked at generating
around membership renewals.
community involvement among staff, and to harness
these resources and enthusiasm to make a real
difference in the community.

With the support of management, the team


created a framework for staff to be involved
in the community, including providing
staff with a half day leave to work in
the community on a project of their
choice. The leave can be donated to
a colleague to accommodate
longer projects.

Medibank Community was launched


in Victoria and South Australia during
November 2004, with all other states
following closely.

Medibank Community now incorporates


all our social responsibility activities that
are outlined in this booklet.

“Knowing we wanted to do it was one thing.


Getting it up and running was another.
Everyone has time pressures on their day. Getting
people across the business involved and getting
the right administrative framework in place
needed careful planning and execution.
So, my role was created.
Now these challenges have been met the results are
already beginning to show. Our staff are volunteering
individually or as part of a team to help a wide
range of organisations, including Wesley Mission,
World Vision, Whitelion and the Salvation Army.
Next we hope to start a Workplace Giving Program
to enable staff to make regular donations to their
chosen charity through their pay.
Our first year has been a success. In just the first six
months, over 160 Melbourne staff have pulled up
their sleeves and volunteered in their local
community. Our hope is that this number continues
to grow across the country.”
Left: Heidi Fog, Medibank Community Coordinator
4 Medibank Private Corporate Social Responsibility 2005

Medibank Community partnerships

Through Medibank Community,


we have established a number of
partnerships with community groups Above: Medibank Community helping the environment.

to help us achieve our goals. We


have chosen our partners based on
their contribution to the community
and relevance to our team.

Through these partnerships Medibank Private has: co-founders are focusing on identifying projects where we
• planted 10,500 trees to revive desecrated environments; can make deep and real change in the community.
• worked with young people in need; Through Melbourne Cares, Medibank Private is proud to
• collected 6,000 gifts for children and household supplies work along-side 12 other community-focused corporations,
for families in need at Christmas; and including Rio Tinto, ANZ Bank, AMCOR and Macquarie Bank.
• raised money to support cancer and juvenile diabetes research. Responding as Australians do
Joining forces to make a difference Like all Australians, we were devastated when the Boxing
Day tsunami hit. True to form, our staff wanted to help. So
Medibank Private has cemented its commitment to community when we heard that the World Vision call centre was struggling
change by co-founding Melbourne Cares – a program of with the huge volume of calls from generous Australians
collaborative action by leading companies to tackle social wishing to make donations, our staff volunteered to help.
and economic disadvantage through employee volunteering.
A group of Medibank staff, using their Medibank
Melbourne Cares is a joint initiative between leading businesses Community leave entitlement, went to the aid of World
in Melbourne and the Committee for Melbourne. The Cares Vision to take calls and collect the precious donations
program follows a successful UK model which identified during three fundraising efforts, including the Reach Out to
literacy as a key community issue and garnered the support Asia concert. Medibank Private also donated to the appeal.
of some of the UK’s leading businesses to volunteer their staff
to help disadvantaged people learn to read and write – often Further funds were raised through our sponsorship of the
the first step one can take out of poverty and dependency. Medibank International Tennis Tournament in Sydney where
player donations were matched by Medibank Private, and
With the Melbourne Cares program in its early stages, the collection points established for the public to contribute.
Medibank Corporate Social Responsibility 2005 5

“Medibank Private’s support during the tsunami


disaster is an excellent example of how an
organisation can contribute more broadly to
its community.” Rev. Tim Costello, CEO, World Vision Australia
Mentoring young people in need Starting out with opportunities for the kids to meet
public role models, the mentoring program has since
Giving can be a powerful experience. Even more so,
evolved to providing work experience opportunities
when the giving can help a young person choose a
and plans to move into one-on-one mentoring.
better path for their life.
The partnership with Whitelion has helped young
Through a mentoring program, the Medibank Private
people connect back into society and into a more
team supports Whitelion – a charity organisation working
positive world.
with young people within the juvenile justice systems.
The support of Medibank Private is helping us provide
young people with the kind of encouragement and
inspiration that adds immeasurably to their lives.

Recently, Medibank Private organised a basketball


clinic for 20 young people to meet and gain inspiration
from the Melbourne Tigers. One young man met and
played against his hero – Andrew Gaze – an experience
that’s likely he’ll never forget.

