Humana 1999 Annual Report Download - page 7

As Humana takes steps
to establish itself as a health
solutions company connected
via computer to all its stake-
holders, Hamilton County,
Ohio, is leading the way by
piloting an electronic enroll-
ment model. Through this
innovation, Hamilton County
benefits managers input data
regarding enrollment changes
directly into the Humana
system, eliminating paperwork
and lag time, and freeing
Humana associates to serve
members' needs.
The fourth relationship is with EDS
of Dallas, Texas, a leader in the
global information technology
services industry for more than
35 years. This long-term business
relationship gives Humana the
means to license the EDS
MetaVanceTM Health Care Portfolio
to provide an enterprise solution for
health care processing. MetaVanceTM
will give us a new, cost-effective,
and easier-to-use claims-paying
platform that will be fundamental to
the development of our electronic
business initiatives.
I N I T I A T I V E 5:
Rationalize markets, products
and platforms
We've made substantial progress
toward divesting non-core assets
and using the proceeds to pay down
debt and continue investing in our
Internet infrastructure. Since August,
we've exited the Florida individual
market; we've announced the sale
of our Nevada HMO business, our
Physician Corporation of America
(PCA) workers' compensation
business, the remainder of our
workers' compensation business in
a management buyout, our North
Florida Medicaid business and our
Medicare Supplement business; and
we exited, as of January 1, 2000,
31 Medicare counties that either
were losing money or were not
central to our Medicare strategy.
These moves will have the effect of
strengthening our balance sheet and
positioning us for stronger earnings
in 2000 and beyond.
The tremendous work accomplished
since August already has begun to
pay off. Nevertheless, it is not
enough. Just as Winston Churchill,
on the morning of the successful
Dunkirk maneuver in 1940,
remarked that “wars are not won
by evacuations,” so too successful
companies are not built on
divestitures. Thus, at the same time
we were undertaking these strategic
pruning measures, we announced
the acquisition of the Memorial
Sisters of Charity Health Network, a
95,000-member health plan based
in Houston, Texas. We were also
engaged in a rigorous self-analysis
— the result of which is a
new vision, purpose and value
proposition for Humana suited to
the needs of the 21st century.
10 11
Fast access to knowledge empowers physicians and consumers.
Lisa Clark
Humana
Commercial Sales
Cincinnati, OH
Jim Lowry
Hamilton County
Director, County Personnel
Carolyn Marine
Hamilton County
Benefits Administrator
Gary Berger
Hamilton County
Benefits Manager
Beverly Tocash
Humana
Enrollment Analyst
Cincinnati, OH
Shane Castle
Humana
Information Technology
Cincinnati, OH