American health insurance company Humana was established in 1961 and has since expanded to rank among the biggest service providers worldwide. Over 50,000 people worked for the business as of 2014, and it generated $41.3 billion in sales. The organization's diverse lines of business and strategic alliances, which have helped it establish a foothold across the industry, are fundamental components of the remarkable story of Humana. Low membership levels and price competition are endangering the company's future, but its history of innovation has stayed a key component in surviving the present market turbulence. Humana has been exploiting R & D technologies to create unique products and enhance its goal of establishing value-based relationships with the consumers, payers, and health care providers. In its grandiose plan to revolutionize health coverage through innovativeness, Humana has also embraced a mission statement of guiding its customer to make informed decisions, helping employers manage the cost of care, as well as having progressive corporate citizenry ideals. Its business slogan ‘Guidance when you need it most’ has also been instrumental in the addressing both internal and external organizational challenges.
In its goal of forming life-long partnerships, Humana has embraced approaches that spillover beyond the insurance limits. The focus has led to not only service provision but also designing award-winning products as well observing business practices that have made the company a pacesetter in standards of excellence in dealing with seniors, employer groups, self-employed individuals, as well as military members. Despite the market defining strategies that have given Humana a competitive edge in the insurance sector, the company still faces stiff competition from industry peers such as CVS Health Corp, UnitedHealth Group Inc., Anthem Inc., Express Scripts Holding Co, Cigna Corp, and Aetna Inc., which do not only report better revenues but also ratings. Nevertheless, Humana continues to strengthen its position itself in health and accident insurance through acquisitions and to expand to new regions to increase its presence in the globalized market.
Organizational Environment and Culture
In an age where health insurers are faced with the challenge of building a positive public image and winning the trust of consumers, Humana has focused on creating an environment of integrity, which has allowed its to withstand the complexities of the business environment. One of the eye-catching aspects of the history of Humana is its ability to survive market changes, which highlights the dynamism of the company. The firm reinvented itself in the 1970s from a nursing home organization to a hospital corporation and to a health benefits entity in 1990s. In the new century, Human has transformed itself into a publicly traded company, which is leading in changing the landscape of consumer-focused health coverage. One of the most critical aspects in the reinventions has been Humana’s business model, which recognizes the dynamism of the health sector and calls for best practices, building the capacity of employees, as well as developing and application of change management methodologies.
With the health care industry still faced with complex challenges, especially pricing wars, the ever-increasing unemployment rates, and soaring medical cost, Humana’s business values of rethinking routine and cultivating uniqueness have allowed it to keep up with the tumultuous trends. The centrality in pioneering simplicity has also brought not only enormous success to the company but also the exceptional experience of shared success through collaborations and mentoring others. Humana also has sophisticated internal consulting strategies, where its employees work independently as well as teams to identify issues as well as develop solutions.
Another element that has contributed to the success story of Humana is its organizational culture that is characterized by respect for one another, open-mindedness, and acknowledging differences in perspectives. The company focus on making conscious choices has also set a tone of caring, where the firm do not only concentrate on making profits and running smoothly, but also creating positive examples and transforming the health sector. The criticality of the cultural elements is highlighted by the massive investment in diversity and inclusivity programs, an aspect that has allowed the company to not only retain but also attract the best talents. The focus has resulted in increased opportunities for the company, productivity of employees, and better returns.