Medibank Private believes that everyone deserves


a fair go, and recently employed a young person
previously from within the juvenile justice system
to work across the organisation for a year. This will
give him the opportunity to gain experience in
employment and find out what sort of work he enjoys.

Medibank Community is going to continue to make a


real difference, to real people.
Above: Medibank Private utilised its sponsorship of the Melbourne
Tigers and its relationship with Whitelion (a community organisation
that helps young people disconnected from our community), to
introduce young adults to positive role models.

Medibank Private is proud to have worked with the following community organisations:
6 Medibank Private Corporate Social Responsibility 2005

A healthy business –
ethical and committed
to service excellence

Guided by good ethics 1 Lifetime protection


Core to the principles of Medibank Community is our Meeting changing customer needs ✓
belief that ethical behaviour is critical to our business Ensuring quality health care ✓
success. More fundamentally, however, we simply believe
in striving for right behaviours in all our activities. 2 Quality service
To this end, a Quality Action Team (QAT) has been Answering calls within one minute ✓
established with the aim of understanding our Service within five minutes at retail centres ✓
organisational culture and developing a guide to enable Responding to emails within one working day ✓
ethical business conduct to steer organisational policy Responding to letters within five working days ✓
and behaviour, beyond just the interpretation of rules.
3 Honesty and transparency
The long-term expected outcome is an organisation
that does “the right thing” consistently and instinctively, Changes to policy and premiums are transparent ✓
building a deeper sense of trust with our members. Reference numbers provided to customers ✓
Reasons provided for all decisions ✓
The QAT is expected to launch the business ethics Membership information in plain English ✓
model in October 2005.
4 Supporting our community
Delivering to our members
Acting responsibly in the community ✓
We exist because of our members, so it is only fair that Working with charity partners ✓
they should be able to expect certain things from us.
As part of Medibank Community, in January 2005 we
Encouraging staff to be involved in the community ✓
implemented the Medibank Member Service Charter. 5 Resolving concerns promptly
The creation of the charter states our commitment to Problems resolved on the spot ✓
deliver service excellence to our members. Our Complaints handled within 10 working days ✓
organisation strives to be the best, and we have set Referral to Ombudsman where required ✓
ourselves challenging targets. Each year, our
performance against these targets is reviewed by an 6 Respecting your privacy
independent authority in customer service excellence.
Information not passed to another
In the first of these reviews, capturing the period from organisation for marketing purposes ✓
January to June 2005, Medibank Private delivered on Member information kept up-to-date ✓
21 of the 24 promises we set out to achieve. While we
are pleased with this result, we aim to do better. Over 7 Accessibility
the next year, our goal is to achieve a 100 per cent
success rate and completely deliver on all of the
Largest retail network ✓
promises outlined in the Charter. Member information available on-line and
through call centre ✓
For a full report on the Medibank Member Service Claims less than $200 paid on the spot ✓
Charter audit, please visit our website. Ancillary claims processed within 10 working
days of receipt ✓
Promise consistently fulfilled for the period January 8 We really want to hear what you think of us
to June 2005 Quarterly customer surveys ✓
Promise fulfilled for four of six months Medibank Private contact information ✓
Promise fulfilled for one of six months
Medibank Corporate Social Responsibility 2005 7

Healthy members and community

Keeping healthy
The Australian lifestyle is a great one – we know how
to have a good time. However, this lifestyle is having
an impact. Increasingly poor dietary habits and low
levels of physical activity mean that many people are
not living as healthy a life as they think. This is
reflected in the disturbing increase in health problems
such as obesity, increasing the prevalence of such
chronic diseases as Type II Diabetes.

If we continue along this path not only are we at


greater personal risk of illness, but our health system
will struggle to cope with the increasing demand. It is
time to act.

Believing prevention is better than cure, over the past


18 months we have undertaken three health
management pilots with our members aimed at
empowering them to better manage their health. By
helping our members keep healthy, and delaying the
onset of age and lifestyle diseases, we will not only
meet our members’ need for more affordable
insurance, but we will also have a lasting positive
impact on our members’ health.

