They are getting ready to buy a hospital system. good luck with that. This vertical integration phase will be a disaster for health plans. short memories. Hospitals require huge cash flow for capital costs and are generally leveraged more than health plans. If that is their strategy, then this is probably not a bad pick. Since he has no hands on experience running health plans, watch for more screw ups ala Angela. Being on the board of a health insurer does not generate the experience to run one, especially one as complex as WellPoint.
I hear that until someone name Erin leaves the Midwest will be in the dumper for a LONG time. I worked there for 120 years and hear they are looking to take the U65 totally in house and no brokers. There's a guy in the Midwest that works inside and comes in at 10 or so and leaves around 2is. This is the problem with this company. And it's true 20% do all the work and the remaining 80% just go through the motions....
This should pretty much sum up that this Board and the Human Resources leader need to be ousted. This isn't a game of moneyball. Wellpoint has a great brand and size to be a leader - too bad they blew another opportunity and set the clock back for investors - the market is giving this a resounding thumbs down.
I swear 80% of the work in this company is done by 20% of the people. Worked there years ago and the same people were looked to over and over. It seems this is easier than discipling and dealing with the low performers. There were the figure heads who had titles, stock and money, the 20% that did 80% of work, and everyone else that milked the company. Jack Welch would have had a field day there. Hope for the wellpoint employees that the new CEO makes some fixes to make this a great company, America needs more great companies.