Ol 690 Malden Mills Case Study

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Date Submitted: 10/13/2013 03:34 PM

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Corporate Social Responsibility Report

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Executive Summary

The United States of America is on track to become the United States of Diabetes. The epidemic of type 2 diabetes and its warning sign, pre-diabetes, is sweeping across the country . By 2020, an estimated 52 percent of the adult population will have diabetes or pre-diabetes . Yet shockingly, the vast majority—more than 90 percent—of people with pre-diabetes, and about a quarter of people with diabetes, are unaware of their condition .1

This will have major implications for people’s health and life expectancy. It will also make a major contribution to out-of-control U.S. health care costs, placing growing strain on the budgets of families, employers, states and the federal government. Studies estimate that health spending associated with diabetes and pre-diabetes is about $194 billion this year (approximately seven percent of total U.S. health spending). That cost is projected to rise to $500 billion by 2020. 2 The human costs and economic consequences will be substantial. But there is nothing inevitable about this trend. There is now a sufficiently large evidence base about interventions that can make a difference, ranging along the spectrum from lifestyle-related changes to cut obesity, to targeted support for patients with diabetic-related complications . Patients and their care providers will of course be central to that effort.

But making a major impact on the pre-diabetes and diabetes epidemic will also require health plans, integrated delivery systems (IDS) and Medicare and Medicaid to engage in new ways . That will mean health plans acting not only as payers of health benefits, but as ‘care system animators,’ providing underlying data, technology and care management services . It will mean a focus not only on the ‘flow’ of health care consumption, but on managing the population health risk .

So, diabetes is a prism through which to analyze broader changes needed in...