The three programs are: Member Well-Being, Diabetes


‘On Track’ diabetes pilot program
on Track and On-Line Health Risk Assessment programs.
This 12-month program helped 485 members with
Member well-being pilot diabetes to better self-manage their condition and
More than 3,000 Queensland members took part in undertake the care recommended by their doctor. While
completing an assessment to identify their health risks a complete survey on the outcomes of the program is
and then receiving advice on the necessary steps to not due until late 2005, initial results are positive.
reduce these risks. The results of this pilot have been
On-line health risk assessment and health program
extremely positive, with over 50 per cent of
participants enrolled in a risk program who set an This on-line program helped members to manage their
exercise goal reporting increased levels of physical diet and weight and maintain a reasonable level of
activity and improved health over a 12-month period. physical fitness. The most pleasing aspect of this pilot
was that, of the 1530 members who participated, over
The pilot also included a complex care program that half were in the 18–34 year age bracket. Ten per cent
provided a customised health management program of members who enrolled in an active health program
for people experiencing multiple health conditions. reported an increase in physical activity and 12 per
Participants in this program reported a significant cent reported an average weight loss of 4.6 kilograms.
reduction in emergency department presentations and
hospital admissions. Following the success of these pilots, Medibank Private
is now rolling-out a range of health programs to a
This means participants improved the way they broader number of members.
manage their conditions, which resulted in lower
claims, which in turn benefits all our members by
taking pressure off future premium growth.
8 Medibank Private Corporate Social Responsibility 2005

Below: Medibank Private is developing incentives with health


care providers to ensure that our members receive quality care
and health outcomes.

Above: Excellent customer service is at the heart of what


we do.

Healthy hospitals Supporting leading edge health care


If you have to go to hospital you want to feel confident that As new technologies, medications and treatments are
you’ll get the best treatment possible. That’s why, as part of introduced to provide better patient outcomes, Medibank
Medibank Community, we are advocating for safety and Private keeps pace with the change through the Medibank
quality on behalf of our members by endorsing the stringent Private Special Purpose Fund.
standards and key national initiatives of the Australian
Council for Safety and Quality in Health Care. We have set Established in 2004, the three-year Fund can provide members
the bar high because we know delivering safe and high- with an opportunity to access leading edge clinical treatment,
quality health care is of critical importance to our members. programs and interventions. A member can apply to
Medibank Private to fund a treatment that has demonstrated
To promote quality and safety initiatives, Medibank evidence of effectiveness but is not yet standard treatment.
Community will establish the Medibank Safety and Clinical An independent approvals committee, with specialist
Improvement Incentive Pool. Through this pool we will offer expertise, assess each application in accordance with the
seed funding to help Members’ Choice hospitals implement membership and treatment prequalification criteria established
key quality and safety initiatives. In the future we will report by the committee. So far, we have helped 22 Australians
on the initiatives funded and their outcomes. receive vital treatment.

This approach sets an industry benchmark to ensure our Medibank Community is going to continue to help ensure
members receive the best quality care at the most Australians receive the best health outcomes possible.
affordable prices.
Medibank Corporate Social Responsibility 2005 9

A healthy future

Our vision for the future is one of sustainability built upon Looking forward, our business, and the industry at large,
healthy members, affordable access to private health must continue to tackle the big issues of spiralling health
insurance, a community that benefits from a mixed public costs and the need to improve health care quality and
and private health care system and a motivated and engaged safety. We are passionate about these issues and are
Medibank Private team. We have started the journey. We working hard with our partners and the community to
are listening to our members, our staff, our industry peers make sustainable improvements.
and the broader community to define the path.
This is just the start of an exciting journey that will enhance
Over the past year we have conducted over 4000 interviews Medibank Private’s reputation as an open, accountable and
with members, the general public, employees, and health community-focused organisation.
care providers to better understand your expectations,
identify the priority actions we need to take and explore the Medibank Community makes us a good neighbour.
opportunities we have to improve our reputation.

We believe we are on the right path, with Reputex (ratings


agency) last year upgrading our social responsibility rating
from a B to an A in recognition of our commitment to
ongoing and consistent improvement across the business.
Phone 132 331
Email ask_us@medibank.com.au
Visit us www.medibank.com.au

If you have ideas that you think will help us to move forward,
please do let us know. You can contact us by email at
stakeholder@medibank.com.au, in writing at
GPO Box 9999 in your capital city,
or by phone on (03) 8622 5161.