Tivity Health Nov 2019

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Digitally transforming healthcare solutions


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Tivity Health: Digitally transforming healthcare solutions

NOVEMBER 2019


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T I V I T Y H E A LT H

Paul Edmisten, SVP and CIO at Tivity Health discusses the evolution of the company and its journey towards digital transformation

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ounded in 1981, Tivity Health is a leading provider of healthcare solutions for fitness, nutrition and social isolation. “Tivity

Health works hand-in-hand with its members, clients, partners and customers to create everyday opportunities for long-lasting health and vitality,” 04

says Paul Edmisten, Senior Vice President and Chief Information Officer. “Tivity Health’s goal is to be the leader in transforming healthy living for adults by empowering and engaging them to live their best lives through nutrition, fitness and social connection,” says Edmisten. Formerly known as Healthways, Tivity Health was “among the boutique darlings of the Nashville healthcare community, focused on disease management in the early years and transitioned to total population health and well-being,” comments Edmisten. “Healthways had been successful growing and transitioning the business over the first three decades, until they experienced performance challenges leading up to 2014.” Throughout 2014 and 2015 the company went through tremendous change from the board, to CEO and throughout the NOVEMBER 2019


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PERSONALIZING CONSUMER ENGAGEMENT AT SCALE ACROSS HEALTHCARE Healthcare organizations are increasingly treating consumer healthcare as a holistic journey. Consumer expectations have risen, driven by their experiences with digital technology in other industries. Today’s always-on, connected consumer interacts with brands across multiple channels and devices, and they expect a brand to know them across dynamic journey stages. Likewise, the always-on consumer’s health journey exists outside of the typical healthcare ecosystem. An individual’s actions, behaviors, and environment play enormous roles in continued health. Factors such as diet and exercise, access to parks and green space, and even how much natural light a person is exposed to throughout the day are known as social determinants of health, which can account for up to 40 percent of a person’s proclivity toward long-term health. Healthcare companies are now starting to use social determinants of health data to help guide consumers along their healthcare journeys; this is key with the total healthcare experience being a continuous path that reflects always-changing behaviors and environmental patterns.

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T I V I T Y H E A LT H

“ Tivity Health works hand-in-hand with its members, clients, partners and customers to create everyday opportunities for long-lasting health and vitality” 08

— Paul Edmisten Senior Vice President and Chief Information Officer Tivity Health

organization.” In the summer of 2015, Edmisten became involved with the company following Alvarez and Marsal’s partnership with Healthways to restructure the company and to set a course for the future. “As I partnered with the executive management team, the board and Donato Tramuto, CEO of Healthways – and today CEO of Tivity Health – as the newly appointed CIO, we eliminated tens of millions of dollars in operating expenses, and ultimately landed on three options to move the company forward. They included continuing to work with the existing business units and products, managed through continuous change and transformation (the long-haul approach). The short approach was to shut down underperforming business units of the total population health business, and the third approach was to sell the total population health business.” Small parts of the business were sold leading up to July 2016, when Healthways successfully sold its total population health services business to Sharecare. In January 2017, Healthways rebranded as Tivity Health. “With the launch of Tivity Health and its divesture of the

NOVEMBER 2019


CLICK TO WATCH : ‘HEALTH IS MORE THAN A STATE OF BEING. IT’S A COMMITMENT TO DOING” 09 total population health business, our

a robust B2C data and technology

financial profile strengthened and

stack that align with Tivity Health’s

grew,” notes Edmisten. “Witnessing

strategy and objectives. Edmisten

first hand and being personally

highlights that, in order to align the mis-

involved in the series of events and

sion, mindset and operating model of

transactions that occurred during this

Tivity Health, the company had to

span of time was priceless. Something

transform the way they defined, deliv-

many never experience in business

ered and engineered its products to

and will never learn in business

create the desired consumer experi-

school,” notes Edmisten. Tremendous

ence. Donato Tramuto, CEO of Tivity

change occurred impacting all aspects

Health shared that “Paul Edmisten

of the company.

played a key strategic role during our

Since the divestiture, Tivity Health

transformation of Tivity Health. His

has evolved transforming its people,

pragmatic and transformational leader-

processes and technology to enable

ship has helped our company adopt a w w w.t i vi t yhe a lt h . com


WHEN EXPERIENCE MATTERS Acxiom is proud to be Tivity Health’s strategic partner as we help the company successfully navigate its technology and digital transformation journey. The customer journey is complex, yet customers still expect brands to know and understand them and provide seamless experiences at every step. Acxiom has been helping the world’s best marketers and advertisers get more out of their data and technology for more than 50 years. We deliver data foundations through data products, identity management, marketing solutions and services, helping clients create the seamless, relevant and meaningful customer experiences marketers and customers dream of.

acxiom.com


product, data-centric and consumerdriven culture within Tivity Health.” “Tivity Health has been leveraging

the customer journey. “A big part of our strategic direction continues to be how we leverage data

Big Data for years,” comments

insights generated from our advanced

Edmisten. “What AI and machine learn-

analytics coupled with OMNI channel

ing permits us to do is learn more about

technology to enable, automate and

our members and consumers.

scale our member experience,” says

Traditional statistical approaches only

Edmisten. With these advanced analyt-

get you so far when dealing with Big

ics, Edmisten combined data

Data.” Tivity Health has already bene-

augmentation and artificial intelligence

fited greatly from AI to unearth

to gain insight into how members

important user personas among its

engage with their products and ser-

members with the aim of extending its

vices. “Those who know SilverSneakers

learnings to enhance applications in

love us, the problem is not enough

E XE CU T I VE PRO FI LE

Paul Edmisten Paul Edmisten SVP and CIO of Tivity Health, is responsible for innovation, delivery and support of the company’s technolog y and data solutions that enable its Healthcare, Fitness, Nutrition and Social Connection products. In 2015, Paul was leading engagements to improve performance and restructure companies at Alvarez and Marsal. Over 18 months, A&M engaged with Healthways to sell two business units to eliminate costs, resulting in the formation of Tivity Health.

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T I V I T Y H E A LT H

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people know us,� says Edmisten.

engagement, they continue to innovate

Understanding our members needs

and expand capabilities through wear-

and wants will help us target our

ables, IOT and 5G to enhance

engagement through digital/TV mar-

consumer engagement, improve

keting or our channels that include web,

speed, and the desired outcomes for

call center, mobile and social.

our customers. “Extending our plat-

From a product engineering stand-

form and mobility solutions to integrate

point at Tivity Health, simplicity,

wearables and IOT devices enables our

reliability and scalability are the core

members and consumers to be more

focuses for its solutions. While the

connected, and we can learn more

company continues to refine their core

about their activity and nutrition habits

platforms optimizing the consumer

while enabling the desired consumer

NOVEMBER 2019


experience and loyalty. As the industry and consumers adopt 5G, and basic internet access is extended to rural America, Tivity Health will be able to positively impact millions of people who are suffering from social isolation and loneliness.” Social isolation and loneliness are major concerns leading to a number of health issues in America today. Currently, Edmisten is working on leveraging voice assistants, as well

“ A big part of our strategic direction continues to be how we leverage data, in particular through advanced analytics” — Paul Edmisten Senior Vice President and Chief Information Officer Tivity Health

as mobile and wearable technology to w w w.t i vi t yhe a lt h . com

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“ In this very aggressive economy, talent and skills are hard to find, having a long-time partner in Stratfield gives Tivity Health the ability to meet this challenging demand” — Paul Edmisten Senior Vice President and Chief Information Officer Tivity Health

and disciplined in the approach that you take. You must align the entire organization around a consumer centric product capability to maximize the impact on customers and the bottomline financial result.” “We buy and integrate best in class technology solutions to enable our products and services. We partner with industry leading partners that bring best practices in the areas of Marketing Automation, ERP, CRM, Data Augmentation, and Resources/

drive customer engagement and

People. Each one of our partners

deliver online virtual trainers for exer-

brings a very unique capability, and it

cise. “As part of our efforts, we are

has been critical for our success as an

constantly innovating to address these

organization to identify and enable

challenges through IoT, mobile tech-

those strategic partnerships, establish

nology and wearable technology, as

close relationships and align on clear

well as creating automated independ-

objectives,” says Edmisten. Some of

ent platforms that are flexible and

the key partners include Redpoint,

cloud agnostic.”

Nuestar, Acxiom, Oracle and Stratfield

“As a CIO, I am a big believer and proponent in maximizing the intersection

Consulting to name a few. An essential part of Tivity Health’s

of data and technology. While that

risk management is information secu-

sounds very simple and, on the surface,

rity. “Our Chief Information Security

straightforward, it’s an art to really per-

Officer, his team and his strategic part-

fect and differentiate the experience

ners are constantly assessing the

and value to a consumer,” comments

threat landscape through an agile

Edmisten. “You have to be intentional

Information Security program focused w w w.t i vi t yhe a lt h . com

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T I V I T Y H E A LT H

1981

Year founded

920

Approximate number of employees

16

NOVEMBER 2019


on identifying and remediating risk. We are constantly reviewing, researching and evolving our processes and controls to improve our protection level against emerging threats,” says Edmisten. Looking to the future, Edmisten sees two immediate opportunities emerging for Tivity Health. “With the acquisition of Nutrisystem and the passing of the CHRONIC Care Act, Tivity Health can provide – via a sophisticated supply chain – nutritional options on a large scale to seniors.”

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In addition to these immediate opportunities, Edmisten sees emerging key trends in health and fitness that could provide opportunities for innovation at Tivity Health. “Health plans and healthcare organizations have begun leveraging data analytics to provide benefits that are personalized and customer-oriented. Additionally, health plans and organizations are utilizing Big Data to support clinical decision making, precision medicine, readmission prevention, chronic condition management and risk identification,” says Edmisten. Another area of focus for Tivity Health is helping to address w w w.t i vi t yhe a lt h . com


T I V I T Y H E A LT H

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the social determinants of health, “the way health plans can have the most impact when identifying and engaging with the right people is through data, algorithms and technology-enabled solutions,” says Edmisten. “Many of our health plan partners have invested in development of predictive models to support those at risk of social isolation and food insecurity to name a few.” Donato Tramuto, CEO Tivity Health shared “We have a tremendous opportunity within the company as we integrate Nutrisystem, and add a NOVEMBER 2019

“ Tivity Health has been leveraging Big Data for years. What AI and machine learning permits us to do is learn more. Traditional statistical approaches only get you so far when dealing with Big Data” — Paul Edmisten Senior Vice President and Chief Information Officer Tivity Health


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nutrition business unit, into our house

the country. He concludes: “Over the

of healthy lifestyle brands to help

past three years we transformed our

address the social determinants of

people, processes and technology at

health. Paul and his team will be center

Tivity Health, and with strong leader-

stage to enable, automate and scale

ship, talented colleagues and a clear

our combined products and services

vision we have been successful in

to our customers.”

doing so.”

Reflecting on the company, Edmisten believes that “Tivity Health’s biggest strength is its team of colleagues and the passion they have for the company, consumers and customers. Their efforts are truly changing the lives of people around w w w.t i vi t yhe a lt h . com


Tivity Health 701 Cool Springs Road Franklin TN 37067 USA T +1 800 869 5311 www.tivityhealth.com


